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Commentator

Join Date: Feb 2008
Location: Guatemala
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Cost of Generating Electricity by Diesel Generator

05/19/2008 10:06 AM

Hi everyone. As the costs of electricity rise here in Guatemala, I was asking myself if I should purchase a generator. I am currently consuming 320000 kW/Hr monthly and my power consumption is aroung 600 kW. My power factor is 0.9. What I need to know are the formulas to calculate the cost of generating 1 kW. I know I am going to save on the costs of using the powerlines and my cost right now are around $0.11 per kW/hr. I´ve been in touch with the vendor of Caterpillar, but how do I know if he is not oversizing the plant. Please excuse my ignorance, but I haven´t found any info on the net.

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Guru
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#1

Re: Cost of Generating Electricity by Diesel Generator...

05/19/2008 11:12 AM

<...how do I know if he is not oversizing the plant...>

Because the brief the representative is working to is the one provided from the above figures? The only way to avoid over-sizing is to give a realistic picure of present and future load demands.

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Guru
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#2

Re: Cost of Generating Electricity by Diesel Generator

05/19/2008 12:27 PM

If your data is correct your consumption a day makes up about 12000 kWh, taking in account power factor. So with 600 kW power your diesel should be in operate about 20 hours a day, all days, holidays include.

Ten years ago when I worked in printing press we had such a generator to prevent production loses due to frequently occurred blackouts. But we didn't mind to save in cost for electricity, just to keep production process permanently on for crucial facilities. Regardless incredible low price for fuel those days price for 1kWh produced by diesel had been 4 times greater than if we got it from power grid.

Recently the friend of mine had installed such a generator for one bank to secure their computers in operate state no matter what happens. Of course they (bank people) did not care the price of electricity got this way as the main goal was make their work process stable.

If consumption of your diesel will be 0,2 litre per hours. You will be need a gallon per day or so. I have not any idea about prices for fuel in your country (is clue here?), but for a while I would be in doubt you could save significant amount of money this way. Plus spends for generator maintenance and its shipping.

Where am I wrong?

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Commentator

Join Date: Feb 2008
Location: Guatemala
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#3
In reply to #2

Re: Cost of Generating Electricity by Diesel Generator

05/19/2008 12:45 PM

No, the secret is not in the price of diesel Caramba. Our president wants to sign up for Petrocaribe, but I believe this will ruin foreign relations so I doubt it. Diesel prices are at $4.26 per gallon. The thing is, our brilliant government has made a new contract with the generators were the cost at peak ours is soaring. My idea was to generate a peak ours to lessen the cost. Does it make sense?

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Guru
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#4
In reply to #3

Re: Cost of Generating Electricity by Diesel Generator

05/19/2008 1:03 PM

To be honest, I supposed something like, but you didn't mentioned this fact. All govts are somewhat brilliant . I do not know the details of yours tariff innovations but yes this case depend on how high will be peak hr prices. I think this case your idea can be productive. Sure.

My former student, she is now doctorate stud in Germany has written me that it's usual practice there to cope with power grid overload in peak hours, i.e. to use diesel generators. As well to encourage people to install solar voltaic generators --- they are payed for returned to grid power for much more greater prices. Thats why I asked -- where I would be wrong.

I believe in power of every govt to give such a peak tariff that common people will be ready to think about rocket fuel .


Good luck.

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Anonymous Poster
#5

Re: Cost of Generating Electricity by Diesel Generator

05/20/2008 1:36 AM

Hello

Ask for a second quote of a competitor like mtu-online.com because they have the best service worldwide.

Regards

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Guru
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#6

Re: Cost of Generating Electricity by Diesel Generator

05/20/2008 9:38 PM

The real question is how does your power consumption look when plotted over time. If you have a nearly constant demand you will not save as much compared to if you could prevent peak surges during peak demand times.

Secondly, examine your operation to see if you can shift some of your demand into another time period with attendant lower cost rates from your utility.

When I worked for a power utility company we had several clients who opted for a demand billing system. As long as they shifted their peak demand loads into our low loading times they got a preferential price on power. BUT! if they exceeded their average demand load during peak hours, their billing rate increased accordingly.

As for cost of self generation, right now I have determined that my clients pay six to ten times as much per kilowatt generated by their own generator compared to utility power.

As fuel prices increase, this differential will also increases. I'm in an area with substantial hydro-electric generation capacity so utility power is not increasing a great deal. Plus its regulated by government approvals for rates.

Can't speak for your locality.

Concerning whether or not the Catapillar dealer is over sizing the quoted power package, that depends on how accurately you can document your load demand. As a first step, why don't you rent a power analysis consumption meter. Something like a Dranatz that datalogs your power consumption over a week or month long period. Analyze your results and then you can more accurately tell any prospective generator supplier what your base load, average and peak demand loads are. This in turn determnines the size of generator required.

Fuel consumption between half load and full load is approximately linear, which is why most genset manufactures publish those figures most often. Below half load parasitic loads and engine volumetric inefficiencies come into play and skews the brake specific fuel consumption curve. The BSFC values are normally published. This number is fuel consumed per brake horse power per hours run. Multiply by actual output to see how much fuel you would use. That is your cost. Now factor in what you pay per liter or gallon of fuel.

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Anonymous Poster
#7

Re: Cost of Generating Electricity by Diesel Generator

07/14/2008 12:26 PM

Hallo CR4,

It is very simple.

The question is how much redundancy you need for your Caterpillar dieselplant (I assume it is), and how little electricity you could survive with. You need to know what the availability of the dieselplant is. How long can it run until it stop because some part is not working perfectly. Say it can be up 95% of the time. I give you two examples as below:

Option 1) You use dieselplant as primary source and powerlines as backup (probably cheapest). You buy one 600 kW dieselplant (net output) and when it doesen't work the powerline takes over, using a switchover breaker.

Option 2) You rely entirely on Diesels and you need at least 50% of the electricity (probably more expensive).

With 95% diesel availability you need at least 5% overcapacity. However, if one diesel is gone you will loose its entire capacity. So with for example the configuration: 7x100kW = 700kW you will have an availability of 600 kW for 97,5% (if one diesel breaks down the remaining ones will have sufficient capacity).

Don't forget the additional costs of maintaining the machines including spare parts.

-----------------------------------

Now, I would like in return to know:

Could you please tell me where on the internet I found out about the Guatemala electricity prices per month?

----------------------------

Elector

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Participant

Join Date: Oct 2010
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#8

Re: Cost of Generating Electricity by Diesel Generator

10/26/2010 1:16 PM

I recently bought generators for our business, and was pleasantly surprised by the speed and reliability of service I received from GoPower.com. They carry generators of all sizes and power wattage's for your power needs.

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Guru
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#9

Re: Cost of Generating Electricity by Diesel Generator

03/27/2013 1:12 PM

Dear Mr. 95324,

Power Factor 0.9 is Good. If it is 0.94 it will be better.

Pl.furnish the following, to enable to arrive at an economic consumption of Diesel.

1.What is your Plant Load Factor.?

2.Whether your DG is running round the clock.? or what is the duration of the run.? 3.What is the Peak Demand.? and for how many Hours the Peak Demand is met.?

4. What is the duration of run with lowest load, and what is the lowest load, observed.?

5. What is the highest H.P of the motor, and whether once started is it continuously running or stop/start is there.?

DAYANANDHAN.S

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95324 (1); Anonymous Poster (2); caramba (2); dhayanandhan (1); elnav (1); jamesraynor79 (1); PWSlack (1)

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