Capacity (MWg) 360

Capacity (MWn) 327

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

CAPITAL COST 

Direct Costs 

Purchased equipment costs 

Anhydrous Ammonia Injection System $437,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $473,708 5.3 $429,592

Adjusted to use final contract award and remove 

installation

Anhydrous Ammonia Vaporization System $436,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $472,624 5.3 $429,592

Adjusted to use final contract award and remove 

installation

Reactor Box, Breeching and Ductwork $4,005,900

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $4,454,561 0.0 $3,585,687

Adjusted to use final contract award and reduced by 10% 

to account for cheaper materials per 10/21/10 Responses, 

p. 2.

Ductwork Expansion Joints $147,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 8.4 $159,348 5.3 $131,483

Adjusted to use one unit, remove freight, scaled using 

actual unit flow rates, and reduce cost by 10% to account 

for less expensive materials of construction.

Catalyst $2,557,000

Catalyst volume determined based on unit size & 

Nox removal, $6500/m3 of catalyst 0 $2,557,000 0.0 $0

Annualized cost must be reported net of replacement 

materials. Cost Manual, pdf 47, 486.

Sonic Horns $188,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award

Elevator $1,236,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $1,339,824 5.3 $633,097

Adjusted to use final contract reward and to remove 

installation from vendor quote

Structural Steel $4,881,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $5,427,672 0.0 $4,993,012

Adjusted to use final contract award and remove 

complexity factor.

SCR Bypass $10,000,000 Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup

NOx Monitoring System $440,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $476,960 5.3 $269,901

Adjusted to use final contract award, to require 1 training 

session for the station, and to remove maintenance 

contract

Electrical System Upgrade $378,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $409,752 11.2 $420,336

Auxiliary Electrical Equipment Requirements $6,400,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $6,400,000 0.0 $1,472,000 Adjusted to 23% of B&V estimate

Instrumentation and Control System $279,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $302,436 5.3 $365,867

Adjusted to use final contract award and remove 

escalation.

Subtotal capital cost (CC) $31,384,900 $33,517,677 $12,880,092

Gross Receipt Tax $1,942,000 (CC) X 6.2% $2,074,000 $758,000 Adjusted to remove elevator costs

Freight $1,569,000 (CC) X 5.0% $1,676,000 $323,000

Adjusted to remove sonic horns, elevator, structural steel, 

N0x monitoring system, I&C system.

Total purchased equipment cost (PEC) $34,896,000 $37,268,000 $13,961,092

Direct installation costs 

Foundation & supports $10,468,800 (PEC) X 30.0% 6.2 $11,117,866

Handling & erection $10,468,800 (PEC) X 30.0% 6.2 $11,117,866

Electrical $5,234,400 (PEC) X 15.0% 6.2 $5,558,933

Piping $872,400 (PEC) X 2.5% 6.2 $926,489

Insulation $3,489,600 (PEC) X 10.0% 6.2 $3,705,955

Painting $348,960 (PEC) X 1.0% 6.2 $370,596

Demolition $3,489,600 (PEC) X 10.0% 6.2 $3,705,955

Relocation $1,744,800 (PEC) X 5.0% 6.2 $1,852,978

San Juan Unit 1

COST ANALYSIS B&V COST ANALYSIS FOX
Capacity (MWg) 360

Capacity (MWn) 327

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 1

COST ANALYSIS B&V COST ANALYSIS FOX

Total direct installation costs (DIC) $36,117,360 $38,356,636 4.4 $8,799,917

(PEC) X 62%. Adjusted to remove instrumentation and 

control system.

Air preheater modifications $1,071,000

Based on a budgetary quote received for the 

project 8.4 $1,160,964 5.3 $0 Not required for SCR.

Balanced draft conversion $14,323,000

Adjusted from a B&V balanced draft conversion 

project based on differences in scope 8.4 $15,526,132 5.3 $2,544,690

Adjusted to 23% less fan modifications B&V 10/22/10 

Cost Analysis, Table 5

Induced draft fans 5.3 $2,885,220

FD & ID fans minus the pressurized furnace differential. 

B&V 10/22/10 Cost Analysis, Table 4

Site preparation $2,000,000

Contingency for site unknowns, such as 

underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Total direct costs (DC) = (PEC) + (DIC) $88,907,000 $94,812,000 $28,190,920

Indirect Costs 

Engineering $6,223,490 (DC) X 7.0% $6,636,840 $2,819,000

(DC) X 10%, Engineering & Home Office Fees, Cost 

Manual, pdf 486, Table 2.5

Owner's cost $4,445,350 (DC) X 5.0% $4,740,600 $0 Included in Engineering & Home Office Fees.

Construction management $8,890,700 $9,481,200 $0

Construction indirect $22,507,920 B&V labor market review 6.2 $23,903,411 4.4 $11,490,682 Reduced to 60% total installation labor

Start-up and spare parts $2,667,210 (DC) X 3.0% $2,844,360 $846,000

Performance test $200,000

Based on other projects with similar emissions 

testing scope $200,000 $200,000

Contingencies $17,781,400 (DC) X 20.0% $18,962,400 $1,410,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

Total indirect costs (IC) $62,716,000 $66,769,000 $16,765,682

Interest During Construction (IDC) $16,853,000

[(DC)+(IC)] X 7.41% 3 years (project time length X 

1/2) $16,853,000 $0 Not permitted under Cost Manual approach

Loss Generation during Outage (GEN) $15,667,000

5 weeks and 0.06095 $/kWh 12 weeks required 

for BDC, $15,667,000 $0 Not required

7 weeks major outage available 

Project Contingency $6,743,490 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

Total Capital Investment

(TCI)=(DC)+(IC)+(IDC)+(GEN) $184,143,000 $194,101,000 $51,700,092 Adjusted to include project contingency

ANNUAL COST 

Direct Annual Costs 

Fixed annual costs 

Operating labor $125,000

1 FTE and 124,862 $/year Estimated manpower 

level $125,000 $0 Cost Manual, pdf 487

Maintenance labor & materials $2,667,000 (DC) X 3.0% $2,844,000 $776,000 TCI X 1.5%, Cost Manual, pdf 487.

Yearly emissions testing $25,000

Based on other projects with similar emissions 

testing scope $25,000 $25,000

Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000
Capacity (MWg) 360

Capacity (MWn) 327

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 1

COST ANALYSIS B&V COST ANALYSIS FOX

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

Total fixed annual costs $2,842,000 $3,019,000 $826,000

Variable annual costs 

Reagent $911,000 350 lb/hr and 700 $/ton B&V Calculated $911,000 $593,159

Ammonia cost reduced to $475/ton. Ammonia flow rate 

reduced by 0.23/0.24.

Auxiliary and ID fan power $1,496,000 3,287 kW and 0.06095 $/kWh B&V Calculated $1,496,000 $402,084 Adjusted to 0.3% gross capacity and $0.050/kWh

Catalyst replacement $426,000

65 m3 and 6,500 $/m3 2 yr catalyst replacement 

rate $426,000 $160,438

Volume adjusted to 85% of B&V estimate, unit cost 

reduced to $6000/m3, and FWF = 0.48

Total variable annual costs $2,833,000 $2,833,000 $1,155,681

Total direct annual costs (DAC) $5,675,000 $5,852,000 $1,981,681

Indirect Annual Costs 

Cost for capital recovery $17,936,000

(TCI) X 9.74% CRF at 7.41% interest & 20 year 

life $18,905,000 $4,166,000 (TCI) x 8.059% CRF at 7% interest & 30 year life

Total indirect annual costs (IDAC) $17,936,000 $18,905,000 $4,166,000

Total Annual Cost (TAC) = (DAC) + (IDAC) $23,611,000 $24,757,000 $6,147,681

Emission Reductions (ton/yr) 3,174 B&V BART Analysis, Table ES-2 3,174 3,174

Cost Effectiveness ($/ton) 7,439 7,800 1,937

Cost ($/kW) 512 539 144

Interest Rate 0.07

Lifetime 30

CRF 0.0806
Capacity (MWg) 360

Capacity (MWn) 327

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

CAPITAL COST 

Direct Costs 

Purchased equipment costs 

Anhydrous Ammonia Injection System $437,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $473,708 5.3 $429,592

Adjusted to use final contract award and remove 

installation

Anhydrous Ammonia Vaporization System $436,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $472,624 5.3 $429,592

Adjusted to use final contract award and remove 

installation

Reactor Box, Breeching and Ductwork $4,005,900

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $4,454,561 0.0 $3,585,687

Adjusted to use final contract award and reduced by 10% 

to account for cheaper materials per 10/21/10 Responses, 

p. 2.

