Lecture 7-14
Lecture 7-14
Power Plants
Q4. 100 MW steam station uses coal of calorific value 6400 kcal/kg.
Thermal efficiency of the station is 30% and electrical efficiency is 92%.
Calculate the coal consumption per hour when the station is delivering
its full rated output
i. Fixed Cost
ii. Semi Fixed Cost
iii. Running Cost
Economics of Power Generation
Cost of Electrical Energy
i. Fixed Cost
Independent of maximum demand and units generated
e.g. central organization, cost of land and its annual interest, salaries of
officials
Economics of Power Generation
Cost of Electrical Energy
ii. Semi Fixed Cost
Depends on maximum demand but not on units generated
e.g. annual interest on equipment and building, taxes, salaries of
management and clerical staff
e.g. cost of fuel, machine oil, repair and maintenance and cost of
operating staff.
Economics of Power Generation
Expressions for Cost of Electrical Energy
Q2. The equipment in a power station costs Rs 15,60,000 and has a salvage value of Rs 60,000 at the
end of 25 years. Determine the depreciated value of the equipment at the end of 20 years on the
following methods :
(i) Straight line method ;
(ii) Diminishing value method ;
(iii) Sinking fund method at 5% compound interest annually.
Economics of Power Generation
Importance of High Load Factor
i. Reduces cost per unit generated
High load factor means for a given max demand, units generated
are high, making total cost per unit of energy lower
Economics of Power Generation
Importance of High Load Factor
ii. Reduces variable load problems
High load factor means less variation in the load in daily routine,
this reduces the use of regulating devices connected.
Examples
Q1. A generating station has a maximum demand of 50,000 kW. Calculate the cost per unit generated
from the following data :
Capital cost = Rs 95 × 106
Annual load factor = 40%
Annual cost of fuel and oil = Rs 9 × 106
Taxes, wages and salaries etc. = Rs 7·5 × 106
Interest and depreciation = 12%
Q2. generating station has an installed capacity of 50,000 kW and delivers 220 × 106 units per annum. If
the annual fixed charges are Rs 160 per kW installed capacity and running charges are Rs. 0.04 per
kWh, determine the cost per unit generated.
Q3. generating plant has a maximum capacity of 100 kW and costs Rs 1,60,000. The annual fixed
charges are 12% consisting of 5% interest, 5% depreciation and 2% taxes. Find the fixed charges per
kWh if the load factor is (i) 100% and (ii) 50%.