"(The tax credit) is what I was hoping for," said Tracy Livingston, president of Wasatch Wind, a Heber-based wind energy development firm. "We're pleased that the Legislature understands the issues associated with wind energy."

Wasatch Wind is developing an 18.9-megawatt wind farm near the mouth of Spanish Fork Canyon.

The project has encountered a number of challenges along the way. Residents objected to its original location within 500 feet of homes, and it had to be moved to another site. That site required a lengthy annexation and zoning process before Wasatch Wind could build on it.

But with the land now prepared, Wasatch Wind is hoping to stick to its original timeline that calls for the facility to be up and running by the end of the year.

With the tax credit in place, Livingston said he expects to see a number of new wind projects in the near future. Wasatch Wind is planning additional, larger projects in the state already, he said.

"I think we're going to see some interest around the state," Livingston said. "One of the things investors are interested in is the political climate. It's as important as monetary issues, so from that perspective, (the tax credit) is very important."

Another company already reaping the benefits of the restored credit is UPC Wind, which plans to build a 200-megawatt wind farm outside of Milford, Beaver County, in 2008. Just days after SB223 was signed into law, UPC announced it had won a bid to sell all the power produced at the Milford site to the Southern California Public Power Authority.

"The tax credit was definitely important to us," said Paul Gaynor, president and CEO of UPC Wind, which is based in Massachusetts. "What it does is help us become more competitive to sell renewable energy to Western markets."

Without the credit, Gaynor said, his company may not have been able to win the bid, and the Milford project likely would not have happened. With an investment that numbers in the hundreds of millions of dollars to build a large-scale facility, Gaynor said all the purchasing agreements for a project must be complete before the project can become a reality.

UPC also is looking at expanding its presence in Utah — Gaynor said the Milford site will at least double in capacity before UPC is done building there.

Modern turbines, which can produce 100 times as much power as they could just 10 years ago, are a major factor that will allow for the growth of wind energy in Utah and throughout the nation, Gaynor said.

Tax credits also could give Utah a leg-up on neighboring states as the industry expands.