Price Of By-products Research Articles

Analysis of the Prices of Recycling Byproducts Obtained from Mechanical–Biological Treatment Plants in the Valencian Community (Spain)

Municipal solid waste (MSW) management in Spain, particularly in the Valencian Community, heavily relies on mechanical–biological treatment (MBT) plants followed by landfill disposal. These MBT facilities utilize mechanical processes like shredding, screening, and sorting to segregate recyclables (metals, plastics, paper) from organic material and other nonrecyclables. While public funding supports these plants, private entities manage them through complex, long-term concession contracts. This structure restricts access to crucial data on the sale prices of the byproducts generated during MBT. Publicly available information on relevant company and administration websites is typically absent, hindering transparency surrounding byproduct revenue. This study addresses this gap by analyzing 2012’s available data on revenues obtained from byproduct sales following mechanical treatment at MBT plants within the Valencian Community and comparing them with Spanish national data. This research revealed a significant finding—the statistical distribution of average prices obtained from Ecoembes auctions in the Valencian Community mirrored the corresponding distribution for prices calculated from auctions conducted in other Spanish regions. This suggests a potential uniformity in byproduct pricing across the country. It has also been found that none of the analyzed price distributions exhibited a normal (Gaussian) distribution. The findings also highlight the need for alternative pricing models that move beyond simple averages and account for regional variations and outliers. As actual prices are not available after 2012, this lack of transparency poses a challenge in comprehensively evaluating the economic viability of MBT plants. Furthermore, it raises concerns regarding whether the revenue generated from byproduct sales reflects fair market value. Limited public access to this information can potentially indicate conflicts of interest or inefficiencies within the waste management system.

Assessment of electrified ethylene production via biomass gasification and electrochemical CO reduction

The chemical industry needs new methods for sourcing carbon-containing feedstocks from renewable sources to decrease CO2 emissions and reduce reliance on fossil fuels. Ethylene, a crucial base chemical used for making polymers and ethylene oxide, is primarily produced through steam cracking of fossil feedstocks. However, an evolving technology is the electrochemical reduction of CO2 or CO to produce ethylene. The study assesses the environmental, economic and energetic performance of a new biomass-based process that produces ethylene based on the electrochemical reduction of CO. The results are based on mass and energy balances from process simulation. The CO is produced by either gasification of biomass or combustion of biomass with CO2 capture and CO2 electrolysis. Besides ethylene, the process produces acetic acid, ethanol, oxygen and hydrogen as by-products which are purified and sold. The annual output varies between 36 and 68 kt ethylene with a biomass input of 157 kt. The levelized cost of ethylene ranges from 3,920 to 7,163 €/t with the gasification routes being the most cost-effective. The ethylene price is heavily dependent on electricity price, current density, operating voltage, and by-product prices. The carbon efficiency of the gasification-based routes is lower (64%) than the combustion-based routes (85%–86%). However, the energy efficiency is higher for the gasification-based routes (42%) compared to the combustion-based routes (28%). Conversion of ethanol to ethylene increases the ethylene yield with minimal impacts on the ethylene price. In terms of CO2 emissions, the gasification-based routes show lower emissions. Scenarios using wind power show a significant emission reduction potential compared to fossil products.

Techno-economic analysis of food waste valorization for integrated production of polyhydroxyalkanoates and biofuels

This study focused on the techno-economic analysis of integrated polyhydroxyalkanoates (PHAs) and biofuels such as biohydrogen, bioethanol, and 2,3-butanediol production from food waste (FW). Based on previous literature studies, the integrated process was developed. The process plan produced 2.01 MT of PHAs, 0.29 MT of biohydrogen, 4.79 MT of bioethanol, and 6.79 MT of 2,3-butanediol per day, from 50 MT of FW. The process plan has a positive net present value of 4.47 M$, a 13.68% return on investment, a payback period of 7.31 yr, and an internal rate of return of 11.95%. Sensitivity analysis was used to examine the economic feasibility. The actual minimum selling price (MSP) of PHAs was 4.83 $/kg, and the lowest achievable MSP with 30% solid loading is 2.41 $/kg. The solid loading in the hydrolysis stage and the price of byproducts have a major impact on the economic factors and MSP of PHAs.

