An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria

Onwumere Michael; Dogara Matoh Dary; Aboh Hycinth; Gyuk Philip; Akutson Seth; Akuso Jonah

doi:doi:10.11648/j.sjee.20170505.12

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An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria

Onwumere Michael, Dogara Matoh Dary, Aboh Hycinth, Gyuk Philip, Akutson Seth, Akuso Jonah

Published in Science Journal of Energy Engineering (Volume 5, Issue 5)

Received: 7 April 2017 Accepted: 20 April 2017 Published: 8 November 2017

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Abstract

This paper presents an economic analysis on the viability of harnessing wind power for power generation in Kaduna State, based on wind data analysis of Kaduna and Zaria. The available wind power density of both Kaduna and Zaria of 246.69 W/m² and 296.76 W/m² respectively shows that Kaduna and Zaria can harness wind power for power generation at utility scale. How economical this would be in the long run is what this paper seeks to analyse. The one-time cost of planting a 300MW capacity wind turbines in either Kaduna or Zaria was found to be $716,680,000, which does not include the annual variable costs of $17,927,750.2. With the assumption that capital would be loaned from a bank at 7% interest to pay back in 30 years, the annual capital payment is estimated to be $57,754,663.67. Considering capacity factor, line losses, and a total annual costs of $90,121,079.79, the average cost of electricity per kWh was estimated as $0.0909.

Published in	Science Journal of Energy Engineering (Volume 5, Issue 5)
DOI	10.11648/j.sjee.20170505.12
Page(s)	124-129
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2017. Published by Science Publishing Group

Keywords

Economics of Wind Energy, Weibull Distribution and Parameters, Power Density

References

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[2]	Ohunakin, O. S. (2010): Energy Utilization and renewable energy source in Nigeria. Journal of Engineering and Applied Science 5 (2), 171-177.
[3]	Dogara M. D., Aboh H. O., Gyuk P. M., and Onwumere M. K. O. (2016): The Use Of Energy Pattern Factor (EPF) in Estimating Wind Power Density. World Science Journal.
[4]	Justus, C. G., Hargraves, W. R. and Mikhail, A. (1976): Height variation of Wind Speed and Wind Distribution Statistics. Geophys Res Lett, 3, pp.261-4.
[5]	Hennessey, J. R. (1977): Some Aspects of Wind Power Statistics. Journal of Applied Meteorology. 16(2), pp. 119-128
[6]	Waewsak, J., Chancham, C., Landry, M., and Gagnon, Y (2011): An Analysis of Wind Speed Distribution at Thasala, Nakhon Si Thammarat, Thailand. Journal of Sustainable Energy & Environment, 2, pp. 51-55.
[7]	NREL (National Renewable Energy Laboratory). (2006): Wind Farm Area Calculator, Power Technologies Energy Data Book. Retrieved from: http://www.nrel.gov/analysis/power_ databook/calc_wind.php
[8]	Xie, T., Pejnovic, N., Lees, A. F., and Ewing, E. (2008): Wind Energy: A Thorough Examination of Economic Viability. Energy and Energy Policy. University of Chicago. Retrieved from: http://franke.uchicago.edu/bp-energy
[9]	Trading Economics (2017): Nigerian Inflation Rate 1996-2017. Retrieved from http://tradingeconomics.com/nigeria/inflation-cpi
[10]	Ragheb, M (2017): Economics of Wind Energy. Retrieved from: http://mragheb.com/economicsofwindenergy.pdf
[11]	Wiser, Ryan., Jenni, Karen., Seel, Joachim., Baker, Erin., Hand, Maureen., Lautz, Eric., and Smith, Aaron (2016): Expert Elicitation Survey on Future Wind Energy Costs. Nature Energy Journal 1. 16135(2016)
[12]	IRENA (International Renewable Energy Agency) 2015: Renewable Energy Integration in Power Grids. Technology Brief Retrieved from: http://irena.org/DocumentDownloads/Publications/IRENAETSAP_Tech_Brief_Power_Grid_Integration_2015.pdf
[13]	Wiser, Ryan and Edward Kahn 1996. “Alternative Wind Power Ownership Structures: Financing Terms and Project Costs.” Retrieved from: http://eetd.lbl.gov/EA/EMP/reports/38921.pdf.
[14]	Andrew Mills., Ryan Wiser., and Kelvin Porter (2009): The Cost of Transmission for Wind Energy: A Review of Transmission Planning Studies. Environmental Energy Technologies Division. Retrieved from: http://eetd.lbl.gov/EA/EMP
[15]	Bahrman, M. (2006): Economics of Mine-Mouth Generations with HVDC Transmission Relative to Coal Transport. ABB Grid Systems.
[16]	OVO Energy (2011): Average Electricity Prices around the World: $/kWh Retrieved from: https://www.ovoenergy.com/guides/energy-guides/average-electricity-prices-kwh.html

