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Overall, the geometry of the existing infrastructure is not ideal for the implementation of this <br />turbine. Modifications to the infrastructure will increase the overall cost of the facility. <br />POWER PRODUCTION <br />Based on the estimations of available flow in the Rio Grande River, the VLH-3550 could produce <br />approximately 1,600 MWhrs annually, and the VLH-4000 could produce approximately 1,850 <br />MWhrs annually. These estimates assume that the turbines are not able to operate for about 3.5 <br />months due to icing conditions on the river. <br />CosTs <br />Budgetary estimates from the VLH manufacturer are as follows for the equipment only; <br />VLH3550 - $997,500 <br />VLH 4000 - $1,320,000 <br />This price does not include unloading and setting of the equipment, assembly and installation, civil <br />work, switchgear substation and connection to the grid, or line protection equipment. <br />The above described modifications to the existing civil infrastructure, installation and electrical <br />requirements are estimated to cost approximately $750,000 for both alternatives. <br />ECONOMIC FEASIBILITY <br />One measure of the economic feasibility of a project is the simple payback period. These two <br />alternatives range in total development cost between $1,747,500 and $2,070,000. Annual gross <br />revenue is estimated between $64,000 and $74,000. Ignoring both operation and maintenance <br />costs and interest payments, these projects have a simple payback period between 27 and 28 years. <br />SELECTED ALTERNATIVE <br />PROJECT DESCRIPTION <br />A SLH-100 turbine was chosen as the ideal size for this site, both technically and economically. This <br />turbine is designed to operate at 225 cfs of flow, with the 10 feet of head available. Flows in the <br />river do reach over 3,000 cfs during peak flow, although this turbine was sized to run at maximum <br />efficiency over a long period of time instead of utilizing the highest flows. This size allows for the <br />generation of almost 900 MWhrs annually with an initial investment of less than $600,000. The <br />economics of the project were considered heavily when sizing the turbine. This project yields a <br />simple payback period of only 17 years. More detailed economics are provided in the Financial <br />Feasibility Analysis. <br />Rio Grande Canal Water Users Association � Project Description <br />