apply discount vector to ITC when calculating LCOE/H/C

Author: softwareengineerprogrammer

src/geophires_x/Economics.py

@@ -479,7 +479,10 @@ def CalculateLCOELCOHLCOC(self, model: Model) -> tuple:
         NPVcap = np.sum((1 + self.inflrateconstruction.value) * self.CCap.value * CRF * discountvector)
         NPVfc = np.sum((1 + self.inflrateconstruction.value) * self.CCap.value * self.PTR.value * inflationvector * discountvector)
         NPVit = np.sum(self.CTR.value / (1 - self.CTR.value) * ((1 + self.inflrateconstruction.value) * self.CCap.value * CRF - self.CCap.value / model.surfaceplant.plant_lifetime.value) * discountvector)
-        NPVitc = (1 + self.inflrateconstruction.value) * self.CCap.value * self.RITC.value / (1 - self.CTR.value)
+
+        npv_itc_discount_factor = discountvector[model.surfaceplant.construction_years.value]
+        NPVitc = ((1 + self.inflrateconstruction.value) * self.CCap.value * self.RITC.value / (1 - self.CTR.value)
+                  * npv_itc_discount_factor)
 
         if model.surfaceplant.enduse_option.value == EndUseOptions.ELECTRICITY:
             NPVoandm = np.sum(self.Coam.value * inflationvector * discountvector)
@@ -502,7 +505,8 @@ def CalculateLCOELCOHLCOC(self, model: Model) -> tuple:
             NPVcap_elec = np.sum((1 + self.inflrateconstruction.value) * CCap_elec * CRF * discountvector)
             NPVfc_elec = np.sum((1 + self.inflrateconstruction.value) * CCap_elec * self.PTR.value * inflationvector * discountvector)
             NPVit_elec = np.sum(self.CTR.value / (1 - self.CTR.value) * ((1 + self.inflrateconstruction.value) * CCap_elec * CRF - CCap_elec / model.surfaceplant.plant_lifetime.value) * discountvector)
-            NPVitc_elec = (1 + self.inflrateconstruction.value) * CCap_elec * self.RITC.value / (1 - self.CTR.value)
+            NPVitc_elec = ((1 + self.inflrateconstruction.value) * CCap_elec * self.RITC.value / (1 - self.CTR.value)
+                           * npv_itc_discount_factor)
             NPVoandm_elec = np.sum(Coam_elec * inflationvector * discountvector)
             NPVgrt_elec = self.GTR.value / (1 - self.GTR.value) * (NPVcap_elec + NPVoandm_elec + NPVfc_elec + NPVit_elec - NPVitc_elec)
 
@@ -512,7 +516,8 @@ def CalculateLCOELCOHLCOC(self, model: Model) -> tuple:
             NPVcap_heat = np.sum((1 + self.inflrateconstruction.value) * CCap_heat * CRF * discountvector)
             NPVfc_heat = np.sum((1 + self.inflrateconstruction.value) * (self.CCap.value * (1.0 - self.CAPEX_heat_electricity_plant_ratio.value)) * self.PTR.value * inflationvector * discountvector)
             NPVit_heat = np.sum(self.CTR.value / (1 - self.CTR.value) * ((1 + self.inflrateconstruction.value) * CCap_heat * CRF - CCap_heat / model.surfaceplant.plant_lifetime.value) * discountvector)
-            NPVitc_heat = (1 + self.inflrateconstruction.value) * CCap_heat * self.RITC.value / (1 - self.CTR.value)
+            NPVitc_heat = ((1 + self.inflrateconstruction.value) * CCap_heat * self.RITC.value / (1 - self.CTR.value)
+                           * npv_itc_discount_factor)
             NPVoandm_heat = np.sum((self.Coam.value * (1.0 - self.CAPEX_heat_electricity_plant_ratio.value)) * inflationvector * discountvector)
             NPVgrt_heat = self.GTR.value / (1 - self.GTR.value) * (NPVcap_heat + NPVoandm_heat + NPVfc_heat + NPVit_heat - NPVitc_heat)
 

tests/examples/Fervo_Project_Cape-3.out

@@ -6,14 +6,14 @@ Simulation Metadata
 ----------------------
  GEOPHIRES Version: 3.8.9
  Simulation Date: 2025-04-02
- Simulation Time:  12:28
- Calculation Time:      0.853 sec
+ Simulation Time:  12:41
+ Calculation Time:      0.860 sec
 
                            ***SUMMARY OF RESULTS***
 
       End-Use Option: Electricity
       Average Net Electricity Production:                   404.31 MW
-      Electricity breakeven price:                            3.59 cents/kWh
+      Electricity breakeven price:                            3.76 cents/kWh
       Number of production wells:                            39
       Number of injection wells:                             39
       Flowrate per production well:                         120.0 kg/sec

tests/examples/example_ITC.out

@@ -6,14 +6,14 @@ Simulation Metadata
 ----------------------
  GEOPHIRES Version: 3.8.9
  Simulation Date: 2025-04-02
- Simulation Time:  12:28
- Calculation Time:      0.783 sec
+ Simulation Time:  12:41
+ Calculation Time:      0.777 sec
 
                            ***SUMMARY OF RESULTS***
 
       End-Use Option: Electricity
       Average Net Electricity Production:                    18.84 MW
-      Electricity breakeven price:                            4.44 cents/kWh
+      Electricity breakeven price:                            4.89 cents/kWh
       Number of production wells:                             2
       Number of injection wells:                              2
       Flowrate per production well:                          55.0 kg/sec