Electrical Power Generation Notes 4

ECONOMIC ASPECTS
Unit.5
ECONOMICS ASPECTS
Introduction. Terms commonly used in system operation. Diversity factor, load factor, plant
capacity factor, plant use factor, plant utilization factor and loss factor, load duration curve.
All the electrical energy generated in a power station must be consumed

immediately as it cannot be stored. So the electrical energy generated in a power
station must be regulated according to the demand. The demand of electrical
energy or load will also vary with the time and a power station must be capable of
meeting the maximum load at any time.
TERMS COMMONLY USED IN SYSTEM OPERATION
Firm power: Firm power is the power intended always to be available even
under emergency conditions.
Cold reserve: Cold reserve is the reserve generating capacity that is available
for service but not in operation.
Hot reserve: Hot reverse is the reserve generating capacity that is in

operation but not in service.
Spinning reserve: Spinning reserve is the reserve generating capacity that is

connected to the bus and ready to take load.
Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere
ECONOMIC ASPECTS
1.
Connected load: The sum of continues ratings of all the equipments which are
connected to the supply system is called connected load.
It is the sum of the continuous ratings of the load consuming
apparatus connected to the system.
Ex: The connected loads in the premises of a consumer are shown in Figure below
The total connected load in the consumer's premises

= 60 +500 + 40 + 60 + 500 +100 + 60 + 60 = 1380 watts.
2.
Maximum demand : Maximum demand is the greatest of all demands which

have occurred during a given period of time.
3.
Demand factor: Demand factor is the ratio of maximum demand to the

connected load of a consumer.
Ex: The lighting installation has 10 bulbs each of rated 100 w and at no time of the day
more than 7 lights are switched on. Fine demand factor for this lighting installation.
Connected load = 10 x 100 =1000W
Maximum demand = 7 x 100 =700W
Demand factor = 700 /1000 = 0.70 =70%
ECONOMIC ASPECTS
4.
Average demand or Average load: It is defined as the average of the loads

occurring on the power station in a given period. The period may be day or
month or year.
5.
Load factor: It is defined as the ratio of average load to the maximum demand
during a given period.
It is always less than 1 because average demand is less than maximum
demand
If the plant operates for T hours, then
That is
ECONOMIC ASPECTS
6.
Units generated in year:

Units generated in year is given as follows
Units generated / annum = Average demand X hours in year
Units generated / annum = Average demand X 8760
Units generated / annum = Max.demand X Load factor X 8760
7. Units generated in day:

Units generated / Day = Max.demand X Load factor X 24
8.
Diversity factor: The diversity factor is thus defined as the ratio of sum of
individual maximum demands to the maximum demand on power station.
Mathematically it is defined as
The diversity factor is always greater than unity because,

Sum of individual maximum demands > maximum demand on power station
ECONOMIC ASPECTS
9.
Plant Capacity factor: This is the ratio of actual energy produced to the
maximum possible energy that could have been produced during a given
period.
If the considered period as year, then
ECONOMIC ASPECTS
10. Utilization factor: It is defined as the ratio of maximum demand on power

station to the installed capacity (or plant capacity) of the plant.
For reducing the cost utilization factor must be very close to unity.
11. Plant use factor: It is the ratio of energy (kWh or units) Produced to the
product of plant capacity the number of hours for which the plant was in
operation.
Example: A plant having installed capacity (or plant rated capacity) of 20MW
produces output of 7 X 106 kWh and remains in operation for 2080 hours inn
year then
Plant use factor =
7 X 106
= 0 .168 = 16.8%
20000 X 2080
12. Loss factor: It is defined as average power loss to the peak load power loss
during a specified period of time.
ECONOMIC ASPECTS
Note:
1.
Where
E ------> Energy produced
C --------> Plant capacity
t ---------> hours in that period that is it should be 24 or (30X24) or (8760)
2.
Where
E ------> Energy produced
C --------> Plant capacity
t ---------> hours of operation here is not 24 or (30X24) or (8760)
ECONOMIC ASPECTS
A generating station has a connected load of 40MW and a

maximum demand of 20MW; the units generated being 60 x 106
calculate i) demand factor ii) load factor
Solution:
Connected load = 40 MW
Maximum demand = 20 MW
Units generated = 60 x 106
60 x 106
8760
6849.31 kW
849.31kW
20 MW
6849310
20000000
Demand factor =0.5 =50%

