Compensation for land used for wind power generation

How do you get paid if you lease a wind turbine?

There are quite a few ways to be paid when you lease your land for wind turbines. Across the country, deal terms vary. Landowners can be paid per acre, per turbine, and with royalties.

How much does it cost to lease a wind farm?

There are quite a few ways to be paid when you lease your land for wind turbines. Across the country, deal terms vary. But generally, for Utility Scale Wind Farms, the developer will pay you $5 to $40 per acre per year until they start generating electricity. At that point, the rentals increase through the life of the wind farm.

Do developers provide community benefits for land-based wind energy?

Community benefits have not been used frequently for land-based wind energy in the U.S., as other mechanisms such as tax revenues and land lease payments have made up a majority of financial benefits. However, in some cases, developers do provide community benefit agreements and funds for their land-based wind projects.

Can landowners sell wind lease payments?

Yes- landowners receiving payments from wind farm developers can market and sell those future payments. It is important for landowners that have leased their land for wind farms to consider selling their wind lease payments up front for a lump sum due to a few reasons:

How much money does a wind turbine make a year?

Each 1.5- or 3-MW turbine earns an annual royalty payment of $5,000 and $8,000, he says. The wind companies pay property taxes on the commercial facility, but not on the leased land. Most wind-power leases today provide for similar royalties based on revenue, Ferrell says — typically 3-5% of gross earnings.

What property agreements are used to develop a wind farm?

Property agreements used to develop a wind farm include: Option: Gives the developer the right to lease the land at an agreed-upon price, subject to agreed-upon terms. Access Easement: Allows the developer to travel across your property and construct roads to reach turbine areas.