I am trying to get a basic overall finical picture of a wind farm project. Like cost to buy and install wind turbines, revenue - operating expense - loan payback, to get to an overall profit margin and payback. From what I've been reading it looks like you need a huge initial capital for barely any profit. Is it possible to make a good living owning a 1-10MW wind farm? Why is it not done more often? Thanks everyone. And if you have any questions on utility grade gearbox design that's my feild and I'd be happy to answer them.
-Mike Tobias

Hey Tom - I too have been doing my due diligence to figure out the projected profitability of a wind farm of the scale you've mentioned. I'm a banker here in minneapolis and have been finding it slow going in getting the proper numbers together. By the looks of your number of responses, we're having the same issue. I have long been enamoured with the prospect of owning a wind farm but there needs to be an "average case" of figures that we can sink our teeth into, nobody wants to be a wind farmer if it means insolvency as well. Let me know how your search has been going and I'll do the same.
Nabil

Gentlemen,
The problem with finding the numbers for an average case is that the wind data for the existing farms is proprietary data. This is what I found in SW MN. The deveopers gather the data and keep it. There was not, nor is there now, incentive for the data to be released. Even now, with all the towers turning, you cannot get a power purchase agreement (PPA) without a feasability study which takes about a year of data gathering. Equipment specifications vary the variables that keep credit analysts leary.

It is capital intensive; and I have just named a few things to consider. But it does work. It works better with state production incentives. Usually there are equity partners to provide down payment in return for the production tax credits (PTC). This eases creditors' anxiety. The payoff is after the project is paid for which is usually projected at ten years with ten years remaining on the PPA.

Hope this gives you a better idea.

Charley