Costs of a Biogas Plant - Revision history

Lisafeldmann: /* Economic Viability */

2015-12-02T15:18:52Z

Economic Viability

Ranisha: /* Further Information */

2015-01-23T09:46:23Z

Further Information

Ranisha: /* Further Information */

2015-01-23T09:42:30Z

Further Information

Ranisha: /* Further Information */

2015-01-23T09:41:42Z

Further Information

Ranisha: /* Overview */

2015-01-23T09:37:28Z

Overview

Wiki Gardener at 10:46, 17 October 2014

2014-10-17T10:46:57Z

Wiki Gardener: /* Average Cost of a Biogas Plant */

2014-10-17T10:43:37Z

Average Cost of a Biogas Plant

Wiki Gardener at 10:41, 17 October 2014

2014-10-17T10:41:33Z

Wiki Gardener at 10:14, 17 October 2014

2014-10-17T10:14:42Z

Show changes

Javier E Diaz: /* Average Cost of a biogas Plant */

2014-06-12T00:08:31Z

Average Cost of a biogas Plant

@@ Line 118: / Line 118: @@
 <br/>
 = Economic Viability =
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 <u>Three types of questions need to be answered:</u>
 #Which project is the least expensive among an array of options that produce the same output ('''''least cost analysis''''')?
 #Which project shows the highest net benefit (benefit minus cost) among an array of options ('''''cost benefit analysis''''')?
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 <br/>
 = Procedure of Dynamic Approach =

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 <br/>
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 *[[Portal:Biogas|Biogas Portal on energypedia]]
 *[[Biogas - Costs and Benefits|Biogas - Costs and Benefits]]
-*[[Cost_Assessment_of_Biogas_Plant_Components|Cost Assessment of Biogas Plant Components]]
+*[[Cost Assessment of Biogas Plant Components|Cost Assessment of Biogas Plant Components]]
 *[https://www.dropbox.com/sh/948nijd0l0gccfo/fYoWAECDYE Collection of Literature on Financing a Biogas Plant]
 *[[:File:EN A guide to the financial evaluation of investment projects in energy supply GIZ-Fink, Oehlert.pdf|H. Finck, G. Oelert: A guide to the financial Evaluation of Investment projects in energy supply. GTZ No 163]]
 <br/>

@@ Line 172: / Line 172: @@
 <br/>
 = Further Information =
@@ Line 177: / Line 178: @@
 *[[Portal:Biogas|Biogas Portal on energypedia]]
 *[[Biogas - Costs and Benefits|Biogas - Costs and Benefits]]
-*[[Cost Assessment of Biogas Plant Components Tupandi|Cost Assessment of Biogas Plant Components Tupandi]]
+*[[Cost_Assessment_of_Biogas_Plant_Components|Cost Assessment of Biogas Plant Components]]
 *[https://www.dropbox.com/sh/948nijd0l0gccfo/fYoWAECDYE Collection of Literature on Financing a Biogas Plant]
 *[[:File:EN A guide to the financial evaluation of investment projects in energy supply GIZ-Fink, Oehlert.pdf|H. Finck, G. Oelert: A guide to the financial Evaluation of Investment projects in energy supply. GTZ No 163]]
 <br/>

@@ Line 177: / Line 177: @@
 *[[Portal:Biogas|Biogas Portal on energypedia]]
 *[[Biogas - Costs and Benefits|Biogas - Costs and Benefits]]
 *[https://www.dropbox.com/sh/948nijd0l0gccfo/fYoWAECDYE Collection of Literature on Financing a Biogas Plant]
 *[[:File:EN A guide to the financial evaluation of investment projects in energy supply GIZ-Fink, Oehlert.pdf|H. Finck, G. Oelert: A guide to the financial Evaluation of Investment projects in energy supply. GTZ No 163]]
 <br/>
 = References =

