Wind Power in Estonia - Elering

power. Estlink 1 allows for a more smooth operation of the Estonian powerplants.Another way of looking at wind power integration is to examine the prices ofelectricity for wind power production. In general, more wind power in a systemwill tend to reduce the electricity price due to the low marginal costs ofwind power. At some point the electricity price for wind power purchased willnot make room for return of investments for the wind power projects.The price of electricity from wind power production in the different scenariosis shown in Figure 6. The price is the electricity market prices weighted by theamount of wind power production for each hour of the year. The wind powerelectricity price will normally be lower than the system market price, as a highwind power production tends to depress the market price.6050403020900 MW1800 MW100Limited MarketEstonian FlexibilityFigure 6: Electricity price for wind power in Estonia in 2013 in different scenarios anddifferent levels of wind power deploymentThe figure shows that deployment of 1800 MW wind power in Estonia in 2013results in a significant reduction in the electricity price in both scenarios. Thisindicates that the 1800 MW level is too high for Estonia in 2013.4.4 Wind power integration in 2016 (after Estlink 2)In 2016, after Estlink 2 is put into operation, the situation changes. Figure 7shows the amount of curtailment in Estonia in the three different scenarioswith 900 MW and 1800 MW wind power capacity. The figure shows that Estlink2 results in a significant reduction of the curtailment of wind power inthe situation with 1800 MW wind power. In both the Limited Market and the25 | Wind Power in Estonia, 13-05-2010