Nigeria's Niger Delta Region (Islands Communities) Energy Cost Comparative Analysis


  • DIESEL AND RENEWABLE ENERGY COST COMPARATIVE ANALYSIS.
    Floating Solar & Micro wind turbine Our floating solar platforms and wind turbines shall cost a flat rate of $9,500 per kilowatt power ( 1 kva ) of electricity for the whole 30 years duration.
    Diesel Generators (50 kva and 100 kva ) as examples
    General Index
    * 1 year = 8,760 hours x 30 years = 262,800 hours
    * Cost of Diesel = N320 / litre
    * Cost of Generators
    i) 50 kva = N3,000,000
    ii) 100 kva = N6,500,000
    * Cost of servicing generator in a month = N30,000 x 12 months x 30 yrs = N10,800,000
    * Cost of replacing a generator every 3 years for 30 years = 10 times
    i). 50 kva = N30,000,000
    ii). 100 kva = N65,000,000
  • CALCULATIONS
  • 1. 50KVA GENERATOR ( IF IT WORKS FOR 12 HOURS / DAY FOR 30 YEARS @8.6 litres/hr )
    Diesel consumption for 30yrs :
    262,800 hrs ÷2 =131,400 hrs x 8.6 litres/hour = 1,130,040 litres
    1,130,040 litres x N320 (diesel )
    Sub total = N361,612,800
    + Cost of Generator servicing =N10,800,000
    + Cost of the generator procurement =N3,000,000
    + Replacement cost = N30,000,000
    Grand total =N405,412,800 (N405.5M) @360 /$ =$1,126,117 ( $ 1.13M)
    √Renewable energy for 50kva 30yrs =$9,500 x 50 = $475,000

    2. 50KVA GENERATOR ( IF IT WORKS FOR 24 HOURS / DAY FOR 30 YEARS @10.7 litres/hr )
    Diesel consumption for 30yrs :
    262,800 hrs x 10.7 litres/hour = 2,811,960 litres
    2,811,960 litres x N320 (diesel )
    Sub total = N899,827,200
    + Cost of Generator servicing =N10,800,000
    + Cost of the generator procurement =N3,000,000
    + Replacement cost = N30,000,000
    Grand total =N943,627,200 (N944M) @360 /$ =$2,621,187 ( $ 2.63M)
    √Renewable energy for 50kva 30yrs =$ 9,500 x 50 = $ 475,000

    3. 100KVA GENERATOR ( IF IT WORKS FOR 12 HOURS / DAY FOR 30 YEARS @ 16.1 litres/hr )
    Diesel consumption for 30yrs :
    262,800 hrs ÷2 =131,400 hrs x 16.1 litres/hour = 2,115,540 litres
    2,115,540 litres x N320 (diesel )
    Sub total = N676,972,800
    + Cost of Generator servicing =N10,800,000
    + Cost of the generator procurement =N6,500,000
    + Replacement cost = N65,000,000
    Grand total =N755,772,800 (N756M) @360 /$ =$2,099,368 ( $ 2.1M)
    √Renewable energy for 100kva 30yrs =$ 9,500 x 100 = $950,000

    4. 100KVA GENERATOR ( IF IT WORKS FOR 24 HOURS / DAY FOR 30 YEARS @ 21.4 lite/hr )
    Diesel consumption for 30yrs :
    262,800 hrs x 21.4 litres/hour = 2,115,540 litres
    5,623,920 litres x N320 (diesel )
    Sub total = N1,799,654,400
    + Cost of Generator servicing =N10,800,000
    + Cost of the generator procurement =N6,500,000
    + Replacement cost = N65,000,000
    Grand total =N1,878,454,400 (N1.88 Billion) @360 /$ =$5,217,928 ( $5.22M)
    √Renewable energy for 100kva 30yrs =$ 9,500 x 100 = $950,000

    With the above comparative cost analysis , it's obvious that renewable energy which is sustainable and environment friendly in the long term cost less than 25% of its diesel counterpart whose fumes is harmful to both humans and the environment.