Unit 5: Economics of Power Generation





Question 8

A 200 kW thermal power plant costs N 5,000,000 of installed capacity. The total annual charges consist of 4% as interest, depreciation at 4%, operation and maintenance at 4% and insurance, rent etc. at 1.5%. Losses in transmission and distribution are 14.5% and diversity of load is 1.5. Assume that maximum demand on the station is 80% of the capacity and annual load factor is 40%. State the final answer to the following questions.

  1. What is the overall cost of generation per kWh?
  2. Repeat 1 above with load factor of 50%
  3. Comment on solution obtained in 1 and 2 above


Provide your response in the comment section using your surname and last two digit of your matriculation number as your identity (e.g. Abacus20)


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Comments

  1. *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This shows that the more the load factor the less the cost per kwh for individual

    ReplyDelete
    Replies
    1. Ugele 59
      *1*
      #5000000
      Interest 4%
      Depreciation 4%
      Operation and maintainace 4%
      Insurance and rent 1.5%
      Lost in T & D 14.5%
      Diversity 1.5
      Maximum demand 80%
      Load factor 40 %

      Max demand = 0.8 * 200= 160kw

      L. F = average demand / maximum demand

      Average demand = load factor * maximum demand
      = 0.4 * 160 = 64 kw

      Capital cost is 5million
      Annual fixed charge is interest and depreciation
      Annual fixed charge = 0.04 * 5million + 0.04 * 5million
      =400000
      Sum of maximum demand = maximum demand * diversity
      = 160*1.5= 240kw

      Annual fixed charge = 400000/240
      = 1666.67kw

      Running charge is operation and maintainace with interest and rent

      Running charge = 0.04* 5million + 0.015* 5million
      = #275000
      Unit generated = load factor * maximum demand * hours in a year
      Unit generated = 64* 8760 = 560640 kwh

      Loss of transmission and distribution = unit generated - (t&d * unit generated)
      560640-(0.145* 560640) = 479347.2kwh

      Annual running charge kw/h = running charge /loss t&d
      = 0.5737/kwh

      Cost of generation in two part
      1666.67*kw + 0.5737 * kwh

      Total cost per kwh = 675000/479347.2
      =#1.4082

      *2*
      #5000000
      Interest 4%
      Depreciation 4%
      Operation and maintainace 4%
      Insurance and rent 1.5%
      Lost in T & D 14.5%
      Diversity 1.5
      Maximum demand 80%
      Load factor 50 %

      Max demand = 0.8 * 200= 160kw

      L. F = average demand / maximum demand

      Average demand = load factor * maximum demand
      = 0.5* 160 = 80kw

      Capital cost is 5million
      Annual fixed charge is interest and depreciation
      Annual fixed charge = 0.04 * 5million + 0.04 * 5million
      =400000
      Sum of maximum demand = maximum demand * diversity
      = 160*1.5= 240kw

      Annual fixed charge = 400000/240
      = 1666.67kw

      Running charge is operation and maintainace with interest and rent

      Running charge = 0.04* 5million + 0.015* 5million
      = #275000
      Unit generated = load factor * maximum demand * hours in a year
      Unit generated = 80* 8760 = 700800 kwh

      Loss of transmission and distribution = unit generated - (t&d * unit generated)
      700800-(0.145* 700800) = 599184kwh

      Annual running charge kw/h = running charge /loss t&d
      = 0.45896/kwh

      Cost of generation in two part
      1666.67*kw + 0.45896 * kwh

      Total cost per kwh = 675000/599184
      =#1.1265

      *3*
      This shows that the Higher the load factor the lower the cost per kwh

      Delete
  2. *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This shows that the Higher the load factor the lower the cost per kwh

    ReplyDelete
  3. 1
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    2
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    3
    This shows that the more the load factor the less the cost per kwh

    ReplyDelete
  4. 1
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    2
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    3
    This shows that the more the load factor the less the cost per kwh

    ReplyDelete
  5. [1]
    When
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40%

    Total cost per kwh = #1.4082

    [2]
    When
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Total cost per kwh = #1.1265

    [3]
    The above answers shows that the greater the load factor of the thermal power plant, the lesser the cost per kwh.