Ductwork Expansion Joints $147,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 8.4 $159,348 5.3 $131,483

Adjusted to use one unit, remove freight, scaled using 

actual unit flow rates, and reduce cost by 10% to account 

for less expensive materials of construction.

Catalyst $2,557,000

Catalyst volume determined based on unit size & 

Nox removal, $6500/m3 of catalyst 0 $2,557,000 0.0 $0

Annualized cost must be reported net of replacement 

materials. Cost Manual, pdf 47, 486.

Sonic Horns $188,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award

Elevator $1,236,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $1,339,824 5.3 $633,097

Adjusted to use final contract reward and to remove 

installation from vendor quote

Structural Steel $4,881,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $5,427,672 0.0 $4,993,012

Adjusted to use final contract award and remove 

complexity factor.

SCR Bypass $10,000,000 Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup

NOx Monitoring System $440,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $476,960 5.3 $269,901

Adjusted to use final contract award, to require 1 training 

session for the station, and to remove maintenance 

contract

Electrical System Upgrade $378,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $409,752 11.2 $420,336

Auxiliary Electrical Equipment Requirements $6,400,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $6,400,000 0.0 $1,472,000 Adjusted to 23% of B&V estimate

Instrumentation and Control System $279,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $302,436 5.3 $365,867

Adjusted to use final contract award and remove 

escalation.

Subtotal capital cost (CC) $31,384,900 $33,517,677 $12,880,092

Gross Receipt Tax $1,942,000 (CC) X 6.2% $2,074,000 $758,000 Adjusted to remove elevator costs

Freight $1,569,000 (CC) X 5.0% $1,676,000 $323,000

Adjusted to remove sonic horns, elevator, structural steel, 

N0x monitoring system, I&C system.

Total purchased equipment cost (PEC) $34,896,000 $37,268,000 $13,961,092

Direct installation costs 

Foundation & supports $10,468,800 (PEC) X 30.0% 6.2 $11,117,866

Handling & erection $10,468,800 (PEC) X 30.0% 6.2 $11,117,866

Electrical $5,234,400 (PEC) X 15.0% 6.2 $5,558,933

Piping $872,400 (PEC) X 2.5% 6.2 $926,489

Insulation $3,489,600 (PEC) X 10.0% 6.2 $3,705,955

Painting $348,960 (PEC) X 1.0% 6.2 $370,596

Demolition $3,489,600 (PEC) X 10.0% 6.2 $3,705,955

Relocation $1,744,800 (PEC) X 5.0% 6.2 $1,852,978

San Juan Unit 1 @ 0.05 lbs/MMBtu

COST ANALYSIS B&V COST ANALYSIS FOX
Capacity (MWg) 360

Capacity (MWn) 327

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 1 @ 0.05 lbs/MMBtu

COST ANALYSIS B&V COST ANALYSIS FOX

Total direct installation costs (DIC) $36,117,360 $38,356,636 4.4 $8,799,917

(PEC) X 62%. Adjusted to remove instrumentation and 

control system.

Air preheater modifications $1,071,000

Based on a budgetary quote received for the 

project 8.4 $1,160,964 5.3 $0 Not required for SCR.

Balanced draft conversion $14,323,000

Adjusted from a B&V balanced draft conversion 

project based on differences in scope 8.4 $15,526,132 5.3 $2,544,690

Adjusted to 23% less fan modifications B&V 10/22/10 

Cost Analysis, Table 5

Induced draft fans 5.3 $2,885,220

FD & ID fans minus the pressurized furnace differential. 

B&V 10/22/10 Cost Analysis, Table 4

Site preparation $2,000,000

Contingency for site unknowns, such as 

underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Total direct costs (DC) = (PEC) + (DIC) $88,907,000 $94,812,000 $28,190,920

Indirect Costs 

Engineering $6,223,490 (DC) X 7.0% $6,636,840 $2,819,000

(DC) X 10%, Engineering & Home Office Fees, Cost 

Manual, pdf 486, Table 2.5

Owner's cost $4,445,350 (DC) X 5.0% $4,740,600 $0 Included in Engineering & Home Office Fees.

Construction management $8,890,700 (DC) X 10.0% $9,481,200 $0

Construction indirect $22,507,920 B&V labor market review 6.2 $23,903,411 4.4 $11,490,682 Reduced to 60% total installation labor

Start-up and spare parts $2,667,210 (DC) X 3.0% $2,844,360 $846,000

Performance test $200,000

Based on other projects with similar emissions 

testing scope $200,000 $200,000

Contingencies $17,781,400 (DC) X 20.0% $18,962,400 $1,410,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

Total indirect costs (IC) $62,716,000 $66,769,000 $16,765,682

Interest During Construction (IDC) $16,853,000

[(DC)+(IC)] X 7.41% 3 years (project time length X 

1/2) $16,853,000 $0 Not permitted under Cost Manual approach

Loss Generation during Outage (GEN) $15,667,000

5 weeks and 0.06095 $/kWh 12 weeks required 

for BDC, $15,667,000 $0 Not required

7 weeks major outage available 

Project Contingency $6,743,490 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

Total Capital Investment

(TCI)=(DC)+(IC)+(IDC)+(GEN) $184,143,000 $194,101,000 $51,700,092 Adjusted to include project contingency

ANNUAL COST 

Direct Annual Costs 

Fixed annual costs 

Operating labor $125,000

1 FTE and 124,862 $/year Estimated manpower 

level $125,000 $0 Cost Manual, pdf 487

Maintenance labor & materials $2,667,000 (DC) X 3.0% $2,844,000 $776,000 TCI X 1.5%, Cost Manual, pdf 487.

Yearly emissions testing $25,000

Based on other projects with similar emissions 

testing scope $25,000 $25,000

Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000
Capacity (MWg) 360

Capacity (MWn) 327

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 1 @ 0.05 lbs/MMBtu

COST ANALYSIS B&V COST ANALYSIS FOX

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

Total fixed annual costs $2,842,000 $3,019,000 $826,000

Variable annual costs 

Reagent $911,000 350 lb/hr and 700 $/ton B&V Calculated $911,000 $644,738

Ammonia cost reduced to $475/ton. Ammonia flow rate 

increased by 0.25/0.24.

Auxiliary and ID fan power $1,496,000 3,287 kW and 0.06095 $/kWh B&V Calculated $1,496,000 $402,084 Adjusted to 0.3% gross capacity and $0.050/kWh

Catalyst replacement $426,000

65 m3 and 6,500 $/m3 2 yr catalyst replacement 

rate $426,000 $188,751

B&V assumed a catalyst volume sufficient to reduce NOx 

from 0.3 to 0.044 lb/MMBtu, so adequate for 0.05. Unit 

cost reduced to 6000/m3 and FWF = 0.48.

Total variable annual costs $2,833,000 $2,833,000 $1,235,573

Total direct annual costs (DAC) $5,675,000 $5,852,000 $2,061,573

Indirect Annual Costs 

Cost for capital recovery $17,936,000

(TCI) X 9.74% CRF at 7.41% interest & 20 year 

life $18,905,000 $4,166,000 (TCI) x 8.059% CRF at 7% interest & 30 year life

Total indirect annual costs (IDAC) $17,936,000 $18,905,000 $4,166,000

Total Annual Cost (TAC) = (DAC) + (IDAC) $23,611,000 $24,757,000 $6,227,573

Emission Reductions (ton/yr) 3,174 B&V BART Analysis, Table ES-2 3,174 3,450

Increased tons NOx reduced by (0.25/0.23) for outlet of 

0.05 lbs/MMBtu

Cost Effectiveness ($/ton) 7,439 7,800 1,805

Cost ($/kW) 512 539 144

Interest Rate 0.07

Lifetime 30

CRF 0.0806
Capacity (MWg) 350

Capacity (MWn) 316

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

CAPITAL COST 

Direct Costs 

Purchased equipment costs 

Anhydrous Ammonia Injection System $429,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $465,036 5.3 $422,392

Adjusted to use final contract award and remove 

installation

Anhydrous Ammonia Vaporization System $429,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $465,036 5.3 $422,392

Adjusted to use final contract award and remove 

installation

Reactor Box, Breeching and Ductwork $3,999,600

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $4,447,555 0.0 $3,585,687

Adjusted to use final contract award and reduced by 10% 

to account for cheaper materials per 10/21/10 Responses, 

p. 2.

