A key parameter for SPS implementation is the length of time to construct the satellite and make it operational. The proposed implementation scenarios allow one year for construction of a satellite; however, as more information becomes available on construction in space, this time may expand. Figure XIB-1 illustrates the effect of length of construction time on electric generation cost as a function of transportation and assembly cost. As as example, the cost of electrical power generation increases from 28 mils/kwh for a one year construction period to 40 mils/kwh for 5 years. This data was for transportation cost of $100/kg and prime power cost of $300/kw. The conclusion is that maintaining the construction period at one year is a considerable cost saving. The prime power system cost sensitivity was evaluated up to $500/kw. The increase in electric generation cost was linear and ranged from 15 mils/kwh at $50/kw to 31 mils/kwh at $500/kw for a $60/kg transportation cost. Similar trends for $100/kg and $250/kg are shown in Figure XIB-2. The electric generation costs for SPS, with no transportation and assembly costs included, are shown in Figure XIB-3as a function of prime power cost. The generation cost ranges from 9 mils/kwh to 24 mils/kwh as prime power cost varies from $50/kw to $500/kw. Using the data of Figures XIB-3 and XIB-4 the equations are derived for electric generation cost: Definitions: a The equations can be used as in the following example: The required rate of return for taxes, interest, and insurance was varied up to 20 percent to assess its significance upon the electric generation cost. The transportation cost was held constant at $100/kg and
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