Economics

The exact cost of operating the ST-5 will vary from person to person and location. An attempt has been made based on the assumption that the engine will be used for 1,500 hours a year at full output and that the fuel is available without cost to the user. A comparison has been made with a 5 hp diesel engine and a 5 hp gasoline engine, assuming that the cost of diesel is $0.83 per gallon and gasoline is $1.15.

It is apparent that when heavy usage is expected from the ST-5, it is more economical than IC engines. The higher capital cost is more than offset by the savings in fuel, longevity, dry lubrication and self-maintenance.

Determining the economic advantages of a Total Home Energy System over grid electricity and utility gas is much more difficult. This would vary widely, depending on the usage, geographical situation, location in rural or urban areas, local utility costs, etc... However, the one hard fact, which is a growing source of anxiety to some, is that utility rates are rising rapidly and will continue to do so. This increase reflects the pricing structure for utilities, which allows utility companies a certain rate of return. With tremendous capital investments in nuclear reactors and other assets, utility company rates will rise even more dramatically than in the past. The following is a chart showing the historical performance of country-wide average utility rates and a computer extrapolation of their probable future performance.

ASSUMPTIONS:
  • Fuel Usage: Gasoline .67 gallons/hours @$1.15/gal.
    Diesel 0.43 gallons/hour @ $0.83/gal.
    ST-5 fuel is available free of cost.
  • Oil changes and maintenance: Gasoline every 25 hours @ $5.00 per change Diesel every 200 hours @$10.00 per change.
  • Bearings and seals on ST-5: every 2000 hours @$100 per change
  • Major overhaul: once at half life for both the diesel and the ST-5
 (Source: U.S. Statistical Handbook, 1985)

However, the real strength of the ST-5 lies not as much in its favorable economics, as in its ability to eliminate some of the dependencies and uncertainties of our world while providing reliable power, with a minimum of environmental damage, where and when desired. The ST-5 can make you truly energy independent.