The TRUE Cost of Wind Energy
Mike Walden
April 02, 2009
Wind energy really has its roots as a form of solar power, which arises when the earth´s surface is heated by the sun´s rays. The uneven surface of the earth together with its rotation gives rise to wind that moves from colder zones to warmer ones, therefore circulating the energy source. When wind turbines capture this kinetic energy, they can then convert it into electricity. With winds as a raw material, the cost of wind energy in an existing installation is very small.
Wind energy financials: what a wind power plant costs
Wind energy even amongst the new and renewable sources of electricity is one of the fastest growing types of energy in the world. Wind turbines and windmills are the two principally used sorts of generators for wind energy. The overall cost is determined by a number of items. In the nineteen eighties, wind energy generators showed a cost as high as 30 cents per kilowatt-hour. However since this time wind energy generators have become financially much more attractive meaning that the cost of electricity has dropped by a minimum of 80 percent and even more. 5 cents per kilowatt-hour is therefore the rate of cost of electricity from the new high tech wind energy power plants.
Wind energy also brings other advantages economically which means that it is certainly here to stay for the long run. There is no dependency on fossil fuels, which means freedom from the crises and the enormous expenses that the country has seen in the sense. Wind can be a consistent and also completely free source of energy if the wind turbines are installed correctly. With the growing opposition to the environmental impacts of conventional fossil fuel power plants, and the extremely attractive cost per unit of electricity from wind turbines, farmers and ranchers are now more and more using wind energy generation to supply their own needs for electricity and to sell back electricity to other people.
Doing wind energy generation cost-effectively means choosing a suitable location. Wind velocity is directly related to the amount of power generated, and a minimum of 5 meters per second is required for a reasonable supply of power.
Financially wind energy can be reduced in cost further.
With smart financing, cost per unit of electricity can be decreased to the level of 3,5 cents per kilowatt-hour. In this case investor-owned utilities can produce power at this rate when using a standard 50 MW wind power plant. Owning a wind project as a utility is one of the ways to achieve this substantial reduction in wind power cost. When using the same assumptions about financing for example for gas power plants, it is clear that wind energy is a winner in terms of returns on investment and reduction in overall investment required.
Help save the environment and money at the same time!
This article is based on the book, "Earth 4 Electricity- Renewable Energy Made Easy " by Jim Martin. Jim Martin is a researcher, inventor and home energy consultant who written dozens of home energy related articles and has been featured in ezines and print magazines, as well as on hundreds of websites worldwide.
To Learn More about Jim Martinīs Unique Step By Step Solar and Wind Power System Visit: Earth 4 Electricity.
For further information visit: Wind Energy Generator- How To Plan and Build It
Wind as a renewable and clean source of energy is accepted all over the world. Wind clearly saves the environment from the pollution such as acid rain and greenhouse gas that arises from fuel fossil fuel farms. The global warming and degradation of visibility are clear consequences of fossil fuel use. In addition the use of coal for example releases minute dust particles in the air, which trigger cardiovascular and the respiratory disease such as asthma in human beings. In addition, use of coal power plants has also been linked to a higher mortality rate in infants.
The cost of wind energy is significantly less than that of coal power plants. Wind energy generators have minimum life cycle cost as there is no fuel to be purchased and operating expenses can be extremely modest. In addition, wind power industry is still a relatively new occurrence in the markets and long-term contracts in the power generation domain are therefore possible to reduce the financing costs even further and lower the market risks. Wind power can be used and reused over again with no pollution and no requirement to pay out every time it is harnessed for electricity generation.
Wind energy financials: what a wind power plant costs
Wind energy even amongst the new and renewable sources of electricity is one of the fastest growing types of energy in the world. Wind turbines and windmills are the two principally used sorts of generators for wind energy. The overall cost is determined by a number of items. In the nineteen eighties, wind energy generators showed a cost as high as 30 cents per kilowatt-hour. However since this time wind energy generators have become financially much more attractive meaning that the cost of electricity has dropped by a minimum of 80 percent and even more. 5 cents per kilowatt-hour is therefore the rate of cost of electricity from the new high tech wind energy power plants.
Wind energy also brings other advantages economically which means that it is certainly here to stay for the long run. There is no dependency on fossil fuels, which means freedom from the crises and the enormous expenses that the country has seen in the sense. Wind can be a consistent and also completely free source of energy if the wind turbines are installed correctly. With the growing opposition to the environmental impacts of conventional fossil fuel power plants, and the extremely attractive cost per unit of electricity from wind turbines, farmers and ranchers are now more and more using wind energy generation to supply their own needs for electricity and to sell back electricity to other people.
Doing wind energy generation cost-effectively means choosing a suitable location. Wind velocity is directly related to the amount of power generated, and a minimum of 5 meters per second is required for a reasonable supply of power.
Financially wind energy can be reduced in cost further.
With smart financing, cost per unit of electricity can be decreased to the level of 3,5 cents per kilowatt-hour. In this case investor-owned utilities can produce power at this rate when using a standard 50 MW wind power plant. Owning a wind project as a utility is one of the ways to achieve this substantial reduction in wind power cost. When using the same assumptions about financing for example for gas power plants, it is clear that wind energy is a winner in terms of returns on investment and reduction in overall investment required.
Help save the environment and money at the same time!
This article is based on the book, "Earth 4 Electricity- Renewable Energy Made Easy " by Jim Martin. Jim Martin is a researcher, inventor and home energy consultant who written dozens of home energy related articles and has been featured in ezines and print magazines, as well as on hundreds of websites worldwide.
To Learn More about Jim Martinīs Unique Step By Step Solar and Wind Power System Visit: Earth 4 Electricity.
For further information visit: Wind Energy Generator- How To Plan and Build It
Wind as a renewable and clean source of energy is accepted all over the world. Wind clearly saves the environment from the pollution such as acid rain and greenhouse gas that arises from fuel fossil fuel farms. The global warming and degradation of visibility are clear consequences of fossil fuel use. In addition the use of coal for example releases minute dust particles in the air, which trigger cardiovascular and the respiratory disease such as asthma in human beings. In addition, use of coal power plants has also been linked to a higher mortality rate in infants.
The cost of wind energy is significantly less than that of coal power plants. Wind energy generators have minimum life cycle cost as there is no fuel to be purchased and operating expenses can be extremely modest. In addition, wind power industry is still a relatively new occurrence in the markets and long-term contracts in the power generation domain are therefore possible to reduce the financing costs even further and lower the market risks. Wind power can be used and reused over again with no pollution and no requirement to pay out every time it is harnessed for electricity generation.