County gets a look from wind energy developers

Three groups of developers are taking a look at Marshall County as a possible site for a wind farm, according to Marysville Mayor Bernie Krug.

Krug said the interest was only in the initial exploration phase and developers' names would not be released until they express interest in pursuing a project.

"If we can become a net seller of energy and use some of the energy generated by wind farms in the county, I think quite possibly the whole county could benefit," Krug said.

Two of the developers are doing feasibility studies and another has expressed interest in a study, he said.

Committee explores

Krug is part of a wind energy committee formed by area residents who want to encourage development of renewable power in the county.

Members include Mark Allerheiligen, Carol Wright, Vicki Hopp, City Administrator Rick Shain, Annie Shain, County Economic Development Director George McCune, Marshall County Community Development Director Juanita McCune, Frank Popejoy and Julie Popejoy.

Krug recently toured the state's largest wind farm to date, the Smoky Hills Wind Farm, which operates on farms and ranchland in Ellsworth and Lincoln counties. The electricity generated at the site is purchased by Sunflower Electric Power Corp., a Hays-based generation and transmission cooperative; Midwest Energy, a Hays-based electric cooperative; and Kansas City's Board of Public Utilities.

"Anybody who drives down I-70 about 25 miles west of Salina will see that's quite a project," Krug said. "I think it's a very clean source of energy and very beneficial to everyone involved."

As for developers exploring Marshall County, any potential action would be two to three years away, he said.

The committee is hearing some local interest. About five or six landowners have asked about the possibility of having wind turbines on their land.

Statewide surge

At workshops across the state this year, Kansas Farm Bureau's legal counsel has urged landowners to carefully review any proposals made by developers or "lease hounds," who seek to obtain a land lease and then resell it to a developer.

Wind farms across the nation follow various payment arrangements with landowners and with local cities or counties. At the Smoky Hills Wind Farm and at the Meridian Way Wind Farm, which is south of Concordia in Cloud County, the developers are making payments to landowners who have allowed the turbines on their land and to some adjacent property owners. The process is similar to the oil and gas leasing process.

Also, Kansas counties often receive payments from the companies because the state does not require that wind farms pay a property tax or production tax.

In Ford County, for example, Spearville Wind Energy Facility generates about 100 megawatts of electricity for Kansas City Power & Light. The company has agreed to pay the county and local school districts $496,000 annually for 30 years, according to a survey conducted by Reno County economic development officials earlier this year.

‘Really excited'

One potential obstacle to future development, Krug notes, is that a federal production tax credit to encourage wind energy expansion is due to expire at the end of this year.

The wind energy industry is urging Congress to renew the credit or face losing potential investments.

"That dramatically changes the financial planning of any wind project," Krug said.

Marshall County, in the meantime, is in a good situation with "major players" interested, he said.

"I get really excited about it," Krug said, noting they are in "step one of about five stages.

"It's going to be a very long process. I don't want to give people false hope here, but we are in the process, and it seems to be going forward fairly nicely."