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ARTICLE · 22 APRIL 2022

Market Intelligence Thought Leadership Award Winner

Wind farm agreements require a strong understanding

Wind farms are now an important part of the electricity network, but what about the landowner where the wind turbine is?

AustraliaReal Estate and Construction

It isn't that long ago you could drive through regional areas without seeing any wind turbines – a stark contrast to how prevalent they are in many areas now. Wind farms are an important part of the electricity network, but how does it work for those on whose land a wind turbine is located?

An important first issue is wind farm operators do not have any power to acquire a person's land to operate wind turbines. They must either buy the land or – more commonly – lease the land from the land owner on mutually-agreeable commercial terms.

It almost goes without saying the wind farm operator will try to reach an agreement on terms that are as favourable to it as possible. Where a lease is being entered into between a wind farm operator and a land owner, it is vitally important professional advice is obtained, as wind farm agreements are generally long term commitments, often in the order of 25 to 30 years. Given the length of this arrangement, it is very important

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