WSP00753

• File Number: 8443.600
• Description: Narrows Unit - Studies
• State: CO
• Basin: South Platte
• Water Division: 1
• Date: 1/19/1982
• Title: Narrows Unit Addendum to Definite Plan Report
• Water Supply Pro - Doc Type: Definite Plan Report

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Table 2.--Benefit-cost analysis
Narrows powerplaht addition

Construction cost
Interest during construction (7.375 percent)
Net project investment

Annua 1 costs:
Equivalent of investment (100 years)
Annual OM&R
Total annual costs

Annual benefits
Firm energy (4,710,000 kWh x $0.054/kWh)
Nonfirm energy (7,350,000 kWh x $0,029/kWh)
Oependable capacity (2310 kW x S5/~W/month x
Total annual benefits

Benefit-cost ratio

.

",., .

..

u,06o
$6,241
691
$6,932
$ 512
35
$ 547
$ 254
213
3 months) 35
$ 502
0.92

As displayed in table 3, a financial analysis was conducted for the
potential Narrows Unit powerplant to . estimate the annual amount of
required repayment. A repayment periOd of 50 years and an interest
rate of 8.5 percent are assumed.

Table 3.--Financi~1 analysis
Narrows powerp 1 ant add it ion

Construction cost
Interest during construction (8.5 percent)
Net project investment ($3,046/kH) :

Annual costs:
Equivalent of investment (50 years)'
Annu a 1 OM&R
Total annual repayment obligation

(per kW)
(per kWh)

8

~l' ,000

$6,241
796
$7,037

$ 608
35
$ 643

($278)
(53.3 mills)