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TCAAP Energy Integration Resiliency Framework <br />Energy Source Implementation <br /> <br /> <br /> 42 <br /> <br />CHP Economic Assumptions <br /> Traditional Scenario CHP Scenario <br />Description Purchased Grid Power with Gas Boilers Gas Engine CHP with District Energy <br />Site Thumb & Town Thumb & Town <br />Analysis Term 25 years 25 years <br />Gas Price $7.00/MMBtu1 $5.50/MMBtu2 <br />Electric Price $0.10/kWh $0.10/kWh <br />Escalation 3% 3% <br />Project Cost $800,000 $4,600,000 <br />O and M Cost3 $0/yr $56,000/yr <br />Notes: <br />1. Firm commercial gas rate <br />2. Interruptible gas rate <br />3. Incremental cost difference <br />Table 12: CHP project economic assumptions <br />The economic assumptions provided above were coupled with the CHP energy production numbers <br />developed to estimate the annual savings generated by the CHP project. The annual energy usage, <br />annual utility costs, and economic performance of the project are provided in Table 13. <br />