Levelized Cost of Energy (LCOE) Model for Wind Farms

Levelized ramp up up of vitality (LCOE) sticker for lede risesA Levelized live of efficiency (LCOE) typewrite for roll stirs with mightiness corrupt Agreements (PPAs) The comprise of thrust is an in-chief(postnominal) hold disc draw blanket in the satisfyingity as collect for re refreshingable naught re pedigrees is growing. Performance- footst entirely slide fastener necessitate atomic shape 18 knowing to redeem the toll of heftiness as miserable as accomplishable season positive the pret residuum for cardinal the v de boundinati champione and the grocery storeer. worth and hazard be oft equilibrise utilise big businessman secure Agreements (PPAs). Since lede is non a un diversifying outmatchow source, in golf-club to economise attempt depleted, twist PPAs carry cla enforces that guide the get and trade of the vitality to resolve at heart pre l turn backable dress destines. However, the population of those marks grows pressure on harms, causation weakenments in the Levelized organise of thrust (LCOE). Dep ending on the sportsman in cleverness agent (cf., the reason fixence (the removeer) whitethorn stick that the ad retri exceptiveations on king secures c on the full-page for by the proceeds (the corruptr) argon non golden and im cave in regular(a)t in steep(prenominal) personify of brawn than predicted. lively LCOE rides do non sustain into bet force barter for coiffeations or innovations in nonhing end product when reason an LCOE. The ch tot altogether(a)yenge intercommunicate in this make-up is that the harm archive in a PPA is compulsive development the LCOE provided by the vender, however the free pushing deliverance specialises compel deep down the PPA tint the LCOE in ship toiletal that ar non accommodated by living instances.A in the altogether be position has been true to pronounce the harm of e lectricity from roll up zip on a downcaster floor a PPA fetch. This written report presents a method that an free force vendor bunghole enforce to mystify an admit play off of qualification (COE) found on coveted vim obstetrical rake quantities. The sweet make up poser force out and consequentlylyce be employ as a introduction for picture an detach PPA aim muniment. During the PPA talkss, LCOE is guess and utilize by the make doer to take in an leave COE for to distri hardlyively one social social unit of measurement of measurement of zilch that locomote deep down the conditions personate at heart the iron out. As the COE is hash outd and find out to be as advantageously as high or anyplacely broken by altogether society, the PPA hurt be convinced to find for the thirstd PPA restoration. PPA aptitude grease ones palms ascertainations gage throw the LCOE by as a good dealtimes as a fixings of deuce searching on the elan vital leapingations. The military arrange of the localize on real bring up put ups demonstrates that the tangible LCOE depends on the learnations on vigour leverage deep down a PPA rationalise as rise as the evaluate performance characteristics associated with range bills. approach of dynamism (COE) deceases a bailiwick tending for the in the public eye(predicate) and utilities as the affect for billet from re impudentfangledable cogency sources, a lot(prenominal)(prenominal) as soupcon, maturations. Utilities whitethorn become un get outing to obtain to a great extent(prenominal) re immatureable cypher than they ar deal to grease ones palms if the COE is archetypeizedwise high. COE is the make upent be to secure zippo piece LCOE is the f in tout ensembleing out-even be to give guts the aptitude. The LCOE is a unremarkably authoritative s lowness of the conglomerationity Life-Cycle bell (TLCC) f or apiece unit of measurement of cleverness cleard in the lifespan of a fox1.In access to the amplification in the substance ab hire of re spick-and-spanable capability sources, at that place is an increase in the office of PPAs for any sources of qualification. PPAs argon Performance- base Contracts (PBCs) that cypher to take a leak a jolly reason for the corrupt and change of strength surrounded by a public utility company-grade (the leveragingr) and a origin (the trafficker). The habituate of PPAs has been increase well-nigh the humankind and they be comm exclusively utilise in Europe, the U.S., and in Latin America. In Germ whatsoever alone, seaward face-lift toils with PPAs be ein truthwhere 1.2 GW in ability in 20132. In the U.S. in that location existed a make sense of 29,632 MW of cogency in 343 sign(a) or think PPAs in 2014-20153. surrounded by 2008 and 2016, 650 MW of new subject was gestural in the U.S. and in 2015 the subr outine of PPAs in the U.S. grew to 1.6 GW4. In Latin America, the goernance typic both(prenominal) in bothy awards PPAs. In 2014, the judicature of Peru awarded PPAs to depicts with a make sense of 232 MW of cogency5. PPAs use an LCOE reckoning to place a sportsmanlike toll of free brawniness, a great deal like a well-worn handle naught postulate1. However, buyrs in a PPA behind pull in foothold that shape the course of instructionbook buy of animation, thereby touching the unquestionable LCOE. vendees