Document Type
Article
Publication Date
5-6-2010
Department
Department of Social Sciences
Abstract
Wind power is becoming an increasingly attractive method of electric power generation due to concerns with global climate change, increasing uncertainty of future oil supplies, and energy security. While most large-scale wind turbines are part of wind farms, which help states meet state renewable energy standards, several colleges and universities in the United States have purchased wind turbines for financial and educational purposes. This paper gives details of a cost-benefit analysis completed for a small liberal arts college in Illinois, Principia College, which is considering buying a single large-scale turbine. The process set forth here can easily be adapted to any college, university, or school. It is found that the project has a positive net present value for both a 20-year scenario and a 30-year scenario. Assuming the project did not receive any grants, Principia College would need to have an annual real return rate of about 6% on its initial investment to gain the same economic benefits.
Publication Title
Energies
Recommended Citation
Johnson, N. H.,
&
Solomon, B. D.
(2010).
A net-present value analysis for a wind turbine purchase at a small US college.
Energies,
9(5), 943-959.
http://doi.org/10.3390/en3050943
Retrieved from: https://digitalcommons.mtu.edu/michigantech-p/1964
Creative Commons License
This work is licensed under a Creative Commons Attribution 3.0 License.
Version
Publisher's PDF
Publisher's Statement
© 2010 by the authors; licensee MDPI, Basel, Switzerland. This article is an open-access article distributed under the terms and conditions of the Creative Commons Attribution license (http://creativecommons.org/licenses/by/3.0/). Publisher’s version of record: https://doi.org/10.3390/en3050943