Bill puts price on turbines
Mar 22 - McClatchy-Tribune Regional News - Ethan Wilensky-Lanford
Kennebec Journal, Augusta, Maine
A bill to clarify what wind energy developers should pay communities
that host wind projects received unanimous support in the Utilities and
Energy Committee on Thursday.
Currently, wind energy projects can earn swifter approval from
regulators if a developer provides "significant tangible benefits" to a
community.
This language was too vague, said Pete Didisheim, advocacy director of
the Natural Resources Council of Maine.
In the bill sent out Thursday, developers would pay $4,000 per turbine,
per year to host communities -- in addition to local property taxes --
for future projects.
The money is not earmarked for a specific reasons. And in some
cases, a developer can choose to split the payment between a county and
town, or among several towns.
Communities would still have the option to approve a project without a
benefit agreement, or would be free to negotiate larger payments, the
legislation states.
The bill, L.D. 1504, took shape after weeks of negotiations with
developers, environmentalists, local government representatives and
others.
Developers say they like the bill because it will give them more
certainty when planning a project.
"It's hard to budget around an unclear requirement," said Dave Wilby, of
First Wind, which has built wind farms in Mars Hill and Stetson
Mountain, among others. "Now we at least know what the baseline is, so
it eliminates one piece of uncertainty in the development process."
This new benefit standard would not apply to existing projects. But, at
$4,000, the new standard is similar to what wind developers have already
agreed to pay several communities for either operating or pending
projects.
TransCanada, which is about halfway through building its 44-turbine wind
project in Kibby and Skinner townships, has agreed to give the nearby
town of Eustis $1,000 per megawatt of energy produced per year for as
long as its turbines turn.
If an expansion of the Kibby project is approved, as town officials
hope, this could total $150,000 of new annual revenue for at least the
next 20 years.
"All of that money is going to go to offset the tax that we have to
raise in the community," said Eustis First Selectman Jay Wyman. The
owner of a home assessed at $100,000 can expect to save $150 a year, he
added.
Washington County has used the $3.747 million it expects to receive each
year in sheltered property tax revenue from the Stetson wind project to
contract with an economic development group, Sunrise County Economic
Council, which will administer loans and grants to promote and improve
nature-based tourism, transportation infrastructure and other projects
in the county's unorganized territories.
"Investment spurs job creation," said Harold Clossey, the council's
executive director.
Not everybody is happy about the new standards, however.
Chris O'Neil, who represents the group in Maine called Friends of Maine
Mountains, said the bill is an acknowledgment that wind energy projects
have a negative impact. Individual communities do not incur increased
costs from wind projects, he said, but what he sees as an eyesore
affects the whole state.
"We're still not considering the cumulative impact to the state of
Maine," he said.
(c) 2010,
McClatchy-Tribune Information Services
|