Articles filed under Impact on Economy from New York
Scola is concerned about state and federal regulations. But his big concern is the prospect of hundreds, and perhaps even thousands, of giant wind turbines spread out in the New York Bight, an area along the Atlantic Coast that extends from southern New Jersey to Montauk Point. It’s one of the most productive fishing grounds on the Eastern Seaboard.
The combination of a federal push for big industrial wind projects, the New York State mandates for 50 percent renewables by 2030 and tax incentives, tax subsidies and other financial carrots have created a strong corporate drive for industrial wind projects all over rural New York.
Because Henderson wouldn’t receive any tax benefits from the wind project, its impact would be largely negative — especially for the value of waterfront properties. The analysis of property values in Henderson was based on a review of the impacts of the Wolfe Island Wind Farm on properties in Jefferson County, ...Based on the sale of 26 properties in Jefferson County with a view of the turbines on Wolfe Island, the analysis found that the value of the properties depreciated by about 15 percent after the wind farm became operational in 2009.
The project was technically feasible, but the energy output from the turbines — 120 to 500 megawatts — would have cost two to four times more than land-based wind, according to a NYPA news release. The NYPA said annual subsidies of between $60 million and $100 million would result in high costs to the New York Power Authority. Great Lakes Wind Truth and NA-PAW were outspoken against the GLOW project, with hundreds of residents in the town of Greece, N.Y., signing a petition against it.
"It's too ambitious by 2030 to replace all the state's power with renewables," Angus McCrone, a senior analyst at Bloomberg New Energy Finance in London, said today. The projections, he said, look "unrealistic" for individual technologies. ...offshore wind turbines would cover an area of about 4,903 square miles, and onshore machines would cover a further 1,000 square miles.
What would happen if your home lost 40 percent or more of its value? This is the agonizing reality for residents and property owners in Chipmonk, Knapp Creek, the Four Mile and the Birch Run. ...Recently, the assessment rolls in Wolfe Island (on the St. Lawrence Seaway) were reduced by $3 million dollars because homes in close proximity to turbines lost value.
It was pretty clear all along that building a wind farm in the waters of Lake Erie or Lake Ontario would be way too expensive. What we didn't know until last week was that it wouldn't just be way too expensive: It would have been a boondoggle of epic proportions.
Townsend said the authority might be "spread too thin" financially to sign an expensive agreement. That's especially true, he said, if the authority finalizes a costly purchase agreement to support construction of a huge transmission line under the Hudson River to carry power to New York City.
Jefferson County taxpayers could be left paying town and school district taxes for a wind farm if the developer fails to pay the project taxes, warns Paul J. Warneck, Jefferson County director of real property services. County officials are worried that taxpayers will have limited recourse if a wind farm leasing land for its turbines does not make its tax or payment-in-lieu-of-taxes payments.
Members of the Orleans wind economics committee voiced a range of views on what the effects of a wind farm would be on property values in the town. Members of the committee, which met Wednesday night, are working on a report that will outline the economic effects for the school districts, participants and town and the effect of turbines in the viewshed on property values.
You may need to brace yourself for thicker sweaters and thinner wallets next year, as Rochester Gas & Electric and New York State Electric and Gas are seeking sizable rate increases. If approved by the state Public Service Commission, the higher rates could go into effect by August 2010 and raise the average bills of households served by the utilities by roughly $400 to $450 a year. ...The PSC has an 11-month deadline for ruling on the request. No dates have been set for hearings.
STIMULUS: Tax credits, direct aid offered to renewable developers
The Cattaraugus County Legislature will be represented on a panel that will work with town and school delegates to set up a tax-exemption policy for the Cattaraugus County Industrial Development Agency’s wind farm projects. A blanket state tax exemption for wind farms and other alternative energy systems was lifted in the county by the Legislature in 2008 following a lengthy debate.
The Naples School Board voted last week to accept an agreement with First Wind that would give the district higher payments on any windmills the company may build within the district boundaries. ...At this point, Macaluso said First Wind has put the project on hold because of finance troubles.
How many people work inside an industrial wind turbine? How long do the construction jobs last post-project? This is industrialization of a vast area of land without many sustainable local jobs. Wind energy development on such a large scale will certainly seal the fate for the area. It is a life sentence which defines the land use for decades.
New York State Electric & Gas Corp., acquired last fall by a large Spanish utility, wants to increase rates and plans to reduce capital spending this year as it faces serious financial issues. ...It is unclear how any rate increase sought by NYSEG would be impacted by the $275 million that the PSC has ordered Iberdrola to return to upstate customers as a condition of the merger.
The instability of the financial markets had caused Noble Environmental Power to "scale back its development plans for 2009" and "(cut) back its workforce." Immediately, construction of a 14-turbine windpark planned for the town of Bellmont will be suspended until July or August of 2009, Bellmont Town Supervisor Bruce Russell said Friday. ...To date, the company has laid foundation for the town's 14 turbines and installed wiring, he said.
The financial boon from the Maple Ridge Wind Farm in Lewis County is undeniable. ...the Maple Ridge Wind Farm fell within an Empire Zone, which allows businesses within the zone to be reimbursed for their property taxes and make the projects more affordable to developers. The reimbursement enabled the several local governments to receive tax benefits and payments higher than might be expected. But wind farm supporters in Jefferson County will be disappointed if they expect to see similar benefits to their municipalities and school districts. The proposed projects are not in any Empire Zone now.
The City Council Monday was asked by Assessor Frank E. Krakowski to approve a correction of the adjusted base proportions of the 2008-2009 assessment rolls because of a computer error that did not assign an assessed value to one of the eight new wind turbines off Route 5. ...Krakowski said the computer miscalculation had the effect of inflating the city's taxable value by more than $1 million. ...[First Ward Councilwoman Andrea] Haxton also complained the Steel Winds wind farm project was supposed to lowertaxes for ratepayers in the city. "With the windmills here, it's ridiculous that taxes have to change," Haxton said.
High costs aren't the only problem facing New Yorkers. They also must worry whether the lights will stay on. Recently, the state's power-grid operator predicted looming shortages unless the state builds more power plants over the next decade to meet rising demand. That's no easy feat. With the 2003 expiration of Article X of the Public Service Law, which streamlined the permitting process for building large power plants, it now can take more than five years for a proposed plant to get built. Consequently, few investors are lining up to build the plants New York needs. The Spitzer administration favored an extension of Article X but with a green twist. The law, Spitzer said, must exclude nuclear and coal-fired plants. Such provisions may please environmental groups, but it won't do anything to help add the 2,750 megawatts needed to maintain the reliability of the New York grid by 2017.