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The difference is the reality between installed capacity and energy generated

Before presenting the cost estimates of a CARE generator with a 1Mw capacity it is important that the reader has a clear understanding of the meaning of Installed Capacity and Effective Generation or energy generated at the installation

A hydraulic electric energy generating unit has what is called installed capacity which is registered on the specification plate of each installed generator. The sum of the values determines the total installed capacity of a unit in megawatts. For example if a unit houses three 1Mw generators the installed capacity is therefore 3Mwh. This is the number applied with reference to the capacity of the unit. This creates a distortion in projection, costs and profit. The value that should be employed when measuring the capacity and cost of a hydraulic energy generating unit is the volume of energy effectively produced or generated.

An Example:

In Brazil in order to calculate the value of the installed capacity for a 3000 kWh unit or 3 MWH the cost per MW is estimated at R$5.500.000,00 ( US$ 2.972.973,00) per MW installed or a total of R$16.500.000,00 (US$8.918.919,00) therefore each kWh costs R$5.500,00 or US$ 2,703,00.