Socioeconomic impacts of wind farm development: a case study of Weatherford, Oklahoma

Abstract

Background: There have been increasing efforts nationally and internationally to promote renewable energy as a response to the awareness of the limited supply of fossil fuels, to meet growing energy demand, and to reduce the harmful environmental impacts of fossil fuel use. To address these efforts, there have been numerous studies to address the impact to local communities. However, these studies have typically focused on either the economic or the social aspects of the wind farm development. This study analyzes the combined and varied socioeconomic impacts as well as the stakeholder perceptions associated with wind power development in Weatherford, Oklahoma.

Spatial Distribution of Estimated Wind-Power Royalties in West Texas

“…Several research teams have relied on this input-output model to estimate direct employment in construction and operational phases and indirect economic activity [16,17]. Greene and Geisken [18] applied JEDI to a case in Oklahoma, estimating nearly $400,000 in land lease payments for a 147 MW wind farm, but they did not report the number of landowners affected in a county nor the spatial distribution of the wind turbines on properties. Indeed, JEDI estimates are not spatially explicit, focusing at county or state levels rather than on individual landowners.…”

Impacts of wind power development on Oklahoma’s public schools

“…The US Government Accountability Office explains how increased tax revenue can be in the form of sales tax from an increase in spending at local businesses from those employed in the wind industry during the construction phase of a particular project [10]. More specifically, in a case study of a community in western Oklahoma, results show that the installation of a 147 MW wind farm contributed to an increase of $27 million in local spending [1]. Wind power development in a community can also potentially increase tax revenues from income taxes generated from those employed in the wind industry [10].…”

“…Although the wind industry has stimulated Oklahoma's economy over the last 15 years, there are examples which illustrate how the development's impact on the community depends on the community's ability to offer the necessary goods and services required for the development of a wind farm [1]. Additionally, the American Wind Energy Association shows that all of the manufacturing facilities for wind power development are in central or eastern Oklahoma while the actual wind farms are predominantly in western Oklahoma [2].…”

“…Other authors have analyzed case studies to estimate the total job creation as a result of individual wind projects. For example, Greene and Geisken [1] estimate a total of 148 jobs were created during the construction phase as a result of the installation of a 147 MW facility in western Oklahoma. Similarly, it has been estimated that that 185 jobs were created during the construction of a 390 MW wind farm in Washington State, with 85 jobs to be created for the operation and maintenance phase of this facility [6].…”

“…For example, it is estimated that landowners in the state of Texas can collectively receive $5 million annually in lease payments [14]. At the community level, lease payments can range from about $400,000 in Oklahoma to $413,000 in North Dakota in a given year [1,7].…”