Techno-Economic Analysis of Waste-to-Suburban Cooking Energy Critical Infrastructure Development in Southwestern Nigeria

Abstract

This study examined the techno-economic specifications for a Waste-to-Suburban Cooking Energy critical infrastructure project in Southwestern Nigeria. Technological and project economic data for the W2E project were obtained from strategic sources and energy project foresight/analysis framework used. The results showed residential upgraded biogas-for-cooking demand of approximately 10,243 m3/month, and municipal solid waste (MSW) input of approximately 80 tonnes/month. The planned biogas plant had estimated costs of US $120,000, a throughput of almost 15,364 m3/month and required 5 acres of land for construction. Project economic viability indicator estimates were: Initial Investment – US $256,500, annual profits – US $40,000, Net Present Value (NPV) – US $142,000, maximum payback period – 7 years, and annual Return-on-Investment (ROI) – 16%. Socio-economic benefits per month included the constant supply of cheap cooking fuel, comparative cooking energy cost savings (biogas-to-LPG usage) of US $3,810, and the elimination of almost 80 tonnes of MSW from the environment. The study concluded that the Waste-2-Biogas critical infrastructure project was technically, environmentally, and socio-economically viable, and was suitable for deployment across suburban Southwestern Nigeria.