Pantagraph.com Weather forecast, local radar and more
NewsFriday, October 19, 2007 9:28 PM CDT
Law boosts Woodford wind farms
Advertisement

EUREKA — Wind farm development has a green light in Woodford County after the state passed legislation governing how taxes on the turbines are assessed, which could bring local taxing bodies $5 million in revenue.

Gov. Rod Blagojevich’s partial veto of House Bill 664 — including provisions on wind farm taxation — was overridden last week. The legislation, which took effect immediately, will require wind turbine owners to pay $9,000 per megawatt generated.

“It is perfect,” Woodford County Administrator Greg Jackson said. “It is ideal; $9,000 per megawatt is exactly what we wanted.”

Towers planned for Woodford County would generate 2 megawatts each, bringing in $18,000 each. That amount will decrease slightly annually based on depreciation.

The four wind farms now proposed for Woodford County could bring in $5 million — $3.5 million of which would be directed to school districts, Jackson said.

Woodford County had delayed approval of any wind farms while waiting for the state to set tax assessment rules.

Jackson said $9,000 per megawatt will bring about the same amount of revenue as previously planned assessments.

Five years for evaluation

A sunset clause in the legislation also requires it to be renewed in the year 2012.

“The sunset clause allows us to have five years and evaluate if it is working or not,” Jackson said. “This is brand new for everybody in the state of Illinois and will need to be evaluated.”

Whether that $5 million comes in as added revenue or is offset by reduced taxes on other properties remains to be seen.

Each individual taxing body will have to decide on a tax levy. If levies remain at current levels, taxpayers would see the $5 million offset a portion of their current tax burden.

However, that tactic would not bring in extra revenue. Boards seeking more money will have to increase their levies to take advantage of the new assessment rules.

The county’s first proposed wind farm near Benson will not make its Oct. 27 deadline to obtain building permits, Zoning Administrator John Hamann said.

The Benson Wind Farm — started by Minneapolis-based Navitas and later purchased by Spanish company Iberdrola — was planned to include 79 turbines. Hamann said the company has indicated it plans to increase the proposed height of the towers and will therefore have to reapply for special-use permits.

In addition to the 79-turbine Benson project, Navitas and Iberdrola are partnering on a 50-turbine expansion to the north of the Benson project.

Project near El Paso

The County Board will review another Navitas project near El Paso at its November meeting.

The El Paso project proposes 40 turbines but faces two hurdles: There is no road agreement with township officials, and the El Paso City Council is opposed to any wind farm development within 1.5 miles of its city limits.

Another project by Navitas is in the early stages. The company has sought a permit to place a wind-test tower near Minonk with plans to install a 100-turbine wind farm south and east of Minonk.

Chicago-based Invenergy has proposed a wind farm along the Woodford and McLean county line, but it is being held up by a lawsuit. Only 10 to 15 of the proposed turbines would be in Woodford County.

Video
Most commented stories
Browse online archives
Recent issues:
Reader comments on this story - 21 total

Note: All views and opinions expressed in reader comments are solely those of the individual submitting the comment, and not those of the Pantagraph or its staff.

Dr Science@Psychedelic disco wind farm University for environmental studies Ellsworth Campus wrote on Oct 20, 2007 10:37 PM:

" To:Truth in Advertising Needed? Perhaps they should us online how many KWH ,they are producing. "

Truth in Advertising Needed wrote on Oct 20, 2007 4:38 PM:

" I want wind companies to tell the truth and stop stealing money from the taxpayers with their deceptions. If they promote wind farms based on 100% of their nameplate capacity, I want 100%, not 8%. If they "sell" their product to local governments with figures of income promised based on 100% production, then I want 100%. They know if they told the truth, this whole scam would be shut down in a heartbeat and they would no longer be lining their pockets with government subsidies from the "spin" they are putting on their product which does not live up to their promises. "

Curious wrote on Oct 20, 2007 2:09 PM:

" Not satisfied with 11,000 MW? That's only $99,000 tax revenue. One can only guess how many homes used that much electricity during the month of July. How many MW do you want? "

Dr Science@Psychedelic disco wind farm University for environmental studies Ellsworth Campus wrote on Oct 20, 2007 8:26 AM:

