at a 7.5% discount rate, 3.1 mills for maintenance and 8.6 mills for taxes and insurance. The value of the discount rate is a weighted average between the return to debt and equity. It is representative of current estimates of the real rate of return required to stimulate capital investment for future expansion in the utilities industry. Table 3.1. Annual ROM Cost of an Operational 5 Thousand Megawatt SSPS Table 3.2 contains a summary of the ROM 5 thousand megawatt SSPS unit cost elements. As seen, the satellite hardware accounts for only about 30 percent of its total cost. Transportation is the major cost element (43.2%) and the ground station accounts for 18 percent. Table 3.3 contains a summary of the development programs required for the fabrication, assembly and deployment of a 5 thousand megawatt SSPS. The estimated ROM total is $44 billion. Three components have been identified: Direct DDT&E, Related DDT&E and Support Programs.
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