COST OF OFFSHORE WIND NOSEDIVES BY 57%! IS IT PROFITABLE? PROFITS NOSEDIVE TO 0 [ZERO]

Beatrice, 2007: £2,600 million; 588 MW. That's equivalent to £4.42 million/MW of installed capacity. 

CfD Rate:  £140.00/MWh

Moray East, 2017: £1,800 million; 950 MW. That's equivalent to £1.89 million/MW of installed capacity.
CfD Rate:  £57.50/MWh

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   Is £57.50/MWh a problem for Nuclear?   

NO - BUT IT IS FOR OFFSHORE WIND!!!

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To Energy Fund Managers: 

Why even contemplate investing 64% more in 950 MW of the very latest Offshore Wind technology, when investing in a 220 MW SMR will 'generate' 14.5X more 'Earnings - Costs' ?????

To GENUINE Environmentalists:

Support investment in SMRs and get 2.6X more [24/7] low-carbon electricity, for every £ invested, than from the very latest Offshore Wind technology.

To Politicians:

Support investment in SMRs and have your cake and eat it. Get 2.6X more low-carbon electricity and 14.5X more [taxable] money circulating in the economy.

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At an average Capacity Factor of 31.25%. Over its 25 year lifespan it will deliver just over of 65.0 million MWh of intermittent electricity.

Moray East Capacity Factor Calculation.

Earnings - £57.50/MWh at CfD rate [15 years] will be 

£2,421.1 million.

Earnings - £42.00/MWh current rate [10 years] will be 

£994.0 million.

Earnings over 25 year Lifespan: £3,415.1 million.

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Capital Cost: £1,800.0 million

O & M cost: Dec 2016 - 57.3 M€/yr; Plus 1.4% European inflation to Nov 2017 & €1.13 to £1.00 = £1,285.4 million. 

Table 15, Page 41. 100 Turbines 30 km Offshore - 57.3 M€/yr

Decommissioning Costs of £200,000/MW = £190.0 million

"...they could be over £200,000/MW, on the lower side..." 

Total Costs [excluding Cost of Capital] = £3,275.4 million

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Earnings - Costs = £139.7 million.

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Page 51, Figure 21. Current Study (adjusted - mature designs)

Pressurised Water Reactors [PWRs] operate at Capacity Factor of 90%. Over its 60 year design life, a R-R 220 MW SMR will deliver 104.1 million MWh of 24/7 electricity. 

Earnings - £57.50/MWh at CfD rate [35 years] will be 

£3,490.6 million.

Earnings - £42.00/MWh current rate [25 years] will be 

£1,821.2 million.

Earnings over 60 year Design Life: £5,311.8 million.

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Capital Cost: £1,100 million.

  
2008 - O & M: 1.37 cents/kWh. Then, Plus 13.69% US inflation to 2017 & $1.31 to £1.00 = £1,237.7 million.
The NEI describes what is included in those numbers.

Hinkley Point C, 3,200 MW Nuclear Power Plant [NPP] decommissioning/waste storage/waste handling cost: £7,300 million. Pro-rata cost for a 220 MW NPP:
(220 ÷ 3,200) x 7,300 = £501.9 million.

2008 - Fuel: 0.49 cents/kWh. Then, Plus 13.69% US inflation to 2017 & $1.31 to £1.00 = £442.7 million.

The NEI describes what is included in those numbers.

Total Costs [excluding Cost of Capital] = £3,282.3 million

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Earnings - Costs = £2,031.2 million.

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To Investors: 

INVEST 39% LESS, GENERATE 14.5X MORE !!!

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The UK's Nuclear Industry Is Petrified Of Taking On Its Main Competitor For Investment - Pathetic Offshore Wind !!!

It's taken me a fortnight to 'uncover' this:

Home   Videos   Rolls-Royce Small Modular Reactor   UK Small Modular Reactors

Invest 22% more in SMRs and get 7.9X more 'Useful Income' and 3.3X more [24/7] low-carbon electricity than from Offshore Wind.

Scroll Down to the Earlier Post for the Simple Arithmetic

All you Nuclear Supporters out there - SMRs are our best chance ever of getting the Nuclear Power Industry on the move again - In the UK and anywhere else in the World.

Please contact your Politicians, contact your local and the National Media, comment on reports and pieces in any and all of the media !!!

The Nuclear Industry is not getting these 'GLAD TIDINGS' into the face of the general public - so it's up to US - THE PRO-NUCLEAR MINNOWS !!! 

