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1 Introduction This paper provides an economic analysis of the greenhouse installed at Chena Hot Springs Resort (CHSR) under optimal growing conditions. The economic model developed here can be used and modified for other potential production greenhouse projects throughout the State of Alaska. There are many opportunities to use waste heat and excess power generated during off- peak hours and months in rural communities in Alaska to establish local greenhouse production facilities. Table 1 summarizes the results of the economic analysis. Under optimal circumstances, the 60ft x 72ft greenhouse has a plant capacity of 13,858 plants. It could produce 148,107 heads of lettuce per year. Total costs of the optimized current pilot project for greenhouse lettuce production are $297,567 which leads to a breakeven price of $2.01 per head of lettuce. The paper additionally examines alternative cost of heat scenarios. $297,567 13,858 148,107 $2.01 Table 1: Economic Analysis – Results 2 Chena Hot Springs Resort Chena Hot Springs Resort is located approximately 60 miles northeast of Fairbanks. The resort is accessible by road; however it is located 33 miles from the nearest transmission grid so it can be considered a semi-remote site. The goal of CHSR is to become a self-sustained community in terms of electricity, heat, transportation and food. The resort’s buildings are heated with geothermal water. Electricity is generated by a 400kW geothermal power plant. The plant replaced a 400 kW diesel generator and reduced the cost of power onsite from 30¢/kW to approximately 6¢/kW (YOUROWNPOWER 07). The geothermal power plant produces all the electricity used at the resort. As a result of this beneficial use of the hot water, power and heating cost were reduced for the entire resort. Total Costs Plant Capacity Heads of Lettuce per Year Breakeven Price to cover Total Costs 2PDF Image | ECONOMICS OF GREENHOUSE PRODUCTION IN ALASKA
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