Load factor= 0.3424 = 34.24 %
0.3424
ECONOMIC ASPECTS
The maximum demand on a thermal power station is 480 MW. If

the annual load factor is 40%. Calculate the total energy
generated annually.
Solution:
Given data:
Maximum Demand = 480 MW = 480 x 103 kW

Load factor = 40% = 0.4
Energy generated per year
Max.Demand x Load factor x 8760
(480 x 103) x 0.4 x 8760
1681920 x 103 kWh
1681920 MWh
The maximum demand on a power station is 100 MW. If the

annual load factor is 40%. Calculate the total energy generated
per year.
Solution:
Given data:
Maximum Demand = 100 MW = 100 x 103 kW

Energy generated per year
Max. Demand x Load factor x 8760
(100 x 103) x 0.4 x 8760
350400 x 103 kWh
ECONOMIC ASPECTS
A 100 MW power station deliver 100 MW for 2 hours, 50 MW for

8 hours and it is shut down for the rest of the day. It is also shut
down for maintenance for 60 days each year. Calculate its
annual load factor
Solution:
Energy supplied for each working day = (100 x 2) + (50 x 8)
= 600 MWh
Max.Demand = 100 MW
Station operation days = 365 60 = 305 days
Annual energy supplied = 600 x 305 = 183000 MWh
Annual Average demand =
=
= 20.89 MW
=
= 0.2089
= 20.89%
ECONOMIC ASPECTS
A generating station supplies the following loads: 15000 kW,

12000 kW, 8500 kW, 6000 kW and 450 kW. The station has a
max demand of 22,000 kW. Calculate:
i) Demand factor
ii) Diversity factor
iii) No of units supplied annually, if the load factor is 48%
Solution:
JUNE 10, 12M

Connected load = 15000 + 12000 + 8500 + 6000 + 450 = 41,950 kW
Max. Demand = 22,000 kW
22000
41950
0.5244
52.44%
15000 + 12000 + 8500 + 6000 + 450

22000
41950
22000
1.906
No of units supplied annually = Max. Demand x load factor x 8760

= 22000 x 0.48 x 8760
= 92505600 kWh = 925.056 x 105 kWh
ECONOMIC ASPECTS
A generating station supplies the following loads to various

consumers :
Industrial consumers
= 750 MW
Commercial establishment = 350 MW

Domestic power
=10 MW
Domestic light
= 50 MW
If the maximum demand on station is 1000 MW and the number

of units generated per year is 50 X 105kWh
Determine
i) diversity factor
ii) annual load factor
5 X105
8760
570.78 MW
= 0.57078 = 57.078%
ECONOMIC ASPECTS
Power station is to supply four regions of load whose peak loads

are 10MW, 5MW, 8MW and 7MW. The delivery factor of the
load at the station is 1.5 and average annual (yearly) load factor
is 0.6. Calculate maximum demand on station and annual energy
supplied from station.
JAN 09, 05M
OR
Power station is to supply four regions of load whose peak loads

are 10000kW, 5000kW, 8000kW and 7000kW. The diversity
factor of the load at the station is 1.5 and average annual load
factor is 60%. Calculate maximum demand on station and
annual energy supplied from station.
Solution:
Given data:
Diversity factor = 1.5

Max. demand = ?
Annual energy supplied = ?
Sum of individual max. demands = 10000 + 5000 + 8000 + 7000

= 30,000 kW
ECONOMIC ASPECTS
Maximum demand on
power station
= 20,000 KW
Annual energy supplied = max. Demand x LF x 8760

= 20000 x 0.6 x 8760
= 105120000 kWh
= 105.12 x106 kWh
Maximum demand on station = 20000 kW

