An average small-scale wind turbine costs an individual Northern Ireland consumer just 1 pence over its 20-year lifespan, according to a new study from RenewableNI.
The review, carried out by KPMG, found the sector contributes £45m a year to the local economy and has created over 500 jobs.
Average small-scale wind turbine achieves a 9.7% rate of return, in line with the Government target, the study also found.
The report, ‘An Economic Review of Small-Scale Wind in Northern Ireland’, examines the socio-economic impact of small-scale wind, including costs, to the consumer.
It also reviews government support for the sector and evolution of support schemes including the NI Renewable Obligation (NIRO), as well as de-rated turbines and expected average rate of returns for operators.
The KPMG report found that the average small-scale wind turbine is expected to achieve an annual return (IRR) of 9.7%, which is broadly in line with the Government’s target return of 10.2%.
The annual cost of the NIRO to each NI consumer in 2019 was £31 and remains below the level forecast (£33) when the enhanced support for small-scale wind was introduced in 2009.
RenewableNI head Steven Agnew (pictured) said: “There has been a misconception recently about the value of small-scale wind locally and the impact of the NIRO scheme.
“This review carried out by experts in the field, reveals not only the true cost to consumers of the NIRO scheme but also the far-reaching positive benefits of small-scale wind for the economy, jobs and the environment, at a reasonable rate of return that falls under Government estimates.
“Small-scale wind also brings with it job creation, enhanced security of supply and the ability to infill pockets of grid capacity which can’t accommodate larger projects – all at the price of 1 pence per turbine to the NI consumer.”