Technology Summary

Turbine-Integrated Hydrofoil or Turbofoil® Feasibility & Break-even Analysis


   A complete First Principles, Conservation of Energy fundamental physical analysis, an on-going Turbofoil® Design Optimization Trade Space Exploration including Lift-to-Drag and financial break-even analysis, as well as a Hydrodynamic Analysis of a Turbofoil® in Comparison to Existing Hydrofoil Catamarans provides essential hydrodynamic analysis assuring the physical feasibility of the concept of Turbofoil® operation.

   The Turbofoil® Break-even Analysis spreadsheet tools below assist in design feasibility and financial break-even analysis. Given fundamental physical and financial parameters such as average vessel velocity, turbine gate dimensions, competing wholesale electricity cost per kilowatt hour, crew cost and vessel amortization, the spreadsheet shows profitability for various design configuration and operational paradigms and debt-financed business models.

   In the spreadsheet, one may analyze various scenarios by modifying cells containing physical parameters, or modifying cells containing financial parameters.

   The spreadsheet provides initial proof-of-concept indicating favorable return on investment in a variety of feasible Turbofoil® configurations, and physical and financial environments. The Integrated Power Technology Corporation™ has evaluated the following business models for various configurations of Turbofoil® :    Given 10 year hindcast wind and insolation data from NASA and NOAA, we evaluate candidate configurations of mobile hybrid structures specific to each of the below regions, based on delivery of kWh of electricity, kg-H2 - a gallon of gasoline equivalent energy (gge), or Metric Tonnes of Ammonia.

   Our evaluation results in the following ranking by best margins due to highest capacity factor:


Configuration @ Location
Operating Margin @ Wholesale Grid Electricity Price
Operating Margin @ Hydrogen Gallon of Gasoline Equivalent Price
Operating Margin @ Ammonia Spot Price of $600 per metric tonne
Turbofoil® @ Chile
15.4% @ $0.08/kWh
6.7% @ $2.00/kg-H2
64.5%
Turbofoil® @ Ireland & UK
12.9% @ $0.10/kWh
12.6% @ $2.75/kg-H2
54.4%
Turbofoil® @ Alaska
11.7% @ $0.12/kWh
10.1% @ $3.25/kg-H2
44.5%
Turbofoil® @ Guam
13.9% @ $0.14/kWh
7.7% @ $3.60/kg-H2
36.9<%
Turbofoil® @ Australia
13.1% @ $0.14/kWh
4.2% @ $3.50/kg-H2
36.3%
Turbofoil® @ Hawaii
10% @ $0.14/kWh
7.4% @ $3.75/kg-H2
20.9%

Geographic Locations


A Turbofoil® Competes on LCOE Alone:

    A Turbofoil® design paradigm and deployment feasibility model in a yearly average true wind of about 27 knots conservatively indicates a Levelized Cost of Energy - LCOE of $67.66/MWh with a 15.4% operating margin @ $0.08/kWh for the first ten years, dropping below $30/MWh thereafter. The Bloomberg New Energy Finance GLOBAL TRENDS IN RENEWABLE ENERGY INVESTMENT 2011 report stated:

"Wind energy investments are benefitting from the fact that the levelised cost of generation of wind power plants in the best onshore locations is now close to, or even lower on some estimates and in some places than, that of coal plants. ...the best new wind power plants in windy (onshore) locations around the world have a levelised generation cost of $65 per MWh (without storage) compared to $68 per MWh for new coal plants" (not accounting for Carbon Capture and Sequestration).

   While some reports have estimated the cost of natural gas fired electricity generation at $56/MWh, like many commodities, the price of natural gas has fluctuated widely over the years, and the mix of old and new technology such as combined cycle turbines leads to inaccurate cost estimates. The Integrated Power Technology Corporation™ utilizes this Natural Gas Operating Cost Spreadsheet to compare the economic advantages of a Turbofoil® to that of natural gas fired electricity generation.

    Thus, the price of natural gas at $6/MMBTU clearly makes a Turbofoil® advantageous, compared to existing conventional gas turbine electrical generators, or $12/MMBTU if state-of-the-art combined cycle generators are installed. Note this gas turbine operating cost estimate does not account for payroll, overhead, nor cost of capital, (i.e. upgrade from coal to natural gas turbine, nor for existing conventional turbine to combined cycle turbine). It also does not account for impending Carbon Tax; nor for Carbon Capture and Sequestration (CCS); nor for Jevon's Paradox (i.e. future increased natural gas demand when vehicle fleets or the transportation sector in general switches to natural gas). Finally, note that Japan pays $17/MMBtu (LNG) for an average July, 2013 spot price.


© 2013 Integrated Power Technology Corporation™ All Rights Reserved.