" Blitzkrieg Blogers Deceptive Advertising. wrote on Oct 19, 2007 10:40 PM: Department of Energy Facts wrote on Oct 19, 2007 10:47 PM: Wind is Neither Clean Nor Green wrote on Oct 19, 2007 10:55 PM: To Wendy and ONLY IN AMERICA, wrote on Oct 19, 2007 10:56 PM: They fly in formation, just like geese. "

To Wendy and ONLY IN AMERICA, wrote on Oct 19, 2007 10:56 PM:

" U.S. Department of Energy reports the Electricity Net Generation in Mega Watt hours (MWh) for each windfarm for each month. The number of MWh for Twin Grove for the month of July was not quite 11,500 - not quite 8% of the total generation capacity of phase one of that windfarm. Call me a whiner if you wish, but this is certainly NOT a "better way to produce energy". "

Wind is Neither Clean Nor Green wrote on Oct 19, 2007 10:55 PM:

" Wind energy is not clean. Aside from the obvious visual and noise pollution, as stated in earlier posts, it's advantage is to let the companies stockpile green points to allow them to continue polluting from their other plants. Secondly, not a single home can be powered by wind. The wind is too intermittent - therefore, it requires an equal amount of backup power by traditional sources, a spinning reserve. So, the more wind turbines you build, the more traditional power plants you have to built to back them up. That's how unreliable they are. Additionally, adding this power to the grid complicates and diminishes the steady flow of traditional power, causing major brownouts and blackouts. Most European countries are now putting limits on how much wind energy can be incorporated for this very reason. Wind energy sounds good on the surface, but there is layer after layer of subterfuge and rot underneath the surface. "

Department of Energy Facts wrote on Oct 19, 2007 10:47 PM:

" Here's some of those "made up" figures from the US Department of Energy July 2007 EIA-906/920 Monthly Time Series File. Sources: EIA-906/920 and EIA-860. Ellsworth Wind Farm - 120 1.65 turbines with 198 MW Nameplate Capacity. Electricity Net Generation per Megawatt Hour for July 2007 11,489 Electricity Net Generation per Megawatt Hours equals 7.7% Crescent Ridge was less than 16% for July Mendota Hills was 12% for July. I'm thinking if the Department of Energy wants to make up figures to promote their wind farms, they'd make up some a little more favorable to the wind farms. The numbers don't lie. Wind energy in Illinois is a scam. "

Deceptive Advertising. wrote on Oct 19, 2007 10:40 PM:

" What it costs a utility to provide electricity is the issue here. They have been mandated by the state to purchase renewables, among them wind. Wind is more expensive to incorporate into the grid because there are expensive upgrades to the transmission lines which I believe are unique to adding the wind energy to the mix. The utilities are telling the truth when they say their costs have increased - a big part of that equation is they are being forced to buy wind. They fought it tooth and nail until they secured the lifting of the rate freeze in 1/2007. Now they could care less if they have to buy wind because they are not paying for it. They are passing their costs along to the customers. The transmission line upgrade expenses, ancilliary costs, are not figured into the cost of that free wind. "

Dr Science@Psychedelic disco wind farm University for environmental studies Ellsworth Campus wrote on Oct 19, 2007 7:58 PM:

" I was going to comment but. Wendy said it best! You Go Gurl!!!!! "

To Green Points wrote on Oct 19, 2007 7:03 PM:

" You are close, real close, to a good point. The corporations should be taxed certainly, but they should be taxed based on their pollution output as opposed to taxing something that produces clean energy. Taxing pollution output would give incentive for a company to reduce pollution and pay less tax. Instead we are taxing them for something that produces clean energy. Of course leave it to the backwards people in Woodford County to be for such a thing. "

ToILL WInd wrote on Oct 19, 2007 6:51 PM:

" Illinois does not regulate their electric utilities anymore which allows the electric company to set the market price based on what the demand is not what their costs are. The transmission line upgrade would likely be charged regardless of whether wind power was used or not. CA is a regulated state with a price ceiling set below what the equilibrium point is between supply and demand. Price ceilings are likely to cause shortages rather than letting the market dictate what should be charged. The quickest way to fix the CA energy crisis is to either raise the price ceiling or do away with it altogether. "

Native wrote on Oct 19, 2007 4:57 PM:

