**Wind Energy Cooperatives:**

**Developing Opportunities for Farmers & Ranchers**

USDA Rural Development is pleased to offer the opportunity for
agricultural producers to be involved in a no-cost initial
"pre-feasibility" study to explore the economic benefits of a wind
energy cooperative. A dedicated wind energy cooperative for Wyoming and
Colorado would be an innovative structure not currently being utilized
in large-scale wind developments. As with any new idea, it needs further
exploration to determine if it is worth pursuing. A 'pre-feasibility"
study conducted by cooperative development specialists from USDA Rural
Development is the first step in this process.

**What could a wind co-op do for me?**

As the concept of wind energy cooperatives is a relatively untested
concept, there are many questions regarding the role of a co-op for
those interested in facilitating wind energy development on their land
or for those interested in community investment in wind energy. A co-op
would offer the advantages of democratic control, patronage dependent
upon use, and a flexible structure to respond to rapidly changing energy
markets; co-ops are also a model that many agricultural producers are
familiar with through purchasing co-ops and rural electric co-ops.

A wind energy cooperative **would not** require landowners to cede
control of their land or wind rights to the cooperative, but it could
potentially fill several important roles:

1.  Provide a vehicle for information to be distributed to landowners,
    such as how to get an anemometer, questions to ask a wind developer,
    etc.

2.  Function as purchasing co-op for services required in wind energy
    development, such as meteorological services, access to qualified
    attorneys and engineers, grant preparation, eventual turbine
    purchase, etc.

3.  Allow for greater strength when marketing wind resources. By
    combining with other landowners, the potential exists to negotiate a
    fairer price, as wind developers would get access to larger parcels
    but would be unable to play one neighbor against another.

4.  Provide a vehicle for ownership of a portion of new development.
    This "community-based" wind farm model allows farmers, ranchers, and
    other local community members to be invested in the project. This
    could range from ownership of the entire project to the right to
    "piggyback" a few community-owned wind turbines onto a large
    commercial development.

A "pre-feasibility" study would first address if a co-op could fulfill
these roles and if the basic concept has merit. From that point,
questions regarding regulatory concerns, the advantages/disadvantages of
collective purchasing and negotiation, the potential benefits of
different ownership structures, and many more questions could be
examined. Admittedly, not all questions can be answered in this initial
examination, but it can provide suggestions for where that information
can be found and how those questions could be answered.

**How to get involved:**

This effort is not a commitment by landowners to form or join a co-op;
it is simply exploring a different model to current wind energy
development techniques. Your involvement would provide access to more
information, allowing for more informed decisions regarding your wind
resource. For more information or to be involved in exploring wind
energy co-ops, please contact:

Milt Geiger, USDA Rural Development

\(307\) 672-5820, x 4

<milt.geiger@wy.usda.gov>