Pennsylvania – quite the forward-thinking state when it comes to renewable energy development, especially wind – has passed a new state law ruling that wind turbines, like any other business equipment, cannot be counted by tax assessors.

The controversy began when Wayne County considered the wind turbines on the Waymart wind farm to be power plant buildings, rather than business equipment. At that time, state law exempted the value of business equipment, but stated that buildings surrounding power plant structures could be taxed. When the law was written, no one considered that energy could be made without a traditional building around the source, and so the confusion and lawsuit began.

Critics point out that regulatory uncertainty like this one and the undulating production tax credit are hampering wind’s growth. Although wind is the fastest growing energy source, it could be growing even faster with a stable and uniform regulatory climate. Stay tuned to the next round of legislative sessions to see what states do to encourage renewable energy development and move toward a more secure and efficient energy system.

Photo credit: NREL/DOE

AP: PA wind farms get help from new tax law

ABC News: Wind is fastest growing energy resource