Press
 |  Jun 23, 2017

Mower County Ranks First in Wind Energy Production Tax in 2016

Wind industry paid more than $12 million statewide in Wind Energy Production Taxes in 2016

AUSTIN, MINN., (June 23, 2017) - Today, representatives from the wind industry and Xcel Energy presented a ceremonial check to Tim Gabrielson, Chairman of the Mower County Board of Commissioners, representing $2,373,932 in wind energy production tax revenue for 2016. This check represents the largest wind energy production tax payment made to any one county in the state, and is a 26.5% increase over last year's payment.

 

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MN Dept. of Revenue, Property Tax Division. April 2017

Statewide, revenue from the wind energy production tax exceeds $12 million.  More than one-quarter of the counties in the state benefit from this source of revenue. 

"Minnesota is truly a leader in renewable energy in the Midwest and Mower County is reaping the benefits of that leadership.  The county has received over $14.8 million in wind energy production tax payments since 2007," said Senator Dan Sparks. "That revenue helps our entire community because it helps keep the lid on property taxes, helps pay for road improvements, and supports community projects. We need to continue supporting wind energy development in Minnesota."

Mower County welcomes wind. "More wind energy is produced in our county than anywhere else in the state, and that has been a good thing for Mower County," said Commission Board Chairman Tim Gabrielson. "Not only does this economic development benefit local landowners and businesses who have partnered in the wind projects, our entire community benefits from the production tax revenue received by our County. This last year, the county board committed $400,000 of the county portion of revenue from the wind energy production tax toward improving roads and bridges. We've used the remainder as a tax relief for citizens. Having this new revenue source from wind power reduces the amount of tax dollars that would be needed to be raised from taxpayers to pay for our county operations."

Currently, Minnesota ranks in the Top 10 in the nation for installed wind capacity, and percent of total state electric generation from wind. Representative Jeanne Poppe added, "Wind energy is an important industry in Minnesota that will create many new jobs producing low-cost, clean energy right here at home.  By 2020, Minnesota wind-related jobs could reach over 8,000."

"The wind industry supports over 100,000 workers across the U.S. and in all states, including thousands here in Minnesota. Wind is home to the fastest growing job in the country and each turbine creates more than 30 jobs throughout the course of its life.  It's really rewarding to be part of this thriving energy economy and part of an industry growing nine times faster than the overall U.S. economy," said David Easler, Vestas Senior Operations Manager, Upper Midwest.

The wind industry has invested $6.8 billion into Minnesota's economy. With 3,499 megawatts of installed wind capacity, wind power now provides 17.7% of Minnesota's electricity. Another 906 megawatts of wind are under construction, or in advanced stages of development in Minnesota. 

"Wind energy is a true success story for Minnesota, providing investment, revenue, and jobs across the state" said Chris Kunkle, regional policy manager for Wind on the Wires. "The cost of wind energy has declined 66 percent over the past seven years, and utilities like Xcel Energy are passing those savings along to customers. This year, for the first time, the revenue from the Wind Energy Production Tax exceeds $12 million. Cumulatively, over the past 10 years, the wind industry has paid more than $78 million in production taxes. More than one-quarter of the counties in the state benefit from this revenue source, predominantly in Greater Minnesota where the jobs and economic development are needed most."

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Wind on the Wires is a 501(c)(3) nonprofit organization based in St. Paul, Minn., that works to advance renewable energy in the Midwest. Its members are comprised of wind and solar developers, environmental organizations, tribal representatives, public interest groups, clean energy advocates, farm groups and businesses providing goods and services to the wind and solar industries. 

Links and Resources

Wind Delivers Tax Relief in Minnesota

Wind Energy in Minnesota (American Wind Energy Association)

Minnesota Clean Energy Economy Profile (2014) (MN Dept. Employment and Economic Development) 

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Chris Kunkle, Wind on the Wires, presents a check to Commissioner Tim Gabrielson, representing more than $2 million in wind energy production tax revenue for 2016.

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L-R: Ross Lexvold, Xcel Energy; Justin Van Beusekom, EDP Renewables North America; Senator Dan Sparks; Chris Kunkle, Wind on the Wires; Tim Gabrielson, Mower County; Rep. Jeanne Poppe; David Easler, Vestas