"I would guess that CETO would be on a par with wind re costs IF it can attain critical mass."
Silkwood indicated in the first post of this thread that CETO II would cost $8M/MW to install. This is in contrast to Wind which is $1.5M/MW. Wind has a CF of 30%, CETO has a CF of 43%, so you do get slightly more power out of CETO per MW installed, than you do Wind.
The PB Power report has capital costs for CETO II at about $9M AUD/MW and for a large scale CETO III at about $3.3M AUD/MW.
In the UK power is about three times more expensive. Even then the report mentions "the CETO device will require financial support either through capital grants at the front end or through ongoing support as is available through the Renewable Obligation arrangements in the UK."
"It may be uncompetitive in the first instance but thats not really the point."
Yeah, but it needs to be competitive at some point. I thought shareholders were in it to make money, not throw it away?
Sure the economics are likely to be improved but it starts at a significant handicap. You also need to compare this with alternatives in the market such as HDR which offers capital costs of $1.5-2.5M installed, but with a CF of close to 100%, i.e. is base load.
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"Alternative energy is all the rage but that does not mean as an investor you'll be able to make money." Stuart Schweitzer, New York-based global strategist at JPMorgan Asset Management
CNM
carnegie corporation limited
