Legal and economic considerations for building a home based wind power system in Michigan

The home based wind power industry has a key role to play in the development of Michigan´s energy landscape of the future. This paper analyzes the economic, legal and legislative issues impacting the purchase of a home based wind power system in the state. The economic analysis is performed using a break even analysis tool called the small wind analysis tool (SWAT), developed by the Ernest Orlando Lawrence Berkeley National Laboratory of the University of California Berkeley, California. The tool is used to determine the possible range of break even points for a typical 10 kWh system purchased for use in the state. The analysis results given in the paper will provide homeowners as well as wind power providers a template for determining the economic viability of purchasing and operating a home based wind power system in Michigan, from its inception and throughout its total useful life.