Financial evaluation-wind energy


With development of wind energy technologies, prime cost of kW/H drastically dropped off- 5 times for the last 25 years. There are already single turbines for sale, with capacity from 4500 to 6000 kW.

When the right place for installing the wind generator is chosen, (in compliance with the topographic features) this technology rivals the conventional fuels.

What is the primer cost of 1 kW/h electric energy, produced by wind generators?

Capital costs for constructing a wind generator station depend on the size of the generator, proximity of the consumers or the grid, number of the trained staff and etc…

Operation costs depend most on the dimension of the constructed station- individual wind generator or wind farm.

The prime cost of the produced energy depends on the size of the capital and operative costs, as well, as, on the location of the constructed station.

An example: When the average speed of the wind is 6 m/s the prime cost of 1 kW/h from big generators over 2000 kW is 0, 07 euro.

How much electricity does one wind generator produces?

One wind generator with power 550kW on the appropriate place, (mean annual speed of the wind 6,3m/c) generates 770 000 kW/H electro energy annually. This means, that the productivity of the generator is 16%.

To assess the prime cost of 1kW/h electric energy, you can use the following formula.

P = ( I / n + r + C )/ E


P-Prime cost of 1 kW/h electro energy

I-Capital costs (investment cost)

n-Term of amortization

r- Annual rate of interest

C-Operation expenditures

E-Amount of electric energy, produced during the year in kW/h