Ductwork Expansion Joints $147,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 8.4 $159,348 5.3 $131,282

Adjusted to use one unit, remove freight, scaled using 

actual unit flow rates, and reduce cost by 10% to account 

for less expensive materials of construction.

Catalyst $2,553,000

Catalyst volume determined based on unit size & 

Nox removal, $6500/m3 of catalyst 0 $2,553,000 0.0 $0

Annualized cost must be reported net of replacement 

materials. Cost Manual, pdf 47, 486.

Sonic Horns $188,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award

Elevator $1,236,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $1,339,824 5.3 $633,097

Adjusted to use final contract reward and to remove 

installation from vendor quote

Structural Steel $5,998,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $6,669,776 0.0 $4,909,327

Adjusted to use final contract award and remove 

complexity factor.

SCR Bypass $10,000,000 Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup

NOx Monitoring System $440,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $476,960 5.3 $269,901

Adjusted to use final contract award, to require 1 training 

session for the station, and to remove maintenance 

contract

Electrical System Upgrade $372,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $403,248 11.2 $413,664

Auxiliary Electrical Equipment Requirements $6,400,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $6,400,000 0.0 $1,472,000 Adjusted to 23% of B&V estimate

Instrumentation and Control System $278,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $301,352 5.3 $359,735

Adjusted to use final contract award and remove 

escalation.

Subtotal capital cost (CC) $32,469,600 $34,724,927 $12,769,002

Gross Receipt Tax $2,009,000 (CC) X 6.2% $2,149,000 $751,000 Adjusted to remove elevator costs

Freight $1,623,000 (CC) X 5.0% $1,736,000 $322,000

Adjusted to remove sonic horns, elevator, structural steel, 

N0x monitoring system, I&C system.

Total purchased equipment cost (PEC) $36,102,000 $38,610,000 $13,842,002

Direct installation costs 

Foundation & supports $10,830,600 (PEC) X 30.0% 6.2 $11,502,097

Handling & erection $14,440,800 (PEC) X 30.0% 6.2 $15,336,130

Electrical $5,415,300 (PEC) X 15.0% 6.2 $5,751,049

Piping $902,550 (PEC) X 2.5% 6.2 $958,508

Insulation $3,610,200 (PEC) X 10.0% 6.2 $3,834,032

Painting $361,020 (PEC) X 1.0% 6.2 $383,403

Demolition $3,610,200 (PEC) X 10.0% 6.2 $3,834,032

Relocation $1,805,100 (PEC) X 5.0% 6.2 $1,917,016

San Juan Unit 2

COST ANALYSIS B&V COST ANALYSIS FOX
Capacity (MWg) 350

Capacity (MWn) 316

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 2

COST ANALYSIS B&V COST ANALYSIS FOX

Total direct installation costs (DIC) $40,975,770 $43,516,268 4.4 $8,726,802

(PEC) X 62%. Adjusted to remove instrumentation and 

control system.

Air preheater modifications $1,071,000

Based on a budgetary quote received for the 

project 8.4 $1,160,964 5.3 $0 Not required for SCR.

Balanced draft conversion $14,323,000

Adjusted from a B&V balanced draft conversion 

project based on differences in scope 8.4 $15,526,132 5.3 $2,544,690

Adjusted to 23% less fan modifications B&V 10/22/10 

Cost Analysis, Table 5

Induced draft fans 5.3 $2,885,220

FD & ID fans minus the pressurized furnace differential. 

B&V 10/22/10 Cost Analysis, Table 4

Site preparation $2,000,000

Contingency for site unknowns, such as 

underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Total direct costs (DC) = (PEC) + (DIC) $94,972,000 $101,313,000 $27,998,714

Indirect Costs 

Engineering $6,648,040 (DC) X 7.0% $7,091,910 $2,800,000

(DC) X 10%, Engineering & Home Office Fees, Cost 

Manual, pdf 486, Table 2.5

Owner's cost $4,748,600 (DC) X 5.0% $5,065,650 $0 Included in Engineering & Home Office Fees.

Construction management $9,497,200 (DC) X 10.0% $10,131,300 $0

Construction indirect $26,895,990 B&V labor market review 6.2 $28,563,541 4.4 $13,834,044 Reduced to 60% total installation labor

Start-up and spare parts $2,849,160 (DC) X 3.0% $3,039,390 $840,000

Performance test $200,000

Based on other projects with similar emissions 

testing scope $200,000 $200,000

Contingencies $18,994,400 (DC) X 20.0% $20,262,600 $1,400,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

Total indirect costs (IC) $69,833,000 $74,354,000 $19,074,044

Interest During Construction (IDC) $18,318,000

[(DC)+(IC)] X 7.41% 3 years (project time length X 

1/2) $18,318,000 $0 Not permitted under Cost Manual approach

Loss Generation during Outage (GEN) $15,231,000

5 weeks and 0.06095 $/kWh 12 weeks required 

for BDC, $15,667,000 $0 Not required

7 weeks major outage available 

Project Contingency $7,060,914 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

Total Capital Investment

(TCI)=(DC)+(IC)+(IDC)+(GEN) $198,354,000 $209,652,000 $54,133,672 Adjusted to include project contingency

ANNUAL COST 

Direct Annual Costs 

Fixed annual costs 

Operating labor $125,000

1 FTE and 124,862 $/year Estimated manpower 

level $125,000 $0 Cost Manual, pdf 487

Maintenance labor & materials $2,849,000 (DC) X 3.0% $3,039,000 $812,000 TCI X 1.5%, Cost Manual, pdf 487.

Yearly emissions testing $25,000

Based on other projects with similar emissions 

testing scope $25,000 $25,000

Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000
Capacity (MWg) 350

Capacity (MWn) 316

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 2

COST ANALYSIS B&V COST ANALYSIS FOX

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

Total fixed annual costs $3,024,000 $3,214,000 $862,000

Variable annual costs 

Reagent $906,000 348 lb/hr and 700 $/ton B&V Calculated $906,000 $589,770

Ammonia cost reduced to $475/ton. Ammonia flow rate 

reduced by 0.23/0.24.

Auxiliary and ID fan power $1,492,000 3,287 kW and 0.06095 $/kWh B&V Calculated $1,492,000 $390,915 Adjusted to 0.3% gross capacity and $0.050/kWh

Catalyst replacement $426,000

65 m3 and 6,500 $/m3 2 yr catalyst replacement 

rate $426,000 $160,438

Adjusted to 85% of B&V estimate, unit cost reduced to 

$6000/m3, and FWF = 0.48.

Total variable annual costs $2,824,000 $2,824,000 $1,141,123

Total direct annual costs (DAC) $5,848,000 $6,038,000 $2,003,123

Indirect Annual Costs 

Cost for capital recovery $19,320,000

(TCI) X 9.74% CRF at 7.41% interest & 20 year 

life $20,420,000 $4,362,000 (TCI) x 8.059% CRF at 7% interest & 30 year life

Total indirect annual costs (IDAC) $19,320,000 $20,420,000 $4,362,000

Total Annual Cost (TAC) = (DAC) + (IDAC) $25,168,000 $26,458,000 $6,365,123

Emission Reductions (ton/yr) 3,158 B&V BART Analysis, Table ES-2 3,158 3,158

Cost Effectiveness ($/ton) 7,970 8,378 2,016

Cost ($/kW) 567 599 155

Interest Rate 0.07

Lifetime 30

CRF 0.0806
Capacity (MWg) 350

Capacity (MWn) 316

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

CAPITAL COST 

Direct Costs 

Purchased equipment costs 

Anhydrous Ammonia Injection System $429,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $465,036 5.3 $422,392

Adjusted to use final contract award and remove 

installation

Anhydrous Ammonia Vaporization System $429,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $465,036 5.3 $422,392

Adjusted to use final contract award and remove 

installation

Reactor Box, Breeching and Ductwork $3,999,600

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $4,447,555 0.0 $3,585,687

Adjusted to use final contract award and reduced by 10% 

to account for cheaper materials per 10/21/10 Responses, 

p. 2.

