How can you figure out how much it costs to run a diesel generator?

For people or businesses who depend on diesel generators as a source of electricity, figuring out the cost of operation is essential. It enables them to calculate the costs of the generator's cost plans accordingly.

Diesel generators are widely used for backup power or in areas without access to a reliable grid. However, the cost of fuel and maintenance can quickly add up, making it essential to understand how to calculate the total cost of running a diesel generator. 

In this article, we will outline the factors affecting the cost and the steps to calculate the cost of running a diesel generator.

Factors Affecting the Cost of Running a Diesel Generator

Several factors can affect the cost of running a diesel generator. Understanding these factors is essential in accurately calculating costs and developing a cost-effective strategy. Below are the main factors that affect the cost of running a diesel generator:

1. Fuel Consumption: The amount of fuel that the generator consumes is a significant factor that affects the cost of running a diesel generator. The fuel consumption rate can vary depending on the generator's size and capacity, as well as the load it is powering.

2. Maintenance Costs: Maintenance costs can add up over time and should be considered when calculating the cost of running a diesel generator. Regular maintenance ensures the generator runs efficiently and prevents expensive breakdowns or repairs.

3. Operating Time: The number of hours the generator operates is a crucial factor in calculating the cost. The more hours the generator is operating, the higher the fuel consumption and maintenance costs will be.

4. Load Capacity: The load capacity of the generator is the maximum amount of power it can supply. The cost of running a diesel generator can be affected by how much load it is carrying. The higher the load, the more fuel it consumes and, subsequently, the higher the operating cost.

5. Fuel Type: The type of fuel the generator uses can impact the cost of running a diesel generator. Diesel is generally more expensive than natural gas, propane, or other fuels. It is essential to consider the fuel cost when calculating the total operating cost.

Steps to Calculate the Cost of Running a Diesel Generator 

To calculate the cost of running a diesel generator, follow these steps:

1. Determine the generator's fuel consumption rate: The fuel consumption rate is usually measured in liters or gallons per hour. This information is often provided in the generator's manual or can be obtained from the manufacturer.

2. Calculate the cost of fuel per kWh: To calculate the cost of fuel per kWh, you will need to know the price of fuel per liter or gallon and the generator's fuel consumption rate. You can then calculate the fuel cost per kWh by dividing the price per liter/gallon by the generator's fuel consumption rate and multiplying it by the generator's efficiency rating.

3. Calculate the operating time per day: Determine how many hours per day the generator will be running. This information can be obtained by monitoring the generator's usage or estimating based on past usage.

4. Calculate the daily fuel cost: Multiply the generator's fuel consumption rate by the price per liter/gallon to determine the total fuel cost per hour. Then multiply the total fuel cost per hour by the daily operating time to get the daily fuel cost.

5. Calculate the maintenance costs per day: Estimate the maintenance costs per hour of operation based on the manufacturer's recommendations and multiply it by the operating time per day.

6. Calculate the total cost per day: Add the daily fuel and maintenance costs to determine the total cost.

7. Calculate the operating time: Alternatively, you can calculate the operating time of the generator based on the amount of fuel used. Divide the amount of fuel used by the generator's fuel consumption rate to determine the operating time.

8. Calculate the maintenance costs: Multiply the estimated maintenance cost per hour by the total operating time to determine the total maintenance costs.

9. Calculate the total cost per kWh: Divide the total cost (fuel cost + maintenance cost) by the total kWh generated during the operating time.

Example Calculation 

Let's say you have a 50kW diesel generator that runs for 8 hours per day. The fuel consumption rate of the generator is 4 liters per hour, and the price of diesel fuel is $1.00 per liter. The manufacturer recommends that the generator undergo maintenance every 250 hours, with an estimated cost of $100 per maintenance.

To calculate the cost of running the generator per day:

1. Determine the generator's fuel consumption rate: 4 liters per hour

2. Calculate the cost of fuel per kWh: ($1.00/liter) / (4 liters per hour x 0.9 efficiency rating) = $0.06 per kWh

3. Calculate the operating time per day: 8 hours

4. Calculate the daily fuel cost: 4 liters per hour x $1.00 per liter x 8 hours = $32 per day

5. Calculate the maintenance costs per day: $500 per maintenance / 500 hours = $1 per hour x 8 hours = $8 per day

6. Calculate the total cost per day: $32 fuel cost per day + $8 maintenance cost per day = $40 per day

Alternatively, to calculate the operating time:

1. Determine the generator's fuel consumption rate: 4 liters per hour

2. Calculate the amount of fuel used per day: 4 liters per hour x 8 hours = 32 liters per day

3. Calculate the operating time: 32 liters / 4 liters per hour = 8 hours per day

4. Calculate the maintenance costs: $1 per hour x 8 hours per day = $8 per day

5. Calculate the fuel cost: 32 liters per day x $1.00 per liter = $32 per day

6. Calculate the total cost per day: $8 maintenance cost per day + $32 fuel cost per day = $40 per day

Conclusion

In conclusion, calculating the cost of running a diesel generator is essential for individuals or businesses to budget and plan effectively. By considering the factors that affect the cost of running the generator, such as fuel consumption, maintenance costs, operating time, load capacity, and fuel type, one can accurately estimate the operating costs.

To calculate; the cost of running a diesel generator, the following steps can be followed: determine the generator's fuel consumption rate, calculate the cost of fuel per kWh, calculate the operating time per day, calculate the daily fuel cost, calculate the maintenance costs per day, calculate the total cost per day, calculate the operating time, calculate the maintenance costs, and calculate the total cost per kWh.

By applying these steps, individuals or businesses can accurately estimate the cost of running a diesel generator per day or over a specific operating period. This information can help them make informed decisions about fuel usage and maintenance and budget their operating expenses accordingly.

In summary, calculating the cost of running a diesel generator is crucial for optimizing operational efficiency and reducing costs. With a clear understanding of the steps involved in calculating the cost of running a diesel generator, businesses and individuals can make informed decisions that maximize efficiency and profitability.