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8/4/2019 Lect 12 Economic Diameter I
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DepartmentofMechanical
Engineering
ME435 ThermalEnergySystemsDesign
Economic Pipe Diameter I
Cost Optimization of Piping Systems
Economic Diameter
Economic Velocity
Current ME 435 Knowledge Base Engineering Economics
Time value of money
Friction effects in fluid flow (Head losses) Straight pipes Minor losses
Optimization Methods Simple calculus methods of function minimization
2
With this knowledge, we would like to determine the
economic diameter of pipe in a fluid system.
The economic diameter optimizes the total cost ofthe pipe system (minimization).
8/4/2019 Lect 12 Economic Diameter I
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Costs of a Pipe System
Straight pipes
Valves and fittings
Insulation (if needed)
Installation cost
Pump(s)
Hangers and supports
Others?
Maintenance
Energy costs
Others?
3
Initial Costs Annual Costs
Since these costs do notoccur at the same time in
the life of the pipesystem, interest factors
must be used to equateinitial and annual costs
Cost Optimization Strategy Develop an objective function of the form
Find the diameter that minimizes this function
4
TC f D
0T
dC
dD
Total cost of thepipe system
Pipe diameter
Solve forD
Method developed by Darby and Melson in 1982. See Reference on Table 4.1.This method is presented in Section 4.2 of Design of Fluid Thermal Systems.
8/4/2019 Lect 12 Economic Diameter I
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Building the Cost Function
1. Amortized cost of installed pipe per unitlength
2. Amortized cost of fittings, valves, supports,insulation, and pumps per unit length
3. Annual cost of maintenance per unit length
4. Annual cost of moving the fluid through thesystem
5
. . . .T AC L 1 2 3 4Then
Note: Amortized = annualized
Building the Cost Function1. Amortized cost of installed pipe per unit
length
2. Amortized cost of fittings, valves, supports,insulation, and pumps per unit length
3. Annual cost of maintenance per unit length
4. Annual cost of moving the fluid through thesystem
6
. . . .T AC L 1 2 3 4Then
8/4/2019 Lect 12 Economic Diameter I
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1. Amortized Cost of Installed Pipe
7
, ,P p pA
AC C i n aC P
Define Cp as the initial cost of the pipe and installation per unitlength. Then, the amortized cost,ACp, of this initial cost perunit length is, amortization rate
(capital recoveryfactor)
Notice in Table 4.1 (a) Data are based on 1980 $/ft(b) There is a new pipe classification
(the ANSI Designation). The
class designation establishestemperature and pressure limitsfor different types of pipe.
1
1 1
n
n
i ia
i
1. Amortized Cost of Installed Pipe
8
y = 1.2457x1.1587
y = 1.7834x1.3627
1
10
100
1000
1 10 100
Installed
pipe
costs
in
1980
$/ft
Nominal Diameter (in)
300#
400#
600#
900#
1500#
Power (300#)
Power (1500#)
Converting Table4.1 to an equation
1
n
pC C DFrom Figure 4.21500# n = 1.35900# n = 1.32600# n = 1.29400# n = 1.20300# n = 1.14
Cost of an arbitrary reference pipe($/ftn+1). The nominal 12 pipe isselected as this reference. Valuesvary between 22 and 53 $/ftn+1 1980 dollars!
8/4/2019 Lect 12 Economic Diameter I
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1. Amortized Cost of Installed Pipe
9
1
n
P p AC aC aC D
Then, the resulting equation for the amortized cost ofinstalled pipe per unit length is,
Units
1 1$ $
ftft ft
n n
P n AC a C D
Building the Cost Function1. Amortized cost of installed pipe per unit
length
2. Amortized cost of fittings, valves, supports,insulation, and pumps per unit length
3. Annual cost of maintenance per unit length
4. Annual cost of moving the fluid through thesystem
10
. . . .T AC L 1 2 3 4Then
8/4/2019 Lect 12 Economic Diameter I
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2. Amortized Cost of Fittings, etc.
11
This cost represents the amortized cost of fittings, valves,supports, insulation, and pumps per unit length.
Rather than treat these individually, in this method they arelumped together in a multiplication factor, F. Using thisfactor, the initial cost of these items is determined by,
1
n
F pC FC FC D
Initial cost of fittings,valves, supports,insulation, and pumps
per unit length of pipe.
Multiplier that representsthe best estimate of the
additional cost of theseitems. This value is usuallyaround 6 or 7.
2. Amortized Cost of Fittings, etc.
12
To amortize this cost, multiply by the amortization rate (i.e.,capital recovery factor),
1
n
F F AC aC aFC D
1 1$ $
ftft ft
n n
F n AC aF C D
Units
8/4/2019 Lect 12 Economic Diameter I
7/13
Building the Cost Function
1. Amortized cost of installed pipe per unitlength
2. Amortized cost of fittings, valves, supports,insulation, and pumps per unit length
3. Annual cost of maintenance per unit length
4. Annual cost of moving the fluid through thesystem
13
. . . .T AC L 1 2 3 4Then
3. Annual Cost of Maintenance
14
The annual cost of maintenance per unit length is estimatedto be a fraction, b, of the initial cost per unit length of thesystem,
1 1 1 1n n n M P F AC b C C b C D FC D bC D F
Estimated fraction of initial costs per unitlength spent on annual maintenance.Typical value is about 1% (0.01).