Ductwork Expansion Joints $147,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 8.4 $159,348 5.3 $131,282

Adjusted to use one unit, remove freight, scaled using 

actual unit flow rates, and reduce cost by 10% to account 

for less expensive materials of construction.

Catalyst $2,553,000

Catalyst volume determined based on unit size & 

Nox removal, $6500/m3 of catalyst 0 $2,553,000 0.0 $0

Annualized cost must be reported net of replacement 

materials. Cost Manual, pdf 47, 486.

Sonic Horns $188,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award

Elevator $1,236,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $1,339,824 5.3 $633,097

Adjusted to use final contract reward and to remove 

installation from vendor quote

Structural Steel $5,998,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $6,669,776 0.0 $4,909,327

Adjusted to use final contract award and remove 

complexity factor.

SCR Bypass $10,000,000 Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup

NOx Monitoring System $440,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $476,960 5.3 $269,901

Adjusted to use final contract award, to require 1 training 

session for the station, and to remove maintenance 

contract

Electrical System Upgrade $372,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $403,248 11.2 $413,664

Auxiliary Electrical Equipment Requirements $6,400,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $6,400,000 0.0 $1,472,000 Adjusted to 23% of B&V estimate

Instrumentation and Control System $278,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $301,352 5.3 $359,735

Adjusted to use final contract award and remove 

escalation.

Subtotal capital cost (CC) $32,469,600 $34,724,927 $12,769,002

Gross Receipt Tax $2,009,000 (CC) X 6.2% $2,149,000 $751,000 Adjusted to remove elevator costs

Freight $1,623,000 (CC) X 5.0% $1,736,000 $322,000

Adjusted to remove sonic horns, elevator, structural steel, 

N0x monitoring system, I&C system.

Total purchased equipment cost (PEC) $36,102,000 $38,610,000 $13,842,002

Direct installation costs 

Foundation & supports $10,830,600 (PEC) X 30.0% 6.2 $11,502,097

Handling & erection $14,440,800 (PEC) X 30.0% 6.2 $15,336,130

Electrical $5,415,300 (PEC) X 15.0% 6.2 $5,751,049

Piping $902,550 (PEC) X 2.5% 6.2 $958,508

Insulation $3,610,200 (PEC) X 10.0% 6.2 $3,834,032

Painting $361,020 (PEC) X 1.0% 6.2 $383,403

Demolition $3,610,200 (PEC) X 10.0% 6.2 $3,834,032

Relocation $1,805,100 (PEC) X 5.0% 6.2 $1,917,016

San Juan Unit 2 @ 0.05 lbs/MMBtu

COST ANALYSIS B&V COST ANALYSIS FOX
Capacity (MWg) 350

Capacity (MWn) 316

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 2 @ 0.05 lbs/MMBtu

COST ANALYSIS B&V COST ANALYSIS FOX

Total direct installation costs (DIC) $40,975,770 $43,516,268 4.4 $8,726,802

(PEC) X 62%. Adjusted to remove instrumentation and 

control system.

Air preheater modifications $1,071,000

Based on a budgetary quote received for the 

project 8.4 $1,160,964 5.3 $0 Not required for SCR.

Balanced draft conversion $14,323,000

Adjusted from a B&V balanced draft conversion 

project based on differences in scope 8.4 $15,526,132 5.3 $2,544,690

Adjusted to 23% less fan modifications B&V 10/22/10 

Cost Analysis, Table 5

Induced draft fans 5.3 $2,885,220

FD & ID fans minus the pressurized furnace differential. 

B&V 10/22/10 Cost Analysis, Table 4

Site preparation $2,000,000

Contingency for site unknowns, such as 

underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Total direct costs (DC) = (PEC) + (DIC) $94,972,000 $101,313,000 $27,998,714

Indirect Costs 

Engineering $6,648,040 (DC) X 7.0% $7,091,910 $2,800,000

(DC) X 10%, Engineering & Home Office Fees, Cost 

Manual, pdf 486, Table 2.5

Owner's cost $4,748,600 (DC) X 5.0% $5,065,650 $0 Included in Engineering & Home Office Fees.

Construction management $9,497,200 (DC) X 10.0% $10,131,300 $0

Construction indirect $26,895,990 B&V labor market review 6.2 $28,563,541 4.4 $13,834,044 Reduced to 60% total installation labor

Start-up and spare parts $2,849,160 (DC) X 3.0% $3,039,390 $840,000

Performance test $200,000

Based on other projects with similar emissions 

testing scope $200,000 $200,000

Contingencies $18,994,400 (DC) X 20.0% $20,262,600 $1,400,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

Total indirect costs (IC) $69,833,000 $74,354,000 $19,074,044

Interest During Construction (IDC) $18,318,000

[(DC)+(IC)] X 7.41% 3 years (project time length X 

1/2) $18,318,000 $0 Not permitted under Cost Manual approach

Loss Generation during Outage (GEN) $15,231,000

5 weeks and 0.06095 $/kWh 12 weeks required 

for BDC, $15,667,000 $0 Not required

7 weeks major outage available 

Project Contingency $7,060,914 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

Total Capital Investment

(TCI)=(DC)+(IC)+(IDC)+(GEN) $198,354,000 $209,652,000 $54,133,672 Adjusted to include project contingency

ANNUAL COST 

Direct Annual Costs 

Fixed annual costs 

Operating labor $125,000

1 FTE and 124,862 $/year Estimated manpower 

level $125,000 $0 Cost Manual, pdf 487

Maintenance labor & materials $2,849,000 (DC) X 3.0% $3,039,000 $812,000 TCI X 1.5%, Cost Manual, pdf 487.

Yearly emissions testing $25,000

Based on other projects with similar emissions 

testing scope $25,000 $25,000

Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000
Capacity (MWg) 350

Capacity (MWn) 316

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 2 @ 0.05 lbs/MMBtu

COST ANALYSIS B&V COST ANALYSIS FOX

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

Total fixed annual costs $3,024,000 $3,214,000 $862,000

Variable annual costs 

Reagent $906,000 348 lb/hr and 700 $/ton B&V Calculated $906,000 $641,054

Ammonia cost reduced to $475/ton. Ammonia flow rate 

increased by 0.25/0.24.

Auxiliary and ID fan power $1,492,000 3,287 kW and 0.06095 $/kWh B&V Calculated $1,492,000 $390,915 Adjusted to 0.3% gross capacity and $0.050/kWh

Catalyst replacement $426,000

65 m3 and 6,500 $/m3 2 yr catalyst replacement 

rate $426,000 $188,751

B&V assumed a catalyst volume sufficient to reduce NOx 

from 0.3 to 0.044 lb/MMBtu, so adequate for 0.05. Unit 

cost reduced to $6000/m3 and FWF = 0.48.

Total variable annual costs $2,824,000 $2,824,000 $1,220,720

Total direct annual costs (DAC) $5,848,000 $6,038,000 $2,082,720

Indirect Annual Costs 

Cost for capital recovery $19,320,000

(TCI) X 9.74% CRF at 7.41% interest & 20 year 

life $20,420,000 $4,362,000 (TCI) x 8.059% CRF at 7% interest & 30 year life

Total indirect annual costs (IDAC) $19,320,000 $20,420,000 $4,362,000

Total Annual Cost (TAC) = (DAC) + (IDAC) $25,168,000 $26,458,000 $6,444,720

Emission Reductions (ton/yr) 3,158 B&V BART Analysis, Table ES-2 3,158 3,433

Increased tons NOx reduced by (0.25/0.23) for outlet of 

0.05 lbs/MMBtu

Cost Effectiveness ($/ton) 7,970 8,378 1,877

Cost ($/kW) 567 599 155

Interest Rate 0.07

Lifetime 30

CRF 0.0806
Capacity (MWg) 544

Capacity (MWn) 497

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

CAPITAL COST 

Direct Costs 

Purchased equipment costs 

Anhydrous Ammonia Injection System $559,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344

Adjusted to use final contract award and remove 

installation

Anhydrous Ammonia Vaporization System $559,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344

Adjusted to use final contract award and remove 

installation

Reactor Box, Breeching and Ductwork $5,051,700

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $5,617,490 0.0 $3,585,687

Adjusted to use final contract award and reduced by 10% 

to account for cheaper materials per 10/21/10 Responses, 

p. 2.

