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© 2009 Electric Power Research Institute, Inc. All rights reserved.

Summary – What you have been waiting for

Cost of electricity depends on ownership model as well as many other assumptions

Danger – Beware of Cost Estimates and Cost of Electricity Estimates

Must know all the assumptions behind any estimate

If not provided, estimate is meaningless

Estimating costs is not for the faint of heart

It is complicated

It is detailed

It is hard

You can get just about any answer depending on the assumptions that you choose

When using cost estimates, proceed with caution

Installed Cost

~$8-10/MW

2009$

Small order (1 to 5 MW)

No production base

Installed Cost

~$3-5M/MW

2009$

1st 100 MW plant)

Installed cost will be reduced by 18% for every doubling of production volume

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