Valuing Flexibility: The case of an Integrated Gasification Combined Cycle Power Plant

In this paper we analyze the valuation of options stemming from the flexibility in an Integrated Gasification Combined Cycle (IGCC) Power Plant. First we use as a base case the opportunity to invest in a Natural Gas Combined Cycle (NGCC) Power Plant, deriving the optimal investment rule as a function of fuel price and the remaining life of the right to invest. Additionally, the analytical solution for a perpetual option is obtained. Second, the valuation of an operating IGCC Power Plant is studied, with switching costs between states and a choice of the best operation mode. The valuation of this plant serves as a base to obtain the value of the option to delay an investment of this type. Finally, we derive the value of an opportunity to invest either in a NGCC or IGCC Power Plant, that is, to choose between an inflexible and a flexible technology, respectively. Numerical computations involve the use of one- and two-dimensional binomial lattices that support a mean-reverting process for the fuel prices. Basic parameter values refer to an actual IGCC power plant currently in operation.

Full-duplex wireless-over-fibre transmission incorporating a CWDM ring architecture with remote millimetre-wave LO delivery using a bi-directional SOA

We demonstrate the first full-duplex wireless-over-fibre transmission between a central station and a CWDM ring architecture with remote 40 GHz LO delivery using a bi-directional semiconductor optical amplifier. © 2005 Optical Society of America.

Lantern spillway and hydroelectric plant, Panama Canal (ca. 1914)

Leonard Carpenter Panama Canal Collection. Photographs: Dredging, Soldiers, and Ships. [Box 1] from the Special Collections & Area Studies Department, George A. Smathers Libraries, University of Florida.

Physical Constraints to Aquatic Plant Growth in New Zealand Lakes

The nature of aquatic plant communities often defines benthic habitat within oligotrophic and mesotrophic lakes and lake management increasingly recognizes the importance of maintaining plant diversity in order to sustain biological diversity and capacity within lakes. We have developed simple statistical relationships between key physical and vegetation variables that define the habitat requirements, or “habitat-templates”, of key vegetation types to facilitate management of plant communities in New Zealand lakes. Statistical relationships were derived from two datasets. The first was a multi-lake dataset to determine the effects of water level fluctuation and water clarity. The second dataset was from a comprehensive shoreline survey of Lake Wanaka, which allowed us to examine within-lake variables such as beach slope and wave action. Sufficient statistical relationships were established to develop a habitat template for each of the major species or assemblages. The relationships suggested that the extent and diversity of shallow-growing species was related to a combination of the extent of water level fluctuation and wave exposure. (PDF contains 9 pages.)

Potential use of remote sensing to assess effects of wave action on plant re-establishment

Evaluation of the potential for remote sensing to detect a relationship between wave action factors and plant re-establishment after a habitat enhancement at Lake Kissimmee, Florida. Using Geographic Information Systems (GIS) and remote sensing, wave action factors were found to be inversely related to the probability of plant re-establishment. However, correlation of wave action factors with areal coverage of aquatic plants based on field measurements, were unable to detect a significant relationship. Other factors aside from wave action, including littoral slope and the presence of offshore vegetation, may have influenced plant re-establishment in these sites. Remote sensing techniques may be useful to detect large changes in plants communities, however small changes in plant coverages may not be detectable using this technique.