Annual energy supplied
= 105.12 x106 kWh
ECONOMIC ASPECTS
A base load station having a capacity of 400 MW and stand by

station having capacity of 50 MW share a common load. Find
the annual load factor and capacity factor of two power stations
from the following details
i)
Annual stand by station output
= 87.35 x 106 kWhr
ii)
Annual base load station output
= 101.0 x 106 kWhr
iii)
Peak load on the stand by station = 120 MW
iv)
Hours of use by stand by station/ year = 3000 hrs

JUNE 11, 10 M
Solution:
Stand by station:
Given data: Annual stand by station output = 87.35 x 106 kWhr

Plant capacity = 50 MW = 50,000 kW
Peak load= max load= 120MW = 120,000 kW
Hours of use = 3000 hrs
87.35 x 106
3000
29116.66 kW
= 0.2426 = 24.26%
ECONOMIC ASPECTS
87.35 x 106
50000 x 8760
0.1994 = 19.94%
Base load station:
Given data: Annual base load station output = 101.0 x 106 kWhr
Plant capacity = 400 MW = 400,000 kW
Peak load= max load= 400MW = 400,000 kW
Hours of use = 8760 hrs
Because in base load station maximum demand equal to plant capacity
(400MW) and it operates throughout year i.e 8760 hours
101.0 x 106
8760
11529.68 kW
= 0.0288 = 2.88%
ECONOMIC ASPECTS
101.0 x 106
400000 x 8760
0.0288 = 2.88%
Note :
Use this formula to find load factor directly
ECONOMIC ASPECTS
A generating station has a maximum demand of 400 MW. An

annual load factor is 60% and capacity factor is 45%. Find the
reserve capacity of the plant.
Solution:
Given data:.
Max. Demand
= 400 MW
Load factor
= 60% = 0.6
Capacity factor
= 45% = 0.45
Units generated per year = Max.demand x LF x 8760

= 400 x 0.6 x 8760
= 2.10 x 106 MWh
2.10 x 106 MWh

0.45 X 8760
533.33 MW
Reserve capacity
Plant Capacity Max.Demand

533.33 400
133.33 MW
ECONOMIC ASPECTS
Alternate method:
Max. Demand
= 400 MW
Load factor
= 60% = 0.6
Capacity factor = 45% = 0.45
Average demand = max. Demand X Load factor

= 400 X 0.6
= 240 MW
Reserve capacity

533.33 400
133.33 MW
ECONOMIC ASPECTS
A generating station has a maximum demand of 500 MW. An

annual load factor is 50% and capacity factor is 40%. Find the
reserve capacity of the plant
Solution:
Given data:.
Max. Demand
= 400 MW
Load factor
= 60% = 0.6
Capacity factor
= 45% = 0.45
Units generated per year = max.demand x LF x 8760

= 500 x 0.5 x 8760
= 2.19 x 106 MWh
2.19 x 106 MWh

0.4 X 8760
625 MW
Reserve capacity

625 500
125 MW
ECONOMIC ASPECTS
A power plant has the following annual factors.

Load factor = 70%
Capacity factor = 50%
Use factor = 60%
Maximum demand = 20MW
Find
i) Annual energy production.
ii) Reserve capacity over and above peak load.
iii) Hours during which the plant is not in service per year
Solution:
DEC 11, 8 M
Given data:
Max. Demand
= 20 MW
Load factor
= 70% = 0.7
Capacity factor
= 50% = 0.5
Use factor
= 60% = 0.6
Units generated per year = Max.demand x LF x 8760

= 20 x 0.7 x 8760
= 122640 MWh
= 122.64 X 106 kWh
122640 MWh
0.5 X 8760
28 MW
ECONOMIC ASPECTS
Reserve capacity
28 20
8 MW
Hours during which the plant is not in service per year = 8760 7300
= 1430 hours
ECONOMIC ASPECTS
A generating station has a maximum demand of 20 MW, a load

factor of 60%, a plant capacity factor 48%, and plant use factor
0f 80% find
i) Daily energy produced
ii) Reserve capacity of the plant
iii) The maximum energy that could have been produced daily
if the plant were running all the time
iv) The maximum energy that could have been produced if the
plant (when running according to operating schedule) were
fully loaded.
JUNE 08, 12, 10 M
Solution:
Given data:.
Max. Demand
Load factor
= 20 MW
= 60% = 0.6
Plant Capacity factor
= 48% = 0.48
Plant use factor
= 80% = 0.8
Daily energy produced = Max.demand x LF x 24

