The current economic situation and the growing emphasis on environmental concerns support the use of sustainable practices in industry. Waste oil from a food manufacturing process was assessed for potential use as a feedstock for biodiesel. Trial samples were converted to usable B-100 fuel meeting ASTM D6751 standards, and financial benefits were determined through cost analysis. A bench scale, proof-of-concept processor was developed to support a business case for full-scale implementation
1. The Green Initiative: A Sustainable Waste-Oil Solution Anson Clawson· Josh Gordon· Matt Otis ·Rob Simmons ·Steven Srivastava Senior Engineering Design Project December 8, 2009
2. The Green Team The Green Initiative: A Sustainable Waste-Oil Solution Matt Otis Engineering Management Technology, Mathematics minor Anson Clawson Engineering Management Technology Josh Gordon Engineering Management Technology, Plastics minor Rob Simmons Engineering Graphics and Design Technology, Automotive option Steven Srivastava Engineering Management, Supply Chain Management minor 2
3. Outline The Green Initiative: A Sustainable Waste-Oil Solution Situational Background 3 Matt Methodology Rob Development of Solution Josh Business Case Steven Conclusion Anson
4. Situational BackgroundSustainability The Green Initiative: A Sustainable Waste-Oil Solution IME Department and design team sought out a sustainability project Byproducts of our existence reach a state of equilibrium with the environment Designing for tomorrow’s world today 4
5. Situational Background Industry Sponsor The Green Initiative: A Sustainable Waste-Oil Solution Major Food Manufacturer Crackers Cereal Wants to integrate sustainable practices into their manufacturing culture 5
6. Situational Background Waste Oil The Green Initiative: A Sustainable Waste-Oil Solution Cracker dough is ‘sheeted’ to 1/16” Oil is excreted from dough during ‘sheeting’ process Oil is not reusable Approximately 350 gallons/week Waste oil is sold for $0.76 per gallon 6 Problem Statement: Find a sustainable use for waste oil Sheeting Process Dough Catch Gutter Waste Oil Collection
7. Outline The Green Initiative: A Sustainable Waste-Oil Solution Situational Background Matt 7 Methodology Rob Development of Solution Josh Business Case Steven Conclusion Anson
8. MethodologyAnalysis of Waste Oil The Green Initiative: A Sustainable Waste-Oil Solution 8 Low linolenic soybean oil Contaminates Wheat Salt Flour Mass Spectrometry less than 0.1% total fixed solids volatile organic acid content of 391mg/L
9. MethodologyPotential Uses for Waste Oil The Green Initiative: A Sustainable Waste-Oil Solution 9 SynGas (Synthetic Gas) Fuel source / Chemical Manufacturing Gasification of biomass requiring extreme temperatures Animal Feed Little benefit to sponsor Little benefit to SEDP Biodiesel Common industry practice Potential for economic benefit Offset diesel consumption
10. MethodologyBiodiesel Production Research The Green Initiative: A Sustainable Waste-Oil Solution 10 Industry practices Toured multiple biodiesel production plants Standards and regulations Possible end uses Company fleet vehicles Diesel generator Fuel heater Transesterification process
12. MethodologyProject Parameters The Green Initiative: A Sustainable Waste-Oil Solution 12 Semi-automated system Minimal user interaction Safe (minimal contact with harmful chemicals) Minimal operator training required Budget of $15,000 1 Batch = 8 hour shift 8’ x 4’ footprint Functional pilot scale processor by graduation
13. Outline The Green Initiative: A Sustainable Waste-Oil Solution Situational Background Matt Methodology Rob Development of Solution Josh 13 Business Case Steven Conclusion Anson
15. Development of Solution Base Unit from Evolution Biodiesel The Green Initiative: A Sustainable Waste-Oil Solution 15 Mega-Ester 40 gallon processor ($3,668) Up to 14 hours to process Manual operations Operator training required Modifications necessary to minimize operator interface Increase production throughput Minimize labor costs Improve process safety www.evolutionbiodieselkits.com
16. Development of Solution Developing an Improved System Pneumatic valves Pneumatic actuators The Green Initiative: A Sustainable Waste-Oil Solution 16
17. Development of Solution Developing an Improved System (Cont’d) The Green Initiative: A Sustainable Waste-Oil Solution 17 Additional pump (3) Float sensors Temp. sensor
18. Development of Solution Developing an Improved System (Cont’d) The Green Initiative: A Sustainable Waste-Oil Solution 18 KOH metering system Glycerin drain Programmable relay Control panel
19. Development of Solution Developing an Improved System (Cont’d) The Green Initiative: A Sustainable Waste-Oil Solution 19 Complete system
