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Colossal Mistake—Long-term Price Projections. $/mmBtu. $15. $12. Natural Gas Oil Coal. $65/bbl. $9. $40/bbl. $6. $3. $2.31. EIA AEO1996. 1990. 1991. 1992. 1993. 1994. 1995. 1996. 1997. 1998. 1999. 2000. 2001. 2002. 2003. 2004. 2005. Gasification.
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Colossal Mistake—Long-term Price Projections $/mmBtu $15 $12 Natural Gas Oil Coal $65/bbl $9 $40/bbl $6 $3 $2.31 EIA AEO1996 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
Gasification Gasification—Domestic Supply Option
Loan Guarantees: Access to Capital & Lower Cost Gas Costs Energy Costs 14 12 $/MMBtu Cent/KWh 12 10 8.5 10 8 Capital + O&M 8 5.8 6 Capital 6 4.6 4.4 + O&M 3.9 4 Fuel 4 Capital Capital Capital + + Fuel + O&M O&M Fuel O&M 2 2 Conversion Fuel Fuel Fuel - IGCC SCPC NGCC NGCC IGCC with Loan Guarantee Syngas with Loan Guarantee Natural Gas Price ($6 gas) ($10 gas)
No Appropriations needed under 3Party Covenant Provides Receives -- 80% loan guarantee -- Lower cost of capital -- Low risk scoring Federal Government -- Lower electricity/gas rates -- Jobs and development State PUC -- Assured revenue stream -- Full Cost Recovery -- 20% equity -- EPC warranties Owner