Estimation of Power Generation Costs and Electricity Price for Wind Farm in China

Abstract-Approval standard of electricity price is currently the focus of discussion in the national wind power industry. How to determine an appropriate electricity tariff to promote the sustainable and healthy development of wind power is the urgent problem that wind power company need to solve. In this paper, a generation cost assessment model for wind power is established, taking the cost accounting of Changdao wind farm as an example. On this basis, a fixed price system, which adopts 10% as an IRR of total investment, is used to determine the on-grid electricity price of wind power, combining the unit investment per kW and equivalent full load hours. This calculating model is used to assess the price of Changdao wind farm; meanwhile, study and comparison with the actual price in operation process are done for other two wind farms. The result proves the practicability and rationality of this wind electricity price calculation model.