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Technical prices of selected power sources
Technical prices of selected power sources
In the competitive world, supply and demand determine market prices for a list of power sources.
But... even so, it is always important to have a price reference to assess "where the market is at". This is to guide robust decisions, especially for the long term.
I refer to this reference as "technical price", which is one that offers a fair rate of return for this type of investment.
The graph shows the result of the calculation that I like to do to update the technical price, especially considering the production capacity of each source by its nominal installed power. The hydraulic source typically has a capacity of 60%. That is, for each installed kW, it produces about 0.6 kW firm in the year. Solar, 20% and wind, 40%. So the sources present great variation in costs.
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