Levelized Unit Electricity Cost Research Articles

SELECTION OF LARGE-SCALE NUCLEAR POWER PLANT BASED ON ECONOMIC AND RELIABILITY ASPECTS IN INDONESIAN POWER SYSTEM

Choosing the Indonesia's power systems that are suitable with the large-scale nuclear power plant (NPP) and the NPP's vendor country are crucial problems faced by Indonesian government. Therefore, this research analyzes the NPP impact on the power system reliability to choose the suitable power systems and the NPP economics of each possible vendor country to choose the optimal vendor that provides minimize cost. This research uses two electricity price scenarios: electricity production cost (scenario 1) and adjustment tariff (scenario 2). The results show that only Sumatra and Java-Bali system can be connected with the NPP. For both of these systems, Japanese NPP is not economical to be developed because it provides a levelized unit electricity cost (LUEC) of 0.116 USD/kWh, which is higher than the electricity prices. Meanwhile, Chinese and South Korean NPP is economical to be developed in both systems. For the Java-Bali system, Chinese NPP is the best choice in scenario 1 with a LUEC of 0.036 USD/kWh. In scenario 2, South Korean NPP that has a LUEC of 0.058 USD/kWh becomes the best choice because it has better public perception than Chinese. For the Sumatra system, South Korean NPP is the best choice in both scenarios.Keywords: Large-scale NPP selection, Indonesia power system, Reliability, Minimize cost, Electricity priceJEL Classifications: D21, D22, E39DOI: https://doi.org/10.32479/ijeep.11107

Assessment of costs of nuclear power in Bangladesh

Financing and economic risks are two of the major challenges facing by the nuclear industry today for the construction of a new build Gen III+ or an advanced Gen IV nuclear power plant (NPP). Prediction of economics and financial aspects of an NPP always remains uncertain as these are heavily dependent on investment costs, construction time, licensing and regulation, operation and maintenance (O&M) costs, fuel costs, financing costs, plant capacity factor (PCF), etc. Such uncertainty in accurately predicting the risk of financing and economics limits the growth of the nuclear industry. Furthermore, global high-trend construction costs of NPPs lack confidence amongst manufacturers and builders. This paper attempts for modeling the costs of the twin under construction VVER-1200 model Gen III+ reactors at Rooppur in Bangladesh based on techno-economic and financial data, and some assumptions. To calculate the levelized unit electricity cost (LUEC), net present value (NPV), internal rate of return (IRR), and payback period (PBP), nine scenarios are modeled in the FINPLAN modeling tool given the plant technical data, investment costs, financial terms & conditions, global benchmarked operation & maintenance (O&M) costs and fuel costs, PCFs of 50–90%, and a fixed discount rate of 10%. The study finds that the estimations of LUECs of the Rooppur NPP project are in the range of 43.8–82.5 $/MWh of which are lower than for coal, oil, and renewable energy sources. The annual rate of return of the project is found in the range of 13–20%. The PBP is within 7–8 years after the start of commercial operation. Cost sensitivity analysis is performed by taking a large variation of O&M costs, fuel costs, and PCFs. The results show favorable economic situations with regard to the country’s other power sources and are expected to be competitive with global NPPs projects. Only the competitive NPP projects can contribute to a sustainable economic, social, environmental, scientific, and technological developments for both NPP importing and exporting countries.

Assessment and Scope of Decentralised Power Generation Using Renewable Energy Resources

Decentralized power generation is an alternative and reliable resource of energy where the domestic electricity grid fails to provide rural communities with a reliable supply of electricity. We have more dependent on conventional sources like coal and petroleum fuels to generate energy, it is a determinate resource and also primes to GHG discharges and toxins in our air and water. Renewable energy sources like biomass, biogas, solar photovoltaic, hydro and wind are available abounded in nature.it also shields our world by considerably dipping the number of carbon emissions that we produce. These vitalities can be expended as separate or in a permutation of these resources known as a hybrid renewable energy system (HRES). We can also combine diesel generator with HRES as per the load demand and availability of the resources. The various case studies are reviewed related to the need for electricity in rural areas, benefits of decentralized energy generation, hybrid renewable energy system to fulfill household needs, to light up rural lives by off-grid electricity generation and employment opportunities to local youth, etc. which are optimized with the help of different software like HOMER, LINDO, HYPORA, VIPOR, etc. Performance of these hybrid systems can be compared on the basis of parameters like cost of energy (COE), net present cost (NPC), levelised cost of energy (LCOE), Levelised unit electricity cost (LUEC), Per unit electricity cost (PUEC) and Life cycle cost (LCC) with respect to grid-connected systems and extension of grid. The purpose of this work is to propose the best hybrid technology combination for energy production from a blend of RE sources to sate the energy essential of an off-grid village which is cost-effective, sustainable, techno-economically viable and environmentally sound.

