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PROJECTS
1) The operating characteristics of turbine and generator mean that only
a small part of wind energy can be captured .Wind power is also
intermittent, unreliable and hard to predict. Therefore large backup or
storage systems are required. This adds to the capital and operating
costs and increases the instability of the network.
2)
Customers of this utility company pay more in their electricity bill than
the average customer -- totaling nearly $744,000 in 2011.
About $40 billion worth of wind turbines will go out of warranty by the
end of 2012.
Additionally, wind turbines are out of commission more than 20 percent of the time -only 0.5 percent of that time accounts for regularly scheduled maintenance. This makes
it difficult for companies to produce cheap energy to consumers.
On top of the costs of utility losses and the price of subsidies, companies forgo
investments in more economically viable projects. Rather than have the government
provide incentives for certain ventures, market forces can direct companies and public
officials to make sound investments. For example, agricultural and industrial users have
more to gain from wind-energy projects than municipal utilities.
In some cases, wind energy has proven an economical investment. Valero installed a
massive wind farm at its refinery in Texas that generates enough electricity for the entire
complex. Furthermore, equipment used to run Marcellus Shale gas runs off solar power.
In both cases, the firms were willing to invest in the alternative energy because it was
economical, not because the government provided incentives.