Did you know the original crane they used to build the dam still exists today?

 

It’s a cable suspension crane that stretches from rim to rim of the canyon over the dam.

 

I know what you’re thinking…

 

That would be totally sweet to bungee jump from. I know.

 

For the record we didn’t do it. Maybe next time.

 

In the meantime I have a bone to pick with the Hoover dam historians.

 

On the tour they kept saying that the princiapal function of the dam was “water reclamation” for irrigaqtion and that the dam also produced enough power to “cover it’s operating costs.” And they were able in the first 50 years to “pay back the cost of the dam.” Does that strike you? Let’s do some math.

 

We paid 10$ each for a tour of the dam.

The website says over a million people take the tour every year.

 

That’s 10 million dollars a year (granted its gross) but the only real cost of the tour is staff.

 

And we haven’t even started in on revenue from the actual power.

 

Let’s talk about it – with hydro the fuel is free (water) so all you have to pay is overhead (ie hydro is really cheap to make)

 

Anyway on their website they brag they produce an average of 4.4 Billion KwH

 

Let’s say energy retails for .10cents per KwH(average for the west)

 

Then let’s also say that instead of taking all of the profit they wholesale it for 50% of retail to local municipalities who in turn resell it to the consumer.

 

That means: 4.4BillonKwH x .10 cents retail price X .5 (50% percent margin) = 220 million dollars per year.

 

Of course that number is also gross to you have to subtract out overhead and repairs… but the thing is made of concrete (cheap) and generators (long life) and practically runs itself (low staffing requirements)

 

Please tell me how a dam that costs 150 Million still only “pays its expenses” when it’s raking in 230 million gross dollars every year?

 

Those numbers just don’t add up.

 

-R