Feasibility study for biogas integration into waste treatment plants in Ghana

• DOI: 10.1016/j.ejpe.2016.10.004
• Publication Date: 2016-11-03T23:00:54Z
• Authors: M. Mohammed; I.S. Egyir; A.K. Donkor; P. Amoah; S. Nyarko; K.K. Boateng; C. Ziwu
• Keywords: Renewable energy; feasibility studies; Internal rate of return; Cost-benefit analysis; Biogas; integration; investment; methane emission; 02 engineering and technology; Sewerage; renewable energy; Ghana; 7. Clean energy; 12. Responsible consumption; economic aspects; sewerage; 13. Climate action; cost benefit analysis; biogas; electricity generation; 0202 electrical engineering, electronic engineering, information engineering; waste treatment

AbstractBiogas (anaerobic digestion) technology is one of the most viable renewable energy technologies today. However, its economic efficiency depends on the investment costs, costs of operating the biogas plant and optimum methane production. Likewise the profit level also rests on its use directly for cooking or conversion into electricity. The present study assessed the economic potential for a 9000m3 biogas plant, as an alternative to addressing energy and environmental challenges currently in Ghana. A cost-benefit analysis of the installation of biogas plant at University of Ghana (Legon Sewerage Treatment Plant) yielded positive net present values (NPV) at the prevailing discount rate of 23%. Further the results demonstrate that installation of the plant is capital intensive. Biogas used for cooking was by far the most viable option with a payback period (PBP) of 5years. Sensitivity analysis also revealed cost of capital, plant and machinery as the most effective factors impacting on NPV and internal rate of return (IRR).