Analysing price cointegration of sawmill by-products in the forest-based sector in Austria

Empirical analyses of interlinkages and price dependencies in the forest-based sector support the forecast of market developments and the design of efficient utilization pathways. This article aims at analysing price cointegration between roundwood (sawlogs, pulpwood), sawmill by-products (sawdust, wood chips) and wood products (pellets, particle board) in the forest-based sector in Austria. Monthly price data for the period 2005–2019 were used for the following statistical tests: (1) The Augmented-Dickey-Fuller and Zivot-Andrews unit root tests were conducted to investigate stationarity of the data; (2) The Johansen Cointegration test was pairwise applied to price time series; (3) The Granger Causality test was used for cointegrated time series to examine which one is price leading. Furthermore, sawmill by-product prices were modelled as Vector Error Correction Models (VECM) to analyse their common behaviour. The dataset was divided to a training (2005–2017) and test (2018–2019) subset to assess the prediction accuracy of the models. The training data were used to estimate a VAR model as basis for forecasts, which were compared to the test data. Results show that sawdust prices are cointegrated and thus modelled with pellet and particle board prices. In contrast, wood chips are used for several applications and thus prices are cointegrated and modelled with prices of sawlogs, pulpwood, pellets and particle board. The comparison with the test data showed that forecasts were able to predict data from 2018 to 2019 well. However, a decrease in prices, starting in 2019 and intensified by the Covid-19 pandemic, could not be fully captured by these forecasts.

Bioenergy versus forest conservation: a partial equilibrium analysis of the Swedish forest raw materials market

ABSTRACT This paper presents an economic assessment of two different policies – both implying an increased demand for forest ecosystem services – and how these could affect the competition for forest raw materials. A forest sector trade model is updated to a new base year (2016), and then employed to analyze the consequences of a more intense use of bioenergy and increased forest conservation in Sweden. These scenarios are assessed individually and in combination. A particularly interesting market impact is that bioenergy promotion and forest conservation tend to have opposite effects on forest industry by-product prices. Moreover, combining the two policies mitigates the forest industry by-product price increase compared to the case where only the bioenergy-promoting policy is implemented. Namely, the energy using sector (heat and power) is less negatively affected in terms of increased feedstock prices if bioenergy demand targets are accompanied by increased forest conservation. This effect is due to increasing pulpwood prices, which reduces pulp, paper and board production, and in turn mitigates the competition for the associated by-products. Overall, the paper illustrates the complexity of the forest raw material market, and the importance of considering demand and supply responses within and between sectors in energy and forest policy decision-making.

Second generation biofuels and the competition for forest raw materials: A partial equilibrium analysis of Sweden

In order to reach the renewable energy policy targets in the transport sector, biofuels from forest raw materials (e.g., harvesting residues) can play an important role. However, these raw materials are currently used in both the heat and power (HP) sector and the traditional forest industries. It is essential to understand how these sectors would be affected by an increased penetration of second generation (2G) biofuels. This study investigates price development and resource allocation in the Swedish forest raw materials market in the presence of 5–30 TWh of 2G biofuel production. Sweden is an interesting case study due to its well-developed forest industries and mature district heating sector, something which makes it a suitable country for future 2G biofuel production. A national partial equilibrium model of the forest sector is extended with a 2G biofuel module to address the impacts of such production. The simulation results show increasing forest industry by-product (e.g. sawdust) prices, thus displaying that the 2G biofuel targets lead to increased raw material competition. The higher feedstock prices make the use of forest biomass in the HP sector less profitable, but we find meagre evidence of substitution of fossil fuels for by-products. In this sector, there is instead an increased use of harvesting residues. Fiberboard and particleboard production ceases entirely due to increased input prices. There is also evidence of synergy effects between the sawmill sector and the use of forest raw materials in the HP sector. Higher by-product prices spur sawmills to produce more sawnwood, something that in turn induces forest owners to increase harvest levels. Already in the 5 TWh Bio-SNG scenario, there is an increase in the harvest level, suggesting that this by-product effect kicks in from start.

