Wind power in Argentina: Policy instruments and economic feasibility

Despite its great wind endowment, Argentina has not still succeeded in increasing wind power share in its wholesale market. However, the energy supply problem that this country is facing from 2004 on seems to open an opportunity for wind energy projects. A wide range of legislation has recently emerged.In this context, this paper discusses whether policy instruments in the Argentinean regulatory frame contribute to economic feasibility for wind power projects or not. To this purpose, we study wind installed capacity, Argentinean wind potential, the different promotion tools used worldwide and those employed in Argentina. Finally, we realize a feasibility study for a typical project. We found, that in spite of its high wind potential, economic feature, related to policy instruments, have been a boundary to the development of wind energy into the energy mix.