Abstract
Ocean thermal energy conversion (OTEC) has for many years been recognised as a possible energy of the future. Recently, the emphasis has changed towards combination plants offering not only power, but also freshwater, mariculture and other deep ocean water applications (DOWA).
The models used in this modified cost-benefit analysis indicate under what economic circumtances OTEC, which is presently only competitive in a few remote islands, may become more widely competitive in the near future. Among the model variables are the plants' capital cost, operation and maintenance costs, the price of oil and desalinated water as well as a hypothetical carbon tax.