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Problem 10 Determine the cost of electricity in US cents/kWh for a coal-fired power station of total capacity 500 MW, with the following cost and

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Problem 10 Determine the cost of electricity in US cents/kWh for a coal-fired power station of total capacity 500 MW, with the following cost and energy data: Initial annual 5-years capital outlay 100, 200, 200, 100 and 100 MUS$ Discount rate 8% 25 years lifetime, assume salvage value of 50 MUS$. - Annual O&M cost: 1% of the total outlay (i.e. 1% of 700 MUS$) - Annual consumption of coal is 1 million tons . 1 ton of coal costs US$ 50.00 and produce 2500 kWh of energy - No inflation and real escalation of fuel Assume that all the costs and the benefit occur at the end of each year. Note that after the final disbursement of capital cost the power plant is brought on-line hence the benefit, O&M and fuel costs are realized after one year of plant being in operation Problem 10 Determine the cost of electricity in US cents/kWh for a coal-fired power station of total capacity 500 MW, with the following cost and energy data: Initial annual 5-years capital outlay 100, 200, 200, 100 and 100 MUS$ Discount rate 8% 25 years lifetime, assume salvage value of 50 MUS$. - Annual O&M cost: 1% of the total outlay (i.e. 1% of 700 MUS$) - Annual consumption of coal is 1 million tons . 1 ton of coal costs US$ 50.00 and produce 2500 kWh of energy - No inflation and real escalation of fuel Assume that all the costs and the benefit occur at the end of each year. Note that after the final disbursement of capital cost the power plant is brought on-line hence the benefit, O&M and fuel costs are realized after one year of plant being in operation

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