Techno-economic assessment of Levulinic Acid Plant from Sorghum Bicolor in Indonesia

Abstract

The increasing need of energy is one of the main energy security issues in Indonesia. Hence, alternative energy is needed. Levulinic acid (LA) is among chemical platform used in the synthesis for avariety of high-value materials, such as fuels and commodity chemicals. It is predicted that global LA market demand to reach 3.1 tons in 2016. This study examines industrial processdesign and economic analysis for LA production in Indonesia.Sorghum bicolor was used as feed because of its high cellulose, low lignin contents and availability in Indonesia. The conventional economic problem from biomass based production was diminished sincethe valuable waste from pretreatment processwas sold to otherindustry.This plant was recommended to be built in an industrial estate area in Jawa Timur (East Java) province. Results from simulation using SuperPro Designer 9.0 was used for the techno-economic assessment.The plant assessment showed that the minimum production capacity was 7.7 ton per day to achieve an internal rate of return (IRR) and payback period (PBP) values of 19.61% and 3.93 years, respectively. Sensitivity analysis showed that product selling price was the most predominant factor for IRR, NPV, PBP and ROI. Raw material and water had low effects on those economic parameters. These values indicated that LA plant was feasible to be built in Indonesia.