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APA Style

Onwumere Michael, Dogara Matoh Dary, Aboh Hycinth, Gyuk Philip, Akutson Seth, et al. (2017). An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria. Science Journal of Energy Engineering, 5(5), 124-129. https://doi.org/10.11648/j.sjee.20170505.12

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ACS Style

Onwumere Michael; Dogara Matoh Dary; Aboh Hycinth; Gyuk Philip; Akutson Seth, et al. An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria. Sci. J. Energy Eng. 2017, 5(5), 124-129. doi: 10.11648/j.sjee.20170505.12

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AMA Style

Onwumere Michael, Dogara Matoh Dary, Aboh Hycinth, Gyuk Philip, Akutson Seth, et al. An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria. Sci J Energy Eng. 2017;5(5):124-129. doi: 10.11648/j.sjee.20170505.12

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@article{10.11648/j.sjee.20170505.12,
  author = {Onwumere Michael and Dogara Matoh Dary and Aboh Hycinth and Gyuk Philip and Akutson Seth and Akuso Jonah},
  title = {An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria},
  journal = {Science Journal of Energy Engineering},
  volume = {5},
  number = {5},
  pages = {124-129},
  doi = {10.11648/j.sjee.20170505.12},
  url = {https://doi.org/10.11648/j.sjee.20170505.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.sjee.20170505.12},
  abstract = {This paper presents an economic analysis on the viability of harnessing wind power for power generation in Kaduna State, based on wind data analysis of Kaduna and Zaria. The available wind power density of both Kaduna and Zaria of 246.69 W/m2 and 296.76 W/m2 respectively shows that Kaduna and Zaria can harness wind power for power generation at utility scale. How economical this would be in the long run is what this paper seeks to analyse. The one-time cost of planting a 300MW capacity wind turbines in either Kaduna or Zaria was found to be $716,680,000, which does not include the annual variable costs of $17,927,750.2. With the assumption that capital would be loaned from a bank at 7% interest to pay back in 30 years, the annual capital payment is estimated to be $57,754,663.67. Considering capacity factor, line losses, and a total annual costs of $90,121,079.79, the average cost of electricity per kWh was estimated as $0.0909.},
 year = {2017}
}

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TY  - JOUR
T1  - An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria
AU  - Onwumere Michael
AU  - Dogara Matoh Dary
AU  - Aboh Hycinth
AU  - Gyuk Philip
AU  - Akutson Seth
AU  - Akuso Jonah
Y1  - 2017/11/08
PY  - 2017
N1  - https://doi.org/10.11648/j.sjee.20170505.12
DO  - 10.11648/j.sjee.20170505.12
T2  - Science Journal of Energy Engineering
JF  - Science Journal of Energy Engineering
JO  - Science Journal of Energy Engineering
SP  - 124
EP  - 129
PB  - Science Publishing Group
SN  - 2376-8126
UR  - https://doi.org/10.11648/j.sjee.20170505.12
AB  - This paper presents an economic analysis on the viability of harnessing wind power for power generation in Kaduna State, based on wind data analysis of Kaduna and Zaria. The available wind power density of both Kaduna and Zaria of 246.69 W/m2 and 296.76 W/m2 respectively shows that Kaduna and Zaria can harness wind power for power generation at utility scale. How economical this would be in the long run is what this paper seeks to analyse. The one-time cost of planting a 300MW capacity wind turbines in either Kaduna or Zaria was found to be $716,680,000, which does not include the annual variable costs of $17,927,750.2. With the assumption that capital would be loaned from a bank at 7% interest to pay back in 30 years, the annual capital payment is estimated to be $57,754,663.67. Considering capacity factor, line losses, and a total annual costs of $90,121,079.79, the average cost of electricity per kWh was estimated as $0.0909.
VL  - 5
IS  - 5
ER  -

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Author Information

Onwumere Michael

Department of Physics, Kaduna State University, Kaduna, Nigeria
Dogara Matoh Dary

