The timing makes coincidence hard to swallow.
Muskrat Falls: 824 megawatts with an estimated capital cost of $6.2 billion. That works out to about $7.5 million per installed megawatt.
La Romaine: 1,550 megawatts for $6.5 billion. That works out to $4.1 million per installed megawatt.
- srbp -
Hey; I don't blog any more but I figured you might be interested in some numbers.If we take the 6.2billion figure as the actual cost, use a government cost of finance/discount rate of 3.5%, assume four years to build, that the project will stand for 99 years before needing capital investment, that hydro power has an operating cost of 0.9 c/kwh (from internet), that wholesale power to New England/NY goes for about 6 c/kwh (internet), you can run some numbers easily.In particular, it implies that the project expects to lose about $500m under conservative assumptions, depending on the exchange rate. You can either take this as the government has problems with math or that the government has other hydro plans in mind to share the cost of all this transmission infrastructure.
Andrew, clearly you aren't practicing patriotic math. Have you no pride?
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