Power plant runs as the wind blows
Isolated communities can obtain power around the clock with a Danish-developed wind-diesel system. The system switches between wind and diesel depending on whether the wind is blowing.
In many areas without electricity, the diesel generator is often the only source of power. The diesel generator is highly reliable, but has the disadvantage that the motor generates a relatively small amount of power compared with the amount of fuel it uses. As diesel prices have risen and focus on the reduction of CO2 emissions has increased, so too has the demand for a reliable replacement.
Windmills are a possible replacement, but the windmills have the obvious disadvantage that they only generate power when the wind is blowing. The Danish company Danvest Energy A/S has therefore come up with a more reliable solution, a so-called wind-diesel system. It consists of windmills connected with diesel generators. When the wind blows, the power is produced by windmills, and when the wind drops, the diesel motor takes over. There are many different types of wind-diesel systems, which can provide power for between 100 and 10,000 families.

Only one competitor
Danvest Energy designs, produces and installs the system, and the company operates in a global market with just one competitor, the Australian company Western Power Corporation. Potential customers could include the world’s 500,000 or so island communities and areas in developing countries which are not connected to the national grid.
Danvest Energy first marketed the wind-diesel concept in 1997, but did not notice serious interest in the product until 2002, when potential customers began to realise that, with the wind-diesel system, it is possible to control the surplus power from windmills.
Saves money and the environment
Customers can achieve savings in production costs, including finance and depreciation, of 45 per cent, depending on local diesel prices. From an environmental point of view, a wind-diesel system from Danvest Energy is superior to the diesel generator, as customers will be able to save 50-90 per cent on their consumption of diesel – all depending on how windy it is in the area concerned.
With the installation of a wind-diesel system, Danvest Energy takes over the operation and servicing of the system. The company provides the customer with a guarantee as to the quantity and quality of the power that will be supplied. This guarantee has been an essential factor in raising the interest of customers.
Danvest Energy has a target of achieving an annual turnover of EUR 31 million within five years. The turnover target for 2009 is a more modest EUR 2 million.
Danvest Energy A/S was founded (under another name) in 2004 and develops wind-diesel systems which generate electricity via windmills when it is windy, and diesel motors when the wind drops. The company has three employees and a turnover, in 2008, of EUR 300,000.
The case was updated in January 2010


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