Economic feasibility analysis of power generation water project using leaked groundwater

This study aims to utilize discarded leakage groundwater as a resource for electricity generation in order to create social and economic value, contribute to carbon neutrality, and generate future benefits. The research analyzes the water quality characteristics of leakage groundwater from Cheonmasan Tunnel and designs facilities for its industrial use, alongside conducting economic feasibility studies and cost-benefit analyses. It estimates expected costs by calculating investment, operating costs, and treatment capacity while assessing the benefits of reducing associated tap water usage. The study evaluates the CO2 damage costs associated with tap water treatment to assess the social benefits. Internal rate of return (IRR), net present value (NPV), and payback periods are calculated to analyze economic feasibility. Sensitivity analysis identifies key factors affecting the project's viability, while environmental effects, such as the reduction in tap water usage and carbon damage costs due to groundwater utilization, are quantitatively assessed. If 70,000 cubic meters of leakage groundwater are utilized for power generation over a 30-year period, the project yields a B/C ratio of 1.68, an NPV of 809.16 billion won, and an IRR of 13.60%. The cumulative cash flow turns positive from the ninth year onward, indicating revenue generation and economic feasibility. This study confirms the potential of leakage groundwater as a valuable resource for achieving carbon neutrality and suggests various methods for future utilization.