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- Production of other byproducts resolve energy costs for both the consumer and the OTEC plants themselves
- Generates other services to reduce costs
- OTEC has funding available now
Cost EffectiveNew tech makes OTEC cost competitiveFerris 2012 [David, Forbes Staff, March 31, "Market for Deep Ocean Energy Heats Up", http://www.forbes.com/sites/davidferris/2012/03/31/market-for-deep-ocean-energy-starts-to-heat-up/] Scientists have entertained the idea of OTEC since the 19th Century and Lockheed Martin created a working model during the 1970s energy crisis . But the budding market withered in the 1980s as fuel prices dropped. Now, with energy prices rising again, OTEC is back. Ted Johnson, a veteran of some early Lockheed experiments, is a senior vice president at OTE Corporation. Johnson told me that OTEC systems are becoming cost competitive because the technology for pipes, heat exchangers and other equipment has improved greatly, thanks in part to innovations by the oil and gas industry. Meanwhile, creating electricity on remote islands is expensive as ever. Production of other byproducts resolve energy costs for both the consumer and the OTEC plants themselvesIRENA 2014 [The International Renewable Energy Agency (IRENA) is an intergovernmental organisation that supports countries in their transition to a sustainable energy future, and serves as the principal platform for international co-operation, a centre of excellence, and a repository of policy, technology, resource and financial knowledge on renewable energy. IRENA promotes the widespread adoption and sustainable use of all forms of renewable energy, including bioenergy, geothermal, hydropower, ocean, solar and wind energy, in the pursuit of sustainable development, energy access, energy security and low-carbon economic growth and prosperity. OCEAN THERMAL ENERGY CONVERSION TECHNOLOGY BRIEF http://www.irena.org/DocumentDownloads/Publications/Ocean_Thermal_Energy_V4_web.pdf Performance and Costs – OTEC provides electricity on a continuous (non- intermittent) basis and has a high capacity factor (around 90%). Although, small-scale applications have been tested and demonstrated since the late 1970s, most components have already been tested and are commercially available in the offshore industry. There are considerable economies of scale. Small scale OTEC plants (<10 MW) have high overheads and installation costs lie between USD 2010 16 400 and USD 35 400 per kilowatt (kW). These small-scale OTEC plants can be scaled to accommodate the electricity production of small communities (5000 - 50 000 residents), but would require the production of valuable by-products – like fresh water or cooling – to be economically viable. For island states with electricity prices of USD 0.30 per kilowatt-hour (/kWh), OTEC can be an economically attractive option if the high up-front costs can be secured through loans with low interest rates. The estimated costs – based on feasibility studies – for larger scale installed OTEC plants range between USD 2010 5 000-15 000/kW, and the costs for large scale floating OTEC plants could be as low as USD 2010 2500/kW that results in a levelised cost of electricity of around USD 0.07-0.19/kWh. These cost estimates are highly dependent on the financing options. Furthermore, these cost projections require large-scale deployment and a steep learning curve for OTEC deployment costs Generates other services to reduce costsCreativeWorld9 2011 [“ADITYA(right) & PRAKASH (left)”. We have completed B.tech in Electronics and Communication Engineering (E.C.E).we are residing at Vishakhapatnam,A.P.we have designed this website with aim of helping the students of Engineering and all graduate fields..This blog contains mainly “IEEE abstracts with full papers in all respective fieldsOCEAN THERMAL ENERGY CONVERSION http://www.creativeworld9.com/2011/03/abstract-and-full-paper-on-ocean.html VII. APPLICATIONS Ocean thermal energy conversion (OTEC) systems have many applications or uses. OTEC can be used to generate electricity, desalinate water, support deep-water Mari culture, and provide refrigeration and air-conditioning as well as aid in crop growth and mineral extraction. These complementary products make OTEC systems attractive to industry and island communities even if the price of oil remains low. The electricity produced by the system can be delivered to a utility grid or used to manufacture methanol, hydrogen, refined metals, ammonia, and similar products. The cold [5°C (41ºF)] seawater made available by an OTEC system creates an opportunity to provide large amounts of cooling to operations that are related to or close to the plant. Likewise, the low-cost refrigeration provided by the cold seawater can be used to upgrade or maintain the quality of indigenous fish, which tend to deteriorate quickly in warm tropical regions. The developments in other technologies (especially materials sciences) were improving the viability of mineral extraction processes that employ ocean energy. ECONOMIC CONSIDERATIONS: The economics of energy production today have delayed the financing of a permanent, continuously operating OTEC plant. However, OTEC is very promising as an alternative energy resource for tropical island communities that rely heavily on imported fuel. OTEC plants in these markets could provide islanders with much-needed power, as well as desalinated water and a variety of Mari culture products. In considering the economics of OTEC, it is appropriate to determine if multiple-product systems, e.g., electricity, desalinated water, Mari culture, and air conditioning (AC) systems yield higher value by, for example, decreasing the equivalent cost of electricity. Because Mari culture operations, as in the case of AC systems, can only use a relatively minute amount of the seawater required for the thermal plants they should be evaluated independent of OTEC. It is recommended that OTEC be considered for its potential impact in the production of electricity and desalinated water and that Mari culture and AC systems, based in the use of deep ocean water, be considered decoupled from OTEC. Comparing production costs of electricity and desalinated water can identify scenarios under which OTEC should be economical, relative to conventional technologies. OTEC has funding available nowCoxworth 2010 [Ben, An experienced freelance writer, videographer and television producer,More funds for Hawaii's Ocean Thermal Energy Conversion plant http://www.gizmag.com/lockheed-martin-otec-hawaii/17081/ An Ocean Thermal Energy Conversion (OTEC) pilot plant off the coast of Hawaii’s Big Island is now a step closer to reality. The U.S. Naval Facilities Engineering Command (NFEC) has just awarded Lockheed Martin a US$4.4 million contract modification to develop critical system components and designs for the plant – this amount is in addition to the $8.1 million contract the NFEC issued in 2009, as well as two grants totaling $1 million that Lockheed Martin received from the U.S. Department of Energy in 2008 and this March. Hopefully, this means the streets of Kona may someday be lit by electricity obtained from the temperature difference between warm and cold sea water. 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