Operational expenditure costs for wave energy projects and impacts on financial returns

Simple item page
dc.contributor.authorO'Connor, Michael
dc.contributor.authorLewis, Anthony
dc.contributor.authorDalton, Gordon
dc.contributor.funderScience Foundation Irelanden
dc.date.accessioned2016-08-23T13:34:27Z
dc.date.available2016-08-23T13:34:27Z
dc.date.issued2012-10-04
dc.date.updated2013-05-14T15:14:50Z
dc.description.abstractThis paper examines 'availability' and the input metrics of operational expenditure (OPEX) for wave energy projects and reports on a case study which assesses the impact of these inputs on project profit returns. Case study simulations modelled a 75 MW wave energy project at two locations; the west coast of Ireland and the north coast of Portugal. Access and availability with respect to weather windows at both locations are discussed and their impact on energy output and wave farm operations is quantified. The input metrics used to calculate OPEX of wave energy projects are defined as well as the impact of OPEX on project net present value (NPV) and internal rate of return (IRR). Results indicate that access and resultant availability factors have a significant impact on case study results by reducing energy output and correspondingly financial returns. Furthermore, the technology maturity level designated for a project also impacts on availability factors and consequently energy output and NPV. Case study profits proved to be very sensitive to annual OPEX, especially if overhaul and replacement costs were accounted for. As a result of the impact of 'availability' on project profit returns. Feed-in tariffs will need to be tailored to the location in question as well as the device technology maturity level, with case study simulations indicating that high FIT will be required to support early stage WEC projects. (C) 2012 Elsevier Ltd. All rights reserved.en
dc.description.sponsorshipScience Foundation Ireland (SFI Charles Parsons Award)en
dc.description.statusPeer revieweden
dc.description.versionAccepted Versionen
dc.format.mimetypeapplication/pdfen
dc.identifier.citationO'Connor, M., Lewis, T. and Dalton, G (2013) 'Operational expenditure costs for wave energy projects and impacts on financial returns', Renewable Energy, 50, pp. 1119-1131. http://dx.doi.org/10.1016/j.renene.2012.08.059en
dc.identifier.doi10.1016/j.renene.2012.08.059
dc.identifier.endpage1131en
dc.identifier.issn0960-1481
dc.identifier.journaltitleRenewable Energyen
dc.identifier.startpage1119en
dc.identifier.urihttps://hdl.handle.net/10468/3018
dc.identifier.volume50en
dc.language.isoenen
dc.publisherElsevieren
dc.rights© 2012 Elsevier Ltd. All rights reserved. This manuscript version is made available under the CC-BY-NC-ND 4.0 license http://creativecommons.org/licenses/by-nc-nd/4.0/en
dc.rights.urihttp://creativecommons.org/licenses/by-nc-nd/4.0/en
dc.subjectAccessen
dc.subjectAvailabilityen
dc.subjectO/Men
dc.subjectFeed-in tariffen
dc.subjectCost of electricityen
dc.titleOperational expenditure costs for wave energy projects and impacts on financial returnsen
dc.typeArticle (peer-reviewed)en
Files
Original bundle
Now showing 1 - 1 of 1
Thumbnail Image
Name:
OPEX_for_wave_energy_-_M4__Leixoes_-_MOC-GD_4.pdf
Size:
292.33 KB
Format:
Adobe Portable Document Format
Description:
Accepted Version
Download
License bundle
Now showing 1 - 1 of 1
Thumbnail Image
Name:
license.txt
Size:
2.71 KB
Format:
Item-specific license agreed upon to submission
Description:
Download
Collections
Civil and Environmental Engineering - Journal articles
Centre for Marine and Renewable Energy (MaREI) - Journal Articles