Ductwork Expansion Joints $185,500

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 8.4 $201,082 5.3 $165,809

Adjusted to use one unit, remove freight, scaled using 

actual unit flow rates, and reduce cost by 10% to account 

for less expensive materials of construction.

Catalyst $3,225,000

Catalyst volume determined based on unit size & 

Nox removal, $6500/m3 of catalyst 0 $3,225,000 0.0 $0

Annualized cost must be reported net of replacement 

materials. Cost Manual, pdf 47, 486.

Sonic Horns $188,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award

Elevator $1,236,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $1,339,824 5.3 $633,097

Adjusted to use final contract reward and to remove 

installation from vendor quote

Structural Steel $7,816,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 8.4 $8,472,544 0.0 $6,396,471

Adjusted to use final contract award and remove 

complexity factor.

SCR Bypass $10,000,000 Taken from another B&V project of similar size 11.2 $11,120,000 5.3 $0 Not required for oil firing during startup

NOx Monitoring System $440,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $476,960 5.3 $269,901

Adjusted to use final contract award, to require 1 training 

session for the station, and to remove maintenance 

contract

Electrical System Upgrade $484,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $524,656 11.2 $538,208

Auxiliary Electrical Equipment Requirements $8,350,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $8,350,000 0.0 $1,503,000 Adjusted to 18% of B&V estimate

Instrumentation and Control System $291,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $315,444 5.3 $468,707

Adjusted to use final contract award and remove 

escalation.

Subtotal capital cost (CC) $38,385,200 $41,058,704 $14,811,093

Gross Receipt Tax $2,375,000 (CC) X 6.2% $2,541,000 $877,000 Adjusted to remove elevator costs

Freight $1,919,000 (CC) X 5.0% $2,053,000 $345,000

Adjusted to remove sonic horns, elevator, structural steel, 

N0x monitoring system, I&C system.

Total purchased equipment cost (PEC) $42,679,000 $45,653,000 $16,033,093

Direct installation costs 

Foundation & supports $12,803,700 (PEC) X 30.0% 6.2 $13,597,529

Handling & erection $17,071,600 (PEC) X 40.0% 6.2 $18,130,039

Electrical $6,401,850 (PEC) X 15.0% 6.2 $6,798,765

Piping $1,066,975 (PEC) X 2.5% 6.2 $1,133,127

Insulation $4,267,900 (PEC) X 10.0% 6.2 $4,532,510

Painting $426,790 (PEC) X 1.0% 6.2 $453,251

Demolition $4,267,900 (PEC) X 10.0% 6.2 $4,532,510

Relocation $2,133,950 (PEC) X 5.0% 6.2 $2,266,255

San Juan Unit 3

COST ANALYSIS B&V COST ANALYSIS FOX
Capacity (MWg) 544

Capacity (MWn) 497

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 3

COST ANALYSIS B&V COST ANALYSIS FOX

Total direct installation costs (DIC) $48,440,665 $51,443,986 4.4 $10,074,516

(PEC) X 62%. Adjusted to remove instrumentation and 

control system.

Air preheater modifications $5,090,000

Based on a budgetary quote received for the 

project 8.4 $5,517,560 5.3 $0 Not required for SCR.

Balanced draft conversion $18,714,000

Adjusted from a B&V balanced draft conversion 

project based on differences in scope 8.4 $20,285,976 5.3 $2,478,804

Adjusted to 18% less fan modifications B&V 10/22/10 

Cost Analysis, Table 5

Induced draft fans 5.3 $4,275,180

FD & ID fans minus the pressurized furnace differential. 

B&V 10/22/10 Cost Analysis, Table 5

Site preparation $2,000,000

Contingency for site unknowns, such as 

underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Total direct costs (DC) = (PEC) + (DIC) $117,424,000 $125,401,000 $32,861,593

Indirect Costs 

Engineering $8,219,680 (DC) X 7.0% $8,778,070 $3,286,000

(DC) X 10%, Engineering & Home Office Fees, Cost 

Manual, pdf 486, Table 2.5

Owner's cost $5,871,200 (DC) X 5.0% $6,270,050 $0 Included in Engineering & Home Office Fees.

Construction management $11,742,400 (DC) X 10.0% $12,540,100 $0

Construction indirect $31,795,855 B&V labor market review 6.2 $33,767,198 4.4 $15,971,947 Reduced to 60% total installation labor

Start-up and spare parts $3,522,720 (DC) X 3.0% $3,762,030 $986,000

Performance test $200,000

Based on other projects with similar emissions 

testing scope $200,000 $200,000

Contingencies $23,484,800 (DC) X 20.0% $25,080,200 $1,643,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

Total indirect costs (IC) $84,837,000 $90,398,000 $22,086,947

Interest During Construction (IDC) $22,481,000

[(DC)+(IC)] X 7.41% 3 years (project time length X 

1/2) $22,481,000 $0 Not permitted under Cost Manual approach

Loss Generation during Outage (GEN) $23,674,000

5 weeks and 0.06095 $/kWh 12 weeks required 

for BDC, $23,674,000 $0 Not required

7 weeks major outage available 

Project Contingency $8,242,281 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

Total Capital Investment

(TCI)=(DC)+(IC)+(IDC)+(GEN) $248,416,000 $261,954,000 $63,190,821 Adjusted to include project contingency

ANNUAL COST 

Direct Annual Costs 

Fixed annual costs 

Operating labor $125,000

1 FTE and 124,862 $/year Estimated manpower 

level $125,000 $0 Cost Manual, pdf 487

Maintenance labor & materials $3,523,000 (DC) X 3.0% $3,762,000 $948,000 TCI X 1.5%, Cost Manual, pdf 487.

Yearly emissions testing $25,000

Based on other projects with similar emissions 

testing scope $25,000 $25,000

Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000
Capacity (MWg) 544

Capacity (MWn) 497

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 3

COST ANALYSIS B&V COST ANALYSIS FOX

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

Total fixed annual costs $3,698,000 $3,937,000 $998,000

Variable annual costs 

Reagent $1,415,000 543 lb/hr and 700 $/ton B&V Calculated $1,415,000 $920,244

Ammonia cost reduced to $475/ton. Ammonia flow rate 

reduced by 0.23/0.24.

Auxiliary and ID fan power $2,194,000 4,881 kW and 0.06095 $/kWh B&V Calculated $2,194,000 $607,594 Adjusted to 0.3% gross capacity and $0.050/kWh

Catalyst replacement $538,000

83 m3 and 6,500 $/m3 2 yr catalyst replacement 

rate $538,000 $202,619

Adjusted to 85% of B&V estimate, unit cost reduced to 

$6000/m3, and FWF = 0.48

Total variable annual costs $4,147,000 $4,147,000 $1,730,457

Total direct annual costs (DAC) $7,845,000 $8,084,000 $2,728,457

Indirect Annual Costs 

Cost for capital recovery $24,196,000

(TCI) X 9.74% CRF at 7.41% interest & 20 year 

life $24,196,000 $5,092,000 (TCI) x 8.059% CRF at 7% interest & 30 year life

Total indirect annual costs (IDAC) $24,196,000 $24,196,000 $5,092,000

Total Annual Cost (TAC) = (DAC) + (IDAC) $32,041,000 $32,280,000 $7,820,457

Emission Reductions (ton/yr) 4,931 B&V BART Analysis, Table ES-2 4,931 4,931

Cost Effectiveness ($/ton) 6,498 6,546 1,586

Cost ($/kW) 457 482 116

Interest Rate 0.07

Lifetime 30

CRF 0.0806
Capacity (MWg) 544

Capacity (MWn) 497

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

CAPITAL COST 

Direct Costs 

Purchased equipment costs 

Anhydrous Ammonia Injection System $559,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344

Adjusted to use final contract award and remove 

installation

Anhydrous Ammonia Vaporization System $559,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344

Adjusted to use final contract award and remove 

installation

Reactor Box, Breeching and Ductwork $5,051,700

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $5,617,490 0.0 $3,585,687

Adjusted to use final contract award and reduced by 10% 

to account for cheaper materials per 10/21/10 Responses, 

p. 2.

Ductwork Expansion Joints $185,500

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 8.4 $201,082 5.3 $165,809

Adjusted to use one unit, remove freight, scaled using 

actual unit flow rates, and reduce cost by 10% to account 

for less expensive materials of construction.

