Techno-Economic Analysis of Biomass Energy Utilization through Gasification Technology for Sustainable Energy Production and Economic Development in Nigeria

Table 13

Economic parameter for biomass gasification power plant.

Parameter	Value
Investment Cost	4000 $/kW
Fixed Operation and Maintenance cost	56 $/kW-yr
Variable Operation and Maintenance cost	5.17 $/kW-yr
Electricity tariff	0.17 $/kW-yr
Fuel Cost	0.024 $/kg
Fed Income tax	32%
Risk free rate	18%
Capital from debt	70%
Capital from equity	30%
Nominal Cost of debt	24%
Nominal return on equity	29%
Nominal after tax WACC	17%

Source: NERC [10].
1 USD = ₦150 for the 2010 US $ (based on the available data).