Economic and Conservation Evaluation of Capital Renovation Projects: United Irrigation District of Hidalgo County (United) – Rehabilitation of Main Canal, Laterals, and Diversion Pump Station – Final
Abstract
Initial construction costs and net annual changes in operating and maintenance expenses
are identified for a three-component capital renovation project proposed by the United Irrigation
District to the U.S. Bureau of Reclamation (USBR). The proposed project involves: installing
4.66 miles of pipeline in the Main Canal and Lateral 7N, installing 13.46 miles of pipeline in
several laterals and sub-laterals, and rehabilitating the District’s Rio Grande diversion pumping
plant. Both nominal and real estimates of water and energy savings and expected economic and
financial costs of those savings are identified throughout the anticipated useful lives for all three
components. Sensitivity results for both the cost of saving water and the cost of saving energy
are presented for several important parameters.
Annual water and energy savings forthcoming from the total project are estimated, using
amortization procedures, to be 1,522 ac-ft of water per year and 3,520,302,471 BTUs
(1,031,742 kwh) of energy per year. The calculated economic and financial cost of saving water
is estimated to be $341.51 per ac-ft. The calculated economic and financial cost of saving
energy is estimated at $0.0001574 per BTU ($0.537 per kwh).
In addition, real (vs. nominal) values are estimated for the USBRs three principal
evaluation measures specified in the U.S. Public Law 106-576. The aggregate initial
construction cost per ac-ft of water savings measure is $359.42 per ac-ft of water savings. The
aggregate initial construction cost per BTU (kwh) of energy savings measure is $0.0003468 per
BTU ($1.183 per kwh). The aggregate ratio of initial construction costs per dollar of total annual
economic savings is estimated to be -3.551.
Collections
Citation
Rister, M. Edward; Lacewell, Ronald D.; Sturdivant, Allen W. (2006). Economic and Conservation Evaluation of Capital Renovation Projects: United Irrigation District of Hidalgo County (United) – Rehabilitation of Main Canal, Laterals, and Diversion Pump Station – Final. Texas Water Resources Institute. Available electronically from https : / /hdl .handle .net /1969 .1 /6081.