Power Plant Design

Project No. 2
Masbate

Name: Guieb, Ian R.

Course/Section: EE116D/E06
Date Submitted: March 16, 2019

Engr. Jesusito Sulit

Professor
 POWER PLANT CONFIGURATIONS

LOCATION Masbate
Population 949,075
Density (persons/HH) 4.9
no. of households (HH) 193,688
typical hh consumption 87
(kWh/mo)
total hh consumption 16,850,856
(kWh/mo)
%hh over total 63.72%
total island consumption 26,445,160.08
(kWh/mo)
system load factor 64.73%
coincident demand (kW) 55,965.15785 kW
diversity factor 1.05
non-coincident (kW) 58,763.41575 kW

No. households = population/density = 193,688.7755

Total household consumption = 193,688 x 87 = 16,850,856 kWh/month
Total island consumption = 16,850,856/63.72% = 26,445,160.08 kWh/month
Coincident demand = total island consumption / (load factor*730) = 55,965.15785 kW
Non-coincident demand = diversity factor * coincident demand = 58,763.41575 kW

Census Date Population Model

March 2, 1903 43765
Dec 31, 1918 67513
Jan 1, 1939 182483
Oct 1, 1948 211113
Feb 15, 1960 335971
May 6, 1970 492908
May 1, 1975 533387
May 1, 1980 584520
May 1, 1990 599355
Sep 1, 1995 653852
May 1, 2000 707668
Aug 1, 2007 768939
May 1, 2010 834650
Aug 1, 2015 892393
 2016 862336.764
2017 871010.673
2018 879684.582
2019 888358.491
2020 897032.4
2021 905706.309
2022 914380.218
2023 923054.127
2024 931728.036
2025 940401.945
2026 949075.854

Type of Generating Units

Type of Generators Capacity (MW) No. of Units Total (MW)

Biomass Power 20 2 40
Plant
Coal Power Plant 0.01 40 100
Total 140

PMW Coal power plant = capacity * no of units = 100

PMW Biomass power plant = capacity * no of units = 40
PMW TOTAL = Coal + Biomass = 140

Production Plant Factor Hours kWh/year

Coal 60 % 2803.2 280,320,000
Biomass 55.00 % 4814 192,560,000
Annual Customer 472,880,000
consumption

Coal Fired Power Plant

Plant Factor = 60%

Production hours = Coal plant factor*(24x365) = 2803.2
kWh/year (coal) = production hours * total MW * 1000

Biomass Power Plant

Plant Factor = 55%

Production hours = biomass plant factor*(24x365) = 4814
kWh/year (biomass) = production hours * total MW * 1000
 Heat Rates for Each Type

FUEL COST Heat Rate BTU/kWh Fuel Cost Fuel Cost Pesos/kWh
$/MMBTU
Coal 9,773 1.80 0.9411399
Biomass 13,500 0.07 0.0505575

Fuel Cost coal (Php/kWh) = (Fuel Cost $ / MMBtu (coal) * Heat Rate BTU/kWh(coal) / 1000000
= 0.9411399

Total O&M O&M ($/kW) % Pesos/Year Fixed

Coal 42.1 2.87% 225,235,000 70%
Biomass BFB 110 6.29% 176,550,000 70%

% O&M (coal)= O&M ($/kW) coal / $/kW(coal) = 2.87%

% O&M (biomass)= O&M ($/kW) biomass / $/kW biomass = 6.29%
O&M cost/year (coal) = total pesos (coal) * %O&M coal = 225,235,000
O&M cost/year (biomass) = total pesos (biomass) * %O&M biomass = 176,550,000

Fixed O&M Computation

Coal 157,664,500.00
Biomass 123,585,000.00

Fixed (coal) = O&M cost (coal)*(0.7) = 157,664,500

Fixed (biomass) = O&M cost (biomass)*(0.7) = 123,585,000

Peso/US $ exchange rate 53.50

Investment Costs $/kW Total $ Total Pesos
Coal 1,468 146,800,000 7,853,800,000
Biomass 1,748 69,920,000 3,740,720,000
Total 11,594,520,000

Total $ (coal)= coal cost ($/kW) * total MW (coal) * 1000 = $146,800,000

Total $ (biomass) = biomass cost ($/kW) * total MW (biomass) * 1000 = $69,920,000
Total Php (coa) = Coal $ * exchange rate = 7,853,800,000
Total Php (biomass) = biomass $ * exchange rate = 3,740,720,000
Total Php = total coal + total biomass = 11,594,520,000
 Working Capital
Computation Fuel Variable O&M Total
Coal 263,820,336.8 67,570,500 331,390,836.8
Biomass BFB 4,650,279 52,965,000 57,615,279
1-month work capital 32,417,176.32

Fuel (coal) = Fuel cost (php/kwh) *kWh/yr (coal)

Variable (biomass) = O&M cost (coal)*(1-0.7)
Total Capital (coal) = fuel + variable O&M
1 month working capital = Total capital (coal + biomass) * 2/12

