Professional Documents
Culture Documents
Total Cost
=Lease Cost + Operation Cost + Maintenance Cost
Pros
Quick installation
Avoid external outages by environmental factors.
Cons
High-cost diesel fuel.
High initial cost
Road access to be improved for fuel-truck traffic
High-cost maintenance
Noise of generator engines to community.
High pollution from generators.
Extra personal on-site for operation and maintenance.
Maintenance and operation cost by user.
3 ANALYSIS
Based strictly on capital cost, the alternative #1 is a better option as it is less expensive than alternative # 2
and alternative #3.
Based strictly on the operation and maintenance cost, the alternative #1 is a better option as it is less
expensive than alternative # 2 and alternative #3.
In the Table 3.1 are presented the operating cost for the three alternatives. For the alternatives #2 and #3 the
ref Comparing the two power plant solutions with generators,
The alternative #1 solution present annual operation cost reduction having a connection to the national utility
power grid over the cost of operation of alternatives #2 and #3that uses diesel fuel. More, the alternative #1
solution vs. diesel solution also allows a reduction in greenhouse gas.
In the Table 3.1 shows the CAPEX and OPEX of the three different alternatives
Table 3-1: CAPEX vs OPEX