JFET_V3_N4_A1 T. Ahilan K.P. Mohammed S. Arumugham Journal on Future Engineering and Technology 2230 – 7184 3 4 1 10 Wind power, Wind turbine technology, Wind energy conversion The quantum of wind power generation, globally, is increasing rapidly. The background for this development is improved technology, decreased costs for the units, and increased concern regarding environmental problems of competing technologies such as fossil fuels. The present work is aimed at investigating the underlying economics of wind power. From being a source of energy that until recently appeared only on the fringes of the energy supply system, wind power has, over recent years, moved to centre stage in the government’s energy policy. This paper examines whether the economic analysis of this source of energy really justifies such a major role and whether alternative policy options should be considered. We need a “cheap, reliable and sustainable” source of energy. These three adjectives refer to the three main objectives of contemporary energy policy, namely economic efficiency, stability of supply, and a reduction in carbon emissions. These are themes, which will recur throughout this paper. This paper also covers the cost effectiveness of wind turbine power plants. May - July 2008 Copyright © 2008 i-manager publications. All rights reserved. i-manager Publications http://www.imanagerpublications.com/Article.aspx?ArticleId=598