Economic implications of cotton gin trash and sorghum residues as alternative energy sources

Abstract

This paper analyzes the economic implications of energy production from cotton gin trash and sorghum residues. Using cotton gin trash, on-farm cost of gasification ranged from $7.83 to $3.56 per million Btu, electricity generation, operating year around was about 6.15 cents per kWh. Cost of producing gas, using gin trash or grain sorghum residue, in a farmer cooperative was over $3.75 per million Btu. These costs are not economically attractive at this time. Using gin trash at the gin site, the cost of electricity generation was 5.3 cents per kWh and gas production was $2.75 per million Btu. About 70% of the electricity produced, however, must be sold for approximately 2 cents per kWh resulting in over $250,000 of costs not covered. Although gas production at the gin site is very competitive with the current market price of natural gas, the low Btu gas is not a comparable fuel. The cost of producing pellets from gin trash for energy ranged from $2.20 to $3.89 per million Btu. Gin trash pellets are not competitive with natural gas, but they are a potentially attractive alternative to diesel or fuel oil as a stationary engine fuel source.