1. Two commonly used methods of financial analysis are payback and present value. Payback determines the length of time for an investment to return its original cost (1). Using the assumptions stated below the payback of the Jiminy Nick wind turbine with a cost of about $3.3 million would return the investment in about four years time. Net present value summarizes the initial cost of an investment, the estimated annual cash flows, and expected salvage value, taking into account the time value of money (1). A NPV calculation for the scenario SED is reviewing equals $7,697,286 minus the investment costs of $3,318,000 totaling $4,379,286.
The capital budgeting analysis reflects the assumptions stated in the case scenario that the initial
…show more content…
Not only is the wind turbine environmentally sustainable, it can lead to tremendous cost savings for the resort. Below are the advantages (3):
• The turbine is able to generate energy 24 hours a day, 7 days a week. While the resort may not use all of the electricity that the turbine generates, the excess electricity can be diverted to the power grid and sold resulting in additional money for the resort (approximately $161,000/year).
• With a wind turbine, Jiminy Peak Mountain Resort will buy 2.3 million fewer kWh per year resulting in cost savings for the resort.
• The resort will benefit from renewable energy production tax credits for 10 years.
• The wind turbine eliminates the need for diesel fuel generated power.
• The wind turbine eliminates gases such as CO2, SOx and NOx.
• The turbine does not produce much sound at 200 yards away, only that equivalent to a quiet whisper.
3. While the wind turbine can be advantageous to Jiminy Peak Mountain Resort, the resort must also consider the disadvantages of erecting the turbine prior to making a final decision (4).
• The wind turbine is taller than the Statue of Liberty and its blades are more than 100 feet wide. Local residents may not want such a tall structure at the top of the mountain.
• The construction materials for the wind turbine would travel noisily through the local community which would add to the road
With no doubt in mind the wind power plants are safer than most power providing resources. Providing clean energy for the human race and having a positive influence on climate change, the wind power industry is on a rise. With help from the government and with companies becoming more prominent on efficient energy, we could see an even bigger demand for wind power. Environmentally, the wind farms are one of the safest because of the low carbon and emission levels. Continuing are efforts to a safer future, the world is looking into wind farms more and more to help generate enough energy for the human
As the global supply of fossil fuels becomes steadily lower, need is growing for new energy sources that are beneficial to the environment and cost-effective. Wind power is one solution to this need. Wind turbines require significant investment, but are cost-efficient in the long term. If construction of turbines is sufficiently increased, the wind may be able to in the future provide a very major portion of global energy.
Economically, wind power is cost effective. Costing between ten and eleven cents per kilowatt-hour, it is one of the lowest-priced
The wind turbines are made and created from a local power plant in Valeria and it helps create kinetic and solar energy. The Wind Power is sustainable because wind turbines are a conversion to kinetic energy and the wind is mechanical power. But the
In the Book Building Green Skyscrapers by Mary Reid, the wind turbine is the best because it can be be use for two uses. To start wind turbines can power up buildings. The narrator stated “The wind spins the huge blades of a wind turbine... the turbine runs a machine called a generator. “ (Reid 5). This shows that this can save energy because all extra energy goes into the batteries for later use. Furthermore, Wind is the best type of source. The narrator stated “Wind power is one free source of clean electricity… wind does not produce harmful gases… Nobody needs to worry about running low on wind” (Reid 4). This explains that wind turbines are the best because you can always count on wind to help if you need. In conclusion, Wind Turbines
To start off, wind turbines have a harmful effect on the environment. Birds, bats, and any other flying creatures kill over 400,000 birds every year (4). Another problem with wind turbines is the effect on the people living around the turbine. Wind turbines that make a lot of noise are often not welcomed by homeowners in the area (5). The looks of the turbine has also been an issue when in sight of people living in the area as some people do not like how the turbine looks (5). Many of these negatives do need to be taken into account when building or planning these
H. Sterling Burnett's essay, "Wind Power Puffery," looks at the supposed beneficial alternative to burning fossil fuels: wind power. Many environmentalists view wind power as a resourceful way to reduce pollution and greenhouse gasses despite the costly methods. However, the negative aspects of wind farms override the ideal environmental benefits wind power can provide. Wind power is not only expensive, but it is limited, unsightly, and the turbines are killing native birds and bats. Contrary to the belief that wind power improves air pollution, the turbines work only when there is a certain range of wind. Too little wind produces no energy and too much wind causes a potential for the towers to blow down.
The main problem that many residents have been very vocal about when it comes to wind turbines has to do with sound. Such complaints are usually about how loud the wind turbines are, but trying to find out exactly how loud the turbines can be leads to conflicting sources. According to a report by General Electrics, at 300 meters away, the closest distance a wind turbine is normally placed to a house, the noise heard from a wind turbine would be between 46 and 43 decibels (Kellner and Keane). “To put that in context, the average air conditioner can reach 50 decibels of noise, and most refrigerators run at around 40 decibels,”
From some of the local farmers and residence we the committee have spoken to; their only concern was if that it would affect their livestock and/or the wildlife. In Michigan, Heritage Sustainable Energy is the main company to construct wind turbines (heritagewindenergy.com).
Electricity is then produced. Usually, several wind towers are built together in windy places to be called wind farms.
For this last case study, we focus on the topic of wind power, the details of the Catamount Energy and the Glebe Mountain Wind Farm Case, and the importance of wind power around the world. It was very interesting learning about the history of the wind power and how it made an impact in the world. To start it off, it is important to understand the significance of wind power and how it plays in important role in this case study. The earliest appearance of wind power was traced back to 2000 BC in ancient Babylon. It was used to grind grain and pump water. Over the next thousand years, windmills began to spread to the Islamic world, China, and India. The usage of windmills traveled to the western world during the medieval times and slowly began to adapt for use of irrigation canals. During the 19th century, the steam based railway system had made its introduction to the world, while using windmills to pump water into train engines. In Europe, windmills were the primary energy source during the 19th century until the steam engine came through. Then during the early and mid 1950s, that 's when government efforts to extend this windmill power grid to every American household ended the market for these machines. In record, the first largest windmill usage to generate electricity was built in Cleveland, Ohio in 1888 by a man named Charles F. Brush. The Brush windmill was successful and for over twenty years it is being operated. A Dane, Pou La court designed the first wind machine
What makes any form of electrical generation efficient? Is it the cost per energy unit, or the acreage needed per produced energy unit, or the impact/s on the climate? The reality is all of those factors and many more go into it – and there are varying degrees of “yes” and “no” depending on which factors the analysis is based upon. Considering the finite reality of natural resources, fossil-fuel produced electricity will never be a permanent solution to electricity needs and shortages - but can wind power play a real role in replacing those fossil-fuel based power plants? The solution this paper will suggest is an educated effort at the best and most practical (and efficient) uses for wind power.
With the persistent winds being vital for power generation as we know the point of turbine installation should be favourable for that. With
3. Although wind turbines can be very tall each takes up only a small plot of land. This means that the land below can still be used. This is especially the case in agricultural areas as farming can still continue.
Noisy, Monstrous, Nauseous, giant, unpleasant, bird scaring are some of the basic properties that blink in our mind when we think about wind turbines. If we specifically talk about horizontal axis wind turbine(HAWT) then most turbines are not efficient when it is installed closed to the ground where there is not much wind. Also, the tall towers and long blades are very expensive and difficult to transport and install. Another disadvantage of HAWT is that it is difficult to perform repairing operations to HAWT because the gear box , generator and the rotor are all placed at the top of the tower. So to overcome this problems there is another option of Vertical Axis Wind