SUFFiciENcy EcONOMy ANd GRASSROOtS DEvElOPMENt

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The Payback Period is 8.5 years through proposed tariff as opposed to around 9.5 years through simple
additive
The Meaning
of
of
individual
Sufficiency Economy
tariffs
as shown in Figure X. The Simple Additive Combination represents
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individual power plants of having the same capacities as that in bundled solution. The electricity is sold at
a fixed rate of Rs. 9/kWh (Proposed Tariff) in the Bundled Hybrid, but in the Simple Additive
Combination, the electricity is sold at the price of the individual tariffs – as if the electricity from Solar
PV, Wind and Biomass has been produced and sold independently of each other, whereas the same
amount of electricity produced and sold in an integrated power plant bundling these technologies
together.
Figure X: Simulation of Payback Analyses: Bundled Local Hybrid Solution vs.
Simple Combination of the Solutions of same capacities
Figure X: Simulation of Payback Analyses: Bundled Local Hybrid Solution vs. Simple Combination of
the Solutions of same capacities
Hence, our payback analyses simulation shows that it is much more
advantageous to the community level power generation by bundling optimal
combination in proportion to the availability of the local bio-resources. This also
Hence, our payback analyses simulation shows that it is much more advantageous to the community level
ensures that no single resource is overstrained or solely depended upon. The most
power generation by bundling optimal combination in proportion to the availability of the local bioresources.
attractive This utilities also ensures tend that to be no significantly single resource smaller is overstrained than or the solely largest depended utility. upon. (Denholm The most
attractive et al 2009) utilities – the tend case to be for significantly local (distributed) smaller than the power largest generation. utility. (Denholm This et al also 2009) proves – the case in
for local (distributed) power generation. This also proves in favor of small hybrid solutions of alternative
favor of small hybrid solutions of alternative energy.
energy.
Fixed Cost Analysis to compare solutions is also presented in the Table VII.
Table VII: Fixed Cost Analysis according to Simulation Results
Fixed Cost Analysis to compare solutions is also presented in the Table VII.
Solution
Total Fixed Cost (million INR)
Solar 3.91
Wind 1.55
Biomass 0.18
Hybrid 1.91
Table VII: Fixed Cost Analysis according to Simulation Results
Renewable energy technologies that are, by their very nature, intermittent would incur fuel costs to the
extent that backup capacity was used in order to maintain the desired supply of peaking power to the grid.
At low levels of renewable penetration additional system costs would be negligible compared with
generation costs, since variability would still be within normal tolerance levels for the system as a whole.
Thereafter, higher levels of penetration will involve additional cost, since additional generation or
electricity storage capacity would be required to meet peak demand if, for example, wind were
unavailable. As a consequence, at a purely financial level, the value of intermittent generation should be
less than that of conventional generation by approximately these additional costs. Both coal and gas