Design and Feasibility Study of a 5MW Bio-Power Plant in Nigeria

This work established the techno-feasibility of building a bio-power plant in Nigeria using 50 ton sugarcane bagasse to produced 130 MWh at a capital cost of $ 89 million, an operating cost of $ 81 million and an energy generation cost of 0.07 $/kWh. A biomass-fired combined heat and power technology (CHP) was adopted for the conversion of sugarcane bagasse to electricity. In the analysis of the bio-power plant, the heating value, energy generation and power supply duration were estimated and were used to determine the equipment cost. Both total capital investment and cost of operation were determined and used for the assessment of the plant profitability. These were done with the aid of a Matlab and Microsoft Excel 2013. The establishment of this plant was found to have net profit of $ 26 million, net present worth of $ 191 million, discounted payback period of 3.5 years, and return on investment of 29%. These show that the investment will be economically viable if established in Nigeria based on the project parameters adopted. This will help in alleviating the problems of power supply in the country. Also, this will link agriculture to energy industries which will also boost the investment in the agriculture and engender rural community development.