Guest Opinion: OPEC of wind power??

Wednesday, May 12, 2010

By Jim Whalen

Major efforts are underway to harness Wyoming’s wind resources, transforming an eternal nuisance into a major renewable energy resource.

According to the American Wind Energy Association, there are 777 wind towers in Wyoming, with another 207 under construction. Some estimates predict that there may eventually be as many as 10,000 towers in the state. With a footprint of roughly 60 acres per tower and 400 feet tall, that means many Wyoming landscapes will change forever, not to mention impacts on public access and hunting.

Wyoming needs to be careful about how this energy development takes place. Without good planning, residents may be left with little more than a permanent view of blades spinning on our horizons and transmission cables stretching across our prairies. Governor Freudenthal hit the nail on the head when he recently said of wind farms, “I appreciate the fact that people can say it has great environmental benefits, but that’s people who don’t live next to them, or whose wildlife habitat isn’t being disrupted, or the bird population isn’t being affected, or whose view isn’t being altered.”

Besides visual impacts, what will the residents of Wyoming get from of all these wind towers? The short answer is only a fraction of the power they produce and not much in the way of jobs or tax revenue. About 90 percent of Wyoming’s wind power will be exported to our neighbors. And, unlike our experience with coal, oil and gas, after initial construction, the wind-related labor force is very small and the taxes paid are miniscule.

Fortunately, state officials recognize that Wyoming citizens should appropriately benefit from our energy resources. I commend the Governor and Wyoming Legislature for their good work on creating several new laws aimed at getting out in front of the expansion of wind energy development.

The wind energy tax (HB-101) passed, after it was lowered from $3 per megawatt-hour (MWH) down to $1 starting in 2012. Using existing production rates, the tax would generate approximately $3.8 million annually if it were imposed today, but it has the potential to increase significantly as wind energy expands. Sixty percent of the tax revenues will be distributed to the county where the electricity is generated and the remaining 40 percent to the state’s general fund.

With planning, Wyoming could become the “OPEC” of wind, generating significant revenues for landowners, counties and the state. At the same time, wind development which respects the scenic and natural beauty of Wyoming should be rewarded with tax incentives and expedited review. JHW
This opinion originally appeared on Wyofile.com.


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