Natural Gas

A.C. = w₀L_hS_f Labour ✦0.0883 Shadow wage w₀ ✦16 an hour × L_h 0.002 hours per GJ × skill factor S_f 2.76 S_f for energy: training ✦60,000 against ✦45,000, queue 30 hours against 48 + Σ q_iP_irλ_i Materials ✦0 A raw material, with no recipe inputs. + (D + M_o)α_e Capital ✦0.725 Depreciation and maintenance ✦0.5 per GJ × financing 1.45 × waste factor α_e 1.00 Financing is interest at 6% on equipment's average value over a 15-year life. α_e is 1.00 when maintenance hours and defects are on target. + Ep_e Energy ✦0.1 E 2 kWh per GJ × p_e ✦0.05 per kWh = ✦0.913

A.V. = rP*_world Accounted value ✦2.22 per GJ World price $2.1 per GJ less freight and insurance 29.6% = P* $1.48 × r 1.5 crowns per US dollar Export parity: the price at the Commonwealth border for a good it sells abroad. Observed abroad, not calculated: a wasteful producer raises only its own cost. = ✦2.22

Revenue = A.V. × Q Accounted revenue ✦499 m p.a. Domestic: 56.2 million GJ × ✦2.22 = ✦125 m Exports: 169 million GJ × ✦2.22 = ✦374 m = ✦499 m

Surplus = (A.V. − A.C.) × Q − levies Accounted surplus ✦69 m p.a. Revenue ✦499 m − cost ✦0.913 × 225 million GJ = ✦293 m Export charges ✦224 m: 60% of export revenue (hydrocarbon levy and permit fee) Distributed 40% to reinvestment, 20% to the municipal aggregate and 40% swept to the Treasury. = ✦69 m