T. Boone Pickens Talks About One of America's Greatest Renewable Resources

T. Boone Pickens talks about America's "Saudi Arabia of Wind Energy."

Jun 24, 2014 at 9:00AM

America's midwest corridor has been called the "Saudi Arabia of Wind," and energy legend T. Boone Pickens has invested heavily in wind energy.

In the short video below, Pickens tells Motley Fool contributor Jason Hall about the economics of wind energy, and how renewables fit with traditional energy from gas, nuclear, and coal. Check out the video, or the transcript below.

Warren Buffett bought nearly 9 million shares of this company
T. Boone Pickens isn't the only super-investor with his eyes on the American Energy Boom. Warren Buffett is so confident in this company's can't-live-without-it business model, he just loaded up on 8.8 million shares. An exclusive Motley Fool report details this company that already has over 50% market share. Just click HERE to discover more about this industry-leading stock.

Hall: Let's shift gears and talk a little bit about wind energy. You and I spoke earlier about how Berkshire Hathaway's MidAmerican Energy has invested a tremendous amount over the past couple of years, in adding to their wind.

You were really an early proponent of wind energy in the United States. Do you want to share a little bit more about your vision for wind, and how you see that continuing to play out?

Pickens: Wind will work. But it's priced off the margin, the power generated from wind turbines. The margin is natural gas. Natural gas at $6, you can do wind. But natural gas at $4, it's very, very hard to do. You're going to have to then subsidize to make it happen. If you want to do that, so be it.

The Germans have more coverage of wind turbines, and their country has more, than any other country. Why? Because it's a national security issue with them. We don't have that same issue. They subsidize to get wind power because they don't want to be so dependent on Russia for natural gas. They have a history with Russia that goes back to World War II. They just don't trust the Russians, so they pay, subsidize, and have wind energy.

Does it work? Of course it works. But it's expensive. Here, we do not have the same dynamics.

Hall: Because of the resources that we have.

Pickens: We've got the best wind in the world, from Sweetwater, Texas to the Canadian border. That corridor, you can put all the wind in there you want to put in there.

Hall: I've heard it referred to as the "Saudi Arabia of wind energy" before.

Pickens: Yes, that's exactly what you have. It's a huge resource, and you can't wear it out. It's there continually, it doesn't decline. But we also know the wind doesn't blow every day, so for power generation you have to baseload with either coal, natural gas, or nuclear.

All of that works, and we should use all of our resources in America.

Hall: Right. 

Warren Buffett bought nearly 9 million shares of this company
T. Boone Pickens isn't the only super-investor with his eyes on the American Energy Boom. Warren Buffett is so confident in this company's can't-live-without-it business model, he just loaded up on 8.8 million shares. An exclusive Motley Fool report details this company that already has over 50% market share. Just click HERE to discover more about this industry-leading stock.

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

1 Key Step to Get Rich

Our mission at The Motley Fool is to help the world invest better. Whether that’s helping people overcome their fear of stocks all the way to offering clear and successful guidance on complicated-sounding options trades, we can help.

Feb 1, 2016 at 4:54PM

To be perfectly clear, this is not a get-rich action that my Foolish colleagues and I came up with. But we wouldn't argue with the approach.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich" rated The Motley Fool as the #1 place online to get smarter about investing.

"The Motley Fool aims to build a strong investment community, which it does by providing a variety of resources: the website, books, a newspaper column, a radio [show], and [newsletters]," wrote (the clearly insightful and talented) money reporter Kathleen Elkins. "This site has something for every type of investor, from basic lessons for beginners to investing commentary on mutual funds, stock sectors, and value for the more advanced."

Our mission at The Motley Fool is to help the world invest better, so it's nice to receive that kind of recognition. It lets us know we're doing our job.

Whether that's helping the entirely uninitiated overcome their fear of stocks all the way to offering clear and successful guidance on complicated-sounding options trades, we want to provide our readers with a boost to the next step on their journey to financial independence.

Articles and beyond

As Business Insider wrote, there are a number of resources available from the Fool for investors of all levels and styles.

In addition to the dozens of free articles we publish every day on our website, I want to highlight two must-see spots in your tour of fool.com.

For the beginning investor

Investing can seem like a Big Deal to those who have yet to buy their first stock. Many investment professionals try to infuse the conversation with jargon in order to deter individual investors from tackling it on their own (and to justify their often sky-high fees).

But the individual investor can beat the market. The real secret to investing is that it doesn't take tons of money, endless hours, or super-secret formulas that only experts possess.

That's why we created a best-selling guide that walks investors-to-be through everything they need to know to get started. And because we're so dedicated to our mission, we've made that available for free.

If you're just starting out (or want to help out someone who is), go to www.fool.com/beginners, drop in your email address, and you'll be able to instantly access the quick-read guide ... for free.

For the listener

Whether it's on the stationary exercise bike or during my daily commute, I spend a lot of time going nowhere. But I've found a way to make that time benefit me.

The Motley Fool offers five podcasts that I refer to as "binge-worthy financial information."

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. It's also featured on several dozen radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable ... and I don't say that simply because the hosts all sit within a Nerf-gun shot of my desk. Rule Breaker Investing and Answers contain timeless advice, so you might want to go back to the beginning with those. The other three take their cues from the market, so you'll want to listen to the most recent first. All are available at www.fool.com/podcasts.

But wait, there's more

The book and the podcasts – both free ... both awesome – also come with an ongoing benefit. If you download the book, or if you enter your email address in the magical box at the podcasts page, you'll get ongoing market coverage sent straight to your inbox.

Investor Insights is valuable and enjoyable coverage of everything from macroeconomic events to investing strategies to our analyst's travels around the world to find the next big thing. Also free.

Get the book. Listen to a podcast. Sign up for Investor Insights. I'm not saying that any of those things will make you rich ... but Business Insider seems to think so.


Compare Brokers