Spatial Differentiation of Profitability of Wind Turbine Investments in Poland

Abstract

Dilemmas related to the development of demand for renewable energy encourage continuous evaluation of such investments in various locations, taking into account market and environmental conditions. The conducted study concerns the analysis of the profitability of investment in a 1.65 MW wind turbine with a hub height of 70 m in various zones in Poland. The analysis was performed using the clustering method (cluster analysis and the Czekanowski diagram). Computer simulation was also used using the Hybrid Optimization of Multiple Energy Resources (HOMER), ver. x64 3.18.4 software. As a result, three zones were distinguished that ensure differentiation in the rates of return on investment in wind energy. The authors positively verified the hypothesis about the spatial differentiation of profitability in relation to the examined factors. The justification for investments in wind farms was demonstrated and factors determining their profitability were indicated. It was emphasized that, in the case of wind farms, energy production is relatively predictable, which shapes the benefits for investors, and facilitates financial planning and long-term return on investment.

Keywords

• wind energy
• renewable energy
• Homer Pro software
• cluster analysis
• energy economics