" I was going to comment but. Green Points said it best! "

To Green Points wrote on Oct 19, 2007 10:56 AM:

" Well said. This is another example of how the developers suckered the locals. "

ONLY IN AMERICA- wrote on Oct 19, 2007 10:35 AM:

" WHINER ALERT..... People complain about engery usage and then when people find better ways to produce energy people whine and cry. Get over it !! THE DUMBING OF AMERICA CONTINUES DAILY- "

Green Points wrote on Oct 19, 2007 10:21 AM:

" I don't think that taxing these things based on production is a good idea. From what I hear, the reason they build and sell these turbines is for "green points" For every so many turbines these huge corporations buy they get "green points". These corporations use the green points to offset their polluting plants, therefore get to keep them running. If they buy these turbins then just let them coast and not produce the megawatts they say they can produce, then its that much less tax they give to the county. I say we put a fair market value on them....and none of this personal property crap. These things a fixtures from the word go. It's not like your going to hook on to them with a trailer hitch and be gone. If they cost a million each then the assessed value would be 333,333 times the tax rate of say 7.25% equals $24,166 a year. Then we don't care if they produce enough electricity to power a night lite. "

Re: To: Ill Wind Blows wrote on Oct 19, 2007 10:16 AM:

" You conveniently want to exclude nuclear from the analysis to suit your bias. That's really objective of you. Furthermore wind power is not an alternative to your "limited fuel" a/k/a petroleum. Nice try. "

To: Ill Wind Blows wrote on Oct 19, 2007 9:44 AM:

" You sound like quite the expert on wind energy. However, let me suggest that the new transmission lines are an investment. Wind energy is really a wonderful idea. We have limited fuel, what other viable solutions are there besides the nastiness of nuclear? Personally, I think nuclear is the wolf. "

To Wendy wrote on Oct 19, 2007 9:08 AM:

" And your post is full of documented facts? "

Wendy wrote on Oct 19, 2007 9:02 AM:

" Sounds like we'll have strong wind gusts of whining by the anti-wind zealots today. Notice the strong winds today? Where did you come up with the phony 8% of capacity figure...those turbines have been turning constantly. Shut off your lights, computer, air conditioning and move to a 3rd world country...that's the agenda of the anti-wind crowd. To: An Ill Wind blows.....that wind must have kept you up last night writing at 2:16 am...hahaha...Luckily you had cut/paste capability from your favorite anti-wind websight and enough wind power to run your computer. "

Hilldweller wrote on Oct 19, 2007 7:45 AM:

" Can somebody put this in perspective for me? Numbers don't mean much unless there is something to compare them to. Is this based on MW of capacity or MWs produced? That's pretty critical. Will the wind developers be asking for a tax abatement right away? Will the depreciation they talk about mirror the federal taxation depreciation or will they use book depreciation? That's also critical and may explain the "sunset" rule. The Federal taxation laws allow them to fully depreciated in 6-7 years. Book depreciation, however, should be tied to the expected income stream of the asset. If we find out people can't live around them we won't need the money for schools. Will the tax revenue be placed in reserve to help landowners with decommissioning? Or should we prepare to fund relocation of the current residents? "

An Ill Wind Blows wrote on Oct 19, 2007 2:16 AM:

" July figures for Ellsworth show it operating at less than 8% capacity. Folks being squeezed hard on their utility bills can blame wind for the increased cost to upgrade the transmission lines. Wind energy is a scam - the only dependable thing wind turbines produce is tax credits and incentives for overseas investors. General Electric's own testimony on Capital Hill clearly states that only government incentives make wind energy viable. Europe's massive power outages this summer - too much wind power dumped onto their system. California's energy crisis - manipulation of markets by all the ex-Enron employees. Past President of Navitas, Greg Jaunich - under federal indictment for 41 counts of cheating power company by overstating the output of his wind project there. Invenergy employee Chris Loehr avoided prosecution in Enron debacle by testifying against his fellow employees. Wind development is a wolf in sheep's clothing. Woodford County should not be opening the door to this. "

Add your own comments

Please read the rules before posting comments.

You must be logged in to leave comments.
If you don't have a member ID, please register.

*Member ID:
*Password:
Remember login?
(requires cookies)
  Forgot Your Password?