The price of byproducts: Distinguishing co-products from waste using the rectangular choice-of-technologies model

The reuse or sale of byproducts is widespread throughout the global economy. Such byproducts are deemed co-products, while unused byproducts are considered waste. This distinction becomes less clear for waste products that can be turned into useable co-products, creating methodological problems for those studying reuse of byproducts using life cycle assessment, material flow analysis, and input-output analysis. Expanding upon the Rectangular Choice-of-Technologies (RCOT) framework (Duchin and Levine, 2011), this paper presents an approach for associating byproducts from the production process of a primary commodity with a distinct technology. This new RCOT method endogenously defines byproducts as co-products or waste depending on the technological and economic capacity to utilize them. By comparing the prices of utilized co-products to unused wastes, this framework provides an explicit way to relate these three concepts while also illustrating how changing economic conditions can change wastes into co-products, and vice-versa. We present a numerical example of this new method for distiller’s grains byproducts from ethanol production.

Techno-economic analysis of dimethylfuran (DMF) and hydroxymethylfurfural (HMF) production from pure fructose in catalytic processes

Techno-economic studies of processes for production of dimethyl-furan (DMF) and hydroxymethyl-furfural (HMF) from fructose are performed based on published laboratory results. The early stage of technology development necessitates use of simplified process models to analyze a conceptual bio-refinery producing fuel and chemical intermediates. HMF and DMF production processes are divided into four and six processing areas respectively that include synthesis and purification sections. The HMF process employs a biphasic (aqueous–organic phases) continuously stirred tank reactor (CSTR), and the DMF process has an additional 3-train fixed bed catalytic plug flow tubular reactor (PFTR). The processing capacities are 300 metric ton/day of fructose and the plants will operate for 20 years. Installed equipment costs are estimated (US$2007) as $102.4 million for the HMF and $121.9 million for the DMF process, respectively. The DMF process uses a copper–ruthenium–carbon (Cu–Ru/C) catalyst. Catalyst cost is estimated as $36.4 million for the first charge with replacement cost of $258,500/2-years. Cost analysis is performed following the discounted cash flow method. The minimum selling prices for HMF and DMF are estimated as $1.33/l ($5.03/gal) and $2.02/l ($7.63/gal), respectively. Sensitivity analyses are performed to assess the relative importance of key assumptions on minimum HMF and DMF selling prices. The most significant parameters are feedstock cost, product yields, by-product prices, catalyst cost and total purchased equipment costs. Process and economic uncertainties can be reduced by incorporating better performance (through laboratory and pilot trials) and cost data.

Effect of liberalized U.S.–Mexico rice trade: A spatial, multiproduct equilibrium analysis

AbstractA spatial, multiproduct equilibrium model featuring United States–Mexico long‐grain rice trade is developed to determine the effect of removing Mexico's rice tariffs in 2003 on U.S. rough and milled rice exports to that country. Analysis considers rice milling costs and yields in the United States and Mexico, transportation costs associated with U.S. rice exports to Mexico, mill by‐product prices in Mexico and the United States and the changing tariff levels. Results show Mexico's graduated decline in rice tariffs over the 1997 to 2003 period to increase U.S. rice exports to Mexico about 1% per year or a total of 7% over the 6‐year period. United States' long‐grain rice price and production is modestly affected by the increased exports, while the impact on Mexico's rice production and price is comparatively large. Further, results show the historic incentive to export rough rice to Mexico will be replaced by an incentive to export milled rice, thus opportunities for the U.S. rice milling industry to form alliances with Mexican packers and increase direct relationships with large retailers in Mexico. [EconLit citations:C61, Q17, and R40.] © 2003 Wiley Periodicals, Inc. Agribusiness 19: 1–17, 2003.

