vehicle investment cost

[Samaneh]

Hello,

I want to specify the capital cost of a vehicle for each time period (2010, 2015, ...2050). This investment cost must be paid over the vehicle lifetime (15 years). So it is different from variable O&M cost. Can I use NCAP_COST to represent capital costs of the vehicles? Actually, I used this parameter for different capital costs of the vehicles from 2010 to 2050 , but the results do not make sense.

Thanks,

Samaneh

[Antti-L]

NCAP_COST can be used to represent the capital costs of vehicles, assuming that you intend to express the capital costs in the same way as investment costs. It is being used that way for road vehicles in numerous TIMES models.

However, you said that you used this parameter, but the results don't make sense. I have no idea what the problem is (because you give no indication as to how the results don't make sense), but it seems to me that maybe you are trying to express the capital costs in some way differently than investment costs? Could you describe in some more detail what exactly you are trying to do, and what exactly is the problem you are seeing with NCAP_COST? Do you perhaps want to express the capital costs in terms of annual payments? If so, have you considered using NCAP_FOM?

[Samaneh]

Ok, thanks for your explanation. I actually have the investment cost of the cars and I want the investment cost to be paid over the vehicle lifetime (15 years). As an example,

Gasoline car investment cost (NCAP_COST) = 2241 M$/billion miles

Electric car investment cost (NCAP_COST)= 3272 M$/billion miles

The capacity unit that i used in ~FI_Process table is ''billion miles-a''

demand unit is ''billion miles''

So for 1 billion miles of demand, Cost_INV for gasoline car=2241*1=2241 M$ and Cost_INV for electric car=3272*1=3272 M$ (So electric car is more expensive)

Both cars have the lifetime of 15 years and start year 2015, so I thought when I specified 2241 M$/billion-miles as NCAP_COST, model would calculate total M$ based on the demand, which is 2241 M$ for gasoline car here, and this 2241 M$ will be paid over 15 years. 

Assuming the same fuel costs for both cars, the electric car is more expensive than the gasoline car, based on my calculation for the capital cost (M$), but model decided to choose the electric car instead of the gasoline car! 

Thanks,

Samaneh

[Antti-L]

Well, I cannot see all the technology attributes that you have defined (efficiencies, fixed costs, possible PRC_CAPACT, NCAP_AF, NCAP_DRATE, PRC_ACTFLO etc.), but your investment costs appear reasonable to me, assuming that your PRC_ACTFLO=NCAP_AF=1 and your fuel efficiencies take appropriately into account the unit conversion from your energy unit into billion miles.

Sorry Samaneh, it seems that without seeing the full model I am not able to be of more help. Maybe some other Forum member can see the problem more clearly and can help you out....

[Samaneh]

OK, I think i figured out what's happening You are right, there are other factors that cause this problem. I manually calculated the invcost+fuel cost for a year and I had completely underestimated the large effect of vehicle efficiency and fuel cost on the total cost of the vehicles per year. The electric car is very efficient and electricity is very cheap compared to gasoline. These factors together compensate the higher investment cost of the electric cars over gasoline car.

Thanks