Units
1 1$ $
ft 1ft ft
n n
M n AC b C D F
8/4/2019 Lect 12 Economic Diameter I
8/13
Building the Cost Function
1. Amortized cost of installed pipe per unitlength
2. Amortized cost of fittings, valves, supports,insulation, and pumps per unit length
3. Annual cost of maintenance per unit length
4. Annual cost of moving the fluid through thesystem
15
. . . .T AC L 1 2 3 4Then
4. Annual Cost of Moving the Fluid
16
Unlike the first three categories, this cost represents a totalannual cost to move the fluid (not per unit length).
If the fluid is being moved by a pump, this annual cost canbe determined by,
2OP
C tWAC
This is the same asCOP in Equation (4.9)
C2 = cost of energyt= annual operating time of the pump
= power transferred to the fluid = efficiency of the pump
W
8/4/2019 Lect 12 Economic Diameter I
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4. Annual Cost of Moving the Fluid
17
The power input to the fluid can be found by applying theenergy equation to a general pump/pipe system as shownbelow,
W
2 21 21 2
1 2
2 22 2
1 21 21 2
minor losses in all head loss due to frictionfittings in the in all straight pip
control volume
2 2
2 2 2 2
c c cm f
c c c k k k k k
k k k
Wg Pg P gV V z z l l
mg g g g g
Wg Pg P g V L V V V z z K f mg g g g g g D g
es inthe control volume
4. Annual Cost of Moving the Fluid
18
Now, for a few assumptions,
(1) The pipe diameter is constant throughout(2) The minor losses are truly minor and can be neglected
Incorporating these assumptions, the energy equationbecomes,
22
1 1
2
2
2
2 21
1 2
22 2
2
c c c
c
Wg L Vf
mg D g
Wg
P gPg
L Vf
V
mg D g
Vz
g
H
g
z
g
H
g
8/4/2019 Lect 12 Economic Diameter I
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4. Annual Cost of Moving the Fluid
19
Solving for the power term,
2
2 12
c c
g L VW m H H f
g D g
Substitution of this expression into the annual cost equationgives,
2
2 22 1
2OP
c
C tW mC t L V AC H H g f
g D
22
22
2 1 2
2
ftlbm $s
sfts ft-lbf ft$ ft
s ft 2lbm-ft
lbf-s
OP
c
Vm C tL
AC H H g f D
g
Units
4. Annual Cost of Moving the Fluid
20
2
22 1 2
1 42
OP
c
mC t L m AC H H g f g D D
The velocity in can be expressed in terms of the mass flow rate,
2 2
1 4 4V m m mV
A A D D
Substitution into the annual cost equation gives,
8/4/2019 Lect 12 Economic Diameter I
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Building the Cost Function
1. Amortized cost of installed pipe per unitlength
2. Amortized cost of fittings, valves, supports,insulation, and pumps per unit length
3. Annual cost of maintenance per unit length
4. Annual cost of moving the fluid through thesystem
21
. . . .T AC L 1 2 3 4Then
Putting it all Together
22
The total annual cost of the pipe system can be determined by,
T P F M OP AC AC AC AC L AC
Substituting the previously derived expressions,
2
21 1 1 2 1 2
1 41
2
n n n
T
c
mC t L m AC aC D aFC D bC D F L H H g f
g D D
After some algebra, this can be written as,
3
2 21 2 1 2 2 5
81 n
T
c c
mC t C t g f LmAC a b F C D L H H
g D g
8/4/2019 Lect 12 Economic Diameter I
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The Economic Pipe Diameter
23
3
2 21 2 1 2 2 5
31 2
1 2 2 6
81
81 5
n
T
c c
T n
c
mC t C t g f LmAC a b F C D L H H g D g
d AC C t f Lmn a b F C D L
dD D g
Setting this derivative equal to zero and solving forD givesthe pipe diameter that minimizes the total annual cost of thesystem
1
3 52
2 2
1
40
1
n
opt
c
fm C tD
n a b F C g
This is known as the Economic Pipe Diameter
Observations
The pipe length is not in the economic diameter Viscosity does not appear directly, but it is part of the problem
because it determines the friction factor through the Reynoldsnumber
The head loss does not appear in the economic diameter The determination of the economic diameter requires an
iterative solution Very detailed and complicated desktop solution Easy for an equation solver to solve!
24
3
2 21 2 1 2 2 5
1
3 52
2 2
1
81
40
1
n
T
c c
n
opt
c
mC t C t g f LmAC a b F C D L H H
g D g
fm C tD
n a b F C g
8/4/2019 Lect 12 Economic Diameter I
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The Economic Velocity
25
The mass flow rate of the fluid in the system operating apipe diameter near the economic diameter is,
Solving for the velocity,
Significance: Table 6.4 Reasonable velocities for variousfluids calculated by using optimum economic diameterequations.
2
4
opt
opt opt
Dm AV V
2 2
4 4opt
opt opt
m VV
D D