20. Development of Solution Trial Processing The Green Initiative: A Sustainable Waste-Oil Solution 20 Wet testing for leaks and basic functionality (H2O) Debugging Fix leaks Calibration of program coding (WindLGC) Organizing sequence of events Setting the timers appropriately Establishing fail-safe KOH metering system
21. Development of Solution Ready for Production? The Green Initiative: A Sustainable Waste-Oil Solution 21 Successfully ran several batches Lack of industrial heating element and chemically rated pump Changes have been made in the full-scale design
22. Outline The Green Initiative: A Sustainable Waste-Oil Solution Situational Background Matt Methodology Rob Development of Solution Josh 22 Business Case Steven Conclusion Anson
23. Business Case 23 23 The Green Initiative: A Sustainable Waste-Oil Solution
24. Business CaseEnvironmental Analysis Year 2012: Federal Cap & Trade Program 1 carbon credit = 1 Tonne CO2-equivalent Total Equivalent GHG’s 0.016 Tonne/Gal 230 Tonne/yr European Union Market Value €14.6/Tonne = $21.7/Tonne $4,991/yr – Potential GHG exchange 24 24 The Green Initiative: A Sustainable Waste-Oil Solution
25. Business CaseEconomic Analysis Cost Considerations Capital cost Parts, trade labor (electrician, programmer, fabricators) Variable by batch size Operational cost Reaction materials (KOH, methanol), labor cost, energy cost Variable by batch size Current diesel fuel rate $2.77/Gal Current revenues for disposing the waste oil $0.76/Gal Depreciation MACRS (10 yrs life) 25 25 The Green Initiative: A Sustainable Waste-Oil Solution
26. Business CaseEconomic Analysis Sponsor’s Financial 3 yr or less payback period 10% return on investment Current Economic Figures (230 Gal/batch, $2.77/Gal) 26 26 The Green Initiative: A Sustainable Waste-Oil Solution
27. Business CaseEconomic Analysis Two variables in profitability Batch size [Gal/batch] Current diesel rate [$/Gal] Further Analysis Batch sizes from 40 Gal to 260 Gal/batch Diesel rate from $2.77/Gal to $4.95/Gal 27 27 The Green Initiative: A Sustainable Waste-Oil Solution
28. Business CaseEconomic Analysis Sponsor’s Criteria IRR met by $3.00/Gal Payback period met by $3.25/Gal – active constraint Diesel Rate ($2.77/Gal) 3 yr Payback 28 28 The Green Initiative: A Sustainable Waste-Oil Solution
29. Business CaseRecommendations Full-Scale Implementation: $3.25/Gal Meets both, payback and IRR criteria Processor Size: From 100-230 Gal/batch Oil Volume is constant Potential for revenues remains constant Economies of scale achieved Larger processor has lower per unit cost Additional capacity increases capital cost and payback period Pick a size to meet time and labor constraints 29 29 The Green Initiative: A Sustainable Waste-Oil Solution
30. Outline The Green Initiative: A Sustainable Waste-Oil Solution Situational Background Matt Methodology Rob Development of Solution Josh Business Case Steven 30 Conclusion Anson
32. ConclusionProject Summary Elements of project Overall systems design Logic controller Programming Basic electrical installation Pneumatic components Chemistry Economic/Energy analysis Integrated a new sustainable practice 32 The Green Initiative: A Sustainable Waste-Oil Solution
33. Conclusion Handing Off To Sponsor Proof-of-Concept Processor Training Documents Operations manual Safety protocol Logic relay program Business Case Recommendations for Full Scale Processor Components to use Implementation at $3.25/Gal Volume of 100 to 230 Gal per batch 33 The Green Initiative: A Sustainable Waste-Oil Solution
34. Acknowledgements Nic Hirzel Professor Joseph Petro Dr. Betsy Aller Professor Harold Hladky (WMU Chem. Eng. Dept.) F&A Fabricating Bronco Biodiesel Michigan State Chemical Engineering Department 34 The Green Initiative: A Sustainable Waste-Oil Solution
36. Thank You 36 The Green Initiative: A Sustainable Waste-Oil Solution
Editor's Notes
Socially acceptable could refer to two things; is the engineering project going to affect the daily lives of the surrounding community? -No, the processor will be utilized within the facility that the oil is being generated And will the engineering project have an impact on the industry that our sponsor is in? -No, as a food processor there is a concern about getting into the food for fuel debate. However, the waste oil can no longer be used as a human food product. The food for fuel debate does not apply.Environmentally Responsible: Will the project be neutral or beneficial to the environment This project is environmentally responsible because it replaces a carbon emitting form of energy with a carbon neutral form of energyEconomically Profitable, that is what we are going to determine over the next few slides.
Assuming the biodiesel will be used to offset diesel usage, the current price of diesel is 2.77 per gallon