Info on Wind Turbine Leases

radman1 · Jan 14, 2011

Have been contacted by company wanting to erect about 80, 2 megawatt turbines in our area. Towers would run in 2 lines about 3 miles apart, with about 40 towers each. Many irrigation pivots and the towers would be placed at the corners of the pivots to miss the circling pivots, roughly every 1/4 of a mile. About 4-5 turbines at this time being considered on my property. The road and towers would be placed in the middle of a section and no houses along the path except the home place and then the closest tower would still be 1/2 mile away. Estimated lease would be 8-10K/tower/year and probably a % of the revenue. The biggest downside I feel are the roads that would run through the property to the towers. Any place to find more info? Any windmill lawyers out there? It is still early, but they have been conducting wind tests for the past year and are nearly completed.

forgeblast · Jan 14, 2011

If there is one thing i have learned from the gas lease rush is get a lawyer. Get one who knows something about what your are going to do. Also waiting is not a bad thing it may push your % up. Good luck

Ken45101 · Jan 15, 2011

I would also suggest that you pay close attention to what happens if they close down. What if they tear up the property and then leave? T. Boone Pickens, who was such a major force in this boondoggle a few years ago is now pulling out and trying to sell his hardware to Canada.

Ken

dsb5610 · Jan 15, 2011

We were contacted a while back by a representative from a Land Management firm on behalf of the wind farm company. I did some research online but did not find much. The rep would travel from land owner to land owner and disuss it individually. That created some confusion so some of the locals organized a meet and greet so everyone could have an opportunity to hear the same proposal and ask questions. As I recall the revenue for each tower site in this farm was projected to be a little over $6k annually which was based upon a percentage of the total farm output. I was not that concerned about the maintenance road since I could eventually re-use the gravel. My concern was the 32'x32', 8' deep concrete structure in the field. I was assured that at end of life we would be given the option of leaving the concrete structure as is or they would chisel it down 4', haul away the debris then cover the remaining portion.

dsb

Ken45101 · Jan 15, 2011

dsb5610 said:
I was assured that at end of life we would be given the option of leaving the concrete structure as is or they would chisel it down 4', haul away the debris then cover the remaining portion.

Were they going to post a bond for those costs? What if the project flopped and they went bankrupt? Even if they eventually (a big "if") work things out, you could have all that sitting there and no income for years and years while it's worked out in court.

Just saying...

Ken

dsb5610 · Jan 15, 2011

Ken,

You echo some of the concerns I had. There was no bond that I am aware of.

I did not sign a contract for various reasons however some of my friends and neighbors did.

dsb

Pirate · Jan 15, 2011

Noise. How far from your house? I listened to a show once and all I heard were complaints from people on how noisy they were. I haven't heard one but they described it as a deep thump, kind of like when punks are driving a mile away and you can still hear the deep base blasting from their cars.

radman1 · Jan 15, 2011

The closest tower would be 1/4 to 1/2 mile away from my parents house. I have read about a low frequency hum and the woosh sound of the blades. It so windy here most of the time, I don't know if I could hear them. :laughing: They are willing to take us to a large wind farm a few hours away. Removal of the road and take down of the tower seems to be a major cost at the end of these projects. The base of the tower is about fifty feet with cement base. We are told we can farm near to the base of the tower and under the blades. The roads are for initial construction and subsequent maintenance. I read the roads are well maintained because they are used frequently. It is estimated the project will employ 15-20 full time workers for maintenance and to monitor the operation.

No contract yet, but the project crosses several properties and most people at this time are in favor but cautious. One farmer currently has 10 or so turbines estimated for his land. Most wind farms have many towers together in 1 confined area. This one is strung out in 2 lines that are about 8 miles long for each line. The lines run 1.5 miles away but parallel to an existing high voltage transmission line. It is estimated, one, 2 megawatt tower can supply 65,000 homes. The project is in a rural part of nebraska. The guy pushing this project grew up in the area and has spent many years in the wind turbine industry. Thus the connection to our area and maybe a little more trust in the project. Nebraska electric ultilities are publicly owned. Wind turbine companies need to sell their power either locally or out of state. Nebraska law until just recently prohibited the sell of power out of state. Since the change in the law, wind power development is really changing in our state. Multiple projects are being considered. The amount of time just to attempt these projects are immense. Wind studies for 1 year, EPA studies, bird kill studies and migration effect, air ports and flight paths, contracts with several land owners, $$ paid by company into local county roads for the project (new bridges if needed, widening roads, ect)

pappy19 · Jan 15, 2011

I work for a land management company that does all manner of oil&gas, wind power and pipeline rights of way. For sure you need to contact an EXPERIENCD attorney, not just any lawyer will do. Next, the county you live in should be requiring extensive bonding requirements, not just the individual. The bonds should cover not only private landowners but county roads, law enforcement, taxation, etc. From the landowner perspective there are about as many negatives associated with wind power projects as there are positive; in this case it's all about money. If it's money you are after then hold out for the most and get together with your adjacent neighbors to form a block. If money is not your main objective then I would tell them to forget it as your beautiful landscape will be ruined forever and the PITA to work your property around all of the company activity and ending construction isn't worth the money you will receive. Noise from the wind towers will drive you nuts after a while and they will never go away. I may buy leases for a living, but I would never agree to any amount of money if it was a wind farm on my own property.