The electricity industry is over 100 years old. During this time it has grown dramatically and has developed organisational structures and methods of doing business. In parallel with the radical changes that are occurring in the structures of the electricity industry, there is a dramatic increase in the amount of wind power being connected to many electricity grids. Wind power development is being driven by the desire to reduce harmful greenhouse gas emissions and by substantial cost increases in fossil fuels and security of supply issues which make wind power more attractive and more competitive. The convergence of elec tricity industry restructuring with an increase in wind generation capacity poses a significant challenge to the industry.

Chapter Contents:

• 7.1 Introduction
• 7.2 The electrical energy market
• 7.3 Balancing, capacity and ancillary services
• 7.4 Support mechanisms
• 7.5 Costs
• 7.6 Investment and risk
• 7.7 The future

Inspec keywords: air pollution; power markets; power generation economics; wind power plants; environmental factors

Other keywords: electricity grid; electricity market; wind generation capacity; wind power generation; greenhouse gas emission reduction

Subjects: Wind power plants