= 20 x 0.6 x 24
= 288 MWh
Average demand = max. Demand X Load factor

= 20 X 0.6
= 12 MW
ECONOMIC ASPECTS
Reserve capacity
25 20
5 MW
The maximum energy that could have been produced daily if the plant
were running all the time is given by
= installed capacity X hours in day
= 25 X 24
= 600 MWh
The maximum energy that could have been produced if the plant when
running according to operating schedule is given by
ECONOMIC ASPECTS
A power supply is having the following loads

Type of load
Maximum demand
Diversity factor of
Demand
group
factor
(kW)
1) Residential
15,000
1.25
0.7
2) Commercial
25,000
1.2
0.9
3)Industrial
50,000
1.3
0.98
If the overall system diversity factor is 1.5, determine

i)
Maximum demand
ii)
Connected load of each type
Solution:
Given data:
Diversity factor= 1.5
i)
ECONOMIC ASPECTS
ii)
Note :
1. To find the connected load on power station if demand factor and diversity
factors both are given then
2. To find the maximum demand(load) on power station if demand factor and

diversity factors both are given then
ECONOMIC ASPECTS
At the end of the power distribution system a certain feeder

supplies three distribution transformers. Each one supplying a
group of customers whose connected load as shown below
Transformer
Load
Demand factor
Diversity factor
Tfr 1
10
0.65
1.5
Tfr 2
12
0.6
3.5
Tfr 3
15
0.7
1.5
If diversity factor among the transformer is 1.3 find max demand

on the feeder
Solution:
ECONOMIC ASPECTS
Diversity factor among the three transformer is 1.3
A feeder supplies three distribution transformer which feed the

following connected loads:
Transformer 1:
Motor loads = 300 kW;
Demand factor = 0.6
Commercial loads = 10 kW;
Demand factor = 0.5
Transformer 2:
Residential loads = 50 kW;
Demand factor = 0.4
Transformer 3:
Residential loads = 50 kW;
Demand factor = 0.5
The diversity factors for the loads on three transformers

may be taken as 1.8, 2.5 and 3. The diversity factors between the
transformers may be taken as 1.1 find:
i) Peak load on each transformer
ii) Peak load on feeder
DEC 11, 8 M
ECONOMIC ASPECTS
Solution:
i)
ii)
Given :
Sum of individual max demands of transformer = 102.77 + 8+ 8.33

=119.1 kW
ECONOMIC ASPECTS
Find the i) Maximum demand ii) Daily load consumption

iii) Load factor of power supply system having following loads.
Type of load
Maximum demand Load factor
Diversity factor of group
(kW)
1) Residential
1000
20
1.2
2) Commercial
2000
25
1.1
10,000
80
1.25
3)Industrial
What are the connected loads under each category if the

Demand factors for residential, commercial and industrial loads
are 80, 90 and 100% respectively?
Solution:
JUNE 09, 12 M
ECONOMIC ASPECTS
ECONOMIC ASPECTS
ECONOMIC ASPECTS
1. LOAD CURVE
A load curve (or load graph) is a graphical representation of variation of load
with respect to time in chronological order.
It is a graphical record showing the power demands for every instant during
a certain time interval.
If the load curve plotted for 24 hours in a day it is called daily load curve.
If the load curve plotted for hours in a month it is called monthly load curve
If the load curve plotted for hours in a year (8760 hrs) it is called yearly load
curve.
ECONOMIC ASPECTS
Importance of load curve:

It shows variation of load on the power station.
Area under the load curve represents the number of units (energy)
generated in the period considered.
The area under the curve divided by the total number of hours gives the
average load on the power station.
The peak (highest point) of the load curve indicates the maximum demand
of the power station.
The ratio of area under load curve to the total area of rectangle in which it is
contained gives the load factor.
Load curves give full information about the incoming and help to decide the
installed capacity of the power station and to decide the economical sizes of
various generating units.
2. LOAD DURATION CURVE