Catalyst $3,225,000

Catalyst volume determined based on unit size & 

Nox removal, $6500/m3 of catalyst 0 $3,225,000 0.0 $0

Annualized cost must be reported net of replacement 

materials. Cost Manual, pdf 47, 486.

Sonic Horns $188,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award

Elevator $1,236,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $1,339,824 5.3 $633,097

Adjusted to use final contract reward and to remove 

installation from vendor quote

Structural Steel $7,816,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 8.4 $8,472,544 0.0 $6,396,471

Adjusted to use final contract award and remove 

complexity factor.

SCR Bypass $10,000,000 Taken from another B&V project of similar size 11.2 $11,120,000 5.3 $0 Not required for oil firing during startup

NOx Monitoring System $440,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $476,960 5.3 $269,901

Adjusted to use final contract award, to require 1 training 

session for the station, and to remove maintenance 

contract

Electrical System Upgrade $484,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $524,656 11.2 $538,208

Auxiliary Electrical Equipment Requirements $8,350,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $8,350,000 0.0 $1,503,000 Adjusted to 18% of B&V estimate

Instrumentation and Control System $291,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $315,444 5.3 $468,707

Adjusted to use final contract award and remove 

escalation.

Subtotal capital cost (CC) $38,385,200 $41,058,704 $14,811,093

Gross Receipt Tax $2,375,000 (CC) X 6.2% $2,541,000 $877,000 Adjusted to remove elevator costs

Freight $1,919,000 (CC) X 5.0% $2,053,000 $345,000

Adjusted to remove sonic horns, elevator, structural steel, 

N0x monitoring system, I&C system.

Total purchased equipment cost (PEC) $42,679,000 $45,653,000 $16,033,093

Direct installation costs 

Foundation & supports $12,803,700 (PEC) X 30.0% 6.2 $13,597,529

Handling & erection $17,071,600 (PEC) X 40.0% 6.2 $18,130,039

Electrical $6,401,850 (PEC) X 15.0% 6.2 $6,798,765

Piping $1,066,975 (PEC) X 2.5% 6.2 $1,133,127

Insulation $4,267,900 (PEC) X 10.0% 6.2 $4,532,510

Painting $426,790 (PEC) X 1.0% 6.2 $453,251

Demolition $4,267,900 (PEC) X 10.0% 6.2 $4,532,510

Relocation $2,133,950 (PEC) X 5.0% 6.2 $2,266,255

San Juan Unit 3 @ 0.05

COST ANALYSIS B&V COST ANALYSIS FOX
Capacity (MWg) 544

Capacity (MWn) 497

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 3 @ 0.05

COST ANALYSIS B&V COST ANALYSIS FOX

Total direct installation costs (DIC) $48,440,665 $51,443,986 4.4 $10,074,516

(PEC) X 62%. Adjusted to remove instrumentation and 

control system.

Air preheater modifications $5,090,000

Based on a budgetary quote received for the 

project 8.4 $5,517,560 5.3 $0 Not required for SCR.

Balanced draft conversion $18,714,000

Adjusted from a B&V balanced draft conversion 

project based on differences in scope 8.4 $20,285,976 5.3 $2,478,804

Adjusted to 18% less fan modifications B&V 10/22/10 

Cost Analysis, Table 5

Induced draft fans 5.3 $4,275,180

FD & ID fans minus the pressurized furnace differential. 

B&V 10/22/10 Cost Analysis, Table 5

Site preparation $2,000,000

Contingency for site unknowns, such as 

underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Total direct costs (DC) = (PEC) + (DIC) $117,424,000 $125,401,000 $32,861,593

Indirect Costs 

Engineering $8,219,680 (DC) X 7.0% $8,778,070 $3,286,000

(DC) X 10%, Engineering & Home Office Fees, Cost 

Manual, pdf 486, Table 2.5

Owner's cost $5,871,200 (DC) X 5.0% $6,270,050 $0 Included in Engineering & Home Office Fees.

Construction management $11,742,400 (DC) X 10.0% $12,540,100 $0

Construction indirect $31,795,855 B&V labor market review 6.2 $33,767,198 4.4 $15,971,947 Reduced to 60% total installation labor

Start-up and spare parts $3,522,720 (DC) X 3.0% $3,762,030 $986,000

Performance test $200,000

Based on other projects with similar emissions 

testing scope $200,000 $200,000

Contingencies $23,484,800 (DC) X 20.0% $25,080,200 $1,643,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

Total indirect costs (IC) $84,837,000 $90,398,000 $22,086,947

Interest During Construction (IDC) $22,481,000

[(DC)+(IC)] X 7.41% 3 years (project time length X 

1/2) $22,481,000 $0 Not permitted under Cost Manual approach

Loss Generation during Outage (GEN) $23,674,000

5 weeks and 0.06095 $/kWh 12 weeks required 

for BDC, $23,674,000 $0 Not required

7 weeks major outage available 

Project Contingency $8,242,281 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

Total Capital Investment

(TCI)=(DC)+(IC)+(IDC)+(GEN) $248,416,000 $261,954,000 $63,190,821 Adjusted to include project contingency

ANNUAL COST 

Direct Annual Costs 

Fixed annual costs 

Operating labor $125,000

1 FTE and 124,862 $/year Estimated manpower 

level $125,000 $0 Cost Manual, pdf 487

Maintenance labor & materials $3,523,000 (DC) X 3.0% $3,762,000 $948,000 TCI X 1.5%, Cost Manual, pdf 487.

Yearly emissions testing $25,000

Based on other projects with similar emissions 

testing scope $25,000 $25,000

Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000
Capacity (MWg) 544

Capacity (MWn) 497

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 3 @ 0.05

COST ANALYSIS B&V COST ANALYSIS FOX

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

Total fixed annual costs $3,698,000 $3,937,000 $998,000

Variable annual costs 

Reagent $1,415,000 543 lb/hr and 700 $/ton B&V Calculated $1,415,000 $1,000,265

Ammonia cost reduced to $475/ton. Ammonia flow rate 

increased by 0.25/0.24.

Auxiliary and ID fan power $2,194,000 4,881 kW and 0.06095 $/kWh B&V Calculated $2,194,000 $607,594 Adjusted to 0.3% gross capacity and $0.050/kWh

Catalyst replacement $538,000

83 m3 and 6,500 $/m3 2 yr catalyst replacement 

rate $538,000 $238,375

B&V assumed a catalyst volume sufficient to reduce NOx 

from 0.3 to 0.044 lb/MMBtu, so adequate for 0.05. Unit 

cost reduced to $6000/m3 and FWF = 0.48.

Total variable annual costs $4,147,000 $4,147,000 $1,846,234

Total direct annual costs (DAC) $7,845,000 $8,084,000 $2,844,234

Indirect Annual Costs 

Cost for capital recovery $24,196,000

(TCI) X 9.74% CRF at 7.41% interest & 20 year 

life $24,196,000 $5,092,000 (TCI) x 8.059% CRF at 7% interest & 30 year life

Total indirect annual costs (IDAC) $24,196,000 $24,196,000 $5,092,000

Total Annual Cost (TAC) = (DAC) + (IDAC) $32,041,000 $32,280,000 $7,936,234

Emission Reductions (ton/yr) 4,931 B&V BART Analysis, Table ES-2 4,931 5,360

Increased tons NOx reduced by (0.25/0.23) for outlet of 

0.05 lbs/MMBtu

Cost Effectiveness ($/ton) 6,498 6,546 1,481

Cost ($/kW) 457 482 116

Interest Rate 0.07

Lifetime 30

CRF 0.0806
Capacity (MWg) 544

Capacity (MWn) 507

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

CAPITAL COST 

Direct Costs 

Purchased equipment costs 

Anhydrous Ammonia Injection System $559,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344

Adjusted to use final contract award and remove 

installation

Anhydrous Ammonia Vaporization System $559,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344

Adjusted to use final contract award and remove 

installation

Reactor Box, Breeching and Ductwork $5,083,200

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $5,652,518 0.0 $3,585,687

Adjusted to use final contract award and reduced by 10% 

to account for cheaper materials per 10/21/10 Responses, 

p. 2.

Ductwork Expansion Joints $186,500

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 8.4 $202,166 5.3 $166,853

Adjusted to use one unit, remove freight, scaled using 

actual unit flow rates, and reduce cost by 10% to account 

for less expensive materials of construction.

