Process and techno-economic analysis of green diesel production from waste vegetable oil and the comparison with ester type biodiesel production

Like ester type biodiesel fuel, green diesel is a next generation transportation fuel emerging due to the need for a renewable replacement of internal combustion engine fuel, which is also fully compatible with existing automotive powertrain systems. Besides other limitations, the main obstacle for wider application of such renewable fuels is their relatively high production cost, depending mainly on the raw material cost and the application of more efficient processing technology. Green diesel and ester type biodiesel can be produced from waste vegetable oil by catalytic hydrogenation, homogeneous alkali catalysed transesterification and supercritical non-catalytic transesterification. Techno-economic analysis and the sensitivity analysis reveal that economics of these production technologies strongly depend on the process unit capacity and the cost of feedstock. Green diesel production by catalytic hydroprocessing located in a petroleum refinery appears to be the most cost effective option for unit capacity close to and above 200,000 tonnes/year. Conventional ester biodiesel process and non-catalytic ester biodiesel process under supercritical conditions are less profitable at specified capacity. Unit capacities of the investigated processes which are below 100,000 tonnes/year are likely to result in negative net present values after 10 years of project lifetime