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Economics from the Windicator

Perhaps the biggest boost to wind's fortunes during the past quarter has been the relentless increase in the price of gas and the realisation the are not likely to go down again. This is partly because the price of gas is linked to the price of oil, and partly because of huge demand. Concerns is mounting everywhere about the risk of dependency on a single fuel. Detailed analyses of the possible impact on consumer electricity prices have appeared in Pennsylvania, Britain, Australia and elsewhere. The common thread is that compared with unstable gas, wind looks attractive, with any price penalty disappearing by around 2010.

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