Big Wind Faces a Big Setback. The Reasons Might Surprise You.
Enel Energy’s $500M+ wind farm loss teaches us a lesson about energy history, tribal sovereignty, and knowing your audience
Hi everyone,
We’re going to dive right in with a difficult story that I’ve been avoiding for a couple of weeks.
Enel Energy, the $65B multinational energy company that’s focused increasingly on renewables, has just lost a ten year court battle with the Osage Nation in Oklahoma over a wind installation that the tribe says failed to secure the proper subsurface mineral rights before breaking ground to build its wind turbines.
In addition to no longer be able to operate the largest wind project in Oklahoma, which cost the company $287M to build, Enel will be forced to remove the 84 wind turbines that comprise the facility. The removal will cost them $300M 😱
The project was generating 620GWh electricity, supplying enough energy to power 53,000 households, and avoiding an estimated 300,000t of CO2 emissions a year.
I really debated on how to tackle this story, because as a climate first person, it brings up some tough questions about the climate transition:
Who gets to be included in the climate transition?
Who gets to make money from it?
Is it good for everyone because it’s good for the planet?
If its ultimate goal is saving humanity and the planet, does it matter how exactly the sausage gets made?
While the court ruling against Enel is an important win for tribal rights, it’s nonetheless both a blow to, and reminder for, infrastructure builders, many of whom have a history of advantaging themselves at the expense of tribal nations.
That said, the real story is a lot more complex. And as usual, money is as important as culture or identity.
I hope you’ll take the time to listen to and share this week’s episode. The Enel-Osage story raises important questions for anyone involved in the climate transition, and I’d love to hear what you think.
Thank you for you support, and see you next week 👋