Economic feasibility of smart city power generation from biogas produced by food waste in Malaysia via techno-economic analysis

Abstract

Malaysia is one of the fastest growing country towards modernization and technological advancement. The country population increased along with that with estimated population of 32.45 million in 2019 with annual growth rate of 1.6%. Rapid industrialization and urbanization lead to adverse effect on the environment from the increasing of waste generated. It is projected that Malaysia is expected to generate 49,670 tons of waste per day with annual increment of 5.19%. Current method of waste management is being dumped daily in unsanitary landfill. In Malaysia, 50% of waste generated is organic waste where disposal in landfill will generate methane gas emission. Total of 310,220 tons of methane gas was generated in peninsular in year 2010 and projected to reach 370,000 tons in 2020, an increase of 19.3% in 10 years. The government has planned to phase out landfills as waste-management method and to substitute with more energy efficient and environmental friendly method such as waste-to-energy and bio-digestion. To realize the government plan, economic analysis will be conducted on biogas production for electricity generation to be utilized in Malaysia smart city where one of the main criteria is sustainability and environmental friendly. This paper will give insight on economic feasibility of biogas production from municipal food waste for electricity generation to be utilized in existing and new township. This will include the estimation of capital cost required, unit production cost and payback period.