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Assessment of the Costs of Geothermal Power Generation in New Zealand understanding of project-specific geothermal development requirements if they are being compared with current development costs, either in New Zealand or elsewhere. This study is for greenfield projects of a limited size in New Zealand only, using assumptions that were derived from consultation within NZGA, and 2007 cost data and exchange rates, and while the methodology will be applicable in other locations the specific cost data and financial assumptions will not. It should not be assumed that the target after-tax real internal rate of return on 100% equity used in this study would be appropriate in other electricity markets, regulated or de-regulated, elsewhere in the world. Each market and electricity generation technology in that market has its own set of risks, uncertainties and competitive tensions, and that market should decide the approach to take to enable electricity development within its own context. Sinclair Knight Merz SKM Cost of Geothermal Power Report (2007 Cost Basis)R1.doc PAGE 4PDF Image | Current Costs of Geothermal Power Generation in New Zealand
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