21 0 Energy Economics This is a placeholder

21. 0 Energy Economics This is a placeholder and Frank Leslie has not completed the presentation yet Dr. Michael Slotkin Frank R. Leslie B. S. E. E. , M. S. Space Technology, LM IEEE fleslie@fit. edu; (321) 674 -7377 http: //www. fit. edu/~fleslie 4/13/2010

In Other News. . . l Crude oil falls to about $80/bbl on increasing oil supply estimates 100413

21 Overview l Dr. Slotkin’s presentation is not yet available l What follows are just my thoughts for now – F. Leslie 100413

21. 1 Constant Dollar Conversion l The value of the dollar changes with inflation, so varying year costs must be compensated by the inflation rate l After inflation, more money must be earned to buy the same goods 100413

21. 2 Present and Future Value Revised 021213 100413

21. 3 Estimating System Life. Cycle Costs Revised 021213 100413

21. 4 Externalities l Externalities are costs not included in the system cost, but are borne by others l Emission reduction can be encouraged by placing a tax on the emissions Revised 021213 100413

21. 5 CFL vs. Incandescent Lamps vs. LEDs l Compact Fluorescent Lamps (CFL) have fallen in price to about $2 per lamp and they last about 8000 hours u. They require about ¼ the power for the same light as an incandescent bulb (~$0. 25) l LED (Light Emitting Diode) lamps cost about $35 and last ~10000 hours l The energy cost for the quoted life must be added to the cost of replacement labor and the original cost to get a comparison cost 100413

21. 6 System Costing Revised 021213 100413

21. 7 Truths and Fallacies Revised 021213 100413

21. 8 Cost-Savings Analysis: Did you Compute Cost Savings to buy your Car? l Cost savings are often expressed as “years until payoff” u. The shorter the payoff time, the better the investment l In buying a new car, one never worries about payoff time l Perhaps, buying a solar system should be considered without payoff computations 100413 070412

21 Conclusion 100413

Olin Engineering Complex 4. 7 k. W Solar PV Roof Array Questions? 080116

References: Books l Boyle, Godfrey. Renewable Energy, Second Edition. Oxford: Oxford University Press, 2004, ISBN 0 -19 -26178 -4. (my preferred text) l Brower, Michael. Cool Energy. Cambridge MA: The MIT Press, 1992. 0 -262 -02349 -0, TJ 807. 9. U 6 B 76, 333. 79’ 4’ 0973. l Duffie, John and William A. Beckman. Solar Engineering of Thermal Processes. NY: John Wiley & Sons, Inc. , 920 pp. , 1991 l Gipe, Paul. Wind Energy for Home & Business. White River Junction, VT: Chelsea Green Pub. Co. , 1993. 0 -930031 -64 -4, TJ 820. G 57, 621. 4’ 5 l Patel, Mukund R. Wind and Solar Power Systems. Boca Raton: CRC Press, 1999, 351 pp. ISBN 0 -8493 -1605 -7, TK 1541. P 38 1999, 621. 31’ 2136 l Sørensen, Bent. Renewable Energy, Second Edition. San Diego: Academic Press, 2000, 911 pp. ISBN 0 -12 -656152 -4. l Tester, Jefferson W. , Elisabeth M. Drake, Michael J. Driscoll, Michael W. Golay and William A. Peters Sustainable Energy Choosing Among Options. Boston: MIT Press, 870 pp. July 2005 ISBN-10: 0 -262 -20153 -4 090404

References: Websites, etc. awea-windnet@yahoogroups. com. Wind Energy elist awea-wind-home@yahoogroups. com. Wind energy home powersite elist geothermal. marin. org/ on geothermal energy mailto: energyresources@egroups. com rredc. nrel. gov/wind/pubs/atlas/maps/chap 2/2 -01 m. html PNNL wind energy map of CONUS windenergyexperimenter@yahoogroups. com. Elist for wind energy experimenters www. dieoff. org. Site devoted to the decline of energy and effects upon population www. ferc. gov/ Federal Energy Regulatory Commission www. hawaii. gov/dbedt/ert/otec_hi. html#anchor 349152 on OTEC systems telosnet. com/wind/20 th. html www. google. com/search? q=%22 renewable+energy+course%22 solstice. crest. org/ dataweb. usbr. gov/html/powerplant_selection. html Revised 090414