Power System Utilization
Levelized Cost per Unit Generated
Cost_{kWh} = Total\ Annual\ Cost / Annual\ Energy\ Generated
Variables
| Cost/kWh | Cost per unit generated | currency/kWh |
| TotalCost | Total annual operating + financing cost | currency |
| AEG | Annual energy generated | kWh |
Engineering Example
A plant with annual cost of 50,000,000 and AEG of 5,913,000 kWh: Cost/kWh ≈ 8.46 per kWh.
Practical Site Example
The simplified version of the levelized cost of energy (LCOE) used in early-stage hydropower feasibility comparisons.