SOURCE: DNV KEMA Energy & Sustainability

DNV KEMA Energy & Sustainability

June 27, 2013 17:31 ET

New DNV KEMA Study Shows Improved Accuracy in Wind Industry Energy Assessments

Accurate Estimates May Lead to More Favorable Financing Terms for Wind Projects and Lower Wind Energy Costs

BURLINGTON, MA--(Marketwired - Jun 27, 2013) - A study by DNV KEMA Energy & Sustainability, a leading global energy consultancy and authority in testing, inspection and certification, found that performance predictions for large scale North American wind energy projects placed in service between 2010 and 2012 were substantially more accurate than for projects placed in service between 2001 and 2009. 

DNV KEMA recently published the 2013 update to its study "Actual versus Predicted Wind Power Project Performance." One of the key findings is that developments in wind energy assessment technology and expertise since 2009 have resulted in a substantial improvement in the industry's ability to accurately estimate a wind project's energy production before the project is built. The study indicates that wind energy projects entering service since 2010 have produced an average of 97% of the energy predicted, an improvement of 6% points over projects put in service between 2001 and 2009. Additional improvement is anticipated when data is available from projects whose energy estimates include recent changes in energy assessment techniques. 

"To minimize the cost of energy from wind energy projects, investors need to have confidence in the energy production estimates made before the projects are built," said Robert Poore, a Senior Advisor at DNV KEMA. "While DNV KEMA energy assessments have historically been more accurate than the industry average, we found that in the last three years improved methodologies for assessing project energy production have lowered the average variance between pre-construction energy estimates and actual plant performance for the entire industry. As confidence is gained in the improved methods, we expect to see less discounting of pre-construction estimates when investors evaluate wind projects. In the long run, this should help reduce the cost of energy from wind."

The DNV KEMA study identifies robust wind assessment campaigns, more comprehensive curtailment risk analysis and further research into wake and flow modeling as key elements in further reducing uncertainty in wind project energy assessments. "Our work with clients has demonstrated that an enhanced energy assessment program is one of the best investments a developer can make. When we plan and execute a better than average site measurement program, including the use of remote sensing, the reduced uncertainty in the energy assessment frequently results in more favorable financing terms, higher project value and higher confidence when bidding for power purchase agreements," says Mr. Poore. 

Read a related blog and view the report summary here

About DNV KEMA Energy & Sustainability

DNV KEMA Energy & Sustainability is a global authority in business and technical consultancy, testing and inspection, emissions reductions, certification, and risk management across the energy value-chain. In a world of increasing demand for energy, DNV KEMA has a major role to play in ensuring the availability, reliability, sustainability and profitability of energy and related products and processes. We combine unique expertise and facilities, in order to add value to our customers in the field of risk, performance and quality management.

With over 2,300 experts in more than 30 countries around the world, DNV KEMA is committed to driving the global transition toward a safe, reliable, efficient, and clean energy future. DNV KEMA is one of three companies in the DNV Group, alongside DNV Maritime and Oil & Gas and DNV Business Assurance. Learn more at www.dnvkema.com

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