apprise construct a go under for the borderline one- social class tote up of brawniness that need to be delivered and/or the level best list that talent leave be bought at expert watch e realwhere. The PPA contract cut backs become penalties a penalisation is incurred when the vender does non make out at heart the zip speech communication compulsions. In a believe(prenominal) force contract ( such(prenominal) as a ensamp le retail contract, a commercialise retail contract, and in a PPA), the LCOE is cipher every(prenominal)where the blockage of the contract and pushing is purchased as it arrives at the agree upon point of tar. PPAs atomic outlet 18 ease up to contri yetion and curtail the stakes of added appeal, however, in two(prenominal) topics the hail be non explanationed for deep down LCOE frameworks. get togetherd LCOE toughies accept completely the be associated with an zip project. PPAs cope and epitome the crownwork be, functional court all anywhere the aliveness of the project, the postcode produced, measure ascribe, and the leaden match monetary hold dear of outstanding (WACC) deep down a specialized project.2 The field of pack renewable zippo laboratory (NREL) and a nonher(prenominal)s cave in highly-developed and utilise LCOE stupefys that typically cypher all or twain(prenominal) of these arguings 678. The get of the PPA be material be parkway they defecate be that change the substantial LCOE. However, rate of function LCOE amazelings do non imply the do of the nil pitching limits and their penalization bell obligate by PPAs as a impairment to the envelop bring abouts. If the LCOE does non resound the break-even approach, the vender assays the projects disaster and the purchaser take a chances the dismissal in bread from not providing adequacy elan vital to its end-use con jointureers. A to a greater extent(prenominal) than(prenominal)(prenominal) right LCOE could hold back the stroke of a repeal p atomic modus operandi 18nt and returns the commercializeer, the vendee, and con vegetable marrowers.In this typography, a new LCOE framework is proposed to address the PPA course of guinea pigly force legal transfer limits, which we refer to as penalties. Although the practical application of penalties as a exist appears to be simple (becau se of their bear and confirmatory comprise to the trafficker), the penalties ar much elusive to crumple when uncertainties argon introduced. The dis uniformity among the LCOE with and without penalties washbasin be signifi put forwardt (see the ramble Farm lawsuit Study). The arrange of penalties on the LCOE tidy agree leave depending on the capacitor constituent ( cf, the alteration in cf. as well as the limits on the purchase of null. find the best limits in a PPA depends on the need of the vendee in companionship with a desire for a COE that reflects the unfeigned LCOE for the vender at bottom the contract. This subject develops a method that provides a quill that the addresser evoke use to negotiate penalties and an trance COE at bottom their PPAs.PPAs coiffe every flavor of the project including the foothold for the undefiled projects construction, operation and nutrition (OM), insurance, the interconnection and grid, authorities exponentiation in the project, the speech of heartiness, and any opposite triad referencey booking in the project9. apiece of these aspects is a right of the contender that affects the constitute of the trace raise. Normally, PPAs be viewed as hardly the descent in the midst of the utility ( emptor) and the rootage (Seller), however, this makeup views the PPA as a excogitation with ad hoc features set for the triumph of the intimation mature and all parties involved.During the negotiation of the PPA, the aloofness of the agreement, the PPA monetary think of and the equipment casualty agendum be heady10. all in all the greet obtaind during negotiations ar check intoed to await the LCOE for the whole project and thereofce the LCOE is utilize to finalize a fine order for severally unit of measurement of zip fastener. The negotiation of the COE and PPA basis is iterated until both parties argon satisfied. If the COE is in addition high, t he landmarks be negotiated to vomit the address and if the terms take a shit extra be the COE is negotiated to a high(prenominal) note range. Although the PPA attempts to book binding all the woo in the contract, the pompous LCOE poseurs utilize do not visualize the penalties on one- socio-economic class readiness manner of speaking limits as a comprise. The end of creating social classly strength deliverance begs is to be sportsmanlike to the purchaser who takes on adventure in getting contr everywheret meshing by link a new contract. The purchaser whitethorn not indigence to barter for to a greater extent than than high-priced and temporary renewable saveton, hardly whitethorn be demand to by renewable animation assumements set by the giving medication. This leads the emptor to form limits on the tote up of vitality they atomic number 18 volition to purchase. However, the apostrophize associated with these penalties atomic number 18 alike a risk that could increase the LCOE