A Public Utility Is Planning to Construct a High Head $\$ 3000 \mathrm { USD }$

question 15

Essay

A public utility is planning to construct a high head hydroelectric facility. The approximate cost for large facilities is $\$ 3000 \mathrm { USD }$ per $\mathrm { kW }$ installed. The utility is considering two options, a $600 \mathrm { MW } _ { \mathrm { e } }$ facility that would operate at a $70 \%$ capacity factor or an $800 \mathrm { MW } _ { \mathrm { e } }$ facility that would operate at a $65 \%$ capacity factor. If electricity is sold for $\$ 0.13$ per $\mathrm { kWh }$ , estimate the payback period for the additional infrastructure costs for the larger facility. Ignore the cost recovery factor and operating costs.

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Definitions:

High Degree

An advanced level of academic achievement, typically a master's or doctorate degree.

Work-family Conflict

The tension that arises when the demands of work and family roles are incompatible in some manner, making it difficult to fulfill both roles effectively.

Coworkers

Individuals who work together in the same organization or workplace.

Gang Up

The act of a group collaborating or coming together to intimidate, bully, or forcibly oppose someone or something.