Article

Wind-power firm seeks tax break for $259 investment, 16 jobs near Millington

In 2012, the Federal Energy Regulatory Commission approved the company's $2 billion proposal to transmit wind power from the Great Plains to Memphis and the Southeast. That ruling authorized the Houston -based firm to begin negotiating transmission service agreements with potential buyers of the power, including TVA .

A wind-energy company could invest $259 million near Millington and employ 16 people if it gets a tax break on Wednesday from the Economic Development Growth Engine of Memphis & Shelby County.

But Plains and Eastern Clean Line LLC also is considering Tipton County for the spot where it would terminate a 700-mile transmission line from the wind-power fields of the Oklahoma panhandle.

The proposed project entails the company spending $9.6 million on transmission lines in the county, purchasing 208 acres for $1.25 million , building a 30,000-square-foot converter station for $10 million in the Millington annex reserve area and installing converter equipment worth $239 million .

The 700-mile transmission line 150-180 feet tall with a 150-foot right of way would terminate in either Shelby or Tipton county at the new converter station. The station would convert the power from direct current to alternating current for the TVA grid.

Once built, the facility will be able to deliver more than 3,500 megawatts of renewable energy, enough to serve 1 million homes.

The project would create $36.2 million in new tax revenue for Shelby County over the 11 years... more [truncated due to possible copyright]  

A wind-energy company could invest $259 million near Millington and employ 16 people if it gets a tax break on Wednesday from the Economic Development Growth Engine of Memphis & Shelby County.

But Plains and Eastern Clean Line LLC also is considering Tipton County for the spot where it would terminate a 700-mile transmission line from the wind-power fields of the Oklahoma panhandle.

The proposed project entails the company spending $9.6 million on transmission lines in the county, purchasing 208 acres for $1.25 million , building a 30,000-square-foot converter station for $10 million in the Millington annex reserve area and installing converter equipment worth $239 million .

The 700-mile transmission line 150-180 feet tall with a 150-foot right of way would terminate in either Shelby or Tipton county at the new converter station. The station would convert the power from direct current to alternating current for the TVA grid.

Once built, the facility will be able to deliver more than 3,500 megawatts of renewable energy, enough to serve 1 million homes.

The project would create $36.2 million in new tax revenue for Shelby County over the 11 years of the PILOT, the EDGE staff calculates.

The tax break would save the company $24.2 million in taxes over the 11 years.

But the EDGE staff concludes that for every 49 cents sacrificed in tax revenue, local governments would get receive $1 in benefits.

After construction Shelby County will receive an estimated $3.19 million annually for the term of the PILOT and $5.4 million yearly afterward.

The average salary of the new employees will be $56,875 .

If approved by federal regulators, construction is expected to start in 2016 and take two years to complete.

In 2012, the Federal Energy Regulatory Commission approved the company's $2 billion proposal to transmit wind power from the Great Plains to Memphis and the Southeast.

That ruling authorized the Houston -based firm to begin negotiating transmission service agreements with potential buyers of the power, including TVA .

From the Memphis station, the power would be sent onto the TVA grid, which provides wholesale electricity system to the Memphis Light, Gas and Water Division and more than 150 utilities, and possibly transmitted to other customers in the Southeast.


Source: http://www.renewablesbiz.co...

FEB 17 2014
http://www.windaction.org/posts/39815-wind-power-firm-seeks-tax-break-for-259-investment-16-jobs-near-millington
back to top