Does wind power amount to a luxury in France?

The avoided costs to the French electrical system thanks to wind power generation should be calculated by estimating avoided domestic generation costs rather than by using the cost of contracts traded on international exchanges, as is currently done by regulatory authorities. Up to now, wind power has basically displaced thermal power. The French Energy Regulatory Commission has feared that, in the future nuclear energy and thermal power could be equally substituted by wind power. Excess power capacity might induce authorities to postpone development of additional nuclear and renewable facilities. However, barring a collapse of electricity requirements in Europe, it is expected that electricity surpluses will be exported to neighboring networks. In the eventuality of increasing world energy prices, wind power would generate significant savings or the French electrical system, as the cost of wind power will be stable over the 15 year mandatory contracts. After taking account of external costs, wind-power on the French mainland is competitive with all other sources of electricity. With this conditions wind power is likely to play a significant and long term role in the French power generation mix. (author)