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C14 The business and economic aspects of biomass-based products…
C14 The business and economic aspects of biomass-based products development
Basics of process design
Untreated biomass
Biomass treatment methods
-Mechanical, chemical or thermal treatment(Changing form and structure)
-Densification(Uniform size and shape, 7-10 % moisture, up to 10 times higher bulk density)
-Torrefaction(Increased energy density, 1-5% moisture, brittle and hydrophobic nature)
Biomass Logistics
-Specific demands for biomass handling, transportation and storage
-Material properties influence choice of handling equipment
-Biomass supply chain:Transhipment,Transportation and transfer,Storage and Reclaiming
Handling aspects of torrefied biomass
-modification of biomass through torrefaction
Handling aspects - material properties
-Handling of bulk solids influenced by:Physical material properties,Handling equipment in contact with material and Interaction of bulk solid material and handling equipment.
-Interacting material properties
The integrated framework for sustainable wealth creation
Sustainable businesses focus on 4 major categories of “capital formation”:
Financial capital (economic value-added), Human capital (knowledge value-added), Social capital (community value-added) and Natural capital (ecological value-added)
An integrated approach improves overall competitiveness
Sustainable” businesses define wealth in a broader, more holistic and integrated way than traditional businesses
An integrated business model requires clear performance outcomes that reflect the business approach the “multiple bottom lines” need to be defined in ways that are measurable and that create accountability
Estimating the manufacturing cost of various biomass-based products
Solving Break-Even Analysis Problems
Payback Period
Sales Price
Fixed Costs
Break Even Chart
Biomass process design
1.Resource Assessment
-Assess biomass resource availability
-3 types of biomass resource potential:
theoretical, technical, and economic
-The final outcome of this type of assessment
is a supply curve (RM/ton).
2.Conduct market analysis
-Assess production cost
-Assess socio-economic impacts
-Assess environmental impacts
-Policy framework in support of the biomass industry
-Trade opportunities
3.Conduct feasibility studies and roadmap activities
4.Benchmarking: best practices and lessons learned