Techno-economic analysis of a large-scale plant for the production of solid biofuel from cashew nut shells in Côte d'Ivoire
Year: 2025
Type: article
Abstract: • The large-scale production of solid biofuels from agricultural and agro-industrial residues is a technically and economically viable alternative for the development of clean renewable energy in Côte d'Ivoire. • The profitability of solid biofuel production was found to be sensitive to variations in factors such as the selling price of solid biofuels, the discount rate, the cost of purchasing raw materials, the cost of labour, the initial investment cost, the cost of electricity and the cost of transporting raw materials. • The variation in the selling price of solid biofuels has the greatest impact on the net present value, followed by the discount rate, the cost of purchasing raw materials, the cost of labour, the cost of initial investment, the cost of electricity and the cost of transporting raw materials for both scenarios. • The average production cost per kg of solid biofuel is estimated to be € 0.17. The production of solid biofuels from cashew nut shells is an alternative solution for the management of these agro-industrial residues, while contributing to the development of new and renewable energy sources. The objective of this study is to analyse the technical and economic feasibility of an industrial-scale solid biofuel production unit of 8,000 tonnes per year in Côte d'Ivoire over a period of 20 years. The investment cost is estimated at 2,564 k€, fully financed by a 7-year bank loan. The average production cost per kg of solid biofuel is estimated at €0.17. The selling price is assumed to be €0.31, identical to the current selling price of charcoal. The annual net profit, net present value and internal rate of return are 2,034 k€, 12,046 k€ and 33.2% respectively. Taking into account an additional input from the sale of bio-oil as a by-product, the annual net profit, net present value and internal rate of return are 2,162 k€, 13,523 k€ and 34.6% respectively. The project is therefore economically viable. The economic viability of the project is highly dependent on the sales price of solid biofuels, the discount rate and the operating costs. The large-scale production of solid biofuels from agricultural and agro-industrial residues is a technically and economically viable alternative for the development of clean renewable energy in Côte d'Ivoire.
Source: Energy Nexus
Language: English
Subfield: Forestry
Domain: Life Sciences
Open Access status: gold
Estimated APC paid: $2,200
OpenAlex ID: W4414475232