Onshore wind costs less than fossil fuels, according to a large utility company in Europe


Onshore wind costs less than fossil fuels, according to a large utility company in Europe

onshore wind

This figure is taken from the EDP presentation and assumes 25 per cent wind capacity factor.


 
The EDP, a large utility company in Portugal calculated that onshore wind energy is already one third cheaper than coal and one fifth cheaper than gas. Why are these numbers so significant? Because they come from the numbers of a utility company that profits from all types of energy sources, including coal, gas, hydro and renewables.
 
Even Bloomberg New Energy Finance statistics already show that onshore wind has a lower cost than gas or even coal; onshore wind is in the range €42–€78/MWh, compared to CCGT (base load gas) at €62–€98/MWh and coal at €75–€90/MWh.
 
Ethan Zindler, from Bloomberg New Energy Finance, said, “this should earn [wind energy] the right to not be called ‘alternative’ anymore.” BNEF commented, “The conclusion is clear: wind is competitive in many locations… the competitiveness of wind is not a new story.”
 
The head of renewables for Portugal’s EDP, João Manso Neto said “We see that renewables globally will be the main engine of growth (in new energy supply by 2020)… And within renewables, wind onshore is clearly the leader.”
 
Onshore wind has become very popular the last couple of years, especially as supplemental income for farmers and landowners alike who are able to take advantage of feed in tariff programs.
 
Hopefully more governments will wake up and pay attention to these positive numbers and to examples of countries like Germany and Australia who are using onshore wind to generate considerable amounts of their electricity.
 

Posted By Sally on May 23, 2014 | 0 Comment

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