Decentralized Power Generation using Renewable Energy Resources: Scope, Relevance and Application

Decentralized energy model successfully helps rural villages when it comes to supply of electricity because it’s a schematic way of utilization of renewable resources with decrease in the amount of GHG emissions whereas national electricity grid does not provide a solution to the problems faced by rural areas. Renewable energy sources can be use as standalone or in a combination of different resources like solar photovoltaic, biogas system, biomass system, micro-hydro and wind turbines known as hybrid renewable energy system (HRES) with a diesel generator as per the load demand and availability of the resources, which also protects our earth by remarkably decreasing the pollution caused by carbon emissions that we produce. The paper presents a review of various case studies on off-grid electricity generation which can be distinguished on the parameters like Cost of energy (COE), Net present cost (NPC), Levelized cost of energy (LCOE), Levelized unit electricity cost (LUEC), Per unit electricity cost (PUEC) and Life cycle cost (LCC) with respect to grid-connected systems and extension of grid. The paper also details the different initiatives taken by the government of Rajasthan to encourage off-grid generation in Rajasthan. The main motive of this work is to present an efficient hybrid technology combination from a blend of renewable energy resources for electricity generation to meet the electrical need of an off-grid village which is cost-efficient, sustainable, techno-economically feasible and environment friendly

Analyses of the Associated Technical and Economic Risks of the Simple and Intercooled Brayton Helium Recuperated Gas Turbine Cycles for Generation IV Nuclear Power Plants

The simple cycle recuperated (SCR) and intercooled cycle recuperated (ICR) are highly efficient Brayton helium gas turbine cycles, designed for the gas-cooled fast reactor (GFR) and very-high-temperature reactor (VHTR) generation IV (Gen IV) nuclear power plants (NPPs). This paper documents risk analyses, which consider technical and economic aspects of the NPP. The sensitivity analyses are presented that interrogate the plant design, performance, and operational schedule and range from component efficiencies, system pressure losses, operating at varied power output due to short-term load-following or long-term reduced power operations to prioritize other sources such as renewables. The sensitivities of the economic and construction schedule are also considered in terms of the discount rates, capital and operational costs, and increased costs in decontamination and decommissioning (D&D) activity due to changes in the discount rates. This was made possible by using a tool designed for this study to demonstrate the effect on the “noncontingency” baseline levelized unit electricity cost (LUEC) of both cycles. The SCR with a cycle efficiency of 50% has a cheaper baseline LUEC of $58.41/MWh in comparison to the ICR (53% cycle efficiency), which has an LUEC of $58.70/MWh. However, the cost of the technical and economic risks is cheaper for the ICR resulting in a final LUEC of $70.45/MWh (ICR) in comparison to the SCR ($71.62/MWh) for the year 2020 prices.

Analyses of the Costs Associated With Very High Turbine Entry Temperatures in Helium Recuperated Gas Turbine Cycles for Generation IV Nuclear Power Plants

Previous analyses of generation IV (GEN IV) helium gas turbine cycles indicated the possibility for high turbine entry temperatures (TETs) up to 1200 °C in order to improve cycle efficiency, using improved turbine blade material and optimum turbine cooling fractions. The purpose of this paper is to understand the effect on the levelized unit electricity cost (LUEC) of the nuclear power plant (NPP), when the TET is increased to 1200 °C from an original TET of 950 °C and when an improved turbine blade material is used to reduce the turbine cooling fraction. The analyses focus on the simple cycle recuperated (SCR) and the intercooled cycle recuperated (ICR). The baseline LUECs of the NPPs were calculated as $61.84/MWh (SCR) and $62.16/MWh for a TET of 950 °C. The effect of changing the turbine blades improved the allowable blade metal temperature by 15% with a reduction in the LUEC by 0.6% (SCR) and 0.7% (ICR). Furthermore, increasing the TET to 1200 °C has a significant effect on the power output but more importantly it reduces the LUECs by 22.7% (SCR) and 19.8% (ICR). The analyses intend to aid development of the SCR and ICR including improving the decision making process on choice of cycles applicable to the gas-cooled fast reactors (GFRs) and very high-temperature reactors (VHTRs), where helium is the coolant.

