Chapter three examines the revenue system and tax policy in

The performance assessment evaluates, over a one year period, the associated carbon (emission assessment) and operational costs (economic assessment) of the SOFC mCHP case compared to a base case TM of grid electricity and a highly efficient gas boiler.Results from the annual assessment show that the SOFC mCHP system can generate annual emission reductions of up to 56% and cost reductions of 177% compared to the base case scenario. However support mechanisms such as; electrical export steroid side effects, feed in tariff and export tariff, are required in order to achieve this, the results are significantly less without. A net present value (NPV) analysis shows that the base case is still more profitable over a 15 year period, even though the SOFC mCHP system generates annual revenue; this is on account of the SOFC’s high capital cost.

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