Small Wind Reaches 100 MW Milestone in U.S. with 15% Growth in 2009

The 2010 AWEA Small Wind Turbine Global Market Study, released this week, found that despite an economic downturn the U.S. market for small wind turbines – those with rated capacities of 100 kilowatts (kW) and less – grew 15% in 2009 with 20 Megawatts (MW) of new capacity and $82.4 million in sales.   This growth equates to nearly 10,000 new units and pushes the total installed capacity in the U.S. to 100 MW.

Half of this 100 MW milestone capacity came within the past three years of the industry’s 80-year history.  Manufacturers attribute this growth to a mixture of new and improved federal and state incentives, optimistic private equity investors, and sustained consumer demand.

The 2009 American Recovery and Reinvestment Act expanded the federal investment tax credit (ITC) for small wind turbines, allowing consumers to take fully 30% of the total cost of a small wind system as a tax credit.  In 2009 an additional $80 million of private equity was invested into manufacturing companies during the peak of the economic recession, totaling at least $252.7 million in outside equity invested across 20 manufacturers (most of them U.S.-based) over the past five years.  This investment provided companies with capital to increase production, lower costs, meet sustained demand, and even acquire competitors. 

Other Key Statistics:

• 95% of all small wind systems sold in the U.S. last year were made by U.S. manufacturers
  
• 2/3 of all small wind systems sold in the world last year were made by U.S. manufacturers
  
• Approximately 250 companies worldwide manufacture or plan to manufacture small wind turbines, 95 of which—more than one-third—are based in the U.S.
  
• An estimated 100,000 units have been sold in the U.S. since 1980
  

The complete report is available at: www.awea.org/smallwind/pdf/2010_AWEA_Small_Wind_Turbine_Global_Market_Study.pdf