    ReplyDelete
  6. 1. #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    2. #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.126

    3. This shows that the more the load factor the less the cost per kwh for individual

    ReplyDelete
  7. Que 1
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %
    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    Que 2
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintenance with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    Que 3
    From the solution obtained above, we could see ‘that the Higher the load factor the lower the cost per kwh’

    ReplyDelete
  8. *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This shows that the more the load factor the less the cost per kwh for individual

    ReplyDelete
  9. (1). Given parameters:
    Cost of power plant : #5000000
    Interest : 4%
    Operation and maintainace : 4%
    Depreciation : 4%
    Insurance and rent : 1.5%
    Lost in T & D : 14.5%
    Diversity : 1.5
    Load factor : 40 %
    Maximum demand : 80%

    Max demand = 0.8 × 200= 160KW

    L. F = average demand ÷ maximum demand

    Average demand = load factor × maximum demand
    = 0.4 × 160 = 64 KW

    Capital cost = 5000000
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 × 5000000 + 0.04 × 5000000
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160×1.5= 240KW

    Annual fixed charge = 400000/240
    = 1666.67KW

    Running charge is the operation and maintainace with interest and rent

    Running charge = 0.04 × 5000000 + 0.015 × 5000000
    = #275000
    Unit generated = load factor × maximum demand × hours in a year
    Unit generated = 64 × 8760
    = 560640 KWh
    Loss of transmission and distribution = unit generated - (t&d × unit generated)
    560640-(0.145 × 560640) = 479347.2KWh
    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67× kw + 0.5737 × kwh

    Total cost per kwh =#[ 675000 ÷ 479347.2 ]= #1.4082

    (2)
    Capital cost : #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 × 200
    = 160kw

    L. F = average demand ÷ maximum demand

    Average demand = load factor × maximum demand
    = 0.5 × 160 = 80kw

    Capital cost is 5000000
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 × 5million + 0.04 × 5million
    =400000
    Sum of maximum demand = maximum demand × diversity
    = 160 × 1.5= 240kw

    Annual fixed charge = 400000 ÷ 240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04 × 5000000+ 0.015 × 5000000
    = #275000
    Unit generated = load factor × maximum demand × hours in a year
    Unit generated = 80 × 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d × unit generated)
    700800-(0.145 × 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d

    = 0.45896/kwh.

    Cost of generation in two part
    1666.67 × kw + 0.45896 × kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    (3).

    This implies that, the greater the load factor the lesser the cost per kwh for individual.

    ReplyDelete
  10. *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This shows that the Higher the load factor the lower the cost per kwh

    ReplyDelete
  11. *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This means that the more the load factor the less the cost per kwh for individual

    ReplyDelete
  12. Cost of power plant : #5000000
    Interest : 4%
    Operation and maintainace : 4%
    Depreciation : 4%
    Insurance and rent : 1.5%
    Lost in T & D : 14.5%
    Diversity : 1.5
    Load factor : 40 %
    Maximum demand : 80%

    Max demand = 0.8 × 200= 160KW

    L. F = average demand ÷ maximum demand

    Average demand = load factor × maximum demand
    = 0.4 × 160 = 64 KW

    Capital cost = 5000000
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 × 5000000 + 0.04 × 5000000
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160×1.5= 240KW

    Annual fixed charge = 400000/240
    = 1666.67KW

    Running charge is the operation and maintainace with interest and rent

    Running charge = 0.04 × 5000000 + 0.015 × 5000000
    = #275000
    Unit generated = load factor × maximum demand × hours in a year
    Unit generated = 64 × 8760
    = 560640 KWh
    Loss of transmission and distribution = unit generated - (t&d × unit generated)
    560640-(0.145 × 560640) = 479347.2KWh
    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67× kw + 0.5737 × kwh

    Total cost per kwh =#[ 675000 ÷ 479347.2 ]= #1.4082

    (2)
    Capital cost : #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 × 200
    = 160kw

    L. F = average demand ÷ maximum demand

    Average demand = load factor × maximum demand
    = 0.5 × 160 = 80kw

    Capital cost is 5000000
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 × 5million + 0.04 × 5million
    =400000
    Sum of maximum demand = maximum demand × diversity
    = 160 × 1.5= 240kw

    Annual fixed charge = 400000 ÷ 240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04 × 5000000+ 0.015 × 5000000
    = #275000
    Unit generated = load factor × maximum demand × hours in a year
    Unit generated = 80 × 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d × unit generated)
    700800-(0.145 × 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d

    = 0.45896/kwh.

