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ÌýCapital cost (£/kW)Life-cycle cost (£/kWh generated)Expected service life (years)
300kW biomass boiler to BS EN 303-5; fuel: wood pellets @ 3.5p/kWh; running 3,500 hours/year400-7000.025 (0.052)15-25
300kW biomass boiler to BS EN 303-5; fuel: wood pellets @ 3.0p/kWh; running 7,000 hours/year450–7500.020 (0.041)15-25
1MW biomass heating system; fuel: woodchip @ 2.0p/kWh; running 7,000 hours/year300-5000.013 (0.027)15-25
Table notes A discount rate of 3% is used to calculate net present values; non-discounted values are given in brackets. Costs are indicative. In practice, local and site conditions have a strong influence on costing. Water supply costs are excluded. The capital costs exclude any grants or financial benefits. Life-cycle costs include maintenance, servicing, major overhaul, allowances for electricity, component replacement and repairs and the cost of fuel. There is no allowance for fuel inflation. Life-cycle costs are indicative and are based on the average of capital costs and service lives. A cost analysis based on project specific information is essential for a realistic best value appraisal.