Load duration curve is a rearrangement of all the load elements of the load
curve in descending order with greatest load on left hand side and lesser load
on right hand side.
Load duration curve is obtained from the same data as load curve but
ordinates are arranged in descending order.
ECONOMIC ASPECTS
Importance of load curve:

The area under the load duration curve is equal to area under the load curve
which gives the total number of units generated in a given period.
Load duration curve gives a clear analysis of generating power economically.
Proper selection of base load power plants and peak load power plants
becomes easier.
3. ENERGY CURVE( INTEGRATED LOAD CURVE)

It is a graphical representation between load in kW with respect to energy
kWh (or units) is known as energy load curve.
kW is taken in y- axis and kWh in x-axis.
It gives the total number of units generated for a given max. demand or upto
a given demand.
If the energy (kWh) and demand are plotted as percentage quantity the load
curve is called peak percentage load curve.
Importance of energy load curve:
It helps for estimating base load/peak load on a station
This curve helps for variation between rate of water in flow in hydro power
station & that of electrical load.
ECONOMIC ASPECTS
A residential consumer has 12 lamps of 60 watts connected at

his premises. His demand as follows
From 12 midnight to 5 A.M
60 watts
5 A.M to 6 P.M
no load
6 P.M to 7 P.M
240 watts
7 P.M to 9 P.M
360 watts
9 A.M to Midnight
180 watts
Plot the load curve and hence determine the maximum load,
load factor, average load and electrical energy consumption
during the day
Solution:
From the above graph

i)
Maximum demand = 360 watts
DEC 11, 7 M
ECONOMIC ASPECTS
ii)
No of units generated = (60 X 5) + (0 X13) + (240 X 1) + ( 360 X2) + (180 X 3)

= 1800 watt-hr
iii)
Average demand
iv)
Load factor
ECONOMIC ASPECTS
The daily demands of three consumers are given below:

Time
Consumer 1
Consumer 2
Consumer 3
12 mid night to 8 A.M
No load
200 W
No load
8 A.M to 2P.M
600 W
No load
200 W
2 P.M to 4P.M
200 W
1000 W
1200 W
4 P.M to 10P.M
800 W
No load
No load
10 P.M to Mid night
No load
200W
200 W
Plot the load curve and find:

i) Maximum demand of individual consumer
ii) Load factor of individual consumer
iii) Diversity factor
iv) Load factor of the station.
Solution:
DEC 10, 8M
ECONOMIC ASPECTS
ECONOMIC ASPECTS
A power station has to meet the following load demand:

LOAD A
50kW
Between 10 AM and 6 PM
LOAD B
30kW
Between 6 PM and 10 PM
LOAD C
20kW
Between 4 PM and 10 AM
Plot the daily load curve and determine:

i)
Diversity factor
ii)
Units generated per day
iii)
Load factor
Solution:
JUNE 10, 8M
ECONOMIC ASPECTS
Sum of individual max.Demand = 50 + 30 + 20

Maximum load on power station = 70
Units generated per day = (20 x 10) +(50 x 6) +(70 x2) +(50 x 4) +(20 x 2)
= 880 kWh

Units generated per day = 880 kWh
Load factor = 52.38%
ECONOMIC ASPECTS
A power station has the following daily load cycle

Time in hours
68
8 12
12- 16
Load in MW
20
40
60
16- 20 20 -24
20
50
24 -6
20
Plot the load curve & load duration curve, also calculate energy
generated per day.
Solution:
Load curve
Energy generated per day = (20 X 8) + (40 X 4) + (60 X 4) + (20 X 4) +(50 X 4)

= 840 MWh
= 840 X 103 kWh
ECONOMIC ASPECTS
Load duration curve
Energy generated per day = (60 X 4) + (50 X 4) + (40 X 4) + (20 X 12)

= 840 MWh
= 840 X 103 kWh
This is same for both the curves
ECONOMIC ASPECTS
The maximum demand of a power station is 96000 kW and daily

load curve is described as follows:
Time (hours)
0 - 6
6 - 8
8 - 12
12 14
14 - 18
48
60
52
40
84
Load (MW)
18- 22 22 24
96
48
i)
Draw load curve and load duration curve
ii)
Determine the load factor and demand factor, energy

supplied per year
Solution:
Load curve
Load duration curve
JUNE 11, 10 M
ECONOMIC ASPECTS
Maximum demand= 96000 kW= 96 MW

