Niraj Acharya 5/27/2014

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Hello again,
I am facing a problem regarding demand side cost. I entered the cost per unit activity level ( in my case, cost per lumen hours)I obtain a very huge figure in social cost. I cannot find the problem?
I wish to enter cost as activity cost?
In my activity level, there is total number of Household in demand branch and in the lighting demand the activity level is lumen-hour. When I enter cost as activity, is it cost per household or cost per lumen hour?

Taylor Binnington 5/28/2014
 

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Hi Niraj,

My advice would be to ensure that you're using proper scaling for all of your units. It is quite easy to accidentally set the scale for a variable to 'Thousand' or 'Million' - be sure that everything is as it should be.

You can read about Demand Costs a bit more here:

http://www.energycommunity.org/WebHelpPro/Demand/Demand_Cost_Analysis.htm

The Activity Cost method determines the total cost by multiplying your input cost by the total activity. Specifying an Activity Cost per lumen-hour means that the total cost will be the Activity Cost * number of lumen-hours * number of households, if you have lighting nested underneath a category with 'number of households' as its activity level in your tree.

In that sense, the units of Activity Cost are then "cost per lumen-hour, per household".

Best,
Taylor