scholarly journals Economic Assessment of Distributed Generation Technologies: A Feasibility Study and Comparison with the Literature

Energies ◽  
2020 ◽  
Vol 13 (11) ◽  
pp. 2764
Author(s):  
Ameena Saad Al-Sumaiti ◽  
Abdollah Kavousi-Fard ◽  
Magdy Salama ◽  
Motahareh Pourbehzadi ◽  
Srikanth Reddy ◽  
...  
Keyword(s):  
Power Generation ◽  
Sensitivity Analysis ◽  
Wind Energy ◽  
Distributed Generation ◽  
Economic Assessment ◽  
Rate Of Return ◽  
Maintenance Cost ◽  
Fuel Cost ◽  
Operation And Maintenance ◽  
Operation And Maintenance Cost

With the negative climate impact of fossil fuel power generation and the requirement of global policy to shift towards a green mix of energy production, the investment in renewable energy is an opportunity in developing countries. However, poor economy associated with limited income, funds availability, and regulations governing project funding and development are key factors that challenge investors in the energy sector. Given the various power generation resources, including renewables, it is necessary to evaluate the possible power generation investment options from an economic perspective. To realize this objective, solar PV, wind and diesel power generations are economically compared, considering the incremental rate of return and incremental benefit to cost ratio techniques. The alternative investment options of distributed generation technologies are evaluated for Maharashtra, India under different depreciation methods, and the effect of the latter on selecting the best investment candidate is investigated. The paper also conducts sensitivity analysis to examine the impact of capital cost, operation and maintenance cost, and fuel cost variations on the selection decision considering a comparison of the different general projects’ cash flow structures discussed in the literature. The economic aspects of selecting a project among possible alternatives for an investment in the power sector are analyzed, and the presented review provides comprehensive comparisons with respect to the literature approaches. The results reveal that, in the benchmark case study, the PV project is rejected and disregarded from further comparisons with other candidate projects since its equity internal rate of return (10.25%) is less than the minimum accepted rate of return, leaving the selection between wind and diesel energy projects. The study reveals that the incremental rates of return under such a comparison are 37.88%, 45.94% and 37.50% when MACRS, declining balance and straight line depreciations techniques are applied, respectively. Thus, the wind energy project is the favored option in this case. For the economic assessment of other case studies, the application of both sensitivity analysis on the capital cost and operation and maintenance cost and literature approaches to structure the projects reveal that wind energy for Maharashtra, India is a more attractive and feasible option compared to other distribution generation projects, while diesel is only considered to be a good option when its fuel cost is reduced by 5%. Finally, the paper highlights policy implications that can influence the decision to move towards investment in distributed generation technologies as a future research direction.

Cost and availability optimization of wind energy with distributed energy resources of a microgrid

2019 ◽  
Vol 43 (6) ◽  
pp. 559-572
Author(s):  
Sundari Ramabhotla ◽  
Stephen B Bayne
Keyword(s):  
Energy Source ◽  
Wind Energy ◽  
Gradient Algorithm ◽  
Maintenance Cost ◽  
Diesel Generator ◽  
Distributed Energy ◽  
Gas Generator ◽  
Operation And Maintenance ◽  
Islanded Mode ◽  
Operation And Maintenance Cost

A microgrid, an emerging technology in the electric power systems, has various benefits due to the implementation of distributed energy sources along with the loads. A microgrid utilizing the wind energy, solar energy, combined heat and power, natural gas generator, diesel generator, and battery storage is considered in an islanded mode of operation. The economic dispatch optimization is implemented using a reduced gradient algorithm to optimize the Operation and Maintenance cost in the islanded mode of the microgrid. The cost of each energy source is evaluated for every hour of the day using MATLAB code. Then, the availability of each energy source in the microgrid is evaluated. The results obtained are validated by comparing the Operation and Maintenance cost and the availability of each energy source in the microgrid. The optimal solution is achieved by considering the change in wind forecast and battery energy storage profiles.

Mercury™ 50 Product Durability, Operation and Maintenance Review

2005 ◽  
Author(s):  
David Teraji ◽  
Jeanne Hettick ◽  
Miller Robison
Keyword(s):  
Power Generation ◽  
Gas Turbine ◽  
Distributed Generation ◽  
Field Evaluation ◽  
Maintenance Cost ◽  
Design Development ◽  
Critical Factors ◽  
Operation And Maintenance ◽  
Product Durability ◽  
Reliability And Availability

The Mercury™ 50 gas turbine operates with a recuperated cycle to produce 4600 kW with a high thermal efficiency and very low emissions. Commercialized in 2003, the Mercury 50 gas turbine has completed an extensive design, development, and field evaluation program that insured a reliable and durable product that is easy to operate and maintain. This results in maximizing operation reliability and availability and lowering maintenance cost, critical factors in the distributed generation and cogeneration power generation markets. 6 Sigma, robust engineering and Kaizen methodologies were used during the design and pre-production phases to collect valuable input from users and prove out the durability, operability and maintainability of the product. This paper will review the Mercury 50 design for durability and ease of operation and maintenance.

scholarly journals ANALISA FINANSIAL PROYEK PEMBANGUNAN JALAN TOL AA DI JAWA TIMUR

2015 ◽  
Vol 9 (1) ◽  
pp. 40
Author(s):  
Adham Indra Kusuma, Marjono, Fauziah S.C.S Maisarah
Keyword(s):  
Sensitivity Analysis ◽  
Net Present Value ◽  
Financial Analysis ◽  
Road Construction ◽  
Influential Factors ◽  
Rate Of Return ◽  
Maintenance Cost ◽  
Cost Ratio ◽  
Toll Road ◽  
Investment Cost

