New Power Plants Economics Compared
A local environmentalist put together a spreadsheet with the data from the November 2010 Updated Capital Cost Estimates for Electricity Generation Plants. It shows why most new power plants constructed in recent years use either natural gas or wind, as by far they are the most cost-effective fuels. Evens with even a modest carbon regulations, new coal plants will become the exception and not a rule. It seems with the current economics, coal plants already seem like a waste of money and non-economic.
Note: Power Plants come in all different sizes. This analysis normalizes plant costs down to lifespan cost per kW during the plant’s lifespan, typically around 75 years. Therefore, a 500 MW Natural Gas: Advanced Combustion Turbine (CT) Plant based on the table, operating at full capacity would cost = $671.70 x 500,000 = $335 million over it’s lifespan.
Less Expensive Types of New Plants.
| Fuel – Plant Type | Capital Cost (per kW/lifespan) |
Fixed Operating & Maintenance Cost (per kW/lifespan) |
Total Costs (per kW/lifespan) |
Versus Average New Plant Types |
|---|---|---|---|---|
| Natural Gas: Advanced CT | $665 | $6.70 | $671.70 | -84.13% |
| Natural Gas: Conventional CT | $974 | $6.98 | $980.98 | -76.82% |
| Natural Gas: Conventional NGCC | $978 | $14.39 | $992.39 | -76.55% |
| Natural Gas: Advanced NGCC | $1,003 | $14.62 | $1,017.62 | -75.96% |
| Natural Gas: Advanced NGCC with CCS | $2,060 | $30.25 | $2,090.25 | -50.62% |
| Onshore Wind | $2,438 | $28.07 | $2,466.07 | -41.74% |
| Coal: Dual Unit Advanced PC | $2,844 | $29.67 | $2,873.67 | -32.11% |
| Hydro-electric | $3,076 | $13.44 | $3,089.44 | -27.01% |
| Coal: Single Unit Advanced PC | $3,167 | $35.97 | $3,202.97 | -24.33% |
| Coal: Dual Unit IGCC | $3,221 | $48.90 | $3,269.90 | -22.75% |
| Coal: Single Unit IGCC | $3,565 | $59.23 | $3,624.23 | -14.38% |
| Biomass BFB | $3,860 | $100.50 | $3,960.50 | -6.43% |
| Geothermal: Binary | $4,141 | $84.27 | $4,225.27 | -0.18% |
More Expensive Types of New Plants.
| Fuel – Plant Type | Capital Cost (per kW/lifespan) |
Fixed Operating & Maintenance Cost (per kW/lifespan) |
Total Costs (per kW/lifespan) |
Versus Average New Plant Types |
|---|---|---|---|---|
| Coal: Dual Unit Advanced PC with CCS | $4,579 | $63.21 | $4,642.21 | 9.68% |
| Solar: Thermal | $4,692 | $64.00 | $4,756.00 | 12.36% |
| Solar: Large Photovoltaic | $4,755 | $16.70 | $4,771.70 | 12.73% |
| Coal: Single Unit Advanced PC with CCS | $5,099 | $76.62 | $5,175.62 | 22.28% |
| Nuclear: Dual Unit | $5,335 | $88.75 | $5,423.75 | 28.14% |
| Coal: Single Unit IGCC with CCS | $5,348 | $69.30 | $5,417.30 | 27.99% |
| Geothermal: Dual Flash | $5,578 | $84.27 | $5,662.27 | 33.77% |
| Hydro-electric: Pumped Storage | $5,595 | $13.03 | $5,608.03 | 32.49% |
| Offshore Wind | $5,975 | $53.33 | $6,028.33 | 42.42% |
| Solar: Small Photovoltaic | $6,050 | $26.04 | $6,076.04 | 43.55% |
| Natural Gas: Fuel Cells | $6,835 | $350 | $7,185.00 | 69.75% |
| Biomass CC | $7,894 | $338.79 | $8,232.79 | 94.51% |
| MSW Incineration | $8,232 | $373.76 | $8,605.76 | 103.32% |
