Comments on: Levelized Cost of New Electricity Generating Technologies

By: Thomas Stacy

Thomas Stacy — Tue, 24 Jan 2012 14:30:00 +0000

Hi guys. To make the point about comparative cost of wind energy to conventionals, note that the full cost of wind energy only displaces the variable costs of other sources, since all the conventional plants and fixed costs remain – no matter how many air current surface mines get built. So compare the full cost of wind to the olive green portion of the stacked bars for conventional technologies in the chart to arrive at a valid cost comparison. We have been trying to get EIA to report this way, but of course the bureaucracy is a problem!

By: Anonymous

Anonymous — Sun, 27 Nov 2011 22:23:00 +0000

As the solar photovoltaic (PV) matures, the economic feasibility of PV projects is increasingly being evaluated using the levelized cost of electricity (LCOE) generation in order to be compared to other electricity
generation technologies. Unfortunately, there is lack of clarity of reporting assumptions, justifications and degree of completeness in LCOE calculations, which produces widely varying and contradictory results.

It is suggested that the degree of applicability of an analysis is clearly stated so that the wrong conclusions are not made. This article have a range of LCOE which is a step in the right direction compared to other sources that cite numbers with no justification.

Read more: A Review of Solar Photovoltaic Levelized Cost of Electricity, Renewable and Sustainable Energy Reviews, 15, pp.4470-4482 (2011), http://www.appropedia.org/Review_of_Solar_Levelized_Cost

By: Nikolaus

Nikolaus — Thu, 24 Jun 2010 13:37:06 +0000

Hey,

thanks for the information!

Is there any justification for assuming capital costs of 11,5%? The IEA for example use 5 and 10 percent in two their scenarios…

By: Nikolaus

Nikolaus — Thu, 24 Jun 2010 13:37:00 +0000

Hey,

thanks for the information!

Is there any justification for assuming capital costs of 11,5%? The IEA for example use 5 and 10 percent in two their scenarios…

By: Nikolaus

Nikolaus — Thu, 24 Jun 2010 13:37:00 +0000

Hey,

thanks for the information!

Is there any justification for assuming capital costs of 11,5%? The IEA for example use 5 and 10 percent in two their scenarios…

By: admin

admin — Mon, 21 Jun 2010 18:36:47 +0000

Nikolaus,

The average cost of capital between 2010 and 2035 is 0.115. In 2016, it is 0.114. However, for new coal plants without sequestration, 3 percentage points are added to cost of debt and cost of equity to represent a carbon risk premium. And, for new renewables online by 2015, a 2 percentage point reduction in cost of debt and equity is made to represent loan guarantees in the stimulus.

By: admin

admin — Mon, 21 Jun 2010 18:36:00 +0000

Nikolaus,

By: Nikolaus

Nikolaus — Sun, 20 Jun 2010 15:11:11 +0000

Hey guys,

I am currently working on my final thesis for my bachelor-degree in Vienna, Austria. I am comparing several studies which calculate LCOE and try to explain how various studies have vast differences in their results concerning the LCOE per MWh.

One of the studies examined is the EIA-Outlook. I know this question was already posted, but I couldn’t find an answer in the link provided (see post of Koji on September 16th, 2009): For calculating the LCOE, which discount rate/cost of capital was used? I would be very grateful for an answer!

By: Johnson

Johnson — Sat, 08 May 2010 18:40:48 +0000

$0.01 per MWh could be possible with aneutronic nuclear fusion reactor fueled with relatively inexpensive fuels such as hydrogen-boron and hydrogen-lithium. It can be a cheap, clean and safe source of electricity without any type of radioactive waste.

By: Ziad

Ziad — Sat, 01 May 2010 15:23:49 +0000

Dear IER,

I am actually working on a project on wind power turbine. Is it possible to have a link for a more detailed report on wind levelized energy cost ?

The estimation you did was only for the US ?