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Developer withdraws application for Horse Creek Wind Farm in Clayton

The developer of the Horse Creek Wind Farm project in the town has ceased planning efforts and no longer has an active permit application, although it could decide later to revisit its plan.

The project was removed April 30 by Iberdrola Renewables from the New York Independent System Operator’s interconnection queue, which lists wind projects being actively planned across the state. The Spain wind energy giant abandoned its active permit application because it was hampered by a tight timetable and could not meet a deadline to receive a federal production tax credit for the project, according to spokesman Paul N. Copleman. But he said the developer, which ceased planning efforts in the town in 2013, has not entirely given up hope on the project.

“The decision to pull the project from the ISO queue was really a timing decision for us,” Mr. Copleman said Wednesday in an email. “We remain interested in the site, and have kept our two MET towers and land leases in place. Low energy prices and the schedule pressures put in place by the expiration of the federal production tax credit for wind are challenging, but we continue to work with the state on sensible, cost-effective ways to bring new investment and new projects into New York.”

Plans made by Iberdrola for its 48-turbine, 96-megawatt wind project stalled after it notified the state Public Service Commission in December 2012 of its intent to seek a state Article X siting review. But that review process was never started, because the developer remained skittish about its plan.

In October, the developer informed the town it could downsize its project because of poor economic conditions and regulatory uncertainty. At that time, the developer said it likely would have to secure a federal wind production tax credit to make the project feasible.

Town Supervisor Justin A. Taylor was not surprised to learn that the developer has abandoned planning efforts for its wind project.

“It lines right up with what the town has been sharing with anyone who’s been asking us,” he said Wednesday. “Iberdrola withdrew their local application quite a while ago, and we have had no communications with them. If the tax credits both at the state and federal level aren’t there, these projects are not economically viable.”