An 8 MW offshore wind turbine generator has a capital cost of $1800 per kW and...
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An 8 MW offshore wind turbine generator has a capital cost of $1800 per kW and its estimated operating and maintenance costs are $40500 per year. It has an estimated design life of 20 years and a capacity factor of 25%. The competing fossil fuel electricity price is 5 cents/kWh. (i) How many years will it take for the plant to achieve break even. (ii) What is the cost of electricity in cents/kWh? [4 marks] [6 marks] (iii) What will be the cost of electricity in cents/kWh if a discount rate of 10% is applied? Assume that for every $1000 capital cost borrowed over 20 years, the cost per year increase by $117. [5 marks] An 8 MW offshore wind turbine generator has a capital cost of $1800 per kW and its estimated operating and maintenance costs are $40500 per year. It has an estimated design life of 20 years and a capacity factor of 25%. The competing fossil fuel electricity price is 5 cents/kWh. (i) How many years will it take for the plant to achieve break even. (ii) What is the cost of electricity in cents/kWh? [4 marks] [6 marks] (iii) What will be the cost of electricity in cents/kWh if a discount rate of 10% is applied? Assume that for every $1000 capital cost borrowed over 20 years, the cost per year increase by $117. [5 marks]
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1 Calculation Capital cost per MW 1800kW 1000 kWMW 1800000 Annual operating and maintenance costs 40500 Capacity factor 25 Competing fossil fuel elect... View the full answer
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