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First of all, the notion of a price per MW is atrocious. The only relevant price is that of $/kWh, i.e. per energy output. Prices per capacity can have relevance for intra-industry comparisons (i.e. comparing the cost of one wind farm vs another) but not to compare different technologies. Prices per kWh include the initial investment cost (and the financing cost), the operating cost and the fuel cost.

Laurent has chosen USD/installed effective watt as benchmark, which is just installation cost (in $) / output (Wh) * the number of hours in a year (365*24). Perhaps not the measurement I would have chosen, but nothing wrong with it per se as long as you want to compare installation costs. I guess the assumption is that the differences in financing and operating cost is small. Fuel cost is the same, zero.

solar around 15-20c/kWh

Thermal, PV or both?

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by A swedish kind of death on Wed Aug 15th, 2007 at 12:58:26 PM EST
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are only part of the cost. Financing and operating costs are not irrelevant, in fact financing costs are the single biggest driver of relevant costs for renewable energy. And using a figure that requires the fule cost to be zero is extremely dangerous as it makes all renwables look really bad compared to fossile fuel-based sources.

As far as I know, both thermal and PV are in that price range.

In the long run, we're all dead. John Maynard Keynes

by Jerome a Paris (etg@eurotrib.com) on Wed Aug 15th, 2007 at 01:26:18 PM EST
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