Depreciation Life (years) depreciation (P/yr)

Coal 30 261,793,333
Biomass BFB 30 93,518,000

Depreciation (coal) = total php cost (coal) / life (coal) = 261,793,333

Depreciation (biomass) = total php cost (biomass) / life (biomass) = 93,518,000

Rate Base Computation Coal Biomass Total

Investment Cost 7,853,800,000 3,740,720,000 11,594,520,000
1 month work capital 6,031,210 4,801,273.2 10,832,482.7
Total Plants in Service 7,859,831,210 3,745,521,273 11,605,352,480
RORB @12% 943,179,745 449,462,552.8 1,392,642,298

Total investment cost = investment cost (coal + biomass) = 11,594,520,000

Total work capital allowance = 10,832,482.7
Total plants in service = total (investment cost + work capital allowance) = 11,605,352,480
RORB 12% = total plants in service *12% = 1,392,642,298

FIXED COST Coal Biomass Total

Depreciation 261,793,333 93,518,000 355,311,333
Fixed O&M 157,664,500 123,585,000 281,249,500
RORB 943,179,745 449,462,552.8 1,392,642,298
Total 1,362,637,578 666,565,552.8 2,029,203,131

Total fixed cost (coal) = Depreciation + Fixed O&M + RORB (coal) = 1,362,637,578
Total fixed cost (biomass) = Depreciation + Fixed O&M + RORB (biomass) = 666,565,552.8
Total fixed cost = total fixed cost (coal + biomass) = 2,029,203,131
 VARIABLE COST Coal Biomass Total
Fuel 263,820,336.8 4,650,279 268,470,615.8
Variable O&M 67,570,500 52,965,000 120,535,500
Total 72,374,514 57,615,279 389,006,115.8

Total Variable Costs = total fuel costs + variable costs

TOTAL COSTS Coal Biomass Total

Fixed + Variable 1,435,012,092.53 724,180,831.8 2,159,192,924
kWh 280,320,000 192,560,000 472,880,000
Average 5.12 3.76 4.57

Total costs (coal) = total fixed costs (coal) + total variable costs (coal) = 1,435,012,092.53
Total costs (biomass) = total fixed cost (biomass) + total variable cost (biomass) = 724,180,831.8
Total cost = total cost (coal + biomass) = 2,159,192,924
Avg (coal) = total cost (coal)/ Kwh/yr (biomass) = 5.12
Avg (biomass) = total cost (biomass)/ Kwh/yr (biomass) = 3.76
Average = total cost/ Kwh/yr = 4.57

Power Rates Computation:

Variable Cost 389,006,115.8
kWh 472,880,000
Energy Charge (P/kWh) 0.8226
Fixed Cost 1,916,981,531.26
kW-month 671581.8942
Demand Charge (P/kW-month) 2854.4271

Energy charge = variable cost/kWh = 0.2749

kW-month = coincident demand*12 = 671581.8942
Demand charge = fixed cost/kW-month = 2854.4271

Rate Impact Customer A Customer B Customer C

Load Factor 30% 50% 85%
Energy Consumed 1,000,000.00 1,000,000.00 1,000,000.00
kW Demand 4,566.21 2,536.78 1,611.60
Energy Charge 822,600 822,600 822,600
Demand Charge 13,033,913.57 7,241,053.579 4,600,194.714
Total Bill 13,856,513.57 8,063,653.579 5,422,794.714
Average Bill 13.85 8.06 5.42
Energy charge A = Energy charge * energy consumed
Demand charge A = Demand charge * kW demand
Total Bill = Energy charge A + Demand charge
Average Bill = total bill / Energy consumed

Gross Revenues 2,159,192,924

Operating Expenses 744,317,448.8
Interest Expense (@6% on 70%) 487,424,804.2
Net Operating Revenues 927,450,671
Income Tax (30% net operating rev) 278,235,201.3
Net Income After Tax 649,215,469.7
Equity (30% of plants in service) 3,481,605,744
Return on Equity 18.65%

Gross Revenues = Total Fixed + Variable Cost = 2,159,192,924

Operating expenses = Total variable costs + Depreciation = 744,317,448.8
Interest Expense (6% on 70%) = Total plants in service*70%*0.06 = 487,424,804.2
Net Operating Revenues = Gross-Operating expenses – interesting expense = 927,450,671
Income Tax (30% net operating rev) = Net operating rev * 30% = 278,235,201.3
Net Income after Tax = Net Operating Revenues - Income Tax (30% net operating rev)
= 649,215,469.7
Equity (30% of plants in service) = Total plants in service * 30% = 3,481,605,744
ROE = net income/equity = 18.65%
References:
 https://www.doe.gov.ph/ducsp/maselco
 https://psa.gov.ph/sites/default/files/attachments/ird/quickstat/Masbate_11.pdf
 https://psa.gov.ph/sites/default/files/1903%20CPH%20vol1.pdf
 https://www.iea.org/ciab/papers/power_generation_from_coal.pdf