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Sino-US project raises ire of senator

(China Daily)
Updated: 2009-11-06 07:37

WASHINGTON: A US Democratic senator is calling on the Obama administration to reject an expected request for federal economic stimulus money from a $1.5 billion West Texas wind energy project because he says it will generate Chinese, not American, jobs.

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The US-China venture, announced last week, calls for 240 huge Chinese-made wind turbines on 36,000 acres in West Texas, with the Export-Import Bank of China committed to handle most of the financing.

But Democratic Sen Charles Schumer said the project may also be seeking 30 percent funding from economic stimulus grants from the Energy Department - funds he said would be used to buy turbines and other components made in a Chinese plant.

The project is a joint venture between China's Shenyang Power Group, Cielo Wind Power LP of Austin, Texas, and private equity firm US Renewable Energy Group. It would be the largest renewable energy investment made by China in the United States.

Under the agreement, A-Power Energy Generation Systems Ltd of Shenyang would be the exclusive provider of 240 2.5-megawatt wind turbines for the 600-megawatt wind farm, which would produce enough electricity to power 180,000 homes.

In a news release issued when the project was announced on Oct 29, Ed Cunningham, the project's managing partner, said the wind farm would "create new high-paying jobs on both sides of the Pacific".

Cappy McGarr, the group's managing partner, said that in addition to the Chinese financing, the project expected to tap US stimulus money earmarked for development of jobs in the renewable energy industry.

AP