Conceptual range estimation for total cost of ownership of modular process‐intensified chemical plants

Abstract

AbstractChemical companies have used modularization to reduce capital costs and project timelines, putting capital to work faster and lowering the risk of entering new markets. Nevertheless, the impacts of using modularization along with advanced technologies, such as process intensification, have not yet been fully realized, often due to the uncertain business risks associated with their implementation. Therefore, new methods are needed for quantifying the impact of modular chemical process intensification (MCPI) on the capital and operating costs of chemical plants to help build a business case for this novel approach. This article presents a new conceptual range estimation technique for total cost of ownership that addresses the deficiencies of existing methods for quantifying MCPI impacts. The incorporation of percentage range estimates was employed to allow for adaptability across various cost and size scales. This work also begins to elucidate how chemical engineering and construction firms can benefit from MCPI and identifies barriers that inhibit MCPI applications in the chemical industry.