Offshore Wind at £57.50/MWh - Wind Power Companies and Bodies Lie to: Investors; Politicians; The Media; Environmentalists; The Public.

Offshore Wind at £57.50/MWh - Wind Power Companies and Bodies Lie to: Investors; Politicians; The Media; Environmentalists; The Public. 

11 September 2017 - What a day for Offshore Wind

·         BBC News 24: Professor Grub - "...the energy revolution really did happen and this is the moment we knew it was working..."

·         'the guardian' Headline: Nuclear plans 'should be rethought after fall in offshore windfarm costs'

·         Caroline Lucas, Green Party Co-Leader: "...This massive price drop for offshore wind is a huge boost for the renewables industry and should be the nail in the coffin for new nuclear........Put simply, this news should be the death knell for Hinkley..."

·         Hugh McNeil, 'renewableUK' CEO: "...Both onshore and offshore wind are cheaper than gas and nuclear..."

Moray East Offshore Windfarm: Intermittent Electricity at a CfD price of £57.50/MWh for 15 years.

MEOW

950,000 UK Homes [Surely that means in the 1^st Year]  
[at 3,300 kWh p.a. each, that works out at a Capacity Factor of 36.67%]

But don't tell anyone:

"..The combined average of these measures is...... −1.6 ± 0.2% annual degradation.."

Section 7. Conclusion

At the end of the 25 year lifespan of the windfarm, it's:
645,069 UK Homes 
[at 3,300 kWh p.a. each, that works out at a Capacity Factor of 25.58%]

On Average, over 25 years, that's:
788,131 UK Homes
[at 3,300 kWh p.a. each, that works out at a Capacity Factor of 31.25]

A 20% OVER-REPRESENTATION OF 
THE TRUTH 

And one might ask: Are the investors made aware that:
Income 1st Year: £180,262,500
Income 25th Year: £92,337,689

THEIR ANUUAL INCOME WILL DECLINE BY 49% BY THE END OF THE LIFESPAN !!!

He is also responsible for ensuring that the BBC fulfils its mission to inform, educate and entertain and promotes its public purposes.

BBC Broadcasting House                                                                      15 September 2017

London

W1A 1AA

For the attention of Ian Hargreaves CBE, Non-executive Director

Dear Mr Hargreaves,

Within ‘The Public Purpose’ of the BBC, it states: “…the BBC should provide duly accurate and impartial news, [and] current affairs…”

News 24 certainly provided accurate information by the bucketful about new offshore wind contracts. This piece by Roger Harrabin was continually reproduced on News 24 throughout the day:     http://www.bbc.co.uk/news/business-41220948

‘New Nuclear’ was slated at every opportunity, comparing the £57.50/MWh offshore wind contracts against the Hinkley’s nuclear power £92.50/MWh rate. There was not so much as a mention of the existing 5.3 GW of offshore wind enjoying incomes at £140/MWh.

Indeed, Professor Grub when interviewed, reacted to the £57.50/MWh news by declaring:  "...the energy revolution really did happen and this is the moment we knew it was working...".

One day later, Rolls-Royce issued this Press Release:     https://www.rolls-royce.com/media/press-releases/yr-2017/12-09-2017-rr-british-small-nuclear-plants-can-deliver-low-cost-low-carbon-electricity.aspx

It states:  Small Modular Reactor (SMR) capable of delivering electricity at £60 per MWh

What did we get from BBC News 24 and Roger Harrabin – Nothing!

You will be aware of the intermittency issue of wind power and the need for gas-fired back-up plant. But there are other far reaching environmental issues also:

6 of Rolls-Royce’s 440 MW SMRs, on 0.08 sq km sites, would deliver more 24/7 electricity than the 10,975 MW of UK current onshore wind capacity, comprising of 6,394 wind turbines occupying about 1,450 sq km.

For each unit of electricity delivered, nuclear power plants only uses 5% of the metals and 10% of the concrete used by wind farms.

Nuclear power plants deliver for 60 years; wind farms last 25 years. That 10,975 MW of onshore wind farm capacity would have to be built a 2^nd time and be 10 years into the 3^rd build before the same amount of electricity was delivered. That’s a ‘lifespan factor’ of X2.4, meaning:  2,640 MW of nuclear power plant will deliver more electricity than 26,340 MW of onshore wind farms.

I would greatly appreciate you letting me know why, quite overtly, the BBC does not provide duly accurate and impartial news from one day – a fanfare for £57.50/MWh intermittent electricity, to the next – nothing for £60/MWh 24/7 electricity.

Yours sincerely,