ABSTRACT

This chapter presents a case study in which a variety of possible sources of electric supply, including utility system service, fossil Distributed generator (DG) alternatives, and renewable energy, are evaluated for a new community. It deals with the background behind the DG case study problem. In order to run DG on natural gas, there must be a pipeline to bring natural gas to the site. The lowest-cost route from the nearest gas supply point to the resort would have a route length of 122.5 miles, costing $59,000 per mile to construct – $7,225,000, total – and requiring pump and valve stations at each end, costing another $1,500,000. Alternatively, these DG units could be run on diesel fuel, which could be delivered by fuel truck on a periodic basis. This requires no expensive pipeline construction, although storage tanks, a local pipe/pump system, and spill containment, costing $820,000, are required.