Electrical Power for Valdez and the Copper River Basin-1981

A. Assuming Allison Creek follows Solomon Gulch:1. CVEA needs energy and capacity immediately after completion ofSolomon Gulch.2. Allison Creek firm energy would be fully utilized by 1985.3. Allison Creek capacity plus Solomon Gulch can supply the areapeak demand until 1991.B. Assuming PRT's follow Solomon Gulch:1. Allison Creek energy would not be needed until about 1990.2. Solomon Gulch, Allison Creek, and PRT capacity and firm energywould all be fully utilized before 2000.The cost analyses showed the following:1. Allison Creek alternative 1 has slightly higher power costthan Allison Creek alternative 2. Both are about 10¢ per kWh,under current prices, assuming 50-year payout, and with 8 percentinterest rate.2. PRT unit costs are about one-fourth of Allison Creek.3. Allison Creek power costs appear comparib1e with 1980 dieselgeneration costs.4. Based on rough studies from the March 1979 Upper Susitna PowerMarket Study, with allowance for inflation to the present, cost ofpower supply obtained through an interconnection to the Rai1be1tmay be comparable to or slightly higher than Allison Creek.The marketability findings are as follow:1. PRT's appear to have a tremendous cost advantage over theother available alternatives.2. If PRT's are constructed, Allison Creek would be deferred afew years. If not, Allison Creek would be used about as quickly asit could be brought on line after Solomon Gulch.3. Allison Creek represents generally a higher unit cost of powerthan other projects now under active consideration elsewhere inthe State.4. It appears probable that power supplies made available throughinterconnection with the main Rai1be1t area load centers would becompetitive with Allison Creek.5