Comparative cost analysis of nuclear versus oil-fired dual-purpose desalination plants

Abstract

Prospects for the application of nuclear energy to sea water desalination for the Kingdom of Saudi Arabia have been evaluated here based only on economic considerations. Updated capital costs of power plants and current prices of oil and nuclear fuel are used. Information on the Kingdom's water demand and current status of water desalination is provided. A comparison is also made of costs of water production from power-cum-desalination nuclear plants versus oil-fired plants. Only dual-purpose nuclear plants are considered because of their overall economic advantages over single purpose (water only) plants. The scope of available data and information can not be provided in such detail as to allow for system planning or for a site-specific feasibility study. However, the results provide guidelines for more in-depth analysis. The results show that, compared to oil-fired plants, there is a net saving of costs in using nuclear plants for desalination. If interest on capital is disregarded in calculation of total capital costs and also in calculation of annual capital charges, the economic advantages of nuclear power plants improved significantly over the oil-fired power plants.