Costs

[ArmineA]

Hi!
Could you please say 
Does "LUMPINV" include discounted system cost or not? 
and how is it calculated? 
Thanks

[Antti-L]

The Cap_new reporting attribute reports the lump sum investment costs (as opposed to annualized investment costs) and the corresponding new capacity installed in each period (by vintage and commissioning period).  The lump sum investment cost (LUMPINV) thus represents the total investment costs discounted to the beginning of the commissioning year (so including any interest during construction and the impact of any hurdle rate). 

LUMPINV thus simply corresponds to a single lump-sum payment at the the beginning of the commissioning year, which is equivalent to the total investment costs. That exactly defines the way it is calculated: The equivalence of the singe payment to the various partial payments at different times is being defined by discounting. Assuming the present point in time is the beginning of the commissioning year, we can say that discounting is the process of converting any values in future or past time periods to an equivalent lump-sum value that would be paid immediately.

[ArmineA]

The Cap_new reporting attribute reports the lump sum investment costs (as opposed to annualized investment costs) and the corresponding new capacity installed in each period (by vintage and commissioning period).  The lump sum investment cost (LUMPINV) thus represents the total investment costs discounted to the beginning of the commissioning year (so including any interest during construction and the impact of any hurdle rate). 

LUMPINV thus simply corresponds to a single lump-sum payment at the the beginning of the commissioning year, which is equivalent to the total investment costs. That exactly defines the way it is calculated: The equivalence of the singe payment to the various partial payments at different times is being defined by discounting. Assuming the present point in time is the beginning of the commissioning year, we can say that discounting is the process of converting any values in future or past time periods to an equivalent lump-sum value that would be paid immediately.

Thank you so much for your help.