Wind Directions: Powering down prices
Increased wind energy can cut the power price by as much as €23 per Megawatt hour, reveals the latest Wind Directions. Wind power has priority access to the electricity grid, and so when the amount produced goes up, it pushes out more expensive fuel sources like gas, and brings spot prices down.
The Wind Directions investigation is based on a review of material recently published on the issue, commissioned by EWEA, launched at EWEC 2010 and available on EWEA’s website.
Anne-Franzkiska Sinner from Pöyry, which carried out the review, points out that “the overall amount the price goes down depends on the power mix in the country, and how much more expensive the fuels are that the wind is replacing”.
However, it appears clear that customers stand to benefit from lower power bills in areas with more wind in the power mix.
Poul-Erik Morthorst from the Risoe DTU Institute summarises the point: “In a country with a lot of wind power, customers will have lower power bills, relatively speaking, than in a country where there is little or none.”
Read April’s Wind Directions.
Sarah Azau, Editor