Finance Options for Wind Turbines
Financing a Wind Turbine
Finding the right finance for your own wind turbine installation is one of the main considerations for many businesses or homes that want to use it as a renewable energy source. There are a range of avenues to explore, including whether you just want to rent out the ground for a supplier to use or you want to own the wind turbine outright and benefit the profits over the 20 year lifetime of the array.
Leasing Out Your Property for a Wind Turbine
There are a number of installers and companies, as well as energy providers, in the US that will lease your land if you let them put in a wind turbine (or even a wind farm) on your property. The caveats are that you will need to have land that is suitable and a wind speed that will produce a good enough return. It’s something that many ranches and farms across the US are starting to do, earning valuable income while also helping to contribute to clean energy in their state.
Financing Your Own Wind Turbine
The cost of wind turbines is greater than most other renewable sources and the installation can be complicated with the need for a strong foundation. Whereas a set of solar panels may cost you around $15,000 for a 4 kW system, a similar pole mounted wind turbine could cost in the region of $20,000 to $25,000. Bigger systems like a 20 kW turbine may well set you back up anywhere up to $100,000 depending on the type of installation and the costs of erecting the tower.
Obviously, how much you spend is going to be determined by the return on investment and how much profit you earn from the electricity you produce. The good news is that the bigger the system, the more likely you are to benefit and the payback period is shorter than you may think. Find out how much money your wind turbine is likely to make you here.
Financing Wind Turbines
The good news is there are a number of low cost finance options available in the US. First of all, there are low cost loans, particularly for remote agricultural areas, via federal and state funding. There are also substantial tax breaks and rebates including the federal tax credit. Much depends on the state you live in but they can make it a viable option for many communities and remote farms and ranches.
Tips for Choosing the Right Finance Options
Be sure that you have the right information at hand – What kind of wind turbine installation do you want? What is the return of investment likely to be? What are the areas that may need additional financing? In other words, be prepared.
Explore a range of financing opportunities from your own bank to more specialist green providers, as well as installers who offer finance options. Finance opportunities have increased for renewables such as wind and you can check out those for your state on the DSIRE website.
Make sure you take the right legal advice and check any contract carefully, especially if you have opted to lease your land out for the development of a wind farm or single turbine.
Should You Consider a Wind-Solar Hybrid?
Of all the renewable energies available for homes and businesses, wind turbine power is problematical when it comes to gaining the right finance, unless you live in a remote area. A number of urban sites such as schools have opted for a combination of wind and solar to provide their energy needs. The cheaper building mounted wind turbines work well in the winter whilst the solar draws in the energy more over the summer months.
Look here for some more US companies offering finance for renewable technologies