Dear Concern:-

Our Project have CHP plant (Natural Gas Generator and VAM Chiller) 

In this case we have (REB) Electricity as Backup 

In this case we have arrived the design case electricity cost as (fuel (Natural gas) cost / Electricity generation) and the cost of per unit of electricity generated via Gas generator is very low compared with  market electricity rate, for example Design case electricity cost - 0.04 USD / kWh (Unit cost = Cost of fuel consumed / Electricity generation) the baseline cost is 0.12 USD / kWh (Market electricity price) but as per CHP guidance baseline case energy cost must be a back up energy or electricity (if no backup) as per our project scenario the backup energy is Electricity only and it is cost is 3 times higher when we compared with cost of generator electricity. 

so now we have clarification in baseline case electrical cost 

  1. can we model the same electricity cost for both base case and design case
  2. can we consider the different cost for Baseline case and design case