The busbar costs and Capacity Factors CF for nuclear and coa

The bus-bar costs and Capacity Factors (CF) for nuclear and coal electric generating stations are as follows: Assuming nuclear fuel costs are fixed, what price will coal fuel costs have to rise (as % of current cost) to make nuclear electric generation economically attractive at the stated capacity factors? What must the nuclear capital cost have to reduce (as % of current cost) to make nuclear electric generation economically attractive at the stated capacity factors?

Solution

Effective cost for nuclear power generation = Total cost/CF = (4.5+0.5+1.2)/0.9 = 6.89 Cents/kW-Hr

Let\'s assume coal fuel cost should be x Cents/kW-Hr

Then Effective cost for coal power generation = (2.8+ x +0.3)/0.8 Cents/kW-Hr

For nuclear power generation to be economically attractive:

(2.8+ x +0.3)/0.8 = 6.89 (limiting condition)

so, x = 2.412 Cents/kW-Hr

So, required % increase in coal cost = (2.412 - 2.2)*100/2.2 = 9.636%