Comparative costs of nickel sulphides and laterites

Although relative production costs of nickel from laterite and sulphide deposits have changed during the period 1988 to 1994, cash break even costs of the average sulphide producer remain below those of the average laterite producer. Sulphide producers have higher direct production costs but lower net production costs because of significant byproduct credits. However, total costs, which include capital, are now equal for the average laterite and sulphide producers. Relative production costs have been influenced by simultaneous yearly changes in byproduct and nickel prices, oil prices and exchange rates as well as real changes in actual production, transport and capital investments. In the absence of major shifts in energy or byproduct prices, the average sulphide producer will continue to experience lower cash operating costs gained through capital investments than the average laterite producer. This suggests that the average nickel sulphide operation is more able to withstand cyclic nickel price downturns.

An economic and simulation approach for renewable natural resources. Ethanol production in the EEC: A case study

A simulation model was constructed in order to evaluate the economic feasibility of a number of well-known or hypothetical conversion processes of biomass to a variety of energy carriers and chemical products. The model was constructed in such a way that it allowed a general approach, with possibilities for testing the impact of different hypotheses and scenarios about market evolutions and technological developments on the overall economics of a process. A case study of the Biostil process for ethanol production in the EC shows that large amounts of subsidies are necessary for profitable production with this process. The price of by-products has a great impact on its profitability.

Economic evaluation of synthetic natural gas production by short residence time hydropyrolysis of coal

Cities Service Research and Development Company (CSRD), the research arm of the Cities Service Company, has been developing a process scheme named the CS-SR Process, for the non-catalytic, vapor-phase, hydrogenation of carbonaceous feedstocks. The initial and primary emphasis in our Energy Research Laboratory was to apply this technology, patented under U.S. 3,960,700 [1], to convert coal into pipeline-quality (high-Btu) gas and attractive byproduct yields of light aromatic (BTX) liquids. The detailed engineering development of Cities Service's process is published elsewhere in this journal [2]. In September, 1974, work was initiated to estimate the economics in a conceptualized, commercial application of the CS-SR Process for producing 255 MM SCFD of pipeline gas (and the associated byproduct BTX liquids) from a mine-mouth plant in the Montana/North Dakota region. The results of this work pointed out the advantages of the hydropyrolysis process in the production of synthetic natural gas (SNG). In September, 1976, CSRD retained the Foster Wheeler Energy Corporation (FWEC) to perform a more detailed engineering design and capital cost study of the CS-SR Process to validate the results of the earlier economic study. This paper summarizes the conceptual design studies of the CS-SR Process performed by Cities Service and Foster Wheeler personnel and presents cost of services calculations including sensitivity to capital investment estimates, coal costs, and byproduct prices. The latter calculations follow AGA cost guidelines so that a fair comparison can be made between SNG production via the CS-SR and Lurgi Processes.

Abattoir Design

A REPORT on abattoir design has recently been issued (Economic Series, No. 40. H.M. Stationery Office. Price 1s. net) by a technical committee appointed by the Ministry of Agriculture and Fisheries last December to consider the output, structure, layout and equipment of factory abattoirs. The Committee recommends that the principal characteristics of a factory abattoir should be single control, specialisation of labour, continuous process, the killing being spread fairly evenly over at least four days of the week, and a uniform condition and appearance of the finished product in place of the variations at present existing in the condition not only of the meat but also of the by-products. The Committee prefers a multi-floor factory abattoir to the single floor type found in nearly all the public abattoirs in England, on grounds both of hygiene and economy. It is recommended that in order to raise the general level of the condition of home-killed meat, all the meat and red offals should be adequately cooled before removal. Provision should also be made for the production of dripping, sausages, skins, tripe and calve's feet, tallow, meat meal, blood manure, and animal glands for medicinal purposes. In conclusion, the Committee suggests that the difficulties of adjusting the slaughtering charges and the prices of byproducts retained at the abattoir for processing might be minimised by leasing the abattoirs to slaughtering and by-product companies or associations. The local authority would thus be relieved of the difficulty of fixing service charges and yet could reserve to itself the right of general supervision.