pre-feasibility report for 5000 tcd sugar plant 35 mw … · 2016. 2. 26. · pre-feasibility...

DPR on Integrated Sugar & Cogen Power Plant at Selu, Tal-Gevarai, Dist-Beed

1

PRE-FEASIBILITY REPORT

FOR

5000 TCD SUGAR PLANT 35 MW CO-GENEARTION POWER PLANT

ALONG WITH 80 KLPD DISTILLERY

AT

Village Selu, PO - Jategaon, Tehsil Gevarai,

District Beed, Maharashtra


2

1.0 Project at a Glance

Pingale Sugar & Agro Products Private Ltd. (PSAPPL) is a Company registered in the State of

Maharashtra under the Companies Act, 1956.

PSAPPL has been taken over by Mr. Dilip Shankarrao Apet & Mrs. Shalini Dilip Apet by

purchasing shares & ETC on August 8, 2014. The promoters sensed the great availability of

sugarcane in the region of Gevarai tehsil and increasing demand of power & ethanol and keeping

in view, the needs of the local farmers, those cultivate sugarcane in the command area.

PSAPPL proposes to set up an integrated new sugar mill of 5000 TCD, eco-friendly 35 MW

capacity cogen power project for decentralized generation of exportable surplus power, mainly

from renewable sources of fuel, located near village Selu, 25 km from Gevarai, which is Taluka

headquarter.

PSAPPL, also proposes to set up a 80 KLPD capacity ethanol plant to produce ethanol, adjacent

to the propose sugar plant located at Village Selu, PO Jategaon,Taluka Gevarai, District Beed,

Maharashtra

The proposed ethanol plant project will produce fuel ethanol mainly on own molasses, molasses

available from the other sugar factories. The steam and power requirement for the proposed plant

will be made available from the new slop fired incineration boiler & back pressure turbine.

2.0 Project Rationale

The promoters have extensively and carefully analyzed the present and future scenario of sugar

and power industries. They studied carefully the present irrigation facilities and surplus cane

availability in the command area, as well as future potential of irrigation and additional cane

availability.

The command area falls in tehsils of Beed & Jalna Districts. Beed district is drained by

Godavari, Manjra and Sina rivers and their tributaries. Beed district is benefited by major

projects like Jayakwadi, Majalgaon & Manjara. Additionally, bore wells and open wells are also

used for the irrigation. Due to adequate irrigation facilities in the command area, sugarcane

potential is very good. Hence, required sugarcane of 8 lakh MT will be available within the

command area along with sustainable sugarcane development in future. At present surplus

sugarcane in the command area is around 12.10 lