The true cost of Industrial wind energy.

There are three major ways that we will all be poorer because of the provincial government’s involvement in the Green Energy initiative.

1. For some of us it will be through depreciation of our family assets
2. For all of us it will be through payment of the Feed in Tarrif  (FIT) contracts
3. and  all of us it will suffer with increased hydro rates

#1 First Depreciation of Family Assets
I am using the work of  2 well respected property appraisers – Ben Lansink of  Ontario Canada and Michael McCann of the United States.
Industrial wind turbines and electro- magnetic energy transmission lines have a negative impact on property values.  Interest in home purchases declines dramatically when news of a turbine project emerges.
According to property appraisals expert Ben Lansink, of London, Ontario rural residential property values fall when either turbines are erected, or transmission lines cut through the landscape.
In his study on adjacent residential properties in East Huron, Ontario, property  values  fell 25 to 60%. For most of us our homes are our largest financial asset and to lose 25 to 60 % of the value of our home is an economic catastrophe.

Some family homes have been bought out by the wind energy companies. Homes that were resold were deeply discounted and anyone who bought one of these homes had to sign a waiver that the “impacts may include heat, sound, vibration, shadow flickering of light, noise (including grey noise) or any other adverse effect”. So even the IWT companies admit that the wind turbines decrease property values and can cause health problems.
According to Ben Lansink some homes were rendered uninhabitable by dirty electricity leaking from the adjacent power-lines.
The experts warn that the presence of turbines and transmission lines will preclude other development.
The approval of wind turbine projects close to homes is tantamount to inverse condemnation or the regulatory taking of private property rights.
Yet another serious study of the degradation of property values comes from  Micheal McCann, a well respected US real estate appraiser 
In McCann’s study homes near turbines and transmission lines languished on the market for as much as a year longer than similar  homes in other areas. The marketplace adjustment is only beginning, and the downward pressure on tax base property evaluations will impact municipalities. As tax revenues decrease services decrease .
- Residential property val¬ues are adversely and meas¬urably impacted by close prox¬i¬mity of industrial-scale wind turbines, with value losses measured up to two-miles from the nearest turbine(s), in some instances.

- many ground-zero homes have become completely unmarketable, thus depriving many homeowners of reasonable pre-existing home equity.

- Real estate sale data typi¬cally reveals a range of 25% to 40% of value loss, with some instances of total loss as measured by aban¬donment and demolition of homes, some bought out by wind energy developers and others exhibiting nearly com¬plete loss of marketability.

Go to your computer and type in the words: wind turbine lawsuit. The result is a staggering - 449,000 entries .  Legal cases launched against industrial wind turbine corporations, against land owners who leased their land, against municipalities - by people seeking compensation for loss of property values, loss of enjoyment of property, and loss of  personal health.”
If you can see the transmission line or the industrial wind turbines from your property – your property value is already being affected.
This may not apply to everyone in the room but everyone will be paying for the Feed in Tarrif  (FIT) contracts.

#2 payment of the Feed in Tarrif  (FIT) contract

“green energy” is heavily subsidized through the extravagant Feed in Tariff (FIT) program, in addition to which tax exemptions for renewables energy producers really amount to corporate welfare.

In April 2013 the Fraser Institute published a report sharply critical of the Green Energy Act (GEA). They found the Act is costing Ontario over $5 billion annually.  To add insult to injury, there is no evidence that industrial wind turbine developments are either environmentally friendly or save CO2 emissions.

According to information on the Ontario Wind Resistance website (  the total number of industrial wind turbines that have been installed, or are in the que to be approved, or proposed for Ontario is 6736. 
Ontario will look like a pin cushion and we will not be able to afford to turn on the lights.
The Ontario provincial government has signed generous contracts with wind producers for about 5,800 megawatts of electricity, of which 1,725 MW is currently connected to the grid.

The formula to calculate the subsidy that the wind companies get over and above the average “Hourly Ontario Energy Price” (HOEP) is
MW  x  operating efficiency  x  hours per year  x   cost
1. MW – mega watt – plated capacity of the project - the total MW’s of the awarded  FIT contracts. Our local FIT contracts include 77 - NRWC -3MW and 5-IPC -1.8MW turbines = 240MW
2. operating efficiency – percentage of the time the IWT actually produce electricity  (which is zero when the wind does not blow or blows too hard)
3. the hours in one year  - 24 x 365 = 8760 hours per year
4. cost  (cost/MWh based on FIT guaranteed price of 13.5¢/kWh – HOEP 3.15¢/kWh = 10.35¢/kWh or $103.50 per MWh)

