According to the U.S. Department of Energy, a typical home in the United States uses approximately 900 kWh of electricity per month. On an annual basis, this is

900 kWh/month × 12 months/year = 10,800 kWh/year

How many homes can a 500 MW power plant with a 0.9 capacity factor support?

Begin by determining how much electricity the plant can provide per month:

500 MW × 24 hours/day × 30 days/month × 0.9 = 324,000 MWh/month

1 MWh equals 1,000 kWh, so to convert MWh per month into kWh per month, we multiply by 1,000:

324,000 MWh/month × 1,000 kWh/MWh = 324,000,000 kWh/month

So

On average, a 500 MW power plant can supply roughly 360,000 homes with electricity.

Your Turn During summer months, in hot regions of the United States, some homes run air conditioners continuously. How many homes can the same power plant support if average electricity usage increases to 1,200 kWh/month during summer months?