Wind incentive late, but valuable resource should be exploited

Too little, too late, or needed forward-looking action?

Was the horse already out of the barn, or is Nebraska playing catch-up with the rest of the herd?

It's probably a little bit of each.

Despite having agreed to delay all major tax-cut bills for a study of the state's overall tax climate, the Legislature went ahead and advanced just such a bill, LB 104, which would extend tax cuts to wind and alternative energy companies.

It was too late to attract a $300 million Facebook data center, which will land in Iowa instead of Kearney, Nebraska. Another data center, for Google, will go across the river in Council Bluffs. Iowa approved $18 million in tax credits to seal the Facebook deal.

While there's debate over the true cost of wind energy, the social network's officials said Iowa's wind energy development played a role in the decision, probably as much a public relations move as a true financial decision.

Nebraska has no shortage of wind, ranking third in the nation for its potential, but 26th in the amount of energy that can be produced. That's because Nebraska continues to charge a sales tax on all equipment and materials used in wind-energy projects.

A Kansas company is interested in building an 118-turbine wind farm in northeast Nebraska, which would help Nebraska export more energy and generate new revenue, including $10,000 to0 $15,000 per turbine each year for landowners on a 40-year lease. But the company is waiting to see if lawmakers respond.

Some observers are heralding a new boom in American manufacturing, spurred by "cheap" energy here compared to prices elsewhere in the world.

If low-cost energy does provide an advantage, wind -- as well as natural gas and the oil provided by the Keystone XL pipeline -- can play a part.

It remains to be seen, however, whether those manufacturing jobs actually materialize, and the pipeline's role is high-octane fuel for another debate.

Yes, Nebraska is a little slow off the line when it comes to providing incentives for wind development. And, there are other impediments besides taxes, such as the need to improve the power distribution system. And, Nebraska does need to take the tax climate study seriously.

But Southwest Nebraskans know how energy -- in our case, in the form of oil -- can provide a valuable supplement to farm income and boost the economy in general.

Wind is an important resource for our state and it would be a mistake not to exploit it as soon as possible.