This article is about a debate in Wyoming where the current governor, Dave Freudenthal, has proposed an excise tax on wind energy production in the state. Wyoming is known for its strong, gusty winds, making it a popular state for wind energy. In fact, according to the article, it is the eighth windiest state in the country, and it is 12th in the nation for most wind power installations. The excise tax proposed would consist of $1-per-megawatt-hour tax on any wind energy produced in Wyoming. This would yield the state and counties a revenue of around $4 million per year, which would be split 40-60 between them.
The governor and other supporters of this proposition believe that it is time for the people backing wind farms and turbines in Wyoming to pay their share for external costs generated from the wind energy production. Though they may believe it is important for the producers to pay their “fair share,” people who are against the tax have a point when they say the tax will make Wyoming an “unfriendly state for wind energy.” There are many competitors (i.e. surrounding states that offer benefits to wind companies for coming into the state including tax exemptions and breaks) that might steal away all of Wyoming’s wind energy companies if this tax goes into effect too quickly. If the tax does get implemented, and there are definitely benefits for it being passed as law, I think it should be gradually introduced. Wyoming will be able to keep their wind companies and still get the money they feel they deserve to balance the costs of having wind energy as a large industry in the state. They just might have to introduce it at a lower rate than they would like when it first comes into play.
--Bridey Gallagher
