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State PUC accepts NU wind application

Permit decision due within 45 days

By Fritz Busch - Staff Writer
POSTED: June 12, 2009

ST. PAUL - Despite detailed testimony from a Lafayette Township farmer Thursday in the Metro Square Building, the Minnesota Public Utilities Commission unanimously accepted the New Ulm Public Utilities Commission (NUPUC) Application for a Large Wind Energy Conversion System (LWECS) Permit for the New Ulm Wind Project in Nicollet County.

Office of Energy Security staff recommendations included project application acceptance conditions:

NUPUC provide additional information as requested by the Commission and the Office of Energy Security for the New Ulm Wind Project.

The Minnesota Office of Energy Security Energy Facilities Permitting staff be authorized to name a public advisor for the project.

On May 5, 2009, NUPUC submitted a site permit application to build and operate a proposed five turbine, 10.5 megawatt project in Sections 17-20 of Lafayette Township.

Farmer Jeff Franta said he represented 77 petition signers, more than 20 landowners who attended the public hearing and three landowners, including his brother, who signed lease and easement agreements with NUPUC after "facing intimidation of eminent domain and about not saying anything about it."

Franta said the three landowners who signed agreements with NUPUC were advised by their attorneys not to come to public hearings or say anything about it "because it may open up a can of worms."

He added that only one of the three landowners who signed agreements with NUPUC would speak to him about it, and then, only without using his name "because he didn't want anything to do with a lawsuit."

Minnesota Public Utilities Commissioner J. Dennis O'Brien asked if there were any limits to NUPUC's eminent domain authority on projects for the public good?

New Ulm City Attorney Hugh Nierengarten said there were none that he was aware of.

Commissioner Betsy Wergin said eminent domain could not be used to end one business practice and start another one.

"I have serious questions about eminent domain, but if this application is complete, we can't deny it," Wergin said.

Nierengarten said Franta "grossly misquoted and mischaracterized NUPUC with hearsay."

Commissioner Thomas W. Pugh said "SLAPP" (Strategic Lawsuits Against Public Participation intended to intimidate and silence critics by burdening them with the cost of a legal defense until they abandon their criticism or opposition) couldn't be used against landowners for talking.

"The City (New Ulm) has the right to apply for the wind project, but I have great reservations about eminent domain and land disputes," Pugh said. "There are many wind energy projects in the cue, but only this one is in front of the full force of government."

Wergin said the project warrants a "strong look at eminent domain."

Commissioner Phyllis Reha said the application hearing was just the first step for the Commission.

O'Brien said there were hundreds of wind projects with willing landowners, but said he was concerned whether the New Ulm project should move forward.

Reha said future public hearings would be used to address all concerns.

Pugh said he wanted an analysis of NUPUC project location options.

Pat Wrase, NUPUC Planning and Development Engineer, said the New Ulm delegation was "happy" with the accepted application.

"We feel strongly about the project as a benefit to all our ratepayers," Wrase said. "We have information and data to answer any questions the Commission and Office of Energy Security may have."

NUPUC's site permit application included applicant background information, certificate of need compliance, compliance with state policy, proposed site maps, wind characteristics, other turbine locations, wind rights discussions, project design, associated facilities, environmental impacts, project construction, operation, costs, schedules, energy projections, decommissioning and restoration.

Commission orders on the project application are expected to be released in several days.

Typically, within 15 days of site permit application acceptance, a notice prepared by the applicant and state staff is distributed to the county board, each city council and township board where the project is proposed to be located.

Notices must be published in newspapers of general circulation in each county, in the EQB Monitor and posted on the PUC web page, e-Dockets and on the PUC's energy facility permitting web page.

Within 45 days after application acceptance by the PUC, it shall make a preliminary determination whether a permit may be issued or should be denied.

Issuing a draft site permit does not confer an authority to construct a Large Wind Energy Conversion System.

The Commission may change, amend or modify the draft site permit in any respect before final issuance or may deny the site permit at a later date.

State staff anticipates requesting Commission consideration of a draft site permit for the project in early July 2009.

The goal of NUPUC is to complete project construction and become operational before Dec. 31, 2010.

For more information, visit www.commerce.state.mn.us

Fritz Busch can be

e-mailed at

fbusch@nujournal.com

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