@@ Line 13: / Line 13: @@
 <u>As far as costs are concerned there are three major categories:</u>
 *[[Costs of a Biogas Plant#Production Costs|Production costs]]
-*[[Costs of a Biogas Plant#Running Costs|Runnin costs]]
+*[[Costs of a Biogas Plant#Running Costs|Running costs]]
 *[[Costs of a Biogas Plant#Capital Costs|Capital costs]]
 <br/>
 = Production Costs =

@@ Line 4: / Line 4: @@
 = Overview =
-<u>Exact estimations for the construction and operation of biogas plants serve the following purposes<ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref>:</u>
+<u>Exact estimations for the construction and operation of biogas plants serve the following purposes</u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref><u>:</u>
 *to compare the costs of alternative models (optimal project selection)
 *for the information of the users as far as future financial burdens are concerned
@@ Line 20: / Line 20: @@
 = Production Costs =
-The production costs include all expenses and lost income which are necessary for the construction of the plant e.g.: the land, excavation-work, construction of the digester and gas-holder, the piping system, the gas utilization system, the dung storage system and other buildings. The construction costs comprise wages and material<u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref></u>.
+The production costs include all expenses and lost income which are necessary for the construction of the plant e.g.: the land, excavation-work, construction of the digester and gas-holder, the piping system, the gas utilization system, the dung storage system and other buildings. The construction costs comprise wages and material<ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref>.
 <br/>
-'''<u>The production costs of biogas plants are determined by the following factors<ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref></u>'''
+'''<u>The production costs of biogas plants are determined by the following factors</u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref><u></u>'''
 *purchasing costs or opportunity costs for land which is needed for the biogas plant and slurry storage;
 *model of the biogas plant;
@@ Line 34: / Line 34: @@
 <br/>
-<u>'''Calculating total production cost'''</u><u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref></u>:
+<u>'''Calculating total production cost'''</u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref>:
 To gain a rough idea of the typical costs of a simple, unheated biogas plant, the following figures can be used: total cost for a biogas plant, including all essential installations but not including land, is between 50-75 US Dollar per m<sup>3</sup> capacity. 35 - 40% of the total costs are for the digester.
@@ Line 46: / Line 46: @@
 = Running Costs =
-'''<u>The operation and maintenance costs consist of wage and material cost for<ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref></u>'''
+'''<u>The operation and maintenance costs consist of wage and material cost for</u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref><u></u>'''
 *acquisition (purchase, collection and transportation) of the substrate;
 *water supply for cleaning the stable and mixing the substrate;
@@ Line 59: / Line 59: @@
 The running costs of a biogas plant with a professional management are just as important as the construction costs, for example for operation, maintenance, expenses for painting, service and repair.
-Large-scale biogas plants have a high water consumption. Investigations are necessary, if the water quantity required causes additional costs in the long run. These could be construction costs for water piping or fees for public water supply. The question of water rights has to be clarified. Steps to be taken to cover the demand for water during dry periods require thorough planning.<u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref></u>
+Large-scale biogas plants have a high water consumption. Investigations are necessary, if the water quantity required causes additional costs in the long run. These could be construction costs for water piping or fees for public water supply. The question of water rights has to be clarified. Steps to be taken to cover the demand for water during dry periods require thorough planning.<ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref>
 <br/>
@@ Line 65: / Line 65: @@
 = Capital Costs =
-Capital costs consist of redemption and interest for the capital taken up to finance the construction costs. For dynamic cost comparison the capital fixed in the plant is converted into equal annual amounts (see dynamic annuity calculation of costs).<u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref></u>
+Capital costs consist of redemption and interest for the capital taken up to finance the construction costs. For dynamic cost comparison the capital fixed in the plant is converted into equal annual amounts (see dynamic annuity calculation of costs).<ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref>
