The advice below is not to be construed as legal advice but is provided as an overview of commercial considerations when perusing Wind Turbine legal documentation.

As a land owner ( the lessor), it is ultimately your choice what you agree to and sign in relation to Wind Turbine developments that may impact your property.

The above items are just a few that we think will be included in Developer documentation and, in the absence of access to the Documents, it is impossible to tell what other Clauses may be included.

In general Turbine and Solar Farm developers seek to have access to the state power grid and to negotiate the pre-sale of power generated under an Long Term Energy Service Agreements (LTESA) that provides certainty of future pricing. In turn, the Developer will then use these agreements to raise capital (Equity and Debt) against the future income stream provided by the LTESA contracts. These contracts may be a much lower price than the spot price of energy however provide the Developer with a clear pathway to profitability.

The less the developer pays you as land rent and the higher the negotiated price through the LTESA route, the higher the profit margin and in turn the higher the return on equity employed.

You as the land owner are not likely to receive an adequate return unless you collaborate with your neighbours BEFORE agreeing to any proposed deal with a developer.

The Documents used by Wind and Solar developers are complex, thorough and will be drawn up strongly in favour of the Developer. Given the very long term nature of these agreements, it is in your interests to seek independent legal advice.

If you wish to discuss the above in confidence please reach out to us.

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