Page 24 - CE_Industral_Journal_2014
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YRS           100 HOURS         200 HOURS         300 HOURS         400 HOURS
                        0              407.0 K$          407.0 K$          407.0 K$          407.0 K$
                        1              554.3K$           617.3 K$          680.3 K$          743.3K$
                        2              701.6K$           827.6K$           953.6K$          1079.6K$
                        3              848.9 K$         1037.9 K$         1226.9 K$         1415.9 K$
                        4              996.2 K$         1248.2 K$         1500.2 K$         1752.2 K$
                        5             1143.5K$          1458.2 K$         1773.0 K$         2088.5 K$


        OPTION  B.  1200  KVA  SYSTEMas  designed  in  Option   on, every hour of usage further reduces the total cost of
        A, to provide power to critical and essential services. In   owning an EVR. If the diesel runtime is reduced by 300
        Option B, however, an EVR has been installed between   hours annually, the payback period is reduced to 1.2 years.
        the utility system and the load to reduce reliance on diesel  At 400 hours, the payback period is just under 1 year.
        generation during brownouts and to mitigate the sags and
        surges that would otherwise trigger the backup system.
        When Option B is utilized, the generator will not need to
        run until the system voltage reaches 75%—considerably
        less than in Option A. Were we to go further and factor
        in  residual  losses  caused  by  power-related  business
        disruptions, ownership costs would be further reduced.

        Initial Cost:

               Generator      $320,000
               UPS   $87,000
               EVR     $240,000
               Total   $647,000

        Yearly running cost:


        Once again, the cost of a diesel generator running at ¾
        load is estimated at $630/hour. This figure assumes that
        diesel  fuel  costs  a  conservative  $10/gallon  and  .07  G/
        KWH).  The  annual  cost  for  UPS  maintenance,  battery
        replacement and cost of losses is estimated at $21,300
        per year.                                              CONCLUSION
                                                               An EVR is the Third Component of Effective and Affordable
               YRS     TOTAL COST                              Power Mitigation

               0       647.0 K$                                For  many  years,  diesel  generators,  in  combination  with
               1       735.1 K$                                UPS  systems,  were  the  standard  solution  for  outages,
               2       823.2 K$                                voltage sags and brownouts. But as we have seen, these
               3       911.3 K$                                devices provide only a partial solution, and at considerable
               4       999.4 K$                                and often unpredictable levels of risk and expense.
               5       1087.5 K$
                                                               This paper explored the compelling financial analysis used
        PAYBACK                                                by  more  and  more  hospitality  industry  decision  makers
        Figure A. Comparison of diesel generator plus UPS, (Option   when adding an EVR as the third component of their power
        A),  and  diesel  generator  with  UPS  and  EVR  (Option  B).   conditioning  system.  A  hard  analysis  of  total  ownership
        This figure demonstrates payback period based upon the   costs  shows  that  the  EVR  helps  other  mitigation  tools
        required hours of diesel backup due to sags. At 200 hours   (UPS  systems  and  generators)  operate  more  efficiently
        of  annual  diesel  runtime  to  address  voltage  brownouts,   and effectively. Those who invest in EVRs quickly realize
        an EVR pays for itself in under 2 years. From that point   a return on investment and benefit from fuel-cost savings
        INDUSTRY JOURNAL 22
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