    Cost of generation in two part
    1666.67 × kw + 0.45896 × kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    (3).

    This implies that, the greater the load factor the lesser the cost per kwh for individual.

    ReplyDelete
  13. 1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This shows that the Higher the load factor the lower the cost per kwh

    ReplyDelete
  14. IBE
    Unit 5: Economics of Power Generation
    on November 25, 2019






    Question 8

    A 200 kW thermal power plant costs N 5,000,000 of installed capacity. The total annual charges consist of 4% as interest, depreciation at 4%, operation and maintenance at 4% and insurance, rent etc. at 1.5%. Losses in transmission and distribution are 14.5% and diversity of load is 1.5. Assume that maximum demand on the station is 80% of the capacity and annual load factor is 40%. State the final answer to the following questions.

    What is the overall cost of generation per kWh?
    Repeat 1 above with load factor of 50%
    Comment on solution obtained in 1 and 2 above


    Provide your response in the comment section using your surname and last two digit of your matriculation number as your identity (e.g. Abacus20)


    Click here to like and follow the E-Learning Community on Facebook for more interactive practices and discussions with peers and instructor.

    Feel free to tag your engineering friends and hashtag other social networks and learning websites.

    Comments

    olaniyi4526 November 2019 at 15:25
    *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This shows that the more the load factor the less the cost per kwh for individual

    REPLY

    Newtinz29 November 2019 at 22:28
    Ugele 59
    *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running c anre

    ReplyDelete
  15. *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This shows that the more the load factor the less the cost per kwh for individual

    ReplyDelete
  16. (1). Given parameters:
    Cost of power plant : #5000000
    Interest : 4%
    Operation and maintainace : 4%
    Depreciation : 4%
    Insurance and rent : 1.5%
    Lost in T & D : 14.5%
    Diversity : 1.5
    Load factor : 40 %
    Maximum demand : 80%

    Max demand = 0.8 × 200= 160KW

    L. F = average demand ÷ maximum demand

    Average demand = load factor × maximum demand
    = 0.4 × 160 = 64 KW

    Capital cost = 5000000
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 × 5000000 + 0.04 × 5000000
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160×1.5= 240KW

    Annual fixed charge = 400000/240
    = 1666.67KW

    Running charge is the operation and maintainace with interest and rent

    Running charge = 0.04 × 5000000 + 0.015 × 5000000
    = #275000
    Unit generated = load factor × maximum demand × hours in a year
    Unit generated = 64 × 8760
    = 560640 KWh
    Loss of transmission and distribution = unit generated - (t&d × unit generated)
    560640-(0.145 × 560640) = 479347.2KWh
    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67× kw + 0.5737 × kwh

    Total cost per kwh =#[ 675000 ÷ 479347.2 ]= #1.4082

    (2)
    Capital cost : #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 × 200
    = 160kw

    L. F = average demand ÷ maximum demand

    Average demand = load factor × maximum demand
    = 0.5 × 160 = 80kw

    Capital cost is 5000000
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 × 5million + 0.04 × 5million
    =400000
    Sum of maximum demand = maximum demand × diversity
    = 160 × 1.5= 240kw

    Annual fixed charge = 400000 ÷ 240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04 × 5000000+ 0.015 × 5000000
    = #275000
    Unit generated = load factor × maximum demand × hours in a year
    Unit generated = 80 × 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d × unit generated)
    700800-(0.145 × 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d

    = 0.45896/kwh.

    Cost of generation in two part
    1666.67 × kw + 0.45896 × kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    (3).

    This implies that, the greater the load factor the lesser the cost per kwh for individual.