Catalyst $3,245,000

Catalyst volume determined based on unit size & 

Nox removal, $6500/m3 of catalyst 0 $3,245,000 0.0 $0

Annualized cost must be reported net of replacement 

materials. Cost Manual, pdf 47, 486.

Sonic Horns $188,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award

Elevator $1,236,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $1,339,824 5.3 $633,097

Adjusted to use final contract reward and to remove 

installation from vendor quote

Structural Steel $6,252,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $6,952,224 0.0 $6,396,471

Adjusted to use final contract award and remove 

complexity factor.

SCR Bypass $10,000,000 Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup

NOx Monitoring System $440,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $476,960 5.3 $269,901

Adjusted to use final contract award, to require 1 training 

session for the station, and to remove maintenance 

contract

Electrical System Upgrade $484,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $524,656 11.2 $538,208

Auxiliary Electrical Equipment Requirements $8,350,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $8,350,000 0.0 $1,503,000 Adjusted to 18% of B&V estimate

Instrumentation and Control System $291,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $315,444 5.3 $468,707

Adjusted to use final contract award and remove 

escalation.

Subtotal capital cost (CC) $36,873,700 $39,314,496 $14,812,137

Gross Receipt Tax $2,282,000 (CC) X 6.2% $2,433,000 $877,000 Adjusted to remove elevator costs

Freight $1,844,000 (CC) X 5.0% $1,966,000 $345,000

Adjusted to remove sonic horns, elevator, structural steel, 

N0x monitoring system, I&C system.

Total purchased equipment cost (PEC) $41,000,000 $43,713,496 $16,034,137

Direct installation costs 

Foundation & supports $12,300,000 (PEC) X 30.0% 6.2 $13,062,600

Handling & erection $12,300,000 (PEC) X 30.0% 6.2 $13,062,600

Electrical $6,150,000 (PEC) X 15.0% 6.2 $6,531,300

Piping $1,025,000 (PEC) X 2.5% 6.2 $1,088,550

Insulation $4,100,000 (PEC) X 10.0% 6.2 $4,354,200

Painting $410,000 (PEC) X 1.0% 6.2 $435,420

Demolition $4,100,000 (PEC) X 10.0% 6.2 $4,354,200

Relocation $2,050,000 (PEC) X 5.0% 6.2 $2,177,100

San Juan Unit 4

COST ANALYSIS B&V COST ANALYSIS FOX
Capacity (MWg) 544

Capacity (MWn) 507

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 4

COST ANALYSIS B&V COST ANALYSIS FOX

Total direct installation costs (DIC) $42,435,000 $45,065,970 4.4 $10,075,191

(PEC) X 62%. Adjusted to remove instrumentation and 

control system.

Air preheater modifications $5,090,000

Based on a budgetary quote received for the 

project 8.4 $5,517,560 5.3 $0 Not required for SCR.

Balanced draft conversion $18,714,000

Adjusted from a B&V balanced draft conversion 

project based on differences in scope 8.4 $20,285,976 5.3 $2,478,804

Adjusted to 18% less fan modifications B&V 10/22/10 

Cost Analysis, Table 5

Induced draft fans 5.3 $4,275,180

FD & ID fans minus the pressurized furnace differential. 

B&V 10/22/10 Cost Analysis, Table 5.

Site preparation $2,000,000

Contingency for site unknowns, such as 

underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Total direct costs (DC) = (PEC) + (DIC) $109,739,000 $117,083,000 $32,863,312

Indirect Costs 

Engineering $7,682,000 (DC) X 7.0% $8,195,810 $3,286,000

(DC) X 10%, Engineering & Home Office Fees, Cost 

Manual, pdf 486, Table 2.5

Owner's cost $5,487,000 (DC) X 5.0% $5,854,150 $0 Included in Engineering & Home Office Fees.

Construction management $10,974,000 (DC) X 10.0% $11,708,300 $0

Construction indirect $26,445,000 B&V labor market review 6.2 $28,084,590 4.4 $13,151,894 Reduced to 60% total installation labor

Start-up and spare parts $3,292,000 (DC) X 3.0% $3,512,000 $986,000

Performance test $200,000

Based on other projects with similar emissions 

testing scope $200,000 $200,000

Contingencies $21,948,000 (DC) X 20.0% $23,416,600 $1,643,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

Total indirect costs (IC) $76,028,000 $80,972,000 $19,266,894

Interest During Construction (IDC) $20,648,000

[(DC)+(IC)] X 7.41% 3 years (project time length X 

1/2) $20,648,000 $0 Not permitted under Cost Manual approach

Loss Generation during Outage (GEN) $23,674,000

5 weeks and 0.06095 $/kWh 12 weeks required 

for BDC, $23,674,000 $0 Not required

7 weeks major outage available 

Project Contingency $7,819,531 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

Total Capital Investment

(TCI)=(DC)+(IC)+(IDC)+(GEN) $230,089,000 $242,377,000 $59,949,738 Adjusted to include project contingency

ANNUAL COST 

Direct Annual Costs 

Fixed annual costs 

Operating labor $125,000

1 FTE and 124,862 $/year Estimated manpower 

level $125,000 $0 Cost Manual, pdf 487

Maintenance labor & materials $3,292,000 (DC) X 3.0% $3,512,000 $899,000 TCI X 1.5%, Cost Manual, pdf 487.

Yearly emissions testing $25,000

Based on other projects with similar emissions 

testing scope $25,000 $25,000

Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000
Capacity (MWg) 544

Capacity (MWn) 507

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 4

COST ANALYSIS B&V COST ANALYSIS FOX

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

Total fixed annual costs $3,467,000 $3,687,000 $949,000

Variable annual costs 

Reagent $1,388,000 533 lb/hr and 700 $/ton B&V Calculated $1,388,000 $903,297

Ammonia cost reduced to $475/ton. Ammonia flow rate 

reduced by 0.23/0.24.

Auxiliary and ID fan power $2,215,000 4,881 kW and 0.06095 $/kWh B&V Calculated $2,215,000 $607,594 Adjusted to 0.3% gross capacity and $0.050/kWh

Catalyst replacement $541,000

83 m3 and 6,500 $/m3 2 yr catalyst replacement 

rate $541,000 $203,749

Adjusted to 85% of B&V estimate, unit cost reduced to 

$6000/m3, and FWF = 0.48.

Total variable annual costs $4,144,000 $4,144,000 $1,714,639

Total direct annual costs (DAC) $7,611,000 $7,831,000 $2,663,639

Indirect Annual Costs 

Cost for capital recovery $22,411,000

(TCI) X 9.74% CRF at 7.41% interest & 20 year 

life $22,411,000 $4,831,000 (TCI) x 8.059% CRF at 7% interest & 30 year life

Total indirect annual costs (IDAC) $22,411,000 $22,411,000 $4,831,000

Total Annual Cost (TAC) = (DAC) + (IDAC) $30,022,000 $30,242,000 $7,494,639

Emission Reductions (ton/yr) 4,837 B&V BART Analysis, Table ES-2 4,837 4,837

Cost Effectiveness ($/ton) 6,207 6,252 1,549

Cost ($/kW) 423 446 110

Interest Rate 0.07

Lifetime 30

CRF 0.0806
Capacity (MWg) 544

Capacity (MWn) 507

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

CAPITAL COST 

Direct Costs 

Purchased equipment costs 

Anhydrous Ammonia Injection System $559,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344

Adjusted to use final contract award and remove 

installation

Anhydrous Ammonia Vaporization System $559,000

Scaled from B&V database based on ammonia 

flow, using 0.6 scale factor 8.4 $605,956 5.3 $550,344

Adjusted to use final contract award and remove 

installation

Reactor Box, Breeching and Ductwork $5,083,200

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $5,652,518 0.0 $3,585,687

Adjusted to use final contract award and reduced by 10% 

to account for cheaper materials per 10/21/10 Responses, 

p. 2.

Ductwork Expansion Joints $186,500

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 8.4 $202,166 5.3 $166,853

Adjusted to use one unit, remove freight, scaled using 

actual unit flow rates, and reduce cost by 10% to account 

for less expensive materials of construction.

Catalyst $3,245,000

Catalyst volume determined based on unit size & 

Nox removal, $6500/m3 of catalyst 0 $3,245,000 0.0 $0

Annualized cost must be reported net of replacement 

materials. Cost Manual, pdf 47, 486.

