Trump admin slaps solar, wind operators with retroactive rent bills

by Long Islander

May 22, 2020

The Interior Department had stopped charging the rents at the end of 2018 to review company complaints that former President Barack Obama’s administration had increased them too much, making them uncompetitive with rents on private property. The Interior Department declined repeated requests to comment on the outcome of that review, or the issuance of the retroactive rent bills. A budget document on the Interior Department’s web site shows it expects to collect $50 million in rent fees for wind and solar projects in 2020, up from $1.1 million in 2019 and $21.6 million in 2018.

The Trump administration has ended a two-year rent holiday for solar and wind projects operating on federal lands, handing them whopping retroactive bills at a time the industry is struggling with the fallout of the coronavirus outbreak, according to company officials.

The move represents a multi-million-dollar hit to an industry that has already seen installation projects canceled or delayed by the global health crisis, which has cut investment and dimmed the demand outlook for power.

It also clashes with broader government efforts in the United States to shield companies from the worst of the economic turmoil through federal loans, waived fees, tax breaks and trimmed regulatory enforcement.

U.S. power plant owner Avangrid Inc, majority owned by Spain’s Iberdrola, received a bill for more than $3 million for two years of rent on its 131-megawatt Tule wind project on federal land near San Diego, according to spokesman Paul Copleman.

Continue reading here:

http://www.windaction.org/posts/51285-trump-admin-slaps-solar-wind-operators-with-retroactive-rent-bills

  • Willem Post

    Those Spanish, foreign companies had been free-loading for years on federal lands.
    I am sure Spain would never allow that.
    It is about time they pay the rent.

    May 22, 2020

  • arthur qwenk

    Avangrid  can start conserving for their new rents by paying less for  ex-governor John Baldacci (Baldacci was elected vice chair of the board of Avangrid in 2015).

    Word has it he was getting paid $200,000 for this).

    As a cost saving to Avangrid, we all recommend they pay him what he is worth  =    0

    May 22, 2020

  • Willem Post

    The Production Tax Credit for wind is 2.5 c/ kWh.

    This was scheduled to be reduced to 40% of 2.5, or 1.0 c/kWh

    But, by means of shenanigans, it is now scheduled to be reduced to 60% of 2.5, or 1.5 c/kWh, plus projects can be started a year later, than before to still get that increased subsidy.

    It is always nice to know some insiders high up in government!!

    May 26, 2020