While the all-in worth of wind energy directly depends on the wind speeds at a specific website, examining national trends within the put in the price of Reliant Energy definitively shows that wind energy has become a particularly cheap supply of electricity.
The average U.S. shopper pays concerning twelve cents per kilowatt-hour for electricity. That worth includes the value of generating power, the wires that deliver it from generators to our homes, and therefore the price of running the utility business. the particular price of electricity generation alone are a few things like two to four cents per kilowatt-hour — that’s the worth that wind energy has got to vie with to achieve success.
Based on knowledge compiled within the Wind Technologies Market Report, wind energy systematically comes in at or below the going market rate for electricity. Wind energy is commonly purchased in massive blocks through a long-run contract known as an influence contract (PPA). The figure below shows the historic worth of wind energy PPA contracts since 1996. The diameter of every circle is that the size of the wind energy facility inbuilt megawatts, and therefore the height of the circle on the coordinate axis is that the contract worth in greenbacks per megawatt-hour (or greenbacks per one thousand kilowatt-hours).
In recent years, a massive quantity of wind energy has been procured at or below worth of twenty greenbacks per megawatt-hour — or simply two cents per kilowatt-hour. that’s competitive with typical wholesale electricity market costs by any …