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Energy and Power: Levelized Government Take (LGT) Tool

The Levelized Government Take (LGT) Tool is a practical decision-support resource designed to help governments, Tribal Nations, and energy project developers evaluate and compare the economic benefits that energy projects provide to host jurisdictions. Originally developed to support U.S. Tribal Nations, the tool can be applied by any sovereign nation, state, provincial, or local government seeking to assess the value of proposed energy investments. By converting diverse payment structures into a single standardized metric, the LGT Tool enables stakeholders to compare projects across different technologies, scales, land requirements, payment arrangements, and project lifespans using a consistent and transparent methodology.

At its core, the LGT Tool calculates the annualized value of all direct and indirect payments made by a project developer to a host jurisdiction—including land lease payments, taxes, payments in lieu of taxes (PILOTs), community benefit agreements, grants, and other approved contributions—and expresses that value as levelized dollars per acre per year. This metric, known as the Levelized Government Take, accounts for inflation, the time value of money, project duration, and land use requirements, allowing decision-makers to understand the long-term economic return generated by a project. The result is a clear and objective basis for evaluating competing development opportunities and negotiating agreements that maximize benefits for host communities.

To access the LGT Tool Excel File, please request access at the following link: 

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