Wind Farms Case Study
Over the years we have often valued assets that are specialised in areas which do not fall into a traditional category, one of these sectors being wind farms.
The popular renewable energy source has evolved over the years, helping generate electrical power, reduce our carbon footprint and within the UK produce electricity 70-85% of the time depending on wind speed and patterns.
We recently valued Eleven wind farms throughout England, Scotland, and Wales which included 104 turbines ranging in sizes from 800kw to 2,000kw, with a total nominal power of 160mw. The total value was in excess of £200 million.
When valuing any wind farm site, it is important to recognise all the essential equipment and buildings required for the operation of a wind farm and not just the wind turbines, including any specific machinery which may need specialised insurance. As each site can vary depending on the size, location and type of equipment used, the cost of insurance can vary making it vital for all sites and assets to be valued.
We understand that wind farms can be restricted by planning limitations including the height of turbines, and we have often seen many modern machineries exceeding these height restrictions. Throughout the valuation process clients should be aware that they are insuring on a full replacement basis. If the turbines were to be replaced by a modern equivalent due to older turbines being no longer available, height restrictions will need to be addressed.
Why carry out a valuation?
An incorrect estimation of assets could potentially result in inadequate insurance that does not protect a wind farm business, which is why a professional valuation is essential. Insurance for wind farms covers any damage that may occur from any potential risks such as natural hazards, human errors and fire. Fires are one of the most common risks for wind farms and therefore require regular extinguishing maintenance that ensures the systems are entirely operational, together with specialised systems which can detect flames, gas, and heat.
Offshore sites also carry many risks with structures at sea, including sea damage, weather and vessels colliding with turbine structures.
How can Rushton International help you?
With a team of chartered surveyors who have a proven track record of wind farm experience, we provide accurate valuations tailored to meet your exact needs. Our detailed reports cater for all areas involved on site and all work is completed to international standards.
For further information about wind farm valuations and how we may be able to help you, please contact us here.
£65Bn of valued annually
500+ valuation assignments conducted each year
of clients are incorrectly insured
About Rushton International
Rushton International is an independent and impartial asset valuation and advisory firm. We specialise in the valuation of plant, equipment and buildings for insurance purposes. With our team of qualified and accredited valuers, we have the experience, qualifications and expertise to value any asset, anywhere in the world.Read more
Rushton International is a tried and trusted name in insurance valuations. Our valuation advice assists clients, risk managers and their brokers to accurately and confidentially set sums insured for the fixed assets in their insurance programme.More
We work with our clients to deliver comprehensive valuation advice for financial reporting purposes. By using our sector experience and market knowledge we are able to assist with the valuation of plant, equipment and other specialised assets in order to estimate fair value for GAAP and IFRS financial reporting purposes.More
Rushton International provides asset management solutions that are tailored to our clients’ needs. Our work ranges from asset verification, preparation of computerised asset registers and updating asset registers.More