Barre, VT USA (9th December 2015) – Northern Power Systems Corp. (TSX: NPS), a next generation renewable energy technology company, today announced that substantial technology-driven operational improvements to its flagship Northern Power 100 kW wind turbine platform have been demonstrated to materially decrease the delivered Levelized Cost of Energy (LCOE) of wind power produced by its turbines.
“The current LCOE makes the Northern Power platform even more affordable for farmers, local businesses and on-site generation users trying to limit the ever increasing cost of electricity” said Reinout Oussoren, VP of Global Sales. “Small wind is now an even more viable alternative for commercial and industrial users.”
As highlighted in recent news from Bloomberg New Energy Finance, LCOE for renewables, including distributed wind and solar, continues to decrease while the same measure for fossil fuel increases. The LCOE—which includes the capital, operating, and any financing costs of an NPS 100 kW wind turbine over a 20-year+ operating life—has reached parity or better with electricity purchased from the grid.
“When installed at locations with an average 6.5 meter per second wind speed” Oussoren added, “a typical wind turbine installation will deliver energy costs of approximately 8 cents per kilowatt hour, with a Return on Equity (ROE) of up to 14 percent and payback in just over 5 years. If a customer leverages its purchase with 70% debt at a commercial rate of 7%, the ROE can exceed 30%.”
Distributed generation is most effective for local businesses and farmers that wish to benefit from natural resources in their location in order to offset high electricity prices and lock in the cost of electricity. Wind turbines perform best where there is more wind, but even in areas with lower wind speeds, by combining wind and solar, one is able to complement the variations in natural resources and deliver an effective and stable local generation alternative.
To learn more about how you can benefit from Northern Power Systems’ distributed generation products, including integrated microgrid solutions, please visit www.northernpower.com
About Northern Power Systems
Northern Power Systems designs, manufactures, and sells wind turbines and power technology products, and provides engineering development services and technology licenses for energy applications, into the global marketplace from its US headquarters and European offices.
- Northern Power Systems has almost 40 years’ experience in technologies and products generating renewable energy.
- Northern Power Systems currently manufactures the NPS™ 60 and NPS™ 100 turbines. With over 8.5 million run time hours across its global fleet, Northern Power wind turbines provide customers with clean, cost effective, reliable renewable energy.
- Patented next generation permanent magnet direct drive (PMDD) technology uses fewer moving parts, delivers higher energy capture, and provides increased reliability due to reduced maintenance and downtime.
- Northern Power Systems’ FlexPhase™ power converter platform uses patented converter architecture and advanced controls technology for advanced grid support and generation applications.
- Northern Power Systems offers comprehensive in‐house development services, including systems level engineering, advanced drivetrains, power electronics, PM machine design, and remote monitoring systems to the energy industry.
- Some of the world’s largest manufacturers license the company’s next generation technology and IP for their utility and distributed wind products and markets.
To learn more about Northern Power Systems, please visit www.northernpower.com.
Notice regarding forward-looking statements:
This release includes forward-looking statements regarding Northern Power Systems and its business, which may include, but is not limited to, product and financial performance, regulatory developments, supplier performance, anticipated opportunity and trends for growth in our customer base and our overall business, our market opportunity, expansion into new markets, and execution of the company’s growth strategy. Often, but not always, forward-looking statements can be identified by the use of words such as “plans”, “is expected”, “expects”, “scheduled”, “intends”, “contemplates”, “anticipates”, “believes”, “proposes” or variations (including negative variations) of such words and phrases, or state that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved. Such statements are based on the current expectations of the management of Northern Power Systems. The forward-looking events and circumstances discussed in this release may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting the company, including risks regarding the wind power industry; production, performance and acceptance of the company’s products; our sales cycle; our ability to convert backlog into revenue; performance by the company’s suppliers; our ability to maintain successful relationships with our partners and to enter into new partner relationships; our performance internationally; currency fluctuations; economic factors; competition; the equity markets generally; and the other risks detailed in Northern Power Systems’ risk factors discussed in filings with the U.S. Securities and Exchange Commission (the “SEC”), including but not limited to Northern Power Systems’ Annual Report on Form 10-K filed on March 31, 2015, as well as other documents that may be filed by Northern Power Systems from time to time with the SEC. Although Northern Power Systems has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking statement can be guaranteed. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Northern Power Systems undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.