Home » Customer Service » Wind and Renewable Energy Information

Wind and Renewable Energy Information

Have you been approached by a wind developer? If so, here are some important points for you to remember:

You're in charge. This is your land, your resource, and your rights. It’s up to you to stand up for yourself, find good legal consultation and get the best deal.
Don't rush. You and your family will be involved with this developer for a long time. Find out as much as you can about them and verify claims about their project proposal before you sign any agreements.
There are more developers out there. If one is interested in your land, others will be too. If not, you may want to find out why you are being asked to sign a lease agreement.

Nothing in this information is a substitute for legal advice. To fully protect your interests you must consult a qualified attorney not associated with the development company regarding any agreements you are asked to sign.

You have rights! You do not have to sign any agreement you are not comfortable with. You are the landowner and you have the right to ask for personal information from a potential tenant.

Reality Check: Wind energy agreements range from 20-99 years. Developers can assign the lease to other companies who only have the terms of the agreement to go by.

Reality Check: Beware of any terms in the lease or easement agreement that seems excessive: confidentiality terms prohibiting communication with immediate family, easement terms with no limit, grant of rights that is outside the scope of a wind project (i.e. water rights).

Frequently Asked Questions

Why should you care what pre-construction requirements are?

A large wind energy project will construct 30-40 story structures on your land and surrounding areas. There are many different players and many different procedures that need to be completed before a project begins construction. See Windustry’s Project Development Outline for a more detailed look at the steps of development.

Reality Check: There must be roads for large cranes and parts, access to concrete and lumber, local construction workers or lodging and dining for out-of-town workers before construction can even begin!

Why should you care about the developer’s plan?

When you agree to lease your land to a developer, you agree to work with that company for many decades. Make sure your interests and plans for your land are consistent with the terms of the agreement.

Reality Check: some leases prohibit hunting, some affect existing oil and gas leases – make sure your existing uses are not excessively limited or prohibited.

Reality Check: Not every lease agreement will result in a wind project. If you feel your land is merely being held to prevent others from developing on it, work with your lawyer to structure the terms of the lease accordingly.

What is the relationship of my wind resource to transmission lines?

Access to transmission is critical to any wind project and must be part of the planning process. Wind projects are built at good wind resources that have access to transmission, which is not necessarily the best wind resource available. The cost of building transmission lines to remote areas will increase projects costs significantly.

Reality Check: If a developer indicates they are working with another company to build new transmission lines, ask for a letter of commitment, on the letterhead from that transmission construction company.

What are other landowners around you doing?

In some states, landowners are joining together to negotiate wind leases with developers. This also helps them share the cost of a lawyer. If you and your neighbors have a lot of acreage with a good wind resource and access to transmission, a united front can give you a lot of leverage. These types of groups can consist of anywhere between two to one hundred.

How do I find a good lawyer?

A lawyer that is independent of the development company and who you can trust to protect your interests is a good lawyer. However, not all lawyers feel comfortable dealing with wind energy agreements. If your lawyer does not feel comfortable, ask for a referral to someone who works in natural resources law. You may also contact your state bar association and ask for help in finding the appropriate attorney as well.

What makes or breaks a wind project?

To succeed, a wind project needs financing, turbines, permits and interconnection agreements – and those are just a few of the main things! Some companies have the ability to pull it all together and some do not.

Reality Check: It can be a 5 year delay in getting wind turbines – the developer should be able to provide a letter of commitment from the manufacturer

Reality Check: The average cost of constructing a 1.5 MW wind turbine is $2-2.5 million – make sure the developer can obtain financing!

How do I research a wind developer?

The most direct way to get information is to ask the developer themselves. You can also use the Internet, call other developers, and talk to landowners in other projects the developer has completed. Feel free to ask for references from the company – it’s a great way to contact other landowners who were once in your position.

Reality Check: There are a lot of resources for you to research a company and many local libraries will have access to these types of search engines.

What questions should I ask?

The project developer may not be able to answer every question because they may simply not know the answers at this early stage in development. However, you should expect to be able to know the basics of the proposed project: megawatt size, number of turbines, transmission requirements, do they have an interconnection agreement, commitments from turbine manufacturer and construction firms. For a more detailed list, see Windustry’s Questions to Ask a Developer document.

Wind and Renewable Energy Information

Quick Links

Frequently Asked Questions

Related Documents

Related Links