As I end my seventh year as an officer of the National Capital Area Chapter of the US Association for Energy Economics, six years as treasurer and one as secretary, and as I anticipate becoming vice president in July, I have decided to start including in my personal blog reflections on NCAC events, inviting other participants in the events to add to the blog their comments on my reflections and the on the comments of others.
EPRI anticipates that 80% of the coal plants will be environmentally retrofit in the next three years, by 2015. But some of those retrofits might be considered to be minor tweaks, in that some systems are estimated to have a retrofit cost in excess of $3,000/KW while about half of the systems are expected to be less than $500/KW. Though $500/KWH might be minor compared to $3,000/KW, the costs aren’t minor compared to the cost of a new coal fired power plant, which is in the neighborhood of $1,000/KW-$2,000/KW. But surprisingly, the average retail price of electricity is expected to drop by about 10% by 2025, despite the cost of these huge retrofits and the cost of the parasitic loads necessary to operate the systems.
The presentation itself is available at http://ncac-usaee.org/pdfs/2012_05Chesnaye.pdf.