In 1980, an engineering study prepared by Chas. T. Main in Boston confirmed the technical feasibility of a barrage mode of development for Half-Moon Cove. At the time of the study, the production cost of tidal energy was approximately 0.09 $/kwhr. Due to recent policy decisions, a subsidy is presently available to encourage the development of renewable resources in addition to the ability of taking advantage of carbon credits from large-scale generators of electricity. Based on preliminary data, Tidewalker Engineering has concluded that Half-Moon Cove could generate electricity for less than five cents a kilowatt hours in 2010 which translate into an economically viable project if the energy was sold to the local utility at 0.05 $/kwhr.
In terms of an investment for future returns, tidal energy offers a relatively dependable source of electricity due to the predictability and stability of the tides as a renewable resource. An economic analysis of the life cycle cost of tidal energy when compared to an ever-increasing value for commercial power reveals the attractiveness of this resource as a reliable source of nearly escalation-proof electricity. A tabulation of the results of this analysis based on the listed assumptions indicates that tidal energy will progressively return a greater return with time based on some rather conservative estimates. In reality, the price of electricity has increased approximately 10% per year over the past five years. In our case, the analysis assumes a 10% increase every five years. This favorable economic profile combined with a desire to remove our dependence from fossil fuel translates into a favorable climate for the development of tidal energy. As a footnote, the annual production of tidal energy from Half-Moon Cove represents nearly 800,000 gallons of fossil fuel which would be diverted from the consumption stream by the utilization of this renewable resource.
References for this section are being updated.
For additional information on Tidewalker Associates and tidal power development, please contact placecove@gmail.com.
