American Electric Power (NYSE: AEP) has issued two requests for proposals (RFPs) seeking long-term wind energy purchase agreements, the first steps toward a goal of adding 1,000 megawatts of new wind energy by 2011.

The RFPs are initially for up to 260 megawatts of wind energy for AEP's Appalachian Power utility unit and up to 100 megawatts of wind energy for AEP's Indiana Michigan Power utility unit.

The deadline for bids is April 30, with delivery to begin the end of 2008, the current expiration of the Federal Production Tax Credit for wind.

The purchases, if approved by regulators, will mark AEP's first commercial use of wind energy in its seven eastern states, with Indiana, Michigan, Virginia and West Virginia sites to be among those considered for the wind farms.

AEP currently owns two wind farms in Texas with a total capacity of 310 megawatts and has long-term contracts to purchase 467 megawatts of output from wind farms in Oklahoma and Texas owned by third parties.

Much of the 1,000 megawatts of wind energy AEP plans to add by 2011 is to serve customers in AEP's eastern states.

In addition to carbon capture and wind plans, components of AEP's climate strategy include domestic greenhouse gas offsets through agriculture, forestry and other projects; power plant efficiency improvements; and demand-side end-use energy efficiency programs to be developed with state regulators.

"Wind generation can play a role in helping the U.S. meet climate targets," said Michael G. Morris, AEP's chairman, president and CEO.

"For wind to reach its maximum potential, Congress must first address a long-term extension of the Federal Production Tax Credit for wind generation. The short-term nature of the current production tax credit program and the constant uncertainty about extension serve as financial disincentives to investment by wind turbine manufacturers and wind developers and act to increase the cost of wind energy."

American Electric Power is one of the largest electric utilities in the U.S., delivering electricity to more than 5 million customers in 11 states. AEP also owns the nation's largest electricity transmission system, a nearly 39,000-mile network that includes more 765 kilovolt extra-high voltage transmission lines than all other U.S. transmission systems combined.