Arizona's first wind-energy power plant is a step closer to generating electricity after two government agencies recently approved land agreements with the developer, Iberdrola Renewables. The first phase of the wind farm is scheduled to open by 2010, with about 30 wind turbines as tall as 300 feet generating 63 megawatts of electricity when the wind blows, enough for nearly 16,000 homes. A second phase could bring an additional 200 or more turbines for a maximum capacity of 314 megawatts, which would provide enough electricity for 78,500 homes when the wind blows. The Bureau of Land Management signed a right-of-way agreement and other documents for the Dry Lake Wind Project planned northwest of Snowflake, and the Arizona State Land Department signed a permit for the portion of the project that will use its rural property. The BLM will earn $36,966 in leases on the project next year and should get $87,255 a year after that if the project develops as proposed. State Land's deal is tied to the amount of electricity generated at the plant, and could earn $4 million during the 50-year agreement, Commissioner Mark Winkleman said. Iberdrola also has a private agreement with the Rocking Chair Ranch to use some of its land. The ranch runs cattle on the public and private land in the area, but cattle operations won't be affected by the development, owner Bill Elkins said. Iberdrola, a global company with Spanish headquarters, has an agreement with Salt River Project to sell the utility all of the electricity from the wind farm for its Phoenix-area customers. Stephen Allred, an assistant secretary for the U.S. Department of the Interior, called the project a "totally positive approach to meeting our energy needs in the U.S." The BLM received the application in summer 2007 and acted "fairly fast," but the agency still can improve the speed at which renewable-energy projects get permits, Allred said. "We have to do better with the federal government to give access to them, to speed up the time frame, and to get transmission (lines) to them," he said. Guidelines: You share in the USA TODAY community, so please keep your comments smart and civil. Don't attack other readers personally, and keep your language decent. Use the "Report Abuse" button to make a difference. You share in the USA TODAY community, so please keep your comments smart and civil. Don't attack other readers personally, and keep your language decent. Use the "Report Abuse" button to make a difference. Read more