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View Diary: This is what a Renewable Energy Future -- Looks Like! ... Buh-bye! (212 comments)

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  •  but the fuel is free so it cant possibly be less (1+ / 0-)
    Recommended by:
    jamess

    economical.

    every plant takes money and resources to build but when the fuel is free the profit potential must be huge.

    Here in Texas there are these weird state rules that make it so that things like wind and solar and nuclear dont sell for any cheaper than natural gas.  Im not sure how that works but it explains why a 100% wind contract with a retail electric provider can cost more or less as natural gas prices change. i always thought it would cost 'X' dollars and be constant.

    If you live in Texas - see texasobserver.org

    •  well, sure it can. (1+ / 0-)
      Recommended by:
      jamess

      It all depends on the capital it takes to build the plant. And unless you get the capital for free, there will be a point at which the capital cost swamps the fuel cost. Nuclear power is like that, so I have read. The fuel cost is somewhere around one cent per kilowatt hour (cursory web search just now, 3 sources), but the plant capital costs etc bring it up to around the total cost per kw-hr of other power generation technologies.

      Solar fuel is free, the resulting power still costs a fair amount, for another example

      Moderation in most things. Except Reactors. IFR forever!

      by billmosby on Sun Mar 20, 2011 at 09:32:19 PM PDT

      [ Parent ]

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