6.2 Risks
6.2.4 Potential of Fluctuating and Prohibitive Costs to Users
As desalination is an energy-intensive process, a community that depends on the distribution of
desalinated water exposes itself to energy price variability and, subsequently, increases in energy
prices over time. The cost of desalinated water is directly tied to energy costs. The economic
viability of seawater desalination is understandably dependent on the availability of low-cost power;
which at the present makes desalination feasible in Baja California Sur. Capital investment in
renewable energy technologies and energy recovery systems within a desalination facility can offset
power costs. The use of renewable energy sources to avoid price fluctuations of fossil fuel
generated electricity is an essential component of long-term water management planning. |