Probabilistic Analysis On Levelized Unit Electricity Cost (Luec) Calculation Of Small Medium Reactor Nuclear Power Plant (Smr Npp) In Indonesia

<p class="NoSpacing1">SMR NPP is an alternative to overcome the dependency to diesel power plant especially in outside Java Bali system. Economic analysis is a crucial thing that should be done prior to any investment decision on the SMR NPP project and generally done by calculation of Levelized Unit Electricity Cost (LUEC). NPP projects, include SMR, are vulnerable to a number of uncertainty variables. The goal of this study was to perform economic analysis of SMR NPP project with capacity 2 x 100 MWe in Indonesia by incorporating an amount of uncertainty variables, namely the probabilistic approach. The research method is calculating LUEC with deterministic approach followed by the probabilistic approach. Probabilistic approach is done by simulating the effect of uncertainty variable on LUEC using Monte Carlo simulation technique. The results show that the deterministic approach with a discount rate of 10% obtained LUEC at 12.87 cents US$/kWh. Whereas the probabilistic approach obtained LUEC of 13.10 plus minus 1.43 cents USD/kWh at a discount rate of 10% and amounted to 8.11 plus minus 0.88 cents USD/kWh at a discount rate of 5%. calculation in deterministic approach was 12.87 cents USD/ kWh. While LUEC as the results of uncertainty variables simulation on probabilistic approach were 13.10 ± 1.43 cents USD/ kWh on discount rate 10% and 8.11 ± 0.88 cents USD/kWh on discount rate 5%. Occurrence probability of LUEC is less than 13 cents USD/kWh (benchmark value) was about 100% on discount rate of 5% and 50% on discount rate of 10%.<a href="file:///C:/Users/Mohamad%20Mostafa/Desktop/Knowledge%20E/In%20Press%20Conferences/ICoNETS-2015/Source-Manuscripts/19_L04-Nuryanti_p128-135.docx#_msocom_1">[P1]</a> </p><div><hr align="left" size="1" width="33%" /><div><div><p> <a href="file:///C:/Users/Mohamad%20Mostafa/Desktop/Knowledge%20E/In%20Press%20Conferences/ICoNETS-2015/Source-Manuscripts/19_L04-Nuryanti_p128-135.docx#_msoanchor_1">[P1]</a>Revised sentence</p></div></div></div>

Research on Optimization Design for Independent Island Micro-Grid

nland grid cannot reach and cover the islands, and it is also difficult to complete the construction of the cross-sea grid, for these islands are usually far from the mainland. The research on the island micro-grid (solar/wind/tide/battery) is carried out based on the corresponding practical project on a island. The multi-object optimizing design method mainly based on the Deficiency of Power Supply Probability (DPSP) and the Levelised Unit Electricity Cost (LUEC) which represent the reliability of the power supply and the economical efficiency of the micro-grid system, respectively. The traversal algorithm is employed to obtain the capacity optimization configuration for the distributed generation units and the battery bank in the independent micro-grid. Meanwhile, a software designed for the capacity optimization configuration of the island hybrid system is presented. At last, the specific design for a independent island micro-grid is proposed, which validate the effeteness of the method presented in this paper.

Large and small baseload power plants: Drivers to define the optimal portfolios

Despite the growing interest in Small Medium sized Power Plants (SMPP) international literature provides only studies related to portfolios of large plants in infinite markets/grids with no particular attention given to base load SMPP. This paper aims to fill this gap, investigating the attractiveness of SMPP portfolios respect to large power plant portfolios. The analysis includes nuclear, coal and combined cycle gas turbines (CCGT) of different plant sizes. The Mean Variance Portfolio theory (MVP) is used to define the best portfolio according to Internal Rate of Return (IRR) and Levelised Unit Electricity Cost (LUEC) considering the life cycle costs of each power plant, Carbon Tax, Electricity Price and grid dimension. The results show how large plants are the best option for large grids, while SMPP are as competitive as large plants in small grids. In fact, in order to achieve the highest profitability with the lowest risk it is necessary to build several types of different plants and, in case of small grids, this is possible only with SMPP. A further result is the application of the framework to European OECD countries and the United States assessing their portfolios.

