Avoided cost

Avoided cost

In context of project financing, the capital and expense that would have to be spent if the project did not proceed.
References in periodicals archive ?
Avoided cost of maintaining previous platform- The previous platforms used by the organizations required more system administration and ongoing maintenance than Zendesk.
Once the project gets completed, the SQU will be able to produce electricity that will offset part of the university's peak demand in addition to the avoided cost of using the conventional shading structures, said the report.
As with the company's other military projects, power from the facility will be delivered to the state's electric grid at or below the firm's avoided cost, the amount projected it would cost the company to generate comparable energy from other sources.
The rate of savings, otherwise known as avoided cost, realized on electricity generated for own use is equivalent to the DU's retail rate consisting of charges for generation, transmission, system loss, distribution, subsidies, taxes and other charges.
Indirect benefits include avoided cost of lost productivity incurred by the patients due to their reduced income and by their caregiver(s) due to provision of informal care.
With the high avoided cost of fuel and electricity, in conjunction with the 30 percent capital reimbursement opportunities offered through the federal stimulus package, it is possible to compete with the avoided cost of diesel-generated electricity.
Specific economic benefits include improved water services, paid recreational activities, fish farming, long term job creation, short term job creation (direct), or avoided cost of water source or septic tanks construction and maintenance, tourism, improved development potential, enhanced institutional & capacity building capability, increased property value (indirect).
It may work and give the appearance of avoided cost to the school, but it might not be as advantageous as it could be.
They're fairly easy programs to implement--the marginal amount of additional costs is usually covered by the avoided cost of disposal.
The avoided cost of chlorine means that the system at Laguna Beach will pay for itself in about 15 months, according to James Moloney, managing director of Waterman Environmental Systems.
In contrast to the Arkansas commission, the Florida commission then went on to provide numerical examples of how its avoided cost definition would operate in practice, even including graphical representations in its decision.
Avoided cost of disposal for recycling materials is the marginal cost which conceivably could vary from the average cost to zero.