Cost Of Energy

General

The economic success of SurfPower depends on its ability to deliver electrical energy at a cost competitive with or lower than today’s wind turbines. SurfPower can measure its competitiveness by comparing its energy yield versus installed cost with that of wind turbines. The ratio of the annual energy yield in GWhr, divided by the capital cost in millions of dollars for wind turbines is typically, about 1.3 to 2. SurfPower anticipates a 50 pontoon system on a good site will deliver 50 GWhr annually which implies the installed capital cost must be equal to or less than $25-38 million. Design cost objectives for each of the system components have been established as follows, based on high volume production (100 or more system components). The detailed design of components has not been undertaken at this time, however, Seawood Designs believes the design cost targets, while being challenging, are achievable.  Therefore, continued development of the system is warranted.

The total system cost is $36 million for a 25 MW plant. The energy yield/cost ratio is competitive with wind and delivers energy at 8-10 cents per kW/hr. Creative solutions and the “learning curve” may drive costs lower than projected at this time.

The option of generating fresh water at one half the cost of conventional reverse osmosis installations can provide additonal value not available from other renewable energy sources.

The service life of SurfPower may exceed that of wind turbines in that high cost SurfPower components (collection main, anchors, and pelton turbine plant) have proven 50 year service lives.

Pontoon

Fabricated from aluminum. The estimated weight is 16,000 kg. Using a fabricated cost allowance of $10/kg, suggests a design cost target of $160,000.
50 Pontoons - $8 million.

Seawater Pump

Seawood Designs has developed a long stroke piston pump design that will have a long service life in the corrosive and abrasive environment. The design cost objective for the pump is $200,000 that includes the valving and flexible connections required at the pontoon and pump piston rod.
50 Pumps - $10 million

Seabed Anchors

A number of choices are available depending on site conditions (gravity rock-filled base, rock anchors, and suction caissons). An allowance of $100,000 per anchor installed is suggested. This includes pre and post lay surveys and geotechnical reports.
50 Anchors - $5 million

Collection Main

Approximately two kilometers of main are required for a 50 pontoon system. A preliminary estimate indicates the cost to be $5 million.

Collection Main - $ 5 million

Pelton Turbine/Generator Station

Vendor estimates suggest $7 million be budgeted for the generating plant.

Pelton Turbine/Generator - $ 7 million

System Assembly and Start-Up

Pontoon Installation and Start-Up: Est. - $1 million