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<br />00 <br />c:') <br />o <br />M <br /> <br />Estimated Costs and Benefits <br /> <br />l___, <br /> <br />All costs and benefits for the Central Arizona Project were reestimated <br /> <br />o <br /> <br />and economic and financial aspects of the project were reanalyzed in <br /> <br />this supplemental report. The current estimated construction cost of <br /> <br />the project is $997,222,000, exclusive of $4,109,000 investigation <br /> <br />costs. The average annual operation, maintenance, and replacement <br />costs are $8,6ll,000. The total estimated average annual equivalent <br />benefits for a 100-year period of analysis are $125,468Jooo. The <br />benefit-cost ratio for this period vould be 3.09 to 1. Fbr a 50-year <br />period, the benefit-cost ratio vould be 2.54 to 1. <br /> <br />The reimbursable Federal investment in the project could be paid out <br /> <br />::i <br /> <br />in a period of 50 years fran revenues derived fran the sale of water <br /> <br />and electrical energy. For such a payout, irrigation water could be <br /> <br /> <br />sold at canalside at an average of about $10 per acre-toot, and raw <br /> <br />water for municipal and industrial purposes could be sold at canalside <br />point of delivery to the municipality at an average at about $38 per <br /> <br />acre-foot. The energy produced by project facilities aver and above <br /> <br />that required for project pumping, sold commercially at 6.0 mills <br />per kwh, vould repay costs allocated to power With interest and, in <br /> <br />addition, could provide necessary assistance for irrigation. The cost <br />of water would be within the ability of the water tilling agencies to <br />repay, and the cost of capacity and energy woUld be canpetitive with <br />commercial rates in the area for the peaking type power made available. <br /> <br />The project, accordingly, would be economica11y justified and <br /> <br />financially feasible. <br /> <br />10 <br />