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5COMPARATIVE COST ANALYSES Introduction and Guidelines In order to make appropriate decisions in choosing between wet, dry, and hybrid cooling systems, an accurate estimate of the total cost for each alternative is necessary. Comparisons are often difficult to make, and the findings are impossible to generalize with sufficient precision to be useful in design or licensing procedures. This section is intended to provide a set of guidelines for the purpose of evaluating the completeness and credibility of cost estimates and of understanding the differences between allegedly comparable estimates. At the outset, a methodology will be developed for making fair comparisons. The use of the methodology will be illustrated through four case studies representative of the likely range of conditions in California. Differences among the resulting cost comparisons will be analyzed in order to understand the influence of site-specific conditions on the relative costs. Finally, a series of parametric studies will be presented to illustrate the sensitivity of the overall cost comparisons to uncertainties in individual cost components or to unusual conditions causing some cost elements to be significantly different from average values. Two guidelines for comparison are paramount: 1. The estimates being compared must include all costs that are affected by the choice of the cooling systems, particularly the costs associated with the effects of cooling system capability on plant heat rate and generation capacity. 2. Comparisons must be made between optimized systems, in which the appropriate choice of cooling system size and capability balances initial capital cost against the cost of performance penalties that an undersized cooling system might impose on the generating plant. Cautions and Limitations The cost information and comparisons presented in this report are based on vendor-supplied data for four case studies chosen to be representative of sites and conditions in California. Therefore, the results should not be extrapolated or applied to situations that differ substantially from these situations. The following specifics should be noted: 5-1PDF Image | Comparison of Alternate Cooling Technologies for California Power Plants Economic, Environmental and Other Tradeoffs
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