For Complete List Of Links to External Resources and Documents on the Economics of Wind Turbine scroll to the bottom of the post.

The main factors governing wind power economics are:
• Investment costs, including wind turbines, foundations and grid connection
• Operation and maintenance costs
• Electricity production/average wind speed
• Turbine lifetime
• Discount rate

Of these, the most important parameters are the wind turbines’ electricity production and their
investment costs. As electricity production is highly dependent on wind conditions, selecting
the right site is critical to achieving economic viability.

Three major trends have dominated the economics of grid connected wind turbines in recent years:
• The turbines have grown larger and taller. The average capacity of turbines installed in
Germany and Denmark increased from approximately 200 kW in 1990 to almost 1.5 MW during
2002. Turbines in the 1.5 to 2.5 MW range have more than doubled their share of the global market
- from 16.9% in 2001 to 35.3% in 2003.
• Turbine efficiency has increased. A mixture of taller turbines, improved components
and better siting has resulted in an overall efficiency increase of 2 – 3% annually over the last
15 years.
• Investment costs have decreased.
The average cost per kW of installed wind power capacity currently varies from 900 €/kW to 1,150 €/kW. The turbine itself comprises about 80% of this total cost. The remainder is contributed by three main items – foundations, electrical installation, grid connection – and then other costs are land, road construction, consultancy and financing costs.

Links with the most essential information on Wind Energy Economics:

Economics of Offshore Wind Energy – http://guidedtour.windpower.org/en/tour/econ/offshore.htm

What does a Wind Turbine Cost? – http://guidedtour.windpower.org/en/tour/econ/index.htm

Installation Costs for Wind Turbines – http://guidedtour.windpower.org/en/tour/econ/install.htm

Operation and Maintenance Costs for Wind Turbines – http://guidedtour.windpower.org/en/tour/econ/oandm.htm

Energy Output from a Wind Turbine – http://guidedtour.windpower.org/en/tour/econ/income.htm

Wind Energy Economics -

http://guidedtour.windpower.org/en/tour/econ/economic.htm

Wind Energy Economics Calculator -http://guidedtour.windpower.org/en/tour/econ/econ.htm

Wind Energy, Finance and Economics -

http://www.ewea.org/fileadmin/ewea_documents…

Offshore Wind Energy -http://www.ewea.org/…

ECONOMICS OF WIND POWER -

http://www.wind-energy-the-facts.org/fr/part-3-economics-of-wind-power/economics-of–wind-power.html

Economics of Wind Energy (March 2009) – http://www.ewea.org/…

Every financial and economic aspect of wind energy is presented and analyzed in this new report, from the very basic cost of wind energy as it leaves the farm to the effect large amounts of wind energy in the electric system have on the power price. It considers the way wind energy is financed through support schemes, the extra investment risks that need to be covered, how wind’s external benefits can be weighted and how it should be economically compared to electricity production from fossil fuels.

Click here to download the full report in PDF.

Books On Wind Power Economics:

Large Wind Turbines: Design and Economics

Wind Energy: Fundamentals, Resource Analysis and Economics

Wind EnergyThe Facts: A Guide to the Technology, Economics and Future of Wind Power (European Wind Energy Associati)

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