Economic Assessment Methodology for Offshore Wave Power Plants

Report

Title: Economic Assessment Methodology for Offshore Wave Power Plants

Author:

Previsic, M.; Siddiqui, O.; Bedard, R.

Publication Date:

November 30, 2004

Pages:

Technology:

Wave

Economics:

Cost Assessment, Levelized Cost of Energy

Language:

English

Document Access

Website:

External Link

Attachment:

Access File

Notice: This material may be protected by Copyright Law.

Citation

Previsic, M.; Siddiqui, O.; Bedard, R. (2004). Economic Assessment Methodology for Offshore Wave Power Plants.

TY - RPRT
TI - Economic Assessment Methodology for Offshore Wave Power Plants
AU - Previsic, M
AU - Siddiqui, O
AU - Bedard, R
AB - The Electricity Innovation Institute (E21) and the Electric Power Research Institute (EPRI) propose two standard cost estimate methodologies, a utility generator (UG) and a non utility generator (NUG) methodology, including a set of financial assumptions, to evaluate the economics of offshore wave power plants. The E21 EPRI Project Team will use these methodologies to evaluate the economics of both a 1,500 Mega Watt Hours Electric per Year (MWeh/yr) pilot plant and a 300,000 MWeh/yr commercial size plant (500 kW and 100 MW at 40 capacity factor respectively). Regulated utilities are permitted to set electricity rates (i.e., collect revenue) that will cover operating costs and provide an opportunity to earn a reasonable rate of return on the property devoted to the business. This return must enable the UG to maintain its financial credit as well as to attract whatever capital may be required in the future for replacement, expansion and technological innovation and must be comparable to that earned by other businesses with corresponding risk.
DA - 2004/11//
PY - 2004
SP - 26
UR - https://re-vision.net/wp-content/uploads/2020/08/Economic-Assessment-Methodology-for-Offshore-Wave-Power-Plants.pdf
LA - English
KW - Wave
KW - Cost Assessment
KW - Levelized Cost of Energy
ER -

Export Citation to RIS

Abstract

The Electricity Innovation Institute (E21) and the Electric Power Research Institute (EPRI) propose two standard cost estimate methodologies, a utility generator (UG) and a non utility generator (NUG) methodology, including a set of financial assumptions, to evaluate the economics of offshore wave power plants. The E21 EPRI Project Team will use these methodologies to evaluate the economics of both a 1,500 Mega Watt Hours Electric per Year (MWeh/yr) pilot plant and a 300,000 MWeh/yr commercial size plant (500 kW and 100 MW at 40 capacity factor respectively).

Regulated utilities are permitted to set electricity rates (i.e., collect revenue) that will cover operating costs and provide an opportunity to earn a reasonable rate of return on the property devoted to the business. This return must enable the UG to maintain its financial credit as well as to attract whatever capital may be required in the future for replacement, expansion and technological innovation and must be comparable to that earned by other businesses with corresponding risk.