240MW x 27% operating efficiency x 8760 hrs annually x $103.50 /MWh =
$58,751,568 annual subsidy for the Niagara Region above the Ontario wholesale market cost of electricity.
Or over the 20 year FIT contract = $1,175,031,300 or $1.17 billion just from Niagara alone. Who do you think will be paying this bill?
Using the provincial goal of 5800 MW of wind energy generation
5800 MW  X .27 X 8760 hours  X $103.50 = $1,419,89,560    $1.4 BILLION per year for the next 20 years!   These FIT contracts will be paid for by you and me, and our children and our grandchildren and our great grandchildren, etc

The third way we will all pay is through increased hydro rates - 
Our electricity system is transitioning from “power at cost” which was Ontario  Hydro’s  mandate, to “power for profit” as private for profit frequently multinational corporations gain control of the electricity grid.

Ontario is going from having some of the cheapest electricity in North America to having some of the most expensive. This will increase industry operating costs and cut the rate of return to investment in manufacturing by between 13 and 30%, further weakening this key economic sector resulting in long term job losses.

Because wind and solar are intermittent and only produce energy when the wind blows or the sun shines we have to run a second energy system on spinning standby .  So we operate gas plants at reduced efficiency or spill water over Niagara Falls rather than run the water through the turbines and create the greenest, cleanest, cheapest hydro produced in Ontario. 

We find ourselves in the ludicrous position of paying for 2 electricity systems operating at the same time so we can keep the lights on.
To add insult to injury Ontario has had a surplus of power since 2006. We are producing more energy than we are using now – so why would we put up additional inefficient, intermittent industrial wind turbines that provide more surplus energy?  As of  Sept 11, 2013 the energy system operator can now order wind producers NOT to generate power, and will pay them NOT to produce electricity. According to Energy Minister Chiarelli this will save the province $200 million a year just on the wind turbines.

The provincial goal was for the installation of  6736 turbines so 4 times the present installations. So 4 X $200 million or $800 million per year paid to industrial wind turbine corporations NOT to produce electricity.

Does this make financial sense! Welcome to Ontario where the inmates are in charge of the institution!

According to the 2011 Auditor General’s Report Energy Minister George Smitherman – the architect of Ontario’s current green energy policies – signed the $8 billion deal with Samsung – no business plan, no due diligence, no advice from the Ontario Energy Board or the Ontario Power Authority, no vote by our elected representatives. And we the tax payers of Ontario are expected to pay the bill. My question is “Is this deal even legal?” 

Many are now calling industrial wind turbine proliferation the biggest scandal of our time. Electricity is considered a necessity in this country. To devalue peoples’ assets and to charge people exorbitant rates for surplus energy is robbery.

By comparison with Jesse James, who typically limited his stealing to the Express Safe on trains, the runaway profits of the wind industry appear to show no limits. The damage to people, landscapes, land values, the environment, are without precedent. This is the largest transfer of wealth to the private for profit corporate elite in the history of Canada.

In 2012 – 93 % of Ontario’s energy output came from  nuclear, hydro and natural gas. Nuclear at 56.4%, hydro 22.3% ,and natural gas14.6 %. Only 2.8% of our energy output was from coal 2.8% from coal.  3% from wind  3% !!!! and we should pay $5 billion dollars per year for wind!
Educate yourself – do everything you can to end this madness.
Communicate with every level of government and let them know that you are onto this Ponzi scheme - West Lincoln is not a willing host – This is a economic death spiral for Ontario.  To pay $5 billion per year for surplus energy is robbery.

#1 . Depreciation of Family Assets
-property appraisals expert Ben Lansink, of London, Ontario
-Micheal McCann, a well respected US real estate appraiser  

#2   Feed in Tarrif (FIT) Subsidy    -  Formula:                                                        

MW  x  operating efficiency   x  hours per year  x  cost
(1)                   (2)                                (3)                 (4)

1. MW – mega watt – plated capacity of project

2. operating efficiency – percentage of the time the IWT actually produces electricity (which is zero when the wind does not blow or blows too hard)

3. the hours in one year = (24 x 365) = 8760

4. cost    (cost/MWh based on FIT guaranteed price of 13.5¢/kWh – HOEP 3.15¢/kWh = 10.35¢/kWh or $103.50 per MWh)
Local FIT contracts - 77 - NRWC -3MW and 5-IPC -1.8MW turbines = 240MW
240MW x 27% operating efficiency x 8760 hrs annually x $103.50 /MWh = $58,751,568  annual subsidy for the Niagara Region
Or over the 20 year FIT contract = $1,175,031,300 or $1.17 billion just from Niagara alone. Who do you think will be paying this bill?

