Wind energy is one of the most cost-effective renewable energy sources available. To encourage property owners to make “the switch,” many states offer tax deductions and financial incentives. Yet, you may wonder whether wind energy’s more expensive than it seems.
Per the U.S. Department of Energy, wind energy costs anywhere from one to two cents per kilowatt-hour after you get a tax credit. The average home consumes about 10,000 kilowatt-hours of energy a month. If operating on wind energy, the utility bill would cost less than $100.
There are other things to consider when considering wind energy, including how much it costs to install a wind turbine and what incentives the state offers. Continue reading to learn more.
How Much Does It Cost To Install a Wind Turbine?
The cost of installing a wind turbine depends on many factors, such as the size of one’s property. It generally costs anywhere from $3,000 to $5,000 to install a small wind turbine for a large home. This could be more or less, depending on pulling permits, requesting permission from the county, and the state’s financial incentives.
If you own a large business enterprise, such as a farm, it could cost you anywhere from $15,000 to $75,000 to install wind turbines on your property. Whether this is cost-effective depends on your situation.
Things To Know About Installing for Wind Turbines
When considering the total cost of wind energy, it’s a good idea to consider the following:
Some Energy Sources Could Work Better for You
While wind energy is a great source of electricity, it’s not right for everyone. Wind energy is popular and effective in these states, per the Nebraska Department of Environment and Energy:
- Texas
- Iowa
- Oklahoma
- Kansas
- Illinois
However, if you live in another region (such as Florida), wind energy isn’t as cost-effective. That’s because the state simply doesn’t have as much wind as other states, like the Midwest or the southwestern United States. In that instance, you might benefit more from solar energy.
Wind Energy Can Be Pricey To Get Started
When changing your property’s energy source to wind, you might have to pay for:
- Permits. You can’t build a wind turbine on your property without notifying the city or county. You might have to present your case to a zoning board, which could incur additional costs.
- The wind turbine itself. As noted, it can cost thousands of dollars to even install a small wind turbine. Its lifetime cost could depend on whether you pay for the turbine upfront or pay for it on a month-by-month basis.
- Additional property. You generally cannot have a wind turbine within 150 to 300 meters of your home. This is both for your comfort (wind turbines can get loud) and safety. If you don’t have a property that large, you might have to buy an adjoining lot or additional acres of land.
- Your home’s “hookups.” Once installing a wind turbine, you’ll have to outfit your home to connect with that system. How much this costs could depend on your home’s age, where you live, and who you’ve purchased (or leased) the wind turbine from.
- Maintenance fees. If your wind turbines break down (or don’t work as expected), you might have to pay for a specialist to come to assess the damage. This consultation, in addition to the cost of repairs, could add up.
- Replacement costs. Sources note that your wind turbine’s blades will likely last for 25 to 35 years. At first glance, this might not seem like an issue (after all, 25 years is a pretty long time). Yet, when it comes time to replace those blades, it could be hard (and expensive) to get these replacements. After all, the manufacturer may not make those pieces anymore.
Tax Incentives Could Make Wind Energy Cheaper
TurboTax notes that as of 2021, you could get a tax credit that covers 30 percent of the cost to install two wind turbines on your property. Your state could provide additional financial incentives.
The U.S. Department of Energy notes that when determining what incentives you should receive, the government will consider where you live, the types and number of turbines you’re installing and whether you’re powering a home or business.
Is Wind Energy Right for Me?
From a purely ecological perspective, switching to wind energy is one of the best things you can do for the environment. From a financial perspective, you’ll have to consider many different aspects.
Per the U.S. Department of Energy, when contemplating wind energy, you should consider:
- The size of the system you’ll need
- Your property and family’s energy consumption habits
- What you could do to reduce your energy use
- Where you live
- How long do you expect to stay at your property
A Final Word
Once up and running, a wind energy system will save you thousands on monthly utility bills. Yet, there are many things to consider. The bottom line is, when wondering whether wind energy is expensive, you’ll have to consider your situation.