An independent study commissioned by the Long Island Power Authority pegged the estimated costs for a proposed offshore wind farm at $811 million, more than four times what the project was slated to cost when it was proposed in 2003.

The study, prepared by Pace Global Energy Services, evaluated the project's construction and maintenance costs of the wind farm, a transmission cable and a land-based substation.

LIPA requested the study from Pace after FPL Energy pegged costs at $697 million at the end of 2006, an estimation that did not include a cable or substation. The price of the wind farm, which would be constructed off the Island's south shore near Jones Beach, was reportedly $200 million when proposed.

In a statement, LIPA chief executive Richard Kessel, a staunch advocate for the venture, said, "Obviously, there is a premium for building an offshore wind project when compared to conventional energy projects. Long Island must decide where it wants to go with its energy future."

Pace's study determined the "green premium" for wind-powered electricity over natural gas-powered plants, which LIPA primarily uses. A megawatt-hour of electricity from a natural gas-powered plant costs $137, while the wind farm could produce electricity at a rate of $291 per megawatt-hour, according to the study.

Despite the high estimate, the study found costs to be in line with other projects in North America.

The study was released one day after LIPA Chairman Kevin Law withdrew his support for the project.

The fate of the wind farm and its alternatives will be discussed at LIPA's board meeting on Sept. 25.

Click here to read the study on LIPA's windfarm

Related Information:LIPAchairman pulls support for wind farmSenatorscall on LIPA to pull plug on wind farmFPLto LIPA: Wind farm will cost double