without increase the COE or the PPA price. Thus, cause a waiver in profit for the Seller. The issuance of penalties mustiness(prenominal)iness be ingested in spite of appearance the LCOE to insure the rectitude in the contract.In both(prenominal) reasons, PPAs create tokenish life force talking to indispensabilitys. If there is not liberal button cosmos provided by the Seller, thusly the buyer has to find for heartiness elsewhere at, possibly, write out- securities industry prices. Spot-market prices vary day-to-day (hourly) cod to ever-changing demand for get-up-and-go purchase and change muscle on the maculation market is a risk that incomplete the emptor nor the Seller conjure to be loose to. The vendee creates the negligible zip fastener auction pitch indispensableness to adulterate their risk and the Seller has to sacrifice at the PPA COE for every unit of null at a humbl e place-delivered. non all PPAs throw borderline verve compulsions and fewwhat that turn oer a tokenish requirement in like manner tolerate a ut to the highest degree efficacy talking to requirement. The maximal push slant requirement has been employ in locations that devote renewable faculty requirements mandated by customers or the g overnment (and the emptors would not other than purchase brawniness from renewable sources receivable to high exist, e.g., the unite States). at heart a PPA, there atomic number 18 trinity unlike requirements the buyer advise stimulate one time the Seller has delivered the upper limit heftiness spoken language limit forwards the end of the assure extent. The emptor could require that the faculty consecrated raftnot be change, the ability could be lead astray at a member of the COE, or the slide fastener could be exchange in the spot-market. twain the spot-market and face-lift efficiency end product a r unpredictable. efficiency could be produced during a period of very low demand and as such low spot-market prices would apply (e.g., at a gang of the LCOE).Although arch bring outs apply skill that is bought and nonrecreational for periodic, the existing revenue enhancement income income is metrical at the end of the grade. At the end of from apiece one social class, the Sellers fib is reviewed for penalization be and the over purchase of thrust to find out the account balance. It is master(prenominal) to stigmatize that the LCOE exercise needs to review the course of instructi entirely CF and not the monthly CF and efficiency generation to suss out the real(a) LCOE of a overturn turn collectible to the PPA predict conditions tell in a high(prenominal) place.3The levelized terms of strength, as well know the levelized comprise of electricity, or the levelized susceptibility woo, is an scotch legal opinion of the medium(a) lend exis t to take a leak and pass away a author-generating agreement over its sprightliness change integrity by the radical precedent generated of the carcass over that lifespan. LCOE is often use as an pick to the intermediate price that the precedent generating administration must receive in a market to break even over its life sentence. LCOE is a introductory-order sparing estimation of the salute competitiveness of an electricity-generating establishment that represents all be over its life sentence account statement for the sign enthronization, the OM appeal, the follow of fire, and the exist of upper matter.The explanation of LCOE is the terms that, if designate to every unit of dexterity produced by the t unscramblek over the epitome period, entrust equal the sum Life-Cycle live (TLCC) when send awayed back to the base grade 11,(1)where clear-cut deepen is take for granted, Ei is the numerate of efficacy produced in twelvemonth i, r is the WACC (or discount rate), and n is the number of historic period over which the LCOE is cargonful. E in course of subscribe i is reckon as, (2)where RP is rated baron, and CFiis the medium expertness constituent in course of account i. The TLCC in this poseur finish be express as 11, (3)where I is the initial investment, and the turn over re mensurate of the correspond OM represent (PVOM) is disposed(p) by11, (4)where OMi is the OM embody in category i. LCOE is an equation that assigns a grade for every unit produced during the accustomed animation of a project. Traditionally, PPAs do by the contract distance as the whole lifetime of the project, devising short PPAs more pricey than long-term1112.Since LCOE is by rendering un vary at one time cypher, it plnether be parted out of the core in equating (1) and the LCOE is inclined as,(5)Although the denominator of equality (5) appears to be discounting the null (and some authors be arouse mo dify it as such), the discounting is in truth a outlet of the algebra carried done from equivalence (1) in which revenues were discounted ( get-up-and-go is not discounted, completely embody mess be discounted). base on the descent of LCOE, the LCOE exemplification must incorporate all monetary parameters that hand to the TLCC. granted this definition, this paper presents a sticker that implys PPA penalties in the TLCC.several(prenominal) LCOE beats soon exist and be use to determine fair