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Additionally, the generator will be charged by the distribution operator to carry the power to the markets, adding to their levelized costs.
Save at least 4.6 million annual therms of natural gas annually at a levelized cost of no more than 57 cents per therm.
The PV industry is beginning to adopt levelized cost of energy (LCOE) as the unit of cost.
According to Benjamin K. Sovacool, the marginal levelized cost for "a 1,000-MWe facility built in 2009 would be 41.2 to 80.3 cents/kWh, presuming one actually takes into account construction, operation and fuel, reprocessing, waste storage, and decommissioning".
"Levelized cost represents the present value of the total cost of building and operating a generating plant over an assumed financial life and duty cycle, converted to equal annual payments and expressed in terms of real dollars to remove the impact of inflation.
Falling prices continue to drive the levelized cost down and it has been suggested that it has reached general grid parity in Europe in 2010, and will reach the same point in the US around 2016 due to an expected reduction in capital costs of about 12%.