    ReplyDelete
  17. Given;
    Plant capacity: 200KW
    Capital cost; #5,000,000
    Interst; 4%of capital cost
    Depreciation; 4% of capital cost
    Operation and maintenance 4% of capital cost
    Insurance, rent etc; 1.5%of capital cost
    Loss in transmission and distribution: 14.5%
    Diversity of load; 1.25
    Max demand: 80% of plant capacity
    Annual load factor; 40%
    Solution 1
    Using a 2part cost
    Cost of generation=A×Kw+B×Kwh
    Annual fixed charges=0.04×5000000+0.04×5000000
    Annual fixed charges=#400000
    But diversity is given
    That is Diversity=sum of individual Max demand÷max demand on power station
    But Max demand on power station is 80%of plant capacity
    Max demand= 0.8×200
    Max demand=160kw
    So, diversity= sum of individual Max demand÷max demand on the plant
    Sum of individual demand=1.25×160
    Sum of individual demand= 200kw
    Annual fixed charges=#400000÷200
    Annual fixed charges=#200/Kw
    Running charges=0.04×5000000+0.015×5000000
    Running charges=#275000
    But transmission and distribution loss=14.5%
    So unit generated=load factor×max demand×8760
    Unit generated=0.4×160×8760
    Unit generated= 560640kwh
    Loss in transmission and distribution=
    560640-(0.145×560640)=479347.2kwh
    So Annual running charges=#275000÷479347.2
    Annual running charges= 0.574/kwh
    Total cost of generation/ kwh=675000÷479347.2
    Total cost of generation/kwh=#1.37
    Solution 2
    When the load factor increased to 50%
    Unit generated now=0.5×160×8760
    Unit generated=700800kwh
    Loss in transmission and distribution becomes
    700800-(0.145×700800)=559184kwh
    Now the running cost =275000÷599184
    Running cost=0.459/kwh
    Solution 3
    It was observed that, when the load factor increased from 40% to 50% the running cost reduces, it is therefore advisable to operate at high load factor to save running cost and increase efficiency, by properly modelling the transmission lines.

    ReplyDelete
  18. Q1

    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    Q2
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    Q3
    Therefore, the Higher the load factor the lower the cost per kwh

    ReplyDelete
  19. Adewale05

    Question 1
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%


    Question2
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    Question3
    Therefore, the Higher the load factor the lower the cost per kwh cost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %
    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082


    ReplyDelete
  20. *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This shows that the more the load factor the less the cost per kwh for individual

    ReplyDelete
  21. Capital; #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    Question 2
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    Question 3
    This shows that the increase in the load factor the less the cost per kwh for individual

    ReplyDelete
  22. (1)#5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    (2) #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5 * 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 *
    5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    (3)This shows that the more the load factor the less the cost per kwh for individual

    ReplyDelete
  23. Alade 12
    Que 1
    Cost of power plant : #5000000
    Interest : 4%
    Operation and maintainace : 4%
    Depreciation : 4%
    Insurance and rent : 1.5%
    Lost in T & D : 14.5%
    Diversity : 1.5
    Load factor : 40 %
    Maximum demand : 80%

    Max demand = 0.8 × 200= 160KW

    L. F = average demand ÷ maximum demand

    Average demand = load factor × maximum demand
    = 0.4 × 160 = 64 KW

    Capital cost = 5000000
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 × 5000000 + 0.04 × 5000000
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160×1.5= 240KW

    Annual fixed charge = 400000/240
    = 1666.67KW

    Running charge is the operation and maintainace with interest and rent

    Running charge = 0.04 × 5000000 + 0.015 × 5000000
    = #275000
    Unit generated = load factor × maximum demand × hours in a year
    Unit generated = 64 × 8760
    = 560640 KWh
    Loss of transmission and distribution = unit generated - (t&d × unit generated)
    560640-(0.145 × 560640) = 479347.2KWh
    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67× kw + 0.5737 × kwh

    Total cost per kwh =#[ 675000 ÷ 479347.2 ]= #1.4082

    Que 2
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    Que 3
    From the solution obtained above, we could see ‘that the Higher the load factor the lower the cost per kwh’

    ReplyDelete
  24. SUNBARE-FUNTO02
    *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This shows that the more the load factor the less the cost per kwh for individual

    ReplyDelete
  25. Oloyede 48
    Question 1
    Cost of power plant : #5000000
    Interest : 4%
    Operation and maintainace : 4%
    Depreciation : 4%
    Insurance and rent : 1.5%
    Lost in T & D : 14.5%
    Diversity : 1.5
    Load factor : 40 %
    Maximum demand : 80%

