Economic Feasibility Study for a Centralized Digestion System
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An economic feasibility model for centralization of anaerobic digestion of dairy manure mixed with food waste is developed. The model was converted into a user-friendly, web-based computer program and allows users to input different variables and computes profits or costs of a defined centralized digestion system. Default values are given in the program and can be modified by the user. The model accounts for various costs including: equipment, transportation, manure, labor, insurance and maintenance, and accounts for revenues from tipping fees, sales of electricity, sales of effluent solids and liquid manure, and sales of excess heat. Tipping fees and sales of liquid manure were the major contributors to the overall revenue with 2,000 or more cows in the system. The largest cost was the price of manure followed by labor costs. Sensitivity analyses were performed to determine the total number of cows required for the enterprise to remain profitable and the percent change in profit, when changes in parameter values were made, one-at-a-time. An example model was run for a cluster of farms and three correctional facilities in Malone, NY, and the operation was found to be economically feasible.