# MPR Capacity Factor

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Slide 1

﻿MPR Capacity Factor William B. Marcus JBS Energy, Inc. for The Utility Reform Network

Slide 2

Two options Actual Operating Capacity Factor (60-70%) Theoretical Availability (around 90%)

Slide 3

Fixed and Variable Costs Fixed Costs are Incurred paying little respect to limit calculate Variable costs increment as operations increment Cost in pennies per kWh decreases as limit component increments in light of the fact that altered expenses are spread over more kWh of operations

Slide 4

Combined Cycle Economics Why does a plant just keep running at 60% of the time when it could hypothetically run 90% of the time? Financial matters Either less expensive power is accessible the other 30% of the time, or request isn't accessible to keep it running at full limit, or both.

Slide 5

So what does a baseload renewable stay away from (levelized showcase cost in all hours)? 100% of the settled cost of a joined cycle Operating expenses of the consolidated cycle when it would run Costs that are a most extreme of the variable expenses of the consolidated cycle amid hours when the joined cycle would not run or would be turned down. At the end of the day, settled and variable costs figured at a 90% limit consider

Slide 6

Combined Cycle Cost (\$/kW-year) at 60% and 90% limit calculate

Slide 7

Spreading altered expenses over kWh: 9.3 pennies/kWh at 60%, 8.5 pennies/kWh at 90%

Slide 8

How the Current Baseload MPR Overstates Cost

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Time Differentiation Doesn't Help Lower costs at 3 AM and higher costs at 3 PM are insufficient. The aggregate number before time separation is too high, with the goal that costs paid for baseload operation are still too high.

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Conclusion Appropriate payout for baseload or irregular plant that is not dispatched spreads altered expenses over the hypothetical most extreme limit figure for a consolidated cycle. Time-separated MPR for 30-40% of low load hours ought to be close to joined cycle variable cost. Every single altered cost ought to be in 60-70% of hours for time-separation purposes. Just this technique gives suitable esteem to both baseload plant and plants that can be dispatched descending in off-pinnacle hours.