Sustainability is a key driver today in the bioeconomy. At Omni Tech, we have always believed that quantified life cycle data and along with a techno-economic analysis are vital in the determination of sustainability and competitiveness.
What is a techno-economic analysis (TEA)?
Techno-economic Analysis is a cost-benefit analysis that can be applied to several types of scenarios.
- Investigate cash flows over a specified lifetime
- Determine the economic feasibility of a specific technology and product
- Compare different technologies to produce the same end product
- Gather insight into the impact of scalability for a given technology
- Compare your technology to competitors
- Guide R&D on what key parameters needed improvement for a new technology
The techniques require experience and knowledge of chemical processes, and both process modeling and financial modeling. One critical piece is the creation of mass and energy balances. These not only serve to drive the Techno-economic Analysis, they are often leveraged into the Life Cycle Assessment methodology. Omni Tech is uniquely position to offer both Techno-economic Analysis and Life Cycle Assessment services for our clients.
What are the step for a techno-economic analysis (TEA)?
There are several key pieces in creating a useful TEA.
- Collect performance information on the selected technologies being considered
- Evaluate the process layout, determine the type of equipment (ie reactors, distillation, etc.) and develop scenarios as needed
- Use software modeling such as Aspen Plus to design the process models and create the mass and energy balances
- Size and cost out the equipment
- Determine market growth and pricing for products produced
- Perform discounted cash flow analysis (Net Present Value)
- Utilize sensitivity analysis to gather insight on the critical drivers
Omni Tech experts are well versed in the chemical industry and understand the parameters necessary to construct and analyze a technology, whether from paper chemistry or actual lab or pilot plant data.