Laserfiche WebLink
<br /> <br />. <br /> <br />CHAPTER II <br /> <br />COMPREHENSIVE PLAN <br /> <br />Power benefits <br /> <br />The economic value of power was assum.ed to be equal to the weighted <br />average costs of obtaining equivalent power from new steam~electric plants <br />constructed and operated by private utilities, which are considered to be <br />the most economical alternative source of power. The alternative costs <br />were previously estimated for analyses of the Colorado River Storage proj- <br />ect. These costs average $24.50, including taxes of $8.50, for each kilo- <br />watt of salable dependable or firm capacity and 2.7 mills for each kilowatt- <br />hour of salable energy at delivery points of the Colorado River Storage <br />project. The derivation of Juniper project powe~ benefits on the basis of <br />these costs is summs~ized below. <br /> <br />. <br /> <br />Derivation of average annual power benefits <br />Descri tion.. <br />Average annual. long-term. generation .kw,-hrs. <br />Firm capacity generation of plant (kw.) <br />Average annual salable energy at delivery points (kw.-hrs.) <br />Salable dependable capacity at deli very points (kw.) <br />Energy benefit at 2.7 mills per kw.-hr. of salable energy <br />Capacity benefit at $24,50 per kw. of. salable capacity <br />Total ower benefits <br />1. Includes taxes of 8.50 per kilowatt. <br /> <br />Amount <br />. 9 .000,000 <br />30 ,ODD <br />89.000,000 <br />27,000 <br />$240.000 <br />11 662 000 <br />02 000 <br /> <br />Power revenues <br /> <br />Selling rates of Colorado River Storage project power have been estab- <br />lished at $1.275 per kilowatt-month and 3 mills per kilowatt-hour for power <br />measured at the delivery points set forth in the Colorado River Storage <br />Project Power Marketing Criteria dated November 9, 1962, At these selling <br />rates, power revenueS from the Juniper project would total approximatelY <br />$680,000 annually, including $413.000 from capacity revenues and $267,000 <br />from average energy ~evenues. <br /> <br />Economic and Financial Analyses <br /> <br />Comparison of benefits and costs <br /> <br />In the determination of the economic justification of developing the <br />Juniper project, anticipated benefits were compared with estimated costs. <br />Both the benefits and costs were computed as average annual equivalents <br />over a 100-year period at 2 7/8 percent interest, <br /> <br />. <br /> <br />Irrigation Benefits <br /> <br />As previously discussed, the project irrigation benefits for an irri- <br />gable area of 100,000 acres are estimated at $7,600,000. of which $4,000.000 <br />would be direct benefits. <br /> <br />49 <br />