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Clipper, EDF to Supply Wind Power to Walmart Subs in Mexico

| Friday August 15th, 2008 | 5 Comments

Carpinteria, California-based Clipper Windpower and Electrica del Valle de Mexico, a subsidiary of EDF Energies Nouvelles (EDF EN), on August 7 announced the signing of a long-term agreement to supply Clipper’s 2.5 megawatt (MW) wind turbines for EDF EN wind energy projects.
An initial set of 27 Liberty turbines– 65 MW worth– will be used to generate clean, renewable power for companies owned by subsidiaries of Walmart de Mexico. Due for completion in summer 2009, the first project is sited at La Ventosa, one of Mexico’s windiest areas, located in the State of Oaxaca’s Istmo region, according to a media release.


Harnessing the wind at La Ventosa
clipper-steelwinds0032.jpg The La Ventosa project will be the first in Mexico to make use of multi-megawatt wind turbines. The 2.5 MW Liberty turbines– the largest manufactured in the Americas– are being built at Clipper’s 330,000-square feet in Cedar Rapids, Iowa.
EDF EN is a well-established player in the renewable electricity generation market. It is active in nine European countries, as well as in the U.S. and Mexico, and does business in four renewable energy sectors: wind, solar, biomass and hydro. Its gross installed capacity totaled 1.443 MW worldwide as of the end of 2007 – 80% of it wind power– and it has another 1,100 MW under construction.
Clipper is intent on building a wind power industry player that can compete globally. On July 30 it announced it was joining with BP Alternative Energy in a 50-50 joint venture to develop the Titan wind project in South Dakota– at 5,050 MW the largest in the world announced to date. The JV entered into a Master Turbine Supply Agreement to purchase as many as 2,020 Liberty wind turbines subject to successful phase development stage completion and other conditions.
Walmart, now supply chain partners catching the wind
The renewable power being purchased by subsidiaries of Walmart in Mexico is one of the few concrete indications of U.S. corporations’ commitment to using renewable power, not only in their own operations, but by promoting and facilitating uptake among supply chain partners.
Walmart’s keen on wind, as well as solar, power, to the point where it has established its own power company, Texas Retail Energy, to supply electricity to its stores in Texas at wholesale rates. According to a Dallas Morning News article this saves the company around $15 million per year.
Deregulated electricity markets such as those in Texas and New York make it more attractive for retailers and other commerce-driven companies to invest in renewable power, Chris Hendrix, Walmart’s manager of energy procurement and Texas Energy’s general manager, told attendees at a Gulf Coast Power conference. .
“Historically utilities did not offer special contracts to commercial customers as they did for industrial customers,” Hendrix said. “A couple of deregulated markets – Texas and New York – are better than others,” he went on. “They both have in common: Liquid and deregulated wholesale markets; competition from third-party suppliers for customers’ business; [and] regulatory leaders with the foresight that full-fledged competition is the best model.”


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  • Max Uhler

    This is all very fine and good from an environmental point of view, I am sure. However, the land in the Isthmus of Tehuantepic on which the wind farm is located has been expropriated from its owners who had farmed and lived there for thousands of years. Perhaps expropriated is a little harsh, after all they will be paid rent for their property. Fifteen dollars per hectare per year.
    These people are dirt poor, small plot, subsistence farmers. Perhaps this is a more appropriate use for this land but why was it necessary to destroy the homes and livelihoods of so many indigenous families?

  • Ronson Houk

    Max – can you show evidence that their homes and livlihoods were actually destroyed? I’m not saying you’re wrong as I know little about the subject, but sometimes I feel like people automatically assume subsitence farmers are living some kind of utopia until we come along and change things, it’s sometimes kinda patronizing. Surely having wind turbines here and there isn’t going to prevent farming the land beneath, right?

  • Jim Peck

    What I fail to understand, is how the electric power will get from the wind farm to the Wal-Mart stores. Will Wall-Mart have to build its own transmission system?

  • miguel sucio

    Having been to this area 9 times in 9 years, I first impression was what a most excellent area for a windfarm. The “winds of Tequantepic” reach Cat. 1 hurricane force. April of 2008 there were about a dozen wind generators under construction, April of 2009 there were over 150, many in operation. As for the locals of the area under construction, this is land that is mostly grazing land and most farms are quite large. As for payment of the use of the land I haven’t a clue.

  • http://www.armx.biz Tom Kesser

    I just toured La Ventosa II; it is said the farmers are reasonably compensated for leasing their properties; they are not exploited. The installations are all very professional.