When you own a wind farm with Ripple, you get the electricity it generates at its low and stable operating cost. The difference between the volatile market value of the electricity and the running costs of your wind farm becomes a saving on your electricity bill. Higher electricity prices mean bigger savings on your electricity bills.
It is, however, difficult to forecast what the electricity price will be, which makes it tricky to say with certainty what owners’ wind farm savings will be.
We use the Government’s forecasts for our pricing models because they’re thorough and transparent. They haven’t been updated since 2020, well before energy prices began to rise. As a result of using the Government forecast, the electricity bill savings we estimate are around 4.5p/kWh over the wind farm’s lifetime.
Cornwall Insight, a respected energy consultancy, has suggested energy prices will remain in excess of £125/MWh until at least 2030 (the orange line on the graph). This is substantially higher than the prices in the Government’s forecasts (the purple lines on the graph) which we use in our classic quotes. Based on this forecast, wind farm ownership could deliver savings of around 10p/kWh until 2030. This would reduce the payback period to just 4-5 years.
No one knows exactly what is going to happen with electricity prices in future. Views are, however, emerging which suggest they could stay high for the foreseeable future. Tom Edwards, senior modeller at Cornwall Insight said:
“While we are used to seeing headlines depicting energy prices at an all-time high, unfortunately, while prices will reduce, our modelling shows that pre-2021 prices are not making a comeback this decade and likely beyond.”
Our Graig Fatha members are already seeing savings of 9.5p/kWh on their wind farm generation. There is potential for these high rates of savings to continue, at least if the recent forecasts prove to be correct.
With energy prices continuing to sky rocket, now is the perfect time to own your own source of clean power. For those looking to take their energy security into their own hands, membership for Kirk Hill wind farm is still open until midnight 3rd May 2022. Over 4500 people have already signed up. Kirk Hill offers you clean, affordable energy whilst helping protect you from future price shocks.