One attempt to create a good transport system is the construction of new roads toll roads. A toll road construction soon to be implemented is AA segment a which is of  investment oriented and expected to give profits to the investors. According to the plan, the toll road is 40.5 km long development is divided into 4 sections. Data required to perform financial analysis is the cost of investment, operation and maintenance cost, traffic volume, and the toll rate plans. These data to find the values of the parameters used to calculate the financial analysis include the Net Present Value (NPV), Internal Rate of Return (IRR), Benefit Cost Ratio (BCR), and Payback Period (PP). The financial analysis will use two funding alternatives, alternative I using 100% equity, alternative II using 30% equity and 70%  loan. The purpose of this study is to determine the results of the financial analysis of the parameter values of highway construction project feasibility and determine the most influential factors after a sensitivity analysis has been made. Based on the financial analysis the investment cost results in IDR 3,827,698,222,645. The financial analysis NPV parameters alternative I results in IDR 661,439,934,962 and alternative II in IDR 230,334,925,350 which means they are feasible because both NPVs are greater than 0; both the IRR of 14.18% for alternative I and 13.02% for alternative II are greater than Minimum Attractive Rate Of Return (MARR) value of 12.42%; so, they are feasible; the value of BCR of alternative I is of 1.13 and alternative II is of 1.04; so, they are feasible because the value of BCR is greater than 1. While the PP of alternative I in the period of 12.1 years and alternative II in the period of 13.5 years. The sensitivity analysis of alternatives I and II result in  the most influential alternative—when construction period experiences ≥ 3 years backwards.Keywords: investment cost, financial analysis, sensitivity analysis.

scholarly journals Analysis of Contracts to Build Energy Infrastructures to Optimize the OPEX

2020 ◽  
Vol 12 (17) ◽  
pp. 7232
Author(s):  
Jesus Javier Losada-Maseda ◽  
Laura Castro-Santos ◽  
Manuel Ángel Graña-López ◽  
Ana Isabel García-Diez ◽  
Almudena Filgueira-Vizoso
Keyword(s):  
Energy Sector ◽  
Maintenance Cost ◽  
Maintenance Costs ◽  
Execution Costs ◽  
Operation And Maintenance ◽  
Maximum Profit ◽  
Hydroelectric Plants ◽  
Operation And Maintenance Cost ◽  
Contractual Agreement ◽  
Energy Infrastructures

The employer (owner) of the project wants to obtain the maximum profit for the money invested and the consultant (contractor) will try to give less for that money. The regulation of their relationship is based on the contractual agreement, which in the energy sector is mainly based on the engineering, procurement, and construction (EPC) model. The objective of this work was to evaluate which factors should be included in the drafting of contracts, to minimize problems between the parties, and thus minimize execution costs and optimize operation and maintenance costs. Information and data on the integration of operability and maintainability criteria in contracts for 158 projects, with a total contract value of close to €40,000M, were analyzed. Several of those projects corresponded to wind, solar, and hydroelectric plants. The information collected the perception of the agents involved, and was classified according to the experience of the agents consulted in the operation and maintenance areas. Finally, the proposed criteria were prioritized. In general, the owner is willing to introduce these criteria in his contracts if they reduce the operation and maintenance cost by around 1–5%, while the contractor is interested in increasing his probability to be selected by 1–3%.

Development of the Straw Based Power Generation in China: A Critical Analysis

2014 ◽  
Vol 1070-1072 ◽  
pp. 85-90
Author(s):  
Hao Lv ◽  
Hao Ding ◽  
De Qun Zhou ◽  
Qin Zhang
Keyword(s):  
Power Generation ◽  
Capacity Utilization ◽  
Energy Utilization ◽  
High Rate ◽  
High Price ◽  
Maintenance Cost ◽  
Mature Stage ◽  
Utilization Rate ◽  
New Energy ◽  
Operation And Maintenance Cost

The straw-based power generation, as a mature new energy utilization method, has been widely used in different countries. In this paper, we review the development of the straw-based power generation in China and divide it into three stages, namely, research and experimental stage, rapid developing stage and mature stage. Based on the analysis, it is found out that the straw-based power generation in China is now faced with profit loss. The underlying reasons include the high price of straw fuel, high operation and maintenance cost, large investment, low capacity utilization rate and high rate of power consumption in the production. We also propose the managerial suggestions to address the problems.

Analysis of Power Planning Model Based on Minimizing the Operation and Maintenance Cost

2013 ◽  
Vol 448-453 ◽  
pp. 2681-2686
Author(s):  
Yuan Hong ◽  
Shao Yu Tian ◽  
Zhong Jing Liu ◽  
Fang Chen
Keyword(s):  
Objective Function ◽  
Wind Turbines ◽  
Photovoltaic Cells ◽  
Optimal Solution ◽  
Maintenance Cost ◽  
Particle Swarm Algorithm ◽  
Planning Model ◽  
Model Based ◽  
Operation And Maintenance ◽  
Operation And Maintenance Cost

This paper establishes a power planning model based on minimizing operation and maintenance cost. The model take into account the costs of the wind turbines, photovoltaic cells, batteries, biomass generators, diesel generators, power electronics devices and communications facilities operation and maintenance, credit them in the objective function, and considering some certain constraints, use particle swarm algorithm model, by calculating and, simulating examples , to find the optimal solution, Finally to find the conclusion that to use wind turbines, photovoltaic cells and batteries for electric as much as possible.

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