A Programme to promote energy demand management would replace old household heating appliance. The market price/cost of this new heating appliance is GHc500 but the utility provider/regulator will provide 10% rebate to encourage participation. It is estimated that the utility provider will incur an administration cost of Ghc20 per client by replacing the old heating system with new ones. The utility provider will avoid electricity purchase of Ghc400,000 per annum whiles electricity bill per household will go down by GHC2 per client If the programme anticipate 300,000 participants Determine the cost and benefit to the utility provider Determine the cost and benefit to the participant Comment on how their programme will fare from the different stakeholders perspective
A Programme to promote energy demand management would replace old household heating appliance. The market price/cost of this new heating appliance is GHc500 but the utility provider/regulator will provide 10% rebate to encourage participation. It is estimated that the utility provider will incur an administration cost of Ghc20 per client by replacing the old heating system with new ones. The utility provider will avoid electricity purchase of Ghc400,000 per annum whiles electricity bill per household will go down by GHC2 per client
If the programme anticipate 300,000 participants
- Determine the cost and benefit to the utility provider
- Determine the cost and benefit to the participant
- Comment on how their programme will fare from the different stakeholders perspective
Market price of new heating appliances= GHC 500
Rebate provided by the utility provider= 10%
Administration cost= GHC 20 per client
The utility provider will avoid electricity purchase of Ghc400,000 per annum
electricity bill per household will go down by GHC2 per client
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