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Biomass Based Small Scale Combined Heat and Power Tech

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Biomass Based Small Scale Combined Heat and Power Tech ( biomass-based-small-scale-combined-heat-and-power-tech )

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COE = (a + c)Is,add + Cfuel + b [€/MWh ] (1.4) (1.5) 1 −  1 + IR  For which, te and tt is economic and technical lifetime respectively and IR is the interest rate. Is,add is the specific additional investment for the electricity part and c is a factor for calculation of the annual operation and maintenance costs, h is the annual operation hours. Cfuel is the fuel cost per MWh and b is an additional operation costs per fuel unit. The efficiency ηmarg is defined as how much extra fuel energy input the plant require to achieve the specified electric power, while still maintaining the heat generation, [7] see Equation 1.6. η Pfuel −pf,heat Where pf ,heat is the fuel amount needed to operate a hypothetical heat producing plant of the same size. Nevertheless this variable strongly depends on the efficiency of this theoretical plant, in this study the total efficiency for such a plant was assumed to be 0.9, [7]. According to Kjellström [7] some thumb rules for c and b are 0.02 and 2.22 €/MWhfuel, Which is used if nothing else is stated. The economic and technical lifetime along with h are assumed according to the case studied. The fuel price (Cfuel) varies significantly, depending on grade of refinement and geographical location. The prices used in this report are valid for the year of 2006 and are taken from the Swedish Energy Agency [10], Table 1.2 shows mean prices for different fuels in Sweden. h ηmarg Where a is the annuity factor defined by Equation 3.5, el IR  1 t−t a= ×1− t⋅ t e  tt  1 e  (1+IR)e tt  m arg el = P (1.6) 8

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