 <br/>
@@ Line 71: / Line 71: @@
 == Interest Rate ==
-The capital cost, apart from the depreciation rates or length of amortisation, is dependent on the interest rate at which the capital is provided. In each case current interest rates are to be laid down for the cost calculation, which reflect the opportunity costs of the invested capital. To avoid distortions of the financing costs the comparisons should always be calculated with the same interest rate.<u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref></u>
+The capital cost, apart from the depreciation rates or length of amortisation, is dependent on the interest rate at which the capital is provided. In each case current interest rates are to be laid down for the cost calculation, which reflect the opportunity costs of the invested capital. To avoid distortions of the financing costs the comparisons should always be calculated with the same interest rate.<ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref>
 <br/>
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 <br/>
 = Average Cost of a Biogas Plant =
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 The cost per cubic meter of digester volume decreases as volume rises. Therefore, the appropriate size of the biogas plant should be estimated.
-<u>For simple, unheated plants in tropical countries, the digester size is roughly</u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref><u></u>:
+<u>For simple, unheated plants in tropical countries, the digester size is roughly</u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref>:
 *12 to 20-fold the quantity of substrate put in daily at average expected digester temperatures over 25°C and
 *18 to 25-fold the quantity of daily feeding for temperature between 20 and 25°C.
@@ Line 96: / Line 97: @@
 <br/>
-'''<u>Consequently, the following system is sufficient for a rough calculation</u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref><u></u>:'''
+'''<u>Consequently, the following system is sufficient for a rough calculation</u><ref name="AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML">AT Information - Biogas Digesters: http://www.fastonline.org/CD3WD_40/BIOGSHTM/EN/COSTBEN/COSTS.HTML</ref>:'''
 *the cost of 6.5 sacks of cement x m<sup>3</sup> digester volume plus
 *the cost of 5 days work for a mason x m<sup>3</sup> digester volume plus
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 <br/>
 = Cost and Benefit Relation of Biogas Plants =
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 #Which project shows the highest net benefit (benefit minus cost) among an array of options ('''''cost benefit analysis''''')?
 #Is a project a financially viable solution to the problem on hand? ('''''absolute viability''''', i.e. the question is dealt with whether the project's revenues are sufficiently high to meet capital cost and operating cost), and:
+#Is a specific project more economical than others? ('''''relative viability''''').
 <br/>
@@ Line 139: / Line 140: @@
 The need for a dynamic approach results from the fact that, as the costs and benefits of each option arise in different years, it is necessary to make them comparable.
-The value which says how much a future or past payment is worth at the '''present''' time is described as its '''present value''' (PV).
+The value which says how much a future or past payment is worth at the '''present''' time is described as its '''present value''' '''(PV)'''.
 <br/>
-<u>'''Example'''</u>
+<u>'''Example:'''</u>
 Given an investment of a biogas plant of 2000 US$ in two years ('''discounting'''), having paid three years ago 120 US$ for the necessary landed property ('''compounding'''), with a given interest rate of 8%, the PV is as follows:
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 The dynamic approach deals with a consideration of benefits and costs over several years and therefore shall be pointed out more detailed:
-Investment criteria are, as follows:
+<u>Investment criteria are, as follows:</u>
 <br/>
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 <references />
 [[Category:Financing_Biogas]]

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 <br/>
 = Average Cost of a biogas Plant =
 The cost per cubic meter of digester volume decreases as volume rises. Therefore, the appropriate size of the biogas plant should be estimated. <u>For simple, unheated plants in tropical countries, the digester size is roughly:</u>
-*120-fold the quantity of substrate put in daily at average expected digester temperatures over 25°C and
+*12 to 20-fold the quantity of substrate put in daily at average expected digester temperatures over 25°C and
-*180-fold the quantity of daily feeding for temperature between 20 and 25°C.
+*18 to 25-fold the quantity of daily feeding for temperature between 20 and 25°C.
 <br/>
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 <br/>
 = <span dir="auto">Cost and Benefit Relation of Biogas Plants</span> =