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Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia...

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Cost Benefit Analysis of Applying Digestate to Agricultural Land in Wales Presented by: Ann Ballinger, Senior Consultant, Eunomia 19 th June 2014 Future of Food Waste Marketing
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Page 1: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Cost Benefit Analysis of Applying

Digestate to Agricultural Land in

Wales

Presented by:

Ann Ballinger, Senior Consultant, Eunomia

19th June 2014

Future of Food Waste Marketing

Page 2: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Overview

– Project summary

– Options for digestate treatment

– Cost benefit analysis

– Results

– Concluding remarks

Page 3: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Anaerobic Digestion

ENERGY DIGESTATE

Page 4: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

The project

– Started in May 2013, completed March

2014

– Funded by WRAP Cymru

– Project team

– Eunomia led the project and developed the

cost benefit model

– Technical support from Aqua Enviro

–Option development

–Data on processes obtained from industry

– Peer review by Cranfield University

– Considered EIGHT options for digestate

Page 5: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Option descriptions

Baselin

e

Whole digestate directly applied to agricultural land

Page 6: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Issues with using whole digestate

Page 7: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Issues with using whole digestate

– Potentially up to three tonnes digestate

produced per tonne of food waste treated

– Limited time period each year when

spreading the digestate to land is

possible

– = the potential for a

SUBSTANTIAL storage

problem

– Transport costs may be significant

Page 8: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Option descriptions

DIGESTATE

DEWATERING

END FATE:

LIQUID

FRACTIONTREATMENT

OF LIQUID

FRACTION

END FATE:

FIBRE

FRACTION

other

options

Page 9: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Option descriptions

Centrifugation

Discharge

to

watercourse

Nutrient

recovery

Fibre to

land

OPTION

1

Nutrient

recoveryBiological

oxidation

Recovered

phosphorus

to land

Page 10: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Option descriptions

Centrifugation

Discharge

to

sewer

Nutrient

recovery

Fibre to

land

OPTION

2

Nutrient

recoveryBiological

oxidation

Recovered

phosphorus

to land

Page 11: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Option descriptions

Centrifugation

Discharge

to

sewerNutrient

recovery

Fibre to

land

OPTION

3

Recovered

phosphorus

to land

Page 12: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Option descriptions

Centrifugation

Discharge

to

sewerBiological

oxidation

Fibre to

land

OPTION

4

Recovered

phosphorus

to land

Page 13: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Option descriptions

Centrifugation

Discharge

to

watercourseBiological

oxidation

Fibre to

land

OPTION

5

Recovered

phosphorus

to land

Page 14: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Option descriptions

Centrifugation

Discharge

to

sewer

Fibre to

land

OPTION

6

Recovered

phosphorus

to land

Page 15: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Option descriptions

Centrifugation

Liquor to

land

Fibre to

land

OPTION

7

Page 16: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Dewatering the digestate

– Aim is to separate the fibre from the

liquor

– A range of processes

– Study focused on CENTRIFUGATION

–High speed rotation of the whole digestate

– Other options (e.g. belt press; bucher press;

evaporation) not guaranteed to meet PAS110

and/or not yet commercially viable

– 90% of the digestate’s nitrogen content

remains in the liquor

Page 17: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Liquor treatment processes

– Nutrient recovery

– Soluble forms of ammonia and phosphorus

partially precipitated from the liquor by adding

magnesium chloride and sodium hydroxide

– Produces struvite – an easily transported form

of phosphorus (pellet form)

– Biological oxidation

– Conversion of ammonium-nitrogen into nitrate

– Nitrate can then be removed from liquor

– Some of the treated liquor can be returned to

feedstock as dilution water

Page 18: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Disposal of the liquor

– Two options considered

– Discharge to watercourse

–Plant operator must apply for consent to

discharge to the watercourse; charges are

applicable

– Discharge to sewer

–Plant operator must apply for a trade effluent

discharge consent; charges are applicable

–Charges are calculated using the Mogden formula

and are dependent on cost of treating the effluent

– In practice, some treatment of the liquor

is likely to be necessary prior to its

disposal

Page 19: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Options for fibre

– Study only considered direct application

of fibre to land

– Currently insufficient data in the UK context

to consider the impact of composting the

fibre

– Other fibre treatment processes (e.g. energy

recovery) not yet commercially viable

Page 20: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Cost Benefit Analysis (CBA)

– Calculation of financial costs

– Focus on comparative costs of the different

options for managing digestate

– Environmental analysis

– Uses life cycle assessment to develop

inventory of pollution

–Greenhouse gases and air pollutants (e.g. NOx)

– Impacts monetised using standard data from

DECC and HM Treasury

– Methodology recognised by UK Government

Page 21: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

CBA – system boundaries

Digestion

process

Production

of

digestate

Biogas

utilisation

Digestate

treatment

Product

transport

Water

treatment

Applying

products

to soil

Page 22: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Results – dilution to 20% dry solids

Comparative costs per tonne of feedstock; digestate transport 80 km (round trip)

Page 23: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Financial costs

– Transport costs are relatively significant

– But at dilution to 20% and where digestate is

transported 80 km (round trip), the costs of other the

digestate treatment processes outweigh transport

costs

– General trend towards higher financial costs

with additional processing steps

– However the cost of discharge to sewer is

relatively high

– Use of biochemical oxidation offsets the otherwise

larger costs associated with discharging liquor to

sewer, through avoided Mogden charges

Page 24: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Results – dilution to 10% dry solids

Comparative costs per tonne of feedstock; digestate transport 80 km round trip

Saving of

around £12 per

tonne feedstock

on baseline

Page 25: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Results – round trip transport 280 km

Comparative costs per tonne of feedstock

Saving of

around £10 per

tonne feedstock

on baseline

Page 26: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Conclusions

– Best environmental outcome achieved through

applying whole digestate to land for all options

- but financial costs dominate the CBA results

– Applying whole digestate to land is the best

performing option overall where feedstock

diluted to 20%

– Biological oxidation with liquor discharged to

watercourse is the best performing option

– Where feedstock is diluted to 10%

– Where whole digestate needs to be

transported long distances to market

Page 27: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Full report available at:

http://www.wrapcymru.org.uk/sites/files/wrap/Assess

ing%20the%20Costs%20and%20Benefits%20for%2

0Production%20and%20Beneficial%20Application%

20of%20Anaerobic%20Digestate%20to%20Agricult

ural%20Land%20in%20Wales%202014.pdf

Page 28: Cost Benefit Analysis of Applying Digestate to ... · Ann Ballinger, Senior Consultant, Eunomia 19th June 2014 Future of Food Waste Marketing. Overview

Thank you for listening!

www.eunomia.co.uk


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