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I. State Context in North Carolina A. Mountain Ridge Protection Act In 1983 the General Assembly passed the North Carolina Mountain Ridge Protection Act, which restricted building on North Carolina's mountain ridges.2 The law, commonly referred to as the Ridge Law, states that buildings and structures over 40 feet in height cannot be built along, or within 100 feet of, ridges that are over 3,000 feet in elevation. Among its stated purposes, many of which are non - aesthetic, is an intention to protect the natural beauty of the mountains. The law gave counties and cities a small window of opportunity to either opt out of the law or pass their own ordinances governing building on mountain ridges; if such action was not taken by January 1, 1984, the law would become effective. Even if a local government adopted its own ordinance, however, consideration to "protecting the natural beauty of the mountains" must be a permitting requirement in the local ordinance. With interest in wind energy growing, there has been quite a bit of debate in North Carolina about whether the Ridge Law prohibits the construction of wind turbines in the mountains. Wind energy advocates argue that the law contains an exemption for wind turbines. The law states that "tall buildings and structures" do not include "water, radio, telephone or television towers or any equipment for the transmission of electricity or communications or both" or "structures of a relatively slender nature and minor vertical projections of a parent building, including chimneys, flagpoles, flues, spires, steeples, belfries, cupolas, antennas, poles, wires, or windmills." s Wind proponents argue that the exemption specifically exempts "windmills" and that this applies to modern day wind turbines as well. An attorney for Watauga County recently argued in a legal memo that windmills meet the exemption because they are "naturally slender. "4 She further argued that the presence of a single wind turbines on a peak near Boone in 1983 indicates that windmills were specifically exempted "to avoid de- legitimizing" this project, and thus the term "windmill" in the exemption was intended to apply to large wind turbines. North Carolina Attorney General Roy Cooper, on the other hand, proffered a different interpretation in a 2002 memo to the Tennessee Valley Authority regarding a proposed wind energy facility near the North Carolina border. Mr. Cooper wrote the memo as a comment during the Environmental Assessment process for the facility. In the memo, Cooper argues that a wind farm with thirteen 300 foot high turbines along 2 miles of ridgeline could not be considered "slender in nature" and would not fall under the exemption in the Ridge Law. Further he states that the intention of the legislature in 1983 was to exempt "the traditional solitary farm windmill which has long been in use in rural communities" and not large utility -scale wind farms. He also notes that the exemption for electric transmission lines does not apply to wind turbines since turbines are generating equipment and are distinct from transmission equipment. Cooper has since declined to issue a formal opinion on the law, indicating that interpretation of the exemption is up to individual counties. B. Certificates from the North Carolina Utilities Commission In North Carolina, any electric generation facility or transmission line must apply for and obtain a certificate from the North Carolina Utilities Commission (Commission).7 Primarily, the Commission's role is to ensure the provision of "adequate, reliable and economical utility service to all of the citizens and residents of the state." However, the Public Utilities Act which created the Commission also lists among its purposes "to encourage and promote harmony between public utilities, their users and the environment. "s The law and the Commission's rules lay out slightly different procedures for generation facilities and transmission lines. While this paper focuses on generating facilities, it can be helpful in this case to understand the Commission's role in transmission line siting since it includes some level of environmental consideration. The role of the Commission in addressing environmental impacts from siting generation facilities or transmission lines is somewhat vague and decidedly weak. 9. Certificate of Pub& Convenience and Necessity. 184 Appendix C