Windmill Truths: Economic Impact and Jobs

Let’s face it we need jobs in our community. The economy is turning down and many in the area have been laid off and people are looking for new job creation. Many see the Windfarm on Green Mountain as a potential job creator. Both sides of the issue are putting their spin on what will happen with job creation.

The anti-windmill faction has been sending out the following information on jobs, “one maintenance employee for every 12-15 turbines. A 20 turbine windplant in Meyersdale, Pennsylvania now employs only two maintenance employees.” I was e@mailed that information again by the anti-windmill faction after yesterday’s blog, but I have seen it before. I can not attest to its accuracy, because no source was quoted. As for US Windforce’s position, they have made no official claim as to the number of jobs created.

From my own research I believe that the claim of one employee for every 12-15 turbines is probably in the ball park. Wind energy production is not very labor intensive, but how does it compare to coal electrical generation? Dominions Mt. Storm Power plant has 3 units. Unit 1 and 2 are rated at 551 Megawatts each and unit 3 at 553. (1) That gives the plant a total capacity of 1,656 MW. With 270 employees (1) that is about 6 MW generated for each employee.

The name plate capacity on the US Windforce project is 55.2 Megawatts (2). Typically a windfarm can only operate on an annual basis of about 30% of rated name plate capacity. So if we believe that the US Windforce project is only going to employ two people, then that works out to about 8 MW generated for each employee.

This means from a labor stand point that wind energy generation is slightly more efficient, but real close to what the nearest coal fire plant achieves. This begs the question; is the anti-windmill faction advocating that the Windfarm is too efficient? Efficiency leads to lower cost electricity and for most people that is a good thing.

But the permanent employment numbers are only part of the story. The anti-windmill faction provided the following information, again from an unnamed source, “of the 200 total construction jobs, only 20 were local—and all disappeared within six months.” Most construction workers don’t hang around after the job is complete. That is the nature of construction jobs; they are there until the job is complete. It doesn’t make them any less important to the community.

At the last public windmill meeting on Feb 2^nd, 2009, Mr. Shirley a local construction worker working on the Mt. Storm project indicated he had been employed for 2 years on that project. Many other workers that have been employed on that project were in attendance and expect to move to the Green Mountain project. Our area is developing a skilled work force of wind turbine erectors and these workers may begin to travel with their new skills. They will still be bringing those paychecks home. That fact is completely discounted by the anti-windmill faction. In claiming that only 20 construction jobs are local, they fail to take into consideration that the local concrete plants, lumber yards, earth movers will all be local subcontractors.

But the local economic impact is not limited to those employed by the project. The landowners will receive lease payments for the use of their land. While the lease agreements with the specific landowners on the Green Mountain project are private, typically $5,000 per windmill is what is seen in the industry for our area. That will pump around $115,000 annually into the local economy. An additional $373,000 in property taxes (2) will be paid to Mineral County.

The average wage of a Mineral County resident is $26,645 per year (3). That $488,000 in new money being brought into Mineral is the equivalent of 18 new wage earners being brought to Mineral County. We also know that each dollar brought into the local economy has a multiplier effect as it is spent.

The real effect on the economy is much more than the information being disseminated by the anti-windmill faction. In this case we are finding that even the numbers presented by US Windforce under estimate the true economic impact of the project.

Reference:

(1) May 2005, Power Engineering Magazine, “Dominion Mt. Storm”

(2) US Windforce official website

(3) US Census Bureau