Westar said that the commission declined to approve its request for a 1% incentive return. Kansas law allows for an incentive up to 2% for investments in renewable energy.
The order also indicated that in the future, wind generation could be subject to undefined operating standards and potential financial penalties that have not been imposed on other forms of generation.
Bill Moore, Westar Energy’s president and CEO, said: We are concerned that the KCC’s decision introduces uncertainty as to how wind investments might be regulated in the future, increasing their risk and inhibiting such development. Because deadlines are so tight to secure some of the state’s most attractive wind sites for our customers, we will move forward with 295MW despite the increased risks.
