1.1 Australian Energy Technology Assessment 2012/2013
The bureau of resources and energy economics (BREE) in collaboration with other governmental and private organizations conducted a technical and economic review of different electricity generation technologies called the Australian energy technology assessment. This report first published in 2012 is to be followed by biannual updates.
The purpose of the report is to forecast the technical and economic aspects of 40 different electricity generation technologies under Australian conditions, herby presenting cost estimates to planners and investors. This model is then used to compare different technologies with costs projected up to 2050.
AETA report and modelling framework try to address the following key technical and economic aspects of electricity generation technologies:
Design basis and plant characteristics: net capacity, Aux. Load, Equipment costs
Performance parameters: thermal efficiency, capacity factor, emissions
Capital Cost estimates: First year availability, capital costs construction profile
Fuel and O&M estimates: fixed and variable O&M costs, sequestration costs
Levelised cost of electricity: comparison of LCOE with other technologies
The findings of the report suggest that future energy generation mix of Australia is expected to be very different from the current scenario with profound implications on new investments as well as Australia’s renewable energy and emission reduction targets.
Intended for energy companies, electricity market operators and regulators the model has provisions for changing some assumed parameters and generating alternative LCOE.
1.1.1 Levelised Cost of Electricity
Keeping in view expected technological innovations, fluctuating fuel prices and climate change policies a model has been developed to generate a minimal cost of energy at which the generator must sell electricity in order to achieve its desired economic return called as the levelised cost of electricity (LCOE). LCOE expressed in $/MWh is generated taking into account the costs incurred by a specific generation technology over the lifetime of the plant. These costs include capital costs, O &M (fixed and variable), fuel costs as well as emission and sequestration costs where applicable. A fixed discount rate of 10% is used for all technologies.
1.2 Sugar Cane Waste Power Generation
Sugar cane waste power generation is assessed under Biomass technology options which also include landfill gas and biomass waste such as wood.
The fibrous material left after juice is squeezed from sugar cane is a useful biofuel. This material once processed is known as bagasse. Sugar industries have long been burning this residue to produce heat and electricity to support their milling operations.30% of the sugar cane mass turns into bagasse after crushing which makes sugar cane one of the best way to harvest solar energy through biomass.
In recent years the sugar industries have been able to...