Techno-economical analysis of the benefits of anerobic digestion at a rural sisal processing industry in Tanzania

Abstract: The low electrification rates and lack of access to energy services are some of the main challenges of the Tanzanian energy system. However, increasing access to power and other energy services would lead to an increase in the energy demand, which the Tanzanian energy system will not be able to meet. Therefore, new solutions are needed to increase access to modern and affordable energy services that facilitate economic and social development, but in a way that is also sustainable. One promising solution seems to be the use of the abundant agricultural residues to produce energy, which could be particularly relevant for rural areas without access to the national grid. Further, the Tanzanian sisal industry has a challenge in addressing the emissions from sisal processing. Each year, the national industry produces approximately one million ton of Sisal Decortication Residue (SDR), causing local eutrophication as well as emissions of methane, a potent greenhouse gas. The solution under study in this thesis is the potential use of the residue generated at a sisal estate in the region of Tanga (Tanzania), to generate biogas, which could potentially produce electricity and heat when fed into a CHP unit. The AD process also reduces the negative environmental impact of the waste. Given the substantial amounts of sisal waste produced at the estate every day, the project aims at providing a solution that will benefit the owner of the estate, the environment and the local communities. It was found that the potential for biogas production is close to 1,200,000 m3 per year. In a CHP unit, this amount of gas would produce around 2,340 MWh of electricity and over 4,160 MWh of heat per year. The different potential applications for the biogas and products are presented and analysed in the local context. The results of the study suggest that the solution that would provide higher benefits from an economic, social, and environmental perspective is to supply part of the biogas to the surrounding villages for its use as a cooking fuel and fed the remaining electricity into the national grid. For this application it was found that the NPV of the project at the end of its lifetime is close to 1,580,000 USD, and the investment would be recovered in less than 9 years. At the same time, the use of biogas as cooking fuel would significantly benefit the households and the environment, by reducing the serious health and environmental problems derived from the processing of traditional biomass resources.