Techno-economic analysis of a large-scale plant for the production of solid biofuel from cashew nut shells in Côte d'Ivoire

Abstract

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 8000 tonnes per year in Côte d'Ivoire over a period of 20 years. The investment cost is estimated at 2564 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 2034 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 2162 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.