How to evaluate economics of energy conversion – incremental analysis of two alternatives

November 14th, 2009 No Comments   Posted in financial models

How to evaluate economics of energy conversion – incremental analysis of two alternatives

In our day to day life, each individual is always presented the dilemma of which of two or more alternatives is the best solution to a problem.

The same life’s problem is encountered by businesses, power generators and users of fuels and energy resources – which is more economical – using an old diesel engine to generate electricity or to convert to dual fueling with diesel/fuel oil and natural gas fuel or purchase a new diesel engine capable of running on dual fuels such as diesel/fuel oil and the cheaper natural gas.

Your energy technology expert has modified his reciprocating engine model to run on multiple fuels such as gasoline, diesel, biofuels, fuel oils, biogas, landfill gas or natural gas. More »