Vergara W., Deeb A., Toba N., Cramton P., Leino I. Wind Energy in Colombia: A Framework for Market Entry

World Bank, 2010, 100 pages, ISBN: 0821385046World Bank StudiesThe wind regime in Colombia has been rated among the best in South America. However, under the current circumstances, and on its own, the interconnected system would not likely promote wind power.This report is targeted to analysts, planners, operators, generators and decision makers in Colombia and other countries in the region and provides a set of policy options to promote the use of wind power. The potential instruments assessed in this study include financial instruments, government fiscal mechanisms, and adjustments to the regulatory system. The single most effective policy instrument to promote wind power in Colombia consists on valuing the firm energy offered by wind, its potential complementarity to the hydrological regime and enabling wind power an access to reliability payments.Executive Summary
Objective
General Context
Alternative Options for Colombia's Power Mix
Wind Energy Capital Costs Are Expected to Decrease
Wind and Hydro Energy Resources Are Complementary
Options to Address Barriers to Entry
Impact of Policy Options
Lessons LearnedContext
Structure of the ReportSummary of Findings from First Stage Report: Nonconventional Renewable Energy Barrier AnalysisCost Comparison of Alternative Power Sources Based on the Expansion Plan for 2008-2025
Methodology for Technology Cost Comparison
Least (Levelized) Cost ComparisonWind Power Costs Outlook
Technical Viability of Wind Power
Efficiency Gains over Time
Capital Cost Evolution
Operation and Maintenance Costs Are Decreasing
Wind Power Grid Integration
OutlookWind and Hydro in Colombia: Complementarity Analysis
Complementarity of the Wind and Hydro Regimes
Firm Energy and Joint Operation of Wind and Hydroelectric Projects\Options to Aid Market Entry of Wind Energy in the Country's Power MixOptions to Facilitate Market Entry of Wind Energy
Proposal to Address the Reliability Issue for Wind Energy