Avoided Cost and E3 Calculator Workshops. Energy and Environmental Economics, Inc. October 4, 2005. Total Electric Avoided Costs. Shape is Based on PG&E’s San Jose Planning Division. Refinements in Avoided Cost. Background Overview of Title 24 DR Progress Focus on demand response measures
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Energy and Environmental Economics, Inc.
October 4, 2005
Shape is Based on PG&E’s San Jose Planning Division
Method and results in this slide are preliminary.
DkW of Equivalent Capacity
in Each Hour
Additional DkW of Equivalent Capacity
Achieved During Stage 3
Note these shapes are from 2004 IEPR.
Scaled to All-in Combined Cycle CostForecast Market Price - 2008
$85/kW-year (levelized nominal) approx. the same value.
Result is approximately $20/kW-yr
High number of operating hours
Similar analyses for other cases / utilities show approximately 700-900 hours operation
Few hours results in a larger residual capacity valueCalculation of Residual Capacity Value
Control Area Load
Residual Capacity – 100 Hours
Residual Capacity – 250 Hours