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On land, the cheapest built wind stations are generating electricity for as little as EUR 0.03/kWh, well within the range of generation costs for thermal plant competitors, and for EUR 0.05/kWh on the more numerous and less windy sites available (Windpower Monthly, January 2003). A detailed analysis of the cost of offshore wind power in this issue reveals there is considerable scope for cost reductions. Offshore wind prices will have to halve in Britain and fall by about one-third in Denmark (based on the price of power from the 160 MW Horns Rev wind station) to compete with gas power prices. There are strong indications those reductions will be achieved within this decade.

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