The Wind Energy Industry
The above review suggests that many of the negative effects experienced by local towns are caused by extreme population growth spurred by job opportunities at energy facilities. However, utility-scale wind facilities employ relatively few individuals post-construction; for this reason, wind farms may not have the same socioeconomic effects as oil and gas facilities, though perhaps may be more similar to the effects from solar facilities. Wind farms also differ in their local fiscal impacts. This literature review focuses on wind energy development’s affect on:
- Job creation
- Population growth
- Fiscal impacts
- Tourism
- Recreation
- Quality of life
- Social cohesion
Job Creation
Wind farms may produce between 0.4 and 1.4 jobs per MW of facility nameplate capacity during construction and 0.06 to 0.2 jobs per MW for operation and maintenance (O&M).1 Wind farms can vary greatly in nameplate capacity, so it is difficult to say how many jobs the “average” wind farm will create. However, a 50 MW wind farm might create 20 to 70 jobs during construction and three to 10 jobs during O&M. A 2006 NREL study found that while wind farms do generate jobs, local labor must have specific skills if they are to be hired.2 If local residents are unqualified for the jobs, labor will be brought in. Since wind farms create relatively few jobs, and the bulk of these jobs are temporary, wind energy development has little effect on population growth.
Fiscal Impacts
Private citizens often benefit financially from a wind farm. Individuals may benefit from lease payments of $2,000 to $5,000 per turbine per year when turbines are sited on their land.3 In terms of facility nameplate capacity, landowners may receive lease payments of $2,500 to $4,000 per MW per year.4 Due to their small footprints, wind turbines may not decrease the land available for agricultural purposes;5 therefore, landowners can benefit financially both from lease payments and agriculture. Property taxes may be assessed at the county level, and typically run from one to three percent of the wind farm’s assessed value.6
Wind farms may benefit the local rural economy especially when the economy was previously supported by one industry, such as agriculture. Wind farms create another industry and contribute greatly to the local tax base.7 Wind farms may also be community owned. In this case, the facility’s owners, which may be a group of landowners or a municipality, would benefit directly from the sale of electricity to the local utility.
Because wind turbines may be several hundred feet tall, and are sited in open areas such as plains and ridgelines, they are often highly visible to the nearby population. Compared to oil and gas, concerns over negative impacts to the view have been particularly prevalent in the wind industry. Property devaluation is a common concern among residents who live within view of the wind farm, an area often referred to as the viewshed. However, two separate studies have found that this concern may be unfounded. A 2009 study conducted by the Lawrence Berkeley National Lab found that view of and distance to a wind energy facility had no statistically significant impact on home sale prices.8 A 2003 study of 10 wind farms found that “for the great majority of projects the property values actually rose more quickly in the view shed [sic] than they did in the comparable community.”9
Tourism
Views of the turbines may negatively affect local tourism, particularly in areas where tourism is dependent on rural views. For example, a town in France saw a coalition of winegrowers and tourism industry representatives form in response to a proposed wind farm. The coalition worried that the turbines would ruin the view’s “authenticity,” and result in fewer visitors and wine sales.10 An economic impact study of a wind farm in Australia assumed there would be reductions in local tourism, particularly for farms within sight of the wind farm that provide lodging during holidays.11
In contrast, a wind farm may serve as a tourist attraction, drawing tourism dollars to the local economy, as tours may be organized to visit the wind farm. Although some believe wind turbines negatively affect the view, others find the structures to be beautiful. Wind farm proponents may find wind turbines are “sleek, futuristic and a handsome symbol of an environmentally healthier future.”12
Recreation
Similarly to the way a wind farm may impact local tourism, area recreation may also be affected. On one hand, a wind farm may be detrimental to the ability of an area to be used for recreation. For example, impacts to the view or noise generated from the turbines may negatively affect a community’s ability to hike and camp in the area.13 In contrast, turbines may boost a recreational area’s appeal if individuals are drawn to the site because of the turbines.
Turbines may negatively affect residents living in the viewshed. Though noise is generally not an issue, there are several examples of wind farms in which area residents have been disturbed by the noise generated by nearby turbines.14,15,16 Shadow flicker, which occurs when the rotating blades create a moving shadow, may also disrupt neighboring residences. However, because the amount of time a turbine will create shadow flicker can be calculated, turbines can be sited so as to minimize or negate this issue.17
Quality of Life
Wind farms may also be detrimental or beneficial to local quality of life. Residents who live within the viewshed may experience a decrease in their quality of life due to the change in view. An economic analysis of a wind farm in Australia found that concern over view fell into two categories: 1. Impacts to the landscape, and 2. Impacts on the community’s visual amenity.18 The first category refers to sentiments expressed by several residents that wind turbines would disturb the pristine natural setting. The second category captures residents’ opinions that the wind turbines would alter the area’s character, making the area seem less rural. In contrast, proponents of wind energy may experience an increase in quality of life once a wind farm is built.
Social Cohesion
Tension may form in communities where the economic benefits of a wind farm are not shared equally among the residents. Such may be the case when the wind farm is sited on private property; the property owner may receive lease payments while the neighbors do not. This conflict may be localized such that only properties that are in close proximity or direct view of the turbines are involved.19 Tension may also form between wind farm supporters and opponents. One economic analysis noted, “the greatest tensions have occurred between the landholders who would have turbines on their properties and community members campaigning to stop the project.”20