Lincoln News
By Amanda Moore

Industrial wind turbines affects everyone in Ontario. That is the key message a citizen’s group delivered to roughly 300 people in attendance at Smithville Covenant Christian School Thursday night.

“Just because you don’t live in West Lincoln, doesn’t mean it won’t affect you,” said Deb Murphy, a Dunnville resident who is vice president of the West Lincoln Glanbrook Wind Action Group. “There is a misconception that if you don’t live near them, they won’t affect you. It doesn’t matter if you live 550 metres from one or 550 miles. If you live in Ontario, they do so affect you.”

The information meeting held by WLGWAG was meant to target those living at a distance from the existing and proposed industrial wind turbines in West Lincoln. The group had hoped to attract residents from nearby Grimsby and Lincoln.

“We can see the ones in Caistor from our place, and they are the small ones,” said Grassie resident Cindy Poziomka, whose children and grandchildren live in Smithville. “I’m worried about the affects of children. Some of them are so close to Leisureplex. How can they put them so close?”

Cindy said she has not been following the battle between local residents and the corporations erecting the 80- and 140-metre high turbines. Her husband Rick, however, has been. Thursday’s meeting was the second one he attended. He said though the turbines won’t affect him at home, they will affect him in his pocket book.
“They won’t go near where we live because of flight paths, but it just doesn’t make sense to put them up anyway,” said Rick. “I’m not in favour of them for many reasons. The main reason being the effect on real estate. Some people are making tonnes of money at the expense of their neigbhour.”

The Posiomkas say they have seen how the issue has divided the township.
“You have kids on hockey teams who are fighting because one of them is getting a wind turbine,” said Cindy. “It’s divided the town.”

Members of the wind action group spoke on the many ways industrial wind turbines affect more than those who live near them.

Catherine Mitchell was given the difficult task of demonstrating the “true cost of industrial wind turbines.”

While some will be directly affected by a hit to their property value (according to Mitchell’s research, property values in the Huron area fell between 25 and 60 per cent with the onslaught of wind turbines), all of Ontario will pay for it through the province’s costly Feed-in-Tariff program.

“Installed or in the que to be approved are 6,736 wind turbines,” said Mitchell. “Ontario will look like a pin cushion and we will not be able to afford to keep the lights on.”

Using a calculation of megawatts x operating efficiency x hours per year x cost, Mitchell said industrial wind turbines will cost more than $58.7 million a year in subsidies in the Niagara region alone. Over the 20-year span of the provincial contracts, that number totals more than $1.17 billion, she said.
“Who do you think is going to pay that bill,” Mitchell said as a warning to those in attendance.

Eric Ames, communications director for the Family Coalition Party, said the question Ontarians, including those awarded FIT contracts, failed to ask in the early days of the Green Energy Act was where is the money coming from.

Corporations and individuals with FIT contracts are guaranteed a set rate per kilowatt hour.

“Where does that money come from? From you and me,” said Ames, who attended Thursday’s meeting not to sway voters but to help spread the message of how these turbines will affect everyone in Ontario. “They were given contracts with the expectation that taxpayers would pay for this.

“If we continue down this road, we will all lose,” he said. “It affects everyone in this province.”

Another hidden cost of the Green Energy Act, Mitchell explained, is lawsuits. Anne Fairfield and Ed Engel know all about that. The West Lincoln couple is fighting IPC Energy’s HAF Wind Project, even as all five turbines stand a short distance from their home.

“Just to get this far, our legal bill was over $25,000,” said Fairfield. “This was paid by donations. It is going to take all of this community’s financial contributions to fight this problem and have a successful end.”

Engel and Fairfield are waiting on the outcome of several Charter of Rights and Freedoms challenges being heard across the province. These cases challenge the constitutionality of the Green Energy Act and its siting of industrial wind turbines.

“Your health, your safety, your wealth, your environment and this community are worth protecting now,” she said. “Help us to do this job for you.”

The crowd also heard from Mothers Against Wind Turbines chair Marianne Kidd about the impacts of turbines on children, Loretta Shields on the impacts to environment, Mary Kovacs on the dangers of transmission lines and Sidney Thompson on the loss of democratic rights.

West Lincoln mayor Doug Joyner attended the meeting for more than a show of support to his constituents.
“I’ve always said, knowledge is power,” said Joyner. “I am here to support the residents of West Lincoln and Wainfleet, but the biggest reason I am here is to have better information on this.”