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International Starch Institute
Science Park Aarhus, Denmark
Wind Power in Denmark

Subsidized or Not - That's the Question.

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Windmill

150 kW Wind Generators

The wind mill owner purchases electricity from the local works and pays the same tariffs as everybody. 

Example:  Year 2000 one particular owner "Mr. NN" bought 19.961 kWh from the electricity works and was billed:

Example of One Household' Electricity Consumption:

Text on the bill (statsafgift = tax;  Øre = 1/100 DKK)

kWh

Øre/ kWh

DKK

Prioriteret el

7985

41,5

3.313,78

Øvrig (Other) el

11976

16,1

1.928,14

Nettarif

19961

10,3

2.055,98

Systemtarif

19961

2,8

558,91

Fast afgift

   

570,00

Cost excl. tax and VAT      8.426,80

Statsafgift

4008

53,6

2.148,29

Statsafgift elvarme

15953

47,1

7.513,86

CO2-afgift

19961

10

1.996,10

Moms (VAT)

   

5.021,26

Tax: 16.679,51

Total

   

25.106,32

Average Øre/kwh

 

125,8

 

Tax and VAT Øre/kWh

 

83,6

 

Average excl. tax and VAT Øre/kWh

 

42,2

 

Year 2000 the same wind mill owner Mr. NN produced on his share a total of 35,011 kWh with the following sales value, costs and dividend.

Example of Electricity Production on a Wind Mill Share of One Household (NN):

 

Total Shares

NN' shares

Shares, numbers

587

31

Cost 1988, DKK

2.175.353

114.882

State subsidy 15%, DKK

326.303

17.232

Share capital 1988, DKK

1.849.050

97.650

     

Production year 2000, kWh

662.959

35.011

Sales: 30,18 Øre/kWh + 27,00 Øre /kWh 
- fast afgift=

Electricity sales, DKK

371.253

19.606

       

Operating costs, DKK

63.748

3.367

Interest of savings, DKK

20.616

1.089

Profit, DKK

328.121

17.328

Dividend, DKK

258.280

13.640

Put aside, DKK

69.841

3.688

IRR %

 

14,0%

Sales DKK/kwh

 

0,56

Although the owner Mr. NN produces and delivers to the net 75% more electricity than he consumes, he pays 28% more than he gets. 

With a wind mill investment of 100.000 DKK a household may produce enough energy (35.000 kWh/year) to cover its of own consumption for any purpose and at a price of approximately 0,20 DKK/kWh inclusive depreciation (25 year lifetime of wind mill).

One USD ~ Eight DKK (February 2001)


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Keywords: energy,wind,generator,mill,denmark