Sizing optimization of grid-independent hybrid photovoltaic/wind power generation system

To allow a real penetration of the huge dispersed naturally renewable resources (wind, sun, etc.) intermittent and more or less easily predictable, optimal sizing of hybrid renewable power generation systems prove to be essential. This paper recommends an optimal sizing model based on iterative technique, to optimize the capacity sizes of different components of hybrid photovoltaic/wind power generation system using a battery bank. The recommended model takes into account the submodels of the hybrid system, the Deficiency of Power Supply Probability (DPSP) and the Levelised Unit Electricity Cost (LUEC). The flow chart of the hybrid optimal sizing model is also illustrated. With this incorporated model, the sizing optimization of grid-independent hybrid PV/wind power generation system can be accomplished technically and economically according to the system reliability requirements. A case study is conducted to analyze one hybrid project, which is designed to supply residential household located in the area of the CDER (Center for Renewable Energy Development) situated in Bouzareah, Algeria (36° 48′N, 3° 1′E, 345 m).

Small–medium sized nuclear coal and gas power plant: A probabilistic analysis of their financial performances and influence of CO 2 cost

Nations or regions with limited electrical grid and restricted financial resources are a suitable market for small medium power plants with a size of 300–400 MWe. The literature presents several comparisons about the economics of large power plants (of about 1000 MWe); however there are not probabilistic analysis regarding the economics of small medium power plants. This paper fills this gap comparing, with a Monte Carlo evaluation, the economical and financial performances of a nuclear reactor, a coal fired power plant and a combined cycle gas turbine (CCGT) of 335 MWe. The paper aims also to investigate the effect of the carbon tax and electrical energy price on the economics of these plants. The analysis show as, without any carbon tax, the coal plant has the lowest levelised unit electricity cost (LUEC) and the highest net present value (NPV). Introducing the carbon tax the rank changes: depending on its amount the first and the nuclear after becomes the plant with lower LUEC and highest NPV. Therefore, the uncertainty in the carbon tax cost increases the risk of investing in a coal plant above the level of the new small medium reactor.

Competitiveness of Small-Medium, New Generation Reactors: A Comparative Study on Decommissioning

Small-medium reactors (SMRs) are going to be important players in the worldwide nuclear renaissance. The economy of scale plays against the development of this kind of reactors, even if sometimes its influence is overestimated so that SMRs appear to have a levelized unit electricity cost significantly higher than large reactors (LRs). However, the economy of scale applies only if SMR designs are similar to that of LRs, but this is not the case since the small size allows for original design solutions not accessible to large sized reactors. The literature already presents studies showing how, under certain assumptions, the capital cost and the operation and maintenance cost of a site provided by one large reactor is quite similar to another site composed of four SMRs providing the same power output. However, the literature still lacks this kind of analysis on the decommissioning cost. The paper fills this gap, investigating the cost breakdown of a decommissioning project and providing a literature review about its cost estimate techniques and managerial approach. This paper identifies and briefly discusses the different cost drivers related to the decommissioning phase of a nuclear plant focusing the attention on those critical ones in the comparison between SMR and LR (economy of scale, multiple units in a single site, technical savings, and decommissioning strategy—“immediate decommissioning” or “deferred decommissioning”). The International Reactor Innovative and Secure reactor is used as the example of a SMR to quantify the effect of these drivers, but the analysis and conclusions are applicable to the whole spectrum of new small nuclear plants. The results show that when all of these factors are accounted for in a set of realistic and comparable configurations, and with the same power installed on the site, the decommissioning costs of a SMR with respect to a LR drop from three times higher to two times. If more than one large reactor is considered, the gap increases since the large reactor investment also reaps advantages from site sharing.

TECHNO-ECONOMIC ANALYSIS OF IGCC POWER GENERATION SYSTEMS BASED ON FLUIDIZED BED GASIFIERS

A computerized techno-economic model that can be used to predict the thermal, environmental and economic aspects of integrated gasification combined cycles (IGCC) using fluidized bed gasifiers was developed. A brief description of the model is presented and representative applications of the model are demonstrated with a case study. The results verify the favourable characteristics of IGCC systems (i.e. high thermal efficiency, low levelized unit electricity cost, and reduced pollution emissions) and illustrate the effect of various parameters on the performance of IGCC power plants. Models for IGCC with moving bed and entrained bed gasifiers are presented elsewhere.