Imagine a large spinning balloon that generates electricity—useful for rural residents, the military, relief organizations, and anyone else that needed to produce cheap power without a lot of supporting infrastructure. Canadian company Magenn Power hopes to offer just that.

This year, the company expects to distribute a wind generator, called the Air Rotor, through cleantech retailer Krystal Planet of Lenexa, Kansas. The device costs around $10,000, and generates up to 4 kilowatts of electricity with wind speeds of just 13 miles per hour.

Magenn’s system is less expensive per unit of electrical energy output than many conventional small wind turbines. One Magenn unit could produce as much power as four of the turbines offered by competitor Bergey Windpower of Norman, Oklahoma. Also, air sphere wind farms could be placed closer to demand centers, reducing transmission line costs and transmission line losses.

But what most wind watchers are excited about is that Magenn’s system is effective at wind speeds as low as 4 miles per hour, whereas conventional windmills usually need speeds of at least 12 miles per hour. And unlike grounded windmills, Magenn Air Rotors can be raised to altitudes of up to 1,000 feet above ground level, thus capitalizing on higher winds aloft, says CEO Fred Ferguson.

While the adoption of wind as a power source is not widespread—it represents less than 1 percent of worldwide electricity use—the economics of wind power remain compelling.It’s the least expensive form of new power generation, and growing quickly, up 38 percent since 2004, according to the World Wind Energy Association, with countries like the United States, the United Kingdom, France, Canada, India, and Germany leading adoption.

A competing technology being developed by Sky Wind Power of San Diego imagines a massive tethered array of wind machines, each with at least four whirling rotors, hovering kite-like at high altitudes of 15,000 feet. This high altitude could allow machines to produce much more electricity than Magenn’s lower-altitude balloons.

But Magenn’s appeal is its size, portability, and durability. Thinking small and scalable may well be the basis for this startup’s eventual success.

Contact the writer: SWolfe@RedHerring.com

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