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development stages and requires further testing and improved efficiency before it is commercially viable. Even then, the potential for development is limited by the number of sites available for installation. Primary interest in tidal energy conversion is found in countries with large tidal ranges such Canada, the United Kingdom, and Ireland. The one commercial tidal energy operation in existence is off the coast of Northern Ireland, but several other projects are being planned around the United Kingdom and in Canada. All U.S. projects are still in the research and development phase. Energy Independence and Security Full development of domestic tidal energy resources will contribute minimally to the domestic energy supply and thus have little impact on national security interests. If U.S. tidal energy and river in-stream resources were developed to full capacity, they would generate only 140 terawatt-hours (TWh) per year (approximately 3.5 percent of total U.S. electricity demand).174 Full development of national tidal energy resources would therefore not significantly reduce U.S. dependence on foreign sources of energy. Economic Impact and Feasibility Economic viability of tidal energy conversion systems depends on the environmental factors that determine the power density of the water, and also the performance of the technology used. The technology has low operating but substantial construction costs and requires great capital investment. Due to the variety of technologies used, the costs for construction and operation vary widely. Current estimates for the cost of producing in-stream tidal electricity range from $0.04 to $0.12 per kWh.175 Capital costs range from $1.70 to $4 per watt produced, and operations and maintenance costs range from hundreds of thousands to several million dollars annually, depending on the technology used and size of the operation.176 Despite the high fixed costs, the technology does have the potential to generate economic profits in large-scale operations over the long-term. High power density and a large number of turbines can have a significant effect on reducing the cost of energy.177 There is, however, little economic incentive to invest in this technology for commercial development until it can generate higher amounts of energy at lower cost. Jobs would be created by investing in the tidal energy industry, but this would divert investment resources from more productive forms of energy conversion. Environmental Impact The primary environmental incentive for developing tidal energy conversion is that no carbon emissions are produced during electricity generation. The uncertainty about the environmental consequences of submarine electricity generation, however, creates barriers to its future development and requires small pilot projects for further study.178 The installation of underwater tidal energy conversion technology will require anchoring to the seafloor, which could disturb the marine habitat and adversely affect marine life. Also, experts have limited the performance of turbines to 15 percent, presuming that a 55PDF Image | Shaping Energy Technology Transition
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