The topic is more about future construction of generators and how that equates to price per MWH to build.
Take an old coal fired power station.
The capital costs will have been amortised some time ago.
Liddel for instance purchased by AGl from the State Government with no value attributed to it.
It also came with a bonus.
A long term coal supply contract set below current market rates.
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Coal hard facts about power shore up AGL’s stance on Liddell, page-7
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Peter Batten, MD
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