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Wind Power Economics - More on Wind Power EconomicsHere are a few more points to consider in the area of wind power economics. This information comes from The Alternative Energy Store. Additional Considerations In addition to the factors listed in the previous article on wind power economics, you should also * research potential legal and environmental obstacles * obtain cost and performance information from manufacturers * perform a complete economic analysis that accounts for a multitude of factors * understand the basics of a small wind system * review possibilities for combining your system with other energy sources, backups, and energy efficiency improvements.
You should establish an energy budget to help define the size of turbine that will be needed. Since energy efficiency is usually less expensive than energy production, making your house more energy efficient first will likely result in being able to spend less money since you may need a smaller wind turbine to meet your needs. Potential Legal and Environmental Obstacles Before you invest any time and money, research potential legal and environmental obstacles to installing a wind system. Some jurisdictions, for example, restrict the height of the structures permitted in residentially zoned areas, although variances are often obtainable (see "Wind System Basics which follows). Your neighbors might object to a wind machine that blocks their view, or they might be concerned about noise. Consider obstacles that might block the wind in the future (large planned developments or saplings, for example). If you plan to connect the wind generator to your local utility company's grid, find out its requirements for interconnections and buying electricity from small independent power producers. The Economics of Wind Power for Home Use A residential wind energy system can be a good long-term investment. However, because circumstances such as electricity rates and interest rates vary, you need to decide whether purchasing a wind system is a smart financial move for you. Be sure you or your financial adviser conduct a thorough analysis before you buy a wind energy system.
Grid-connected-system owners may be eligible to receive a small tax credit for the electricity they sell back to the utility. For 1996, it was 1.6 cents per kilowatt hour. The National Energy Policy Act of 1992 and the 1978 Public Utilities Regulatory Policy Act (PURPA) are two programs that apply to small independent power producers. PURPA also requires that the utility sell you power when you need it. Be sure you check with your local utility or state energy office before you assume any buy-back rate. Some Midwestern rates are very low (less than $.02/kWh), but some states have state-supported buy-back rates that encourage renewable energy generation. In addition, some states have "net billing," where utilities purchase excess electricity for the same rate at which they sell it.
Also, some states offer tax credits and some utilities offer rebates or other incentives that can offset the cost of purchasing and installing wind systems. Check with your state's department of revenue, your local utility, public utility commission, or your local energy office for information. For more information on wind power economics, click here. Share Your Experiencef you have any any stories or experience related to wind turbines or windmills and you would like to contribute your information as an article on our site, please visit our Share Your Experience Page!Learn MoreWind Energy Wind Energy Advantages Wind Energy Disadvantages History of the Wind Turbine Wind Energy Economics Prefered PartnersThe Alternative Energy Store Power your home with solar or wind power, visit the Alternative Energy Store! Silicon Solar
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