Thursday, 22 October 2015

Poor winds see wind farms make losses


Bad news for wind farm investors - poor winds in the past month see wind farms make losses







The weather for the past 30 days was characterized by quite a lot of high pressure activity, dry weather and low winds. Total output for wind farms in the Republic of Ireland for this period was 280,329 MWhrs. Data from SEM-O for the year 2013/14 shows that wind farms earned € 83 per MWhr and had costs (including depreciation) of € 24.9 million per month.

This means when one does the maths, wind farms suffered a loss of € 1.6 million over the past 30 days.  Bad news for investors and the green energy revolution.

With a couple more months like this, we could be seeing, as Colm McCarthy once predicted, a NAMA for windfarms.



Sources: 

SEM COMMITTEE Generator Financial Performance in the Single Electricity Market (SEM) 19th December 2014

Eirgrid Smart Grid website

3 comments:

  1. Perhaps they have insurance for lack of wind.

    I kid you not, this actually exists :

    http://www.munichre.com/corporate-insurance-partner/en/W-2/business-and-solutions/special-enterprise-risk/green-tech-solutions/wind-energy/lack-of-wind-cover/index.html

    ReplyDelete
  2. Sean O'Dubhlaoigh23 October 2015 at 10:05

    BNM summarily makes its workers redundant and asks for 30% pay cuts. The IWEA is frightened by a rates revaluation. Wind farms in Denmark are now complaining that they cannot cover their maintenance costs with the wholesale price any more. Everyone who invests long term in this so called industry will lose their money and deserve to.

    ReplyDelete
  3. The Irish Labour Party who hold the Energy and Environment port folios are now polling @ 7%. down from over 10% in the 2011 election. Its not collecting them votes for all their green efforts. The Green party is on 1%, so there are few votes in wind or other green policies

    ReplyDelete