A Critique of Estimating Future Costs Using Most Likely Value

ASTM E2137 (Standard Guide for Estimating Monetary Costs and Liability for Environmental Matters, or E2137) is the guidance for developing estimates of future environmental costs. E2137 provides a hierarchy of cost estimation approaches, and expresses an explicit preference for the use of probabilistic cost analysis to develop expected values for environmental costs. Dr. Ram and his colleagues have published an article (Remediation Journal, Autumn 2013) which rejects the use of EV analysis, arguing that while “good in principle” it has little practical value because it is nearly impossible to develop supportable probabilities. The E2137 principles and processes have been used for more than a decade in the context of addressing future environmental costs, yet their view of E2137 renders the standard meaningless. We conclude that the deficiency is not in the ASTM standard, and that when properly constructed, probabilistic analyses can be used to develop expected values with supportable probabilities. ©2015 Wiley Periodicals, Inc.     

Deployment of parabolic trough concentrated solar power plants in North Africa – a case study for Libya

The study addresses the potential of using concentrated solar power plants (CSPs) as a sustainable alternative of clean energy generation in the Mediterranean region and, in particular, in its North Africa shore. This location presents attractive conditions for the installation of CSPs, in particular high solar irradiation, good manpower concentration, and proximity and availability of water resources for condenser cooling. Energetic, exergetic, and economic analyses were conducted taking into consideration a particular type of CSPs - the parabolic trough concentrated solar power plant, which incorporates the most proven technology and it is already used in Southern Europe (Spain). In addition, the study considered the impact of project financing and incentives on the cost of energy. The combination of higher values for performance and potentially lower levelized cost of electricity (LCE) for the North Africa Mediterranean Rim than the South of Spain region can yield a very favorable return for the invested capital. Tripoli compared to Almeria presented superior performance and potentially lower LCE values ($0.18/kWh versus $0.22/kWh). This is significant, even when it is taken into consideration the fact that the plant in Tripoli, despite a relatively modest capacity factor of 34%, has a large gross power output of 173,886 MWhe. In addition, the implementation at the Tripoli location of a plant similar to the Anadsol plant has a slight advantage (2–3%) in terms of overall efficiency.