Generator Fuel Cost per kWh Calculator
Calculate the direct fuel component of generator electricity cost from fuel consumed, fuel price and electrical energy generated. Add optional fixed operating cost to see a broader effective generation cost.
Calculate generation cost
Generator cost result
How generator cost per kWh is calculated
The fuel portion of generation cost is straightforward when fuel consumption and electrical output are known.
Fuel cost = Fuel consumed × Fuel price
Fuel cost per kWh = Fuel cost ÷ Electrical energy generated
The optional other operating cost is divided by the same electrical output and added to the fuel component.
Why fuel cost per kWh is useful
A generator's fuel expense can be difficult to compare with a grid tariff when expressed only as litres per hour. Normalizing fuel spending to generated electricity creates a common energy-cost basis.
Check the energy denominator
Use net useful electrical generation for the comparison you are making. A generator that consumes fuel while producing little useful electrical output can have a very high cost per kWh.
Limitations
- Fuel price is user-entered.
- Fixed costs are included only when explicitly entered.
- Start-up, standby and maintenance costs are not automatically inferred.
- This is an economic calculation, not a generator efficiency certification.
FAQs
Can the cost per kWh be higher than the grid tariff?
Yes. Generator electricity can be more expensive than grid electricity depending on fuel price, load and other operating costs.
Why calculate litres per kWh?
Fuel intensity makes generator performance easier to compare across operating periods.
Does this include maintenance?
Only the amount you explicitly enter as other operating cost.
Can generated energy be zero?
No. Dividing fuel cost by zero generated energy is undefined, so the calculator requires positive generation.