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India has embarked upon wind energy programs for areas experiencing high average wind speeds throughout the year. The state of Karnataka is actively pursuing wind power generation programs. The Gulbarga District situated in eastern side of Karnataka, has a hot, dry climate. To ease the power shortage, the renewable source option is considered. This paper presents the feasibility study carried out by assessing the wind energy output in this region. Wind data is collected from a station situated in Gulbarga (geographical co-ordinates N:17deg 20', E:76deg 49' and msl 590 m), for one year and the same data is used for the analysis and prediction of power generation. Statistical analysis is carried out. The Weibullpsilas distribution function is used to describe the wind speed frequency distribution. Weibullpsilas parameters are used to estimate the wind data parameters for the site. The annual specific output is used determining the annual energy output of a wind energy conversion system (WECS) and in conducting cost-benefit analysis of wind-electricity generation. Results show the possibilities of harnessing wind energy towards electricity generation.