South Dakota Wind Energy Update South Dakota Wind Energy Association Annual Meeting Hunter Roberts, Policy Advisor

Today’s Discussion Intro South Dakota Update South Dakota Policy Federal Policy Questions

South Dakota’s Reputation America’s Top State for Business: # CNBC State Business Tax Climate Index: # Tax Foundation Best State Tax System: # Small Business & Entrepreneurship Council Best-Run State: #3 Barron’s State Economic Competitiveness Index: # American Legislative Exchange Council Small Business Survival Index: # Small Business and Entrepreneurship Council

South Dakota Wind Update Several projects are under construction or close to construction PPA’s prices are low Wind productivity continues to increase Building South Dakota: Reinvestment Payment Program

Alissa VanMeeteren Bioscience

SD Wind Energy Incentives and Policy –Regulatory: Very favorable –Incentives: Middle of the pack Reinvestment Payment Program Nameplate and capacity gross receipts tax –2015 Legislative Session

Reinvestment Payment Program Assists companies in offsetting the upfront costs associated with relocating or expanding operations and/or upgrading equipment Total project costs in excess of $20 million or equipment upgrades with a total project cost in excess of $2 million. Three wind projects have been thru the process. Contact the South Dakota Governor’s Office of Economic Development. Cherissa Nielson (605) Cherissa Nielson (605)

Federal Policy –Federal PTC and ITC –111 (d) –FERC Order 1000

Thank you. Questions? Hunter Roberts Policy Advisor Phone: