Cost benefit analysis of waste plastic pyrolysis plant for biodiesel recovery, Umudike Abia State Nigeria

The study was focused on evaluating the cost-benefit analysis of a pyrolysis plant for converting waste plastics into diesel oil. The start-up capital for a 2kg/hr., capacity yielded low residue. Hence, it is essential to test the viability of the plant economically. The cost-benefit analysis methodology was applied, emphasizing the system payback period and the yearly internal rate of return (IRR). These indices were done using Excel. Earlier experimental results had indicated that for a 1000-hour annual operation, 1000 liters of diesel is expected at 2000 kg of waste plastic, with a corresponding revenue benefit of $1120. For the system's total life cycle, up to 10,000 litres of diesel can be produced, resulting in about $11,200. The cost-benefit analysis showed that the system has a payback period of just two years compared to its 10-year life span. It is beneficial from an economic viewpoint and is estimated to generate a net income of up to $700 for each thousand-hour operation. Furthermore, the results demonstrate that the pyrolysis plant gave an IRR of 48 % when the cost of plastic was neglected. An IRR of 48 % indicates that the plant is expected to generate a rate of return of 48 %. When the cost of plastic is accounted for, the system's IRR is reduced to 33 % annually and is still feasible from an economic viewpoint. Therefore, pyrolysis is economically viable for scaled-up operations.