Department of Physics, Kaduna State University, Kaduna, Nigeria
Aboh Hycinth

Department of Physics, Kaduna State University, Kaduna, Nigeria
Gyuk Philip

Department of Physics, Kaduna State University, Kaduna, Nigeria
Akutson Seth

Department of Economics, Kaduna State University, Kaduna, Nigeria
Akuso Jonah

Department of Economics, Kaduna State University, Kaduna, Nigeria

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APA Style

Onwumere Michael, Dogara Matoh Dary, Aboh Hycinth, Gyuk Philip, Akutson Seth, et al. (2017). An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria. Science Journal of Energy Engineering, 5(5), 124-129. https://doi.org/10.11648/j.sjee.20170505.12

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ACS Style

Onwumere Michael; Dogara Matoh Dary; Aboh Hycinth; Gyuk Philip; Akutson Seth, et al. An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria. Sci. J. Energy Eng. 2017, 5(5), 124-129. doi: 10.11648/j.sjee.20170505.12

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AMA Style

Onwumere Michael, Dogara Matoh Dary, Aboh Hycinth, Gyuk Philip, Akutson Seth, et al. An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria. Sci J Energy Eng. 2017;5(5):124-129. doi: 10.11648/j.sjee.20170505.12

Copy | Download

@article{10.11648/j.sjee.20170505.12,
  author = {Onwumere Michael and Dogara Matoh Dary and Aboh Hycinth and Gyuk Philip and Akutson Seth and Akuso Jonah},
  title = {An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria},
  journal = {Science Journal of Energy Engineering},
  volume = {5},
  number = {5},
  pages = {124-129},
  doi = {10.11648/j.sjee.20170505.12},
  url = {https://doi.org/10.11648/j.sjee.20170505.12},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.sjee.20170505.12},
  abstract = {This paper presents an economic analysis on the viability of harnessing wind power for power generation in Kaduna State, based on wind data analysis of Kaduna and Zaria. The available wind power density of both Kaduna and Zaria of 246.69 W/m2 and 296.76 W/m2 respectively shows that Kaduna and Zaria can harness wind power for power generation at utility scale. How economical this would be in the long run is what this paper seeks to analyse. The one-time cost of planting a 300MW capacity wind turbines in either Kaduna or Zaria was found to be $716,680,000, which does not include the annual variable costs of $17,927,750.2. With the assumption that capital would be loaned from a bank at 7% interest to pay back in 30 years, the annual capital payment is estimated to be $57,754,663.67. Considering capacity factor, line losses, and a total annual costs of $90,121,079.79, the average cost of electricity per kWh was estimated as $0.0909.},
 year = {2017}
}

Copy | Download

TY  - JOUR
T1  - An Economic Analysis on the Viability of Harnessing Wind Energy for Power Generation in Kaduna State, Nigeria
AU  - Onwumere Michael
AU  - Dogara Matoh Dary
AU  - Aboh Hycinth
AU  - Gyuk Philip
AU  - Akutson Seth
AU  - Akuso Jonah
Y1  - 2017/11/08
PY  - 2017
N1  - https://doi.org/10.11648/j.sjee.20170505.12
DO  - 10.11648/j.sjee.20170505.12
T2  - Science Journal of Energy Engineering
JF  - Science Journal of Energy Engineering
JO  - Science Journal of Energy Engineering
SP  - 124
EP  - 129
PB  - Science Publishing Group
SN  - 2376-8126
UR  - https://doi.org/10.11648/j.sjee.20170505.12
AB  - This paper presents an economic analysis on the viability of harnessing wind power for power generation in Kaduna State, based on wind data analysis of Kaduna and Zaria. The available wind power density of both Kaduna and Zaria of 246.69 W/m2 and 296.76 W/m2 respectively shows that Kaduna and Zaria can harness wind power for power generation at utility scale. How economical this would be in the long run is what this paper seeks to analyse. The one-time cost of planting a 300MW capacity wind turbines in either Kaduna or Zaria was found to be $716,680,000, which does not include the annual variable costs of $17,927,750.2. With the assumption that capital would be loaned from a bank at 7% interest to pay back in 30 years, the annual capital payment is estimated to be $57,754,663.67. Considering capacity factor, line losses, and a total annual costs of $90,121,079.79, the average cost of electricity per kWh was estimated as $0.0909.
VL  - 5
IS  - 5
ER  -

Copy | Download