North Carolina developer emerges as supervisors discuss possible regulations
WASHINGTON — A work session on proposed county ordinances regulating wind energy took a turn Tuesday morning, when a company representative confirmed Duke Energy’s very tentative plans to develop turbines in the area. The Fortune 150 business headquartered in Charlotte, North Carolina, describes itself as “one of America’s largest energy holding companies.”
Eric Briones, the owner of energy consultant firm Sustainable Power Partners, spoke on behalf of the prospective developer. He said the goal, for now, was to suss things out in Washington County.
“When we’re interested in developing a utility-scale wind power project, one of the very first things we do is reach out to the leadership, the county leadership, and see if it’s something that there’s an appetite for, or if it is not something that’s welcome in the county,” Briones said. “We don’t have any leases in the county, we haven’t begun reaching out to land owners. It is a prospective idea.”
The company has worked in Iowa before, building the 207-Megawatt Ledyard Windpower project in Kossuth County through one of its brands: Duke Energy Sustainable Solutions. The corporation said in a news release that the facility went online in January, 2023.
Briones said that project took roughly six years of planning and work on his part, and promised that any potential development in Washington County wouldn’t happen overnight either.
“It will take many years to come together,” he said. “We worked with Kossuth County when they were considering a wind ordinance … that was a long and thorough process, we held a lot of open houses, provided a lot of feedback, provided a lot of the studies that the county was requesting.”
While he offered no guesses on the size of a potential turbine array, Briones said the company estimated enough local transmission capacity for a roughly 200 MW project, enough to power “thousands of homes.” He said a single turbine could generate between 2 MW and 4 MW, depending on its size.
County historically divided on wind energy
Empirically, the renewable resource is a touchy subject for the people of Washington County.
Supervisors spent months discussing two ordinances on the matter in 2021. The first would have governed property assessments for land with wind turbines, while the latter dealt with rules for the turbines’ operations. Both were prompted by development plans from a company called Invenergy.
By March of that year, the board planned to vote on the first ordinance, but pushed the decision back as members signaled opinions amounting to a 2-2 split. The delay was meant to allow District three Supervisor Marcus Fedler’s swearing-in, fresh from the special election that put him in office, to break the tie.
But 30 minutes before that vote was scheduled the following week, Invenergy called then Board Chair Richard Young, telling him they were backing out of the county with no explanation. The announcement led to the proposed ordinances’ indefinite tabling.
The board’s makeup has not changed since that late-winter day in 2021. Supervisors Jack Seward Jr. and Bob Yoder both argued against the ordinance at that time, while Supervisors Stan Stoops and Young were in favor of it. Fedler never had a chance to publicly take a side, and in fact voted against tabling the issue, saying, “I would've like to have talked about it and vote on it.”
Based on comments made in Tuesday’s meeting, mixed feelings on wind power have hardly gone away in the intervening years.
Seward said he was skeptical of tax breaks sometimes afforded to renewable energy projects.
“Mid-American Energy didn’t put a dime in, they were doing it on the backs of the taxpayers,” he said, referring to tax rebates for that company’s push to install wind energy in the state. “That’s always had a bad, bad taste in my mouth. I don’t know what the situation is going to be here with your subsidies or your tax breaks or whatever it is, but I am not convinced that wind power is a net positive for everybody.”
Fedler said he didn’t “prefer them,” but believed turbine installation should be up to property owners, adding, “That’s for them to answer, not for this board.”
Still, Brione encouraged the board to consider potential upsides.
“If you develop these projects responsibly, if you develop them with the community, with the land owners, they can be a net-positive,” he said. “They can add additional revenue to century-old farms.”
Item on the agenda, with more to come
Briones said he hoped to work with Washington County’s decision-makers, but that the coming talks on ordinance specifics would be decisive factors for a potential Duke Energy wind farm.
“This potential project, to sell energy from the power plant, will be competing with all other projects in the area,” he said. “The counties that have incentives for these types of power plants … will be able to sell electricity at a more competitive rate, putting those projects at a better cost to providers, a better cost to utilities, a better cost to their customers.”
Supervisors said they would start discussions on wind turbine rules as early as their regular meeting next week. After that, the county could begin the series of public hearings needed to change its code.
Seward suggested breaking the changes down into two parts to vote on separately, as the county had planned to do in 2021. The first would deal with tax valuations for land with wind turbines. The second would deal with the construction and operation of the windmills themselves.
“I fully agree that we need to do something, but I would suggest that the very first thing we do is to look at this, basically, two-page ordinance regarding setting the assessment,” he said. “That’s the very first step, and I think it’s the easiest one to do.”
Thanks to a change in 2022, Iowa state law allows counties to enact tax assessment rules specific to “wind energy conversion property,” based on the generators’ “net acquisition cost,” essentially the total cost to bring a windmill online.
If counties do so, the assessment value depends on how long a turbine stays in operation. The line starts at 0% of net acquisition cost for the first year, an annual increase of 5% after that, and caps at a maximum of 30% after the seventh year.
Alternatively, the county could opt not to give wind energy a separate assessment process. In that case, the assessment value would come down to a handful of other state code sections governing property taxes for energy generation sites.
While the assessment amounts are already set by state code, the law does not stop local governments from setting their own rules about reporting requirements. Washington County’s proposed 2021 ordinance would have required wind energy companies to provide their operations’ asset ledger sheets, contact information, engineering breakdowns and other information to the local government every year.
Big questions focus on small details
The various supervisors expressed different opinions on what a wind energy operation ordinance should — or shouldn’t — entail.
The version proposed in 2021 spelled out nine pages of requirements for wind farms, on everything from construction precautions to permit approvals to the minimum distance from public parks.
Many of those concerns remain top-of-mind for members of Washington County’s decision-making body. Supervisors said they wanted to see precautions against interference with emergency management communications.
"Even if it’s just the blade cutting through that microwave path, it would degrade it,“ Seward said. ”This is why we want to make sure that we take into consideration where you plan on putting it … that’s got to be one of the requirements that we have.“
Fedler pitched a handful of ideas about dispute resolution and neighbors’ input on wind-powered generators. He said the right policy would balance the property rights of land owners with the concerns of neighbors before construction begins.
“If the farmer or landowner or whatever case wants to go into a contract with wind energy, they ought to be able to do it,” he said. “But their neighbors have to have a say in that, I believe. Just like putting up a hog confinement or something else.”
The above are just a few examples of the concerns mentioned at Tuesday’s work session. Yoder brought up concerns with disposal of the turbines after their decommissioning, while Young said the county needed to spell out setback requirements. Supervisors also discussed precautions to protect county roads from the oversized construction materials, and rules to prevent flickering shadows on nearby residences.
A 2021 ordinance draft contains plenty of other food for thought, spelling out rules for the color and finish of turbines, the required amount of signage and lighting, and acceptable sizes for the generators.
Briones said the energy company was used to working with such rules.
“You all raise some very good questions, make some very good points during y’all’s conversation, and I would like to provide some more insight, some more answers,” he said. “Duke Energy would take on a lot of those issues for decommissioning … we do microwaving path communication tower studies to make sure there is no interference.”
Supervisors said they planned to tread carefully.
While Duke Energy reports positive reception from its project in Kossuth County, Seward said the electoral stakes were high in Southeast Iowa.
“Iowa County had gone through quite a controversy, and their Board of Supervisors suffered some losses in elections because of the decisions they made that were not popular with regular people,” he said, referring to debates in Washington’s neighbor to the northwest. “We’ve got that to look at also.”
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