Tribal leaders looking to address the lack of housing, healthcare, education, and employment in many of their communities are increasingly focused on renewable energy projects to spur economic development. The Inflation Reduction Act enacted in 2022 has bolstered the interest of Tribes looking to develop wind and solar projects on their lands, themselves. This approach allows the Tribe to manage the projects the way they see fit and determine how they benefit.
In the past Tribes have often struggled to access the large upfront capital needed for renewable project development and most do not possess the technical and logistical knowledge necessary to navigate the regulatory processes and start up mechanics. In fact, often the first step of a renewable project can be the last. Before development can even be considered an agreement to connect to the regional electrical grid must be secured. This can be an expensive process and can take years, therefore Tribes often opt for another way into the renewable energy market.
Tribes typically enter into long term land-lease agreements with corporate wind and solar developers. These companies lease a section of Tribal land and build large wind or solar farms. The Tribe then collects a yearly rent payment for the length of the lease, usually 20 – 30 years. The disadvantages with this development structure for the communities involved is that it creates a situation where the Tribe has very little control of the project, there is no other payment option other than the small annual payments and the Tribe is at all times faced with the risk of non-payment by the project owner.
There is a solution for Tribal leaders who have current renewable energy leases who want to access the true value of these leases to start developing projects independently and/or invest in other pressing community needs. MSE offers large upfront lump sum cash payments in exchange for the rights to the future renewable energy lease rent payments. Rather than waiting for the smaller payments as per the lease, MSE makes substantial funds available now without any change whatsoever to the land ownership. The Tribal communities control their revenue and their greatest asset, their land.
The process is simple and quick to navigate. If you would like more information on how partnering with us could benefit your community, please contact us at contact@madisonstreetenergy.com or call 312-584-0852.
