Article Sidebar
Published:
Jun 29, 2014DOI:
10.4314/njt.v33i3.1Keywords:
Article Details
Copyright belongs to the Faculty of Engineering, University of Nigeria, Nsukka, Nigeria
The contents of the articles are the sole opinion of the author(s) and not of NIJOTECH.
NIJOTECH allows open access for distribution of the published articles in any media so long as whole (not part) of articles are distributed.
A copyright and statement of originality documents will need to be filled out clearly and signed prior to publication of an accepted article. The Copyright form can be downloaded from https://www.nijotech.com/downloads/COPYRIGHT%20FORM.pdf while the Statement of Originality is in Statement of Originality.pdf (nijotech.com)
For articles that were developed from funded research, a clear acknowledgement of such support should be mentioned in the article with relevant references. Authors are expected to provide complete information on the sponsorship and intellectual property rights of the article together with all exceptions.
It is forbidden to publish the same research report in more than one journal.
Main Article Content
Assessment of Long-Run Marginal Costing of Transmission and Distribution Expansion
Abstract
The Long-Run Marginal Costing (LRMC) technique is used as a cost-reflecting pricing method and finds useful application in the recovery of the total investment cost for the use of a transmission or distribution network. This paper reviews recent applications of this technique based on some examples from United Kingdom, Greece and Oman. Then using typical practical networks as case studies, this paper compares two different methods for the determination of the LRMC of transmission and distribution expansion/reinforcement: the average incremental cost (AIC) methodology and marginal incremental costs (MIC) techniques. Based on the results obtained, it is concluded that the AIC technique is easier to implement and explain because of its price stability.
