Wind energy is one of the greenest out there.  Many residential property owners are looking into the cost of using this resource, and they are getting sticker shock.  According to an article in the Daily Journal of Commerce in Portland, Oregon, the shock isn’t from the price of the equipment, but from the cost of permitting and installation.  It can be up to three times as much as the system cost.  According to the article, a $6,500 system may cost $12,000 to $17,000 to install and permit.

The problem?  Mainly outdated code requirements.  They are often up to 20 years old, and do not address small wind projects.  According to a local manufacturer of small wind turbines, “Products are being shipped that aren’t installed….  Hopefully as an industry forms, we can address this issue.”

The high cost of installation isn’t deterring some customers.  In Oregon there are tax credits and incentives from utilities to help offset initial costs.  For many rural customers, the peace of mind that comes from not being dependent on the grid is worth the investment.  Installers in Central Oregon are seeing the amount of calls they receive triple in response to these growing concerns.

This trend continues nationwide.  According to the American Wind Energy Association, there has been a 15 percent increase in systems sold from 2008 to 2009, representing $82.4 million in sales in 2009.

The hope is that as more community residents adopt small wind, the much needed changes to the building code will be made.  Streamlining the process will increase the size of the market and lower costs, reducing the barrier to entry that many are heeding.  Much like solar panel efficiency in recent years, small wind efficiency should increase as the market size increases.  Current wind turbines require winds of 6 to 10 miles per hour.  One company, however, is boasting that theirs only needs 2 mph to generate electricity.

Small renewable power generators, such as windmills and solar panels, are an integral part of the concept of the Smart Grid.  Eventually they will help local utilities meet demand and lower costs by reducing infrastructure.  Therefore, it is important that these types of projects be supported, so that we can benefit from them in the future.

Photo courtesy of Mike Baird through a Creative Commons License.