Described herein are the results of the FY1994 research program for operational studies on a large-scale wind energy conversion system. A total of 8 domestic and foreign cases are studied for wind energy conversion cost, to clarify the causes for higher cost of the Japanese system. The wind power systems studied include Japanese (5 units at Tappi Wind Park, the same type supplied by company M), US (California Wind Farm, 300 units) and UK (Wales Wind Farm, 103 units) systems. The investment costs are 639, 285 and 189 thousand yen/kW for the Japanese, US and UK systems, respectively. It is also revealed that the power plant itself and assembling costs account for a majority (70 to 88%) of the total investment cost. The higher cost of the Japanese system results from a smaller number of units installed, and the power plant cost can be drastically reduced by mass production. Increasing size also reduces cost greatly.