Sonic Horns $188,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $203,792 5.3 $149,526 Final contract award

Elevator $1,236,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $1,339,824 5.3 $633,097

Adjusted to use final contract reward and to remove 

installation from vendor quote

Structural Steel $6,252,000

Scaled from B&V database based on flue gas 

flow, using 0.6 scale factor 11.2 $6,952,224 0.0 $6,396,471

Adjusted to use final contract award and remove 

complexity factor.

SCR Bypass $10,000,000 Taken from another B&V project of similar size 8.4 $10,840,000 5.3 $0 Not required for oil firing during startup

NOx Monitoring System $440,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $476,960 5.3 $269,901

Adjusted to use final contract award, to require 1 training 

session for the station, and to remove maintenance 

contract

Electrical System Upgrade $484,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $524,656 11.2 $538,208

Auxiliary Electrical Equipment Requirements $8,350,000 Estimated in the B&V 10/22/10 Cost Analysis 0 $8,350,000 0.0 $1,503,000 Adjusted to 18% of B&V estimate

Instrumentation and Control System $291,000

Actual price from similarly sized unit, escalated to 

2007 dollars 8.4 $315,444 5.3 $468,707

Adjusted to use final contract award and remove 

escalation.

Subtotal capital cost (CC) $36,873,700 $39,314,496 $14,812,137

Gross Receipt Tax $2,282,000 (CC) X 6.2% $2,433,000 $877,000 Adjusted to remove elevator costs

Freight $1,844,000 (CC) X 5.0% $1,966,000 $345,000

Adjusted to remove sonic horns, elevator, structural steel, 

N0x monitoring system, I&C system.

Total purchased equipment cost (PEC) $41,000,000 $43,713,496 $16,034,137

Direct installation costs 

Foundation & supports $12,300,000 (PEC) X 30.0% 6.2 $13,062,600

Handling & erection $12,300,000 (PEC) X 30.0% 6.2 $13,062,600

Electrical $6,150,000 (PEC) X 15.0% 6.2 $6,531,300

Piping $1,025,000 (PEC) X 2.5% 6.2 $1,088,550

Insulation $4,100,000 (PEC) X 10.0% 6.2 $4,354,200

Painting $410,000 (PEC) X 1.0% 6.2 $435,420

Demolition $4,100,000 (PEC) X 10.0% 6.2 $4,354,200

Relocation $2,050,000 (PEC) X 5.0% 6.2 $2,177,100

San Juan Unit 4 @ 0.05

COST ANALYSIS B&V COST ANALYSIS FOX
Capacity (MWg) 544

Capacity (MWn) 507

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 4 @ 0.05

COST ANALYSIS B&V COST ANALYSIS FOX

Total direct installation costs (DIC) $42,435,000 $45,065,970 4.4 $10,075,191

(PEC) X 62%. Adjusted to remove instrumentation and 

control system.

Air preheater modifications $5,090,000

Based on a budgetary quote received for the 

project 8.4 $5,517,560 5.3 $0 Not required for SCR.

Balanced draft conversion $18,714,000

Adjusted from a B&V balanced draft conversion 

project based on differences in scope 8.4 $20,285,976 5.3 $2,478,804

Adjusted to 18% less fan modifications B&V 10/22/10 

Cost Analysis, Table 5

Induced draft fans 5.3 $4,275,180

FD & ID fans minus the pressurized furnace differential. 

B&V 10/22/10 Cost Analysis, Table 5.

Site preparation $2,000,000

Contingency for site unknowns, such as 

underground utilities 0 $2,000,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Buildings & enclosures $500,000 Contingency for general site building requirements 0 $500,000 $0 Excessive contingencies per Cost Manual, pdf 44, 486.

Total direct costs (DC) = (PEC) + (DIC) $109,739,000 $117,083,000 $32,863,312

Indirect Costs 

Engineering $7,682,000 (DC) X 7.0% $8,195,810 $3,286,000

(DC) X 10%, Engineering & Home Office Fees, Cost 

Manual, pdf 486, Table 2.5

Owner's cost $5,487,000 (DC) X 5.0% $5,854,150 $0 Included in Engineering & Home Office Fees.

Construction management $10,974,000 (DC) X 10.0% $11,708,300 $0

Construction indirect $26,445,000 B&V labor market review 6.2 $28,084,590 4.4 $13,151,894 Reduced to 60% total installation labor

Start-up and spare parts $3,292,000 (DC) X 3.0% $3,512,000 $986,000

Performance test $200,000

Based on other projects with similar emissions 

testing scope $200,000 $200,000

Contingencies $21,948,000 (DC) X 20.0% $23,416,600 $1,643,000 (DC) X 5%, Cost Manual, pdf 486, Table 2.5

Total indirect costs (IC) $76,028,000 $80,972,000 $19,266,894

Interest During Construction (IDC) $20,648,000

[(DC)+(IC)] X 7.41% 3 years (project time length X 

1/2) $20,648,000 $0 Not permitted under Cost Manual approach

Loss Generation during Outage (GEN) $23,674,000

5 weeks and 0.06095 $/kWh 12 weeks required 

for BDC, $23,674,000 $0 Not required

7 weeks major outage available 

Project Contingency $7,819,531 (DC + IC) X 15%, Cost Manual, pdf 486, Table 2.5.

Total Capital Investment

(TCI)=(DC)+(IC)+(IDC)+(GEN) $230,089,000 $242,377,000 $59,949,738 Adjusted to include project contingency

ANNUAL COST 

Direct Annual Costs 

Fixed annual costs 

Operating labor $125,000

1 FTE and 124,862 $/year Estimated manpower 

level $125,000 $0 Cost Manual, pdf 487

Maintenance labor & materials $3,292,000 (DC) X 3.0% $3,512,000 $899,000 TCI X 1.5%, Cost Manual, pdf 487.

Yearly emissions testing $25,000

Based on other projects with similar emissions 

testing scope $25,000 $25,000

Catalyst activity testing $5,000 Engineering estimate $5,000 $5,000
Capacity (MWg) 544

Capacity (MWn) 507

Cost Item 7/11/2007 Remarks/Cost Basis Escallation Escallation Escalation Revisions

10/22/2010 to Oct 2011 to Oct 2011 (percent) 10/10/2010 Adjusted to 2010 Dollars

($) (percent) ($) ($)

San Juan Unit 4 @ 0.05

COST ANALYSIS B&V COST ANALYSIS FOX

Fly ash sampling and analysis $20,000 Engineering estimate $20,000 $20,000

Total fixed annual costs $3,467,000 $3,687,000 $949,000

Variable annual costs 

Reagent $1,388,000 533 lb/hr and 700 $/ton B&V Calculated $1,388,000 $981,844

Ammonia cost reduced to $475/ton. Ammonia flow rate 

increased by 0.25/0.24.

Auxiliary and ID fan power $2,215,000 4,881 kW and 0.06095 $/kWh B&V Calculated $2,215,000 $607,594 Adjusted to 0.3% gross capacity and $0.050/kWh

Catalyst replacement $541,000

83 m3 and 6,500 $/m3 2 yr catalyst replacement 

rate $541,000 $239,705

B&V assumed a catalyst volume sufficient to reduce NOx 

from 0.3 to 0.044 lb/MMBtu, so adequate for 0.05. Unit 

cost reduced to $6000/m3 and FWWF = 0.48.

Total variable annual costs $4,144,000 $4,144,000 $1,829,143

Total direct annual costs (DAC) $7,611,000 $7,831,000 $2,778,143

Indirect Annual Costs 

Cost for capital recovery $22,411,000

(TCI) X 9.74% CRF at 7.41% interest & 20 year 

life $22,411,000 $4,831,000 (TCI) x 8.059% CRF at 7% interest & 30 year life

Total indirect annual costs (IDAC) $22,411,000 $22,411,000 $4,831,000

Total Annual Cost (TAC) = (DAC) + (IDAC) $30,022,000 $30,242,000 $7,609,143

Emission Reductions (ton/yr) 4,837 B&V BART Analysis, Table ES-2 4,837 5,258

Increased tons NOx reduced by (0.25/0.23) for outlet of 

0.05 lbs/MMBtu

Cost Effectiveness ($/ton) 6,207 6,252 1,447

Cost ($/kW) 423 446 110

Interest Rate 0.07

Lifetime 30

CRF 0.0806