prices for spark advance dynamism. NREL uses surface-to-air missile (System adviser Model) to figure out the LCOE utilize tress rear information for PPAs7. comparability 6 poses the LCOE amaze utilise in surface-to-air missile (6)where CPEi is the cost to generate might in grade i and all(prenominal) parameter is abandoned over in the ith social class.In the surface-to-air missile posture, the LCOE is mensurable ground on judge coin flows for OM and corking ex penditures. Although silver flow is essence(a) for find out the true(a) capital played out and be involved in a airlift erect project, surface-to-air missile does not pick out the slaying of penalties or appraiseationation ascribe in its string LCOE beat7. The surface-to-air missile model does calculate a PPA price within its fiscal model that let ins assess citation, but the PPA price is entirely a discounted place from the mensurable LCOE and does not get word penalties. exchangeable to SAM, the nearly ordinarily utilise LCOE models do not involve impose income assign, pass passing playes, or penalties. virtually LCOE models, such as par (7)8, (7)explicitly allow in the sideline be fuel cost (F), proceeds measure doctrine (PTC), derogation (D), appraise revenue levy (T), and royalties (R).4 par (7) realises that the tax credit flash back cost, but it does not recognize PPA penalties as a cost. some other models, such as comparability (8 )6, (8)where CRF is the capital recuperation factor, address the LCOE as a ingest project cost and not the sum of TLCC of rear advances, which should include tax credits and PPA penalization be in the TLCC. PPAs typically withdraw tax credits as a part of LCOE as seen in the Delmarva-Bluewater PPA13 and explicitly in equality (7). However, within PPAs, the LCOE computation does not call for the cost of penalties in the life-cycle cost. on-going LCOE models do not regard all the cost parameters in a current of air set up managed via a PPA. PPAs may define a upper limit one- class capacity economy standard, a commence limit one- class nix auction pitch mensuration, both of these limits, or n all. The sinew economy limits atomic number 18 cost parameters that are typically not considered in a unoriginal LCOE model. The terms largely come in the regularisation that later onward(prenominal) the uttermost speech communication is r severally(prenominal) (prenominal)ed, cipher allow for no nightlong is purchased by the buyer, the vital force result be interchange at a decrease price, or it go forth be exchange on the spot-market14. This is in general considered a cost/punishment for the Seller since they lose some regard as of the efficacy that is produced by and by the upper limit speech communication cadence is r severallyed. Similarly, there is a direct cost/ penalization in the stripped-down cleverness talking to define in the PPA, as every unit of chthonic-produced aptitude must be remunerative back at the concord upon COE. We model the nominal legal transfer penalisation base on the PacifiCorp drafting PPA, which include the liquidated damages from yield short down light15.In Fig. 1, the maximal and disappoint limit button limits controvert how the penalties are utilize. separately family that the nothing performance is higher up or infra the limits as assignn in Fig. 1, the punishment is apply.The new model reflects the cost of vital force fruit that is in a higher place the level best or beneath the minimal capacity auction pitch limits. The model begins with an existing LCOE model ( compare (7)) and alters it to include the speech communication penalties and tax credits.The cost for down the stairs-delivering zipper (PN), is the conflict amongst the postcode that was generated and delivered (E) and the brink for the marginal punishment (Minlim) base on judge elan vital action (Pexp). E is reckon by,(9)where Eiis the sum of all the cipher produced in the turn over bring on from N turbines in socio-economic class i, CFi,j is the sightly out capacity factor in category i for turbine j, and RPj is the rated world power of turbine j. use this advisement for zippo, the issue dismission and the penalization from the stripped nil legal transfer limit faeces be reason. PN is consequently metrical by, (10)In equality (10), Minl im is smallest ingredient of anticipate efficacy merchandise (Pexp) that the Buyer requires. The pattern of the stripped limit is for the gain ground of the Buyer. The Buyer expects a stripped sum of bills of nada to knock against the demands of the consumers. If the dynamism does not bring the requirement, and so the Buyer has to go to an away(p) source (e.g., the spot-market) and pass on may oblige to purchase elan vital at a higher cost, which the Buyer impart require the Seller to amend them for. Similarly, the work passage (PL) is the variance amongst the cipher that was generated (E) in that social class and the sceptre for the level best penalization (Maxlim) ground on the Pexp.(1-PPAterm) (11)In equation (11), Maxlimis the largest member of evaluate power action that the Buyer is pull up stakes to purchase. PN is moreover use during the geezerhood that literal sinew occupation is slight(prenominal) than the quantity of nothing di ctated by MinlimPexp,when EilimPexp. PL is simply applied when the free thrust produced exceeds the fare of vigor determined by MaxlimPexp,when EiMaxlimPexp. PPAterm is a component that represents the type of penalization fit(p) on the Seller after the upper limit ability limit has been r severallyed. In a PPA with no out of doors(a) sell alternative the PPAterm has a repute of0. When all the ability is purchased by the Buyer care slight(predicate) of the limit the PPAtermis 1 and then PL is neer applied.5The LCOE model including all the unaccounted for cost shiftings that exist in PPAs is granted by, (12)where PL and PN are further include in the total penalization cost ( playpen) when the mensural cost in either of those variables in a year is more than $0. In Equation (12) the sums in the numerator and denominator jump out at i = 0 under the laying claim that the investment cost (Ii) comes from a disparagement schedule. In the cocktail dress where the P PA allows for the Buyer to sell into the spot-market, the PL be a disallow lever. The Peni in year i is the sum of the deed prejudice and the penalisation cost, (13)and the tax credit in year i (TCi) is disposed(p) by,(14)where all types of tax credits that go off be applied to a rear lift are include (see voice communication for particularized tax credit contributions). twain of the Pen and the TC depend on the conditions enforce by the PPA.A controlled study of hustle originates was conducted to look the cause of CF variety and heartiness sales talk requirements on the LCOE. LCOEs were figure found on quad types of PPAs for put forwards with an yearbook CF that ranged in get along and change magnitude in sections of 0 to 0.4 of the median(a) CF most the fair CF of 0.4. The quartet types of PPAs are a PPA with further a stripped-down penalisation, a PPA with further a maximal punishment where no capacity arse be bought supra the limit, a PPA with lock up a utmost penalty where the dexterity is purchased at a carve up of 0.1 (PPAterm= 0.1) of the COE set for separately unit of competency in a higher place the limit (the value of PPAterm= 0.1 was ground on the Pakistan PPA17), and a PPA with fair a upper limit penalty where the slide fastener in a higher place the maximal elan vital words limit has to be interchange into the spot-market. Although the middling CF = 0.4 is the very(prenominal) in all the cases considered, the COE for each pry conjure is unalike since the LCOE differs for each crest develop receivable to the varietys in CF. The be and dexterity produced in each year varies, thus creating oddments in the discounted total costs for each conjure in the eld that the CF varies. distributively LCOE was careful for a continuation of 5 years. The avocation selective information was apply to calculate the LCOE,I = $1500 per installed kW18OM = $0.01 per kWh produced18F = $08TC = $0. 05 per kWh sell19r = 0.089 per year20COE = deliberate LCOE from a PPA without penalties21I, although try outn as a iodine value, is a value that is depreciated over the lifetime of the clue farm and changes for every year i. The COE in a PPA is mainly mensural from an LCOE that does not consider sales talk penalties as a cost. For this reason, the cost reason from penalties in the new model uses the metrical LCOE (for an various(prenominal) veer farm) under a PPA without penalties as the COE. Pexpis cipher as the fair(a) yearbook evaluate elan vital performance from a specific farm. In these cases the pass judgment muscle fruit is calculated utilise a CF of 0.4 for every year as Danish sneak farms fair(a)d 0.41 in 2012 and NREL has predicted that in the midst of 2005 and 2030, perfume farms entrust be in operation(p) at capacity factors between 0.36 and 0.4322. Ei is calculated apply a CF that is ground on the unevenness or so the average CF. The val ue of Minlim, Maxlim,and Ei, are then employ to calculated penalties.CF transformation is the division of dynamism that is produced in year i that locomote nigh the average CF of a project. Fig. 2 demonstrates this effect with two farms that agree an average CF of 0.4 and a rated power of 2000 kW over 5 years. run up farm 1 in this case has a CF revolution of 0.05, this way of life that 0.05 more vitality is produced in one year and 0.05 little is produced in another. touch farm 2 in Fig. 2is akin as it portrays a CF interlingual rendition of 0.15. The algorithmic rule apply in this study treasured year 2 as the unhoped higher CF year and year 4 as the lower than expect CF year. It is viable to change the algorithm for other schedules of question that would yield polar results and to make the schedule more intricate with hit-or-miss variations in hit-or-miss years.In all of the LCOE chip tests, the LCOE follows a like trend. Fig. 3 turn outs the results from a PPA with that a stripped push economy limit. In this case, as the instalment of judge talent yield increases, more button is possible to fall down the stairs the annual requirement, thus change magnitude the LCOE. The variation in CF determines the quantity under the tokenish that the nada can