    Max demand = 0.8 × 200= 160KW

    L. F = average demand ÷ maximum demand

    Average demand = load factor × maximum demand
    = 0.4 × 160 = 64 KW

    Capital cost = 5000000
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 × 5000000 + 0.04 × 5000000
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160×1.5= 240KW

    Annual fixed charge = 400000/240
    = 1666.67KW

    Running charge is the operation and maintainace with interest and rent

    Running charge = 0.04 × 5000000 + 0.015 × 5000000
    = #275000
    Unit generated = load factor × maximum demand × hours in a year
    Unit generated = 64 × 8760
    = 560640 KWh
    Loss of transmission and distribution = unit generated - (t&d × unit generated)
    560640-(0.145 × 560640) = 479347.2KWh
    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67× kw + 0.5737 × kwh

    Total cost per kwh =#[ 675000 ÷ 479347.2 ]= #1.4082

    Question 2
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    Question 3
    From the solution obtained above, we could see ‘that the Higher the load factor the lower the cost per kwh’

    ReplyDelete
  26. Adegun03
    *1*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    *2*
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    *3*
    This shows that the more the load factor the less the cost per kwh for individual

    ReplyDelete
  27. Question 1
    Cost of power plant : #5000000
    Interest : 4%
    Operation and maintainace : 4%
    Depreciation : 4%
    Insurance and rent : 1.5%
    Lost in T & D : 14.5%
    Diversity : 1.5
    Load factor : 40 %
    Maximum demand : 80%

    Max demand = 0.8 × 200= 160KW

    L. F = average demand ÷ maximum demand

    Average demand = load factor × maximum demand
    = 0.4 × 160 = 64 KW

    Capital cost = 5000000
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 × 5000000 + 0.04 × 5000000
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160×1.5= 240KW

    Annual fixed charge = 400000/240
    = 1666.67KW

    Running charge is the operation and maintainace with interest and rent

    Running charge = 0.04 × 5000000 + 0.015 × 5000000
    = #275000
    Unit generated = load factor × maximum demand × hours in a year
    Unit generated = 64 × 8760
    = 560640 KWh
    Loss of transmission and distribution = unit generated - (t&d × unit generated)
    560640-(0.145 × 560640) = 479347.2KWh
    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67× kw + 0.5737 × kwh

    Total cost per kwh =#[ 675000 ÷ 479347.2 ]= #1.4082

    Question 2
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    Question 3
    From the solution obtained above, we could see ‘that the Higher the load factor the lower the cost per kwh’

    ReplyDelete
  28. 1
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 40 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.4 * 160 = 64 kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 64* 8760 = 560640 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    560640-(0.145* 560640) = 479347.2kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.5737/kwh

    Cost of generation in two part
    1666.67*kw + 0.5737 * kwh

    Total cost per kwh = 675000/479347.2
    =#1.4082

    2
    #5000000
    Interest 4%
    Depreciation 4%
    Operation and maintainace 4%
    Insurance and rent 1.5%
    Lost in T & D 14.5%
    Diversity 1.5
    Maximum demand 80%
    Load factor 50 %

    Max demand = 0.8 * 200= 160kw

    L. F = average demand / maximum demand

    Average demand = load factor * maximum demand
    = 0.5* 160 = 80kw

    Capital cost is 5million
    Annual fixed charge is interest and depreciation
    Annual fixed charge = 0.04 * 5million + 0.04 * 5million
    =400000
    Sum of maximum demand = maximum demand * diversity
    = 160*1.5= 240kw

    Annual fixed charge = 400000/240
    = 1666.67kw

    Running charge is operation and maintainace with interest and rent

    Running charge = 0.04* 5million + 0.015* 5million
    = #275000
    Unit generated = load factor * maximum demand * hours in a year
    Unit generated = 80* 8760 = 700800 kwh

    Loss of transmission and distribution = unit generated - (t&d * unit generated)
    700800-(0.145* 700800) = 599184kwh

    Annual running charge kw/h = running charge /loss t&d
    = 0.45896/kwh

    Cost of generation in two part
    1666.67*kw + 0.45896 * kwh

    Total cost per kwh = 675000/599184
    =#1.1265

    3
    This shows that the more the load factor the less the cost per kwh

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