Comments on: U.S. firm to invest $390 million to convert solid waste into electricity

By: El Torito

El Torito — Tue, 29 Apr 2014 13:03:00 +0000

Oh goody! Utility service that is truly shitty from the get-go!

By: Ken Morris

Ken Morris — Mon, 28 Apr 2014 18:01:00 +0000

I don’t have a dog in this hunt, but my instincts tell me that operating costs will be way higher. What kind of enterprise can operate on less than 40% of revenues and make over a 60% annual profit? This is pretty much what your 15-year scenario assumes (with the first 15 years of profits going to pay off the initial capital investment). If your estimate is close to accurate, I’m going to contact the company and try to get a piece of the investment action. Their website says that they’re looking for investors.

By: scottm

scottm — Mon, 28 Apr 2014 17:25:00 +0000

I may be wrong but I think they may get paid for the “disposal” of the waste as well.

By: Karen Mata

Karen Mata — Mon, 28 Apr 2014 16:44:00 +0000

Thanks for the reply. He had contributed here for many years.

By: Timothy Williams

Timothy Williams — Mon, 28 Apr 2014 16:34:00 +0000

It happens to us all!

By: disgusted

disgusted — Mon, 28 Apr 2014 16:31:00 +0000

Yikes!!! my math all screwed up. so under 4k per household. Thanks for setting me straight, I will edit my comment. Shame on me!

By: Timothy Williams

Timothy Williams — Mon, 28 Apr 2014 16:25:00 +0000

Karen, there never was a John who owned ICR. There was a previous writer/columnist who contributed often to ICR under its prior ownership, however.

ICR was previously owned by a a man named Enrico. We took over ownership on September 1st, 2012. John did not stay with ICR, and I’m unaware of where or what he may be doing today.

By: Karen Mata

Karen Mata — Mon, 28 Apr 2014 16:14:00 +0000

Mr. Williams, what happened to John, the prior owner of ICR?

By: Timothy Williams

Timothy Williams — Mon, 28 Apr 2014 15:50:00 +0000

Their operating costs would probably be pretty darn low too – they produce their own electricity and the feedstock – solid waste – I’m sure won’t cost them much.

By: Timothy Williams

Timothy Williams — Mon, 28 Apr 2014 15:48:00 +0000

$390 million divided by 108,000 homes = $3,611 per home.

If the average home spends $30/month on electric, they would have their $390 million back in 10 years on revenues of $38.8 million per year (not counting their operating costs, of course). It would probably be in the black in 15 years would be my guess.