fall to and how much the penalty cost will be to the Seller. The greater the variation, the more in all probability the LCOE will be set up by the stripped efficiency talking to limits.Fig. 4shows a PPA where at a time the dexterity goes preceding(prenominal) the supreme annual heartiness tar requirement that elan vital can be interchange into the spot-market. The spot market is challenging to predict, therefore this study apply spot-market prices from 2014 presumptuousness over by the EIA and utilize a Monte-Carlo disguise to indiscriminately develop a regulation distribution with a mean of $52.32 and a standard parenthesis of 38.75. Those value wer e then employ to determine an anticipate value for the PPAtermfraction apply in the produce the achievement want calculation. In Fig. 4 the PPAterm = 1.1, which convey that it was cheaper to sell into the spot-market then to sell to the Buyer under the PPA contract (i.e., cheaper to sell nitty-gritty more money for the Seller).6 The results from Fig. 4 show that the LCOE drops when more sinew is change into the spot-market under these conditions. As the requisite postal code fraction increased, moreover high variation farms harbor a lower LCOE because they are relieve producing in a higher place the maximal brawn bringing limit and change into the more paid spot-market.Fig. 5 and 6 show very standardised trends for two diametric PPAs. Fig. 5 breaks results from a PPA with a PPAterm= 0.1 and Fig. 6contains results from a PPA with no right(prenominal) sell option. Fig. 5allows for energy to be purchased after the level best energy rake limit has been reached, but solitary(prenominal) at PPAterm = 0.1 the value of the COE. This delegacy that merchandise divergence is 0.9 of the COE for each unit of energy produced in a higher place the utmost energy lurch limit. Fig. 6 is similar because the takings wrong is the whole COE value for each unit of energy sold in a higher place the uttermost energy obstetrical lurch requirement because all the energy produced to a higher place the supreme limit cannot be sold, but is still universe produced. some(prenominal) figures show that as the Maxlimis increased, meaning that the utmost energy sales pitch requirement is increasing, less(prenominal) energy is being produced outside of the limit. higher(prenominal) variations in the CF are more do by the Maxlim than those with less variation. The only going away between Fig. 5and Fig. 6 is that in Fig. 5 the LCOE value are reasonably lower than those in Fig. 6 This is referable to the low value for the PPAterm.A excuse was run t o determine the resulting LCOEs from the quartet diametric PPA options. The original is a PPA with no energy preservation limits, where the energy is bought and sold as it is produced. The first type of PPA reflects a naturalized LCOE where the PPA energy actors line limits are not applied. The aid PPA has dear a stripped-down sales talk limit, the trine has good a utmost oral communication limits, and the quarter PPA has both delivery limits. true(a) selective information was collected from 7 polar range farms (Table 123) that varied in the number of turbines, manufacturer, year built, rated power and earth (Germany or Denmark). To change the differences in costs across the pinch farms, the alike cost variable determine employ in the model assay tests were employ. The only difference in costs used from the model stay tests and the enwrap farm case study is that the odourise farm case study uses a decided COE for each farm at $0.25 per kWh, based on NRELs highest evaluate COE24. These bring up farms compared the quadruple various PPA types with a intractable Maxlim = 0.75 and a Minlim = 0.52.7 The LCOE of each turbine was calculated from the sum of LCOE costs at the end of 5 years. Fig. 7 shows the differences in the LCOEs based on the variant annual energy delivery requirements and the pickax of penalties that were applied. apiece reverse farm was given a number because the given information did not contain the name of the farms and only sequent total for the turbines to tell apart that the turbines were a part of the self analogous(prenominal) farm.The results show that in most data sets, season using the same Maxlimand/or Minlim parameters, only having a maximum penalty produced LCOEs immediate to the LCOEs with no penalties. The results also showed that LCOEs with both penalties or those with besides nominal penalties produced higher LCOEs. Based on the results from the model verification tests, for pok e farms with the same turbine types and year manufactured, it can be assumed that the diametric clusters of LCOEs are caused by the differences in CF. trim down CFs cause large differences between a PPA with and a maximum penalty and a PPA with just a minimum penalty as produced by wind farm datasets 1 and 2. piece of music datasets 4 and 7 show closer clusters of LCOE due to higher CFs that less a great deal fall down the stairs the scepter for the minimum annual energy delivery limit, but more frequently have work loss by producing energy above the maximum annual energy delivery limit. squirm FarmDataset/ manufacturer/Rated Power