Connected load = 48+ 60+ 52+ 40+ 84+ 96+ 48 = 428 MW
i)
ii)
From load duration curve energy supplied per day=

(96X4) + (84X4) + (60X2) + (52X4) + (48X8)+(40X2)= 1512 MWh
iii)
Units generated per year= (units generated per day)X 365

= 1512 X 365
=551880 MWh
ECONOMIC ASPECTS
The yearly load duration curve can be considered as a straight

line from 300MW to 80 MW for a certain power plant. Power is
supplied with one generating unit of 200 MW capacity and two
units of 100 MW capacity each. Determine:
iv)
iv)
Installed capacity
Maximum demand
ii) Load factor
iii) plant factor
v) Utilization factor
JAN 09, 10 M
Solution:
ECONOMIC ASPECTS
A 200 MW thermal power plant is to supply power to a system

having maximum and minimum demand of 140 MW and 40
MW respectively during the year, assuming load duration curve
to be straight line, determine i) installed capacity
factor
iii) capacity factor iv) utilisation factor
ii)
load
ECONOMIC ASPECTS
The load on the power plant on a typical day as under

Time
12 - 5 am
5- 9 am
9 6 pm
6pm- 10pm
10pm 12 pm
Load(MW)
20
40
80
100
20
Draw energy load curve.

Solution:
First draw Load duration curve
To draw energy load curve
DEC 08, 8 M

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ECONOMIC ASPECTS

All the electrical energy generated in a power station must be consumed

TERMS COMMONLY USED IN SYSTEM OPERATION

Hot reserve: Hot reverse is the reserve generating capacity that is in

Spinning reserve: Spinning reserve is the reserve generating capacity that is

Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere

The total connected load in the consumer's premises

Maximum demand : Maximum demand is the greatest of all demands which

Demand factor: Demand factor is the ratio of maximum demand to the

Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere

Average demand or Average load: It is defined as the average of the loads

If the plant operates for T hours, then

Units generated in year:

Units generated / annum = Average demand X 8760

Units generated / annum = Max.demand X Load factor X 8760

7. Units generated in day:

The diversity factor is always greater than unity because,

Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere

If the considered period as year, then

Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere

10. Utilization factor: It is defined as the ratio of maximum demand on power

Plant use factor =

Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere

Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere

A generating station has a connected load of 40MW and a

Demand factor =0.5 =50%

Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere

The maximum demand on a thermal power station is 480 MW. If

Maximum Demand = 480 MW = 480 x 103 kW

Energy generated per year

Max.Demand x Load factor x 8760

(480 x 103) x 0.4 x 8760

1681920 x 103 kWh

The maximum demand on a power station is 100 MW. If the

Maximum Demand = 100 MW = 100 x 103 kW

Energy generated per year

Max. Demand x Load factor x 8760

(100 x 103) x 0.4 x 8760

350400 x 103 kWh

Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere

A 100 MW power station deliver 100 MW for 2 hours, 50 MW for

Station operation days = 365 60 = 305 days

Annual energy supplied = 600 x 305 = 183000 MWh

Annual Average demand =

Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere

A generating station supplies the following loads: 15000 kW,

JUNE 10, 12M

Load factor = 48% = 0.48

15000 + 12000 + 8500 + 6000 + 450

No of units supplied annually = Max. Demand x load factor x 8760

A generating station supplies the following loads to various

Commercial establishment = 350 MW

If the maximum demand on station is 1000 MW and the number

ii) annual load factor

Power station is to supply four regions of load whose peak loads

JAN 09, 05M

Power station is to supply four regions of load whose peak loads

Diversity factor = 1.5

Sum of individual max. demands = 10000 + 5000 + 8000 + 7000

Vinayaka.B.G, Asst.Professor, Dept of E&E, BIET, Davanagere

Annual energy supplied = max. Demand x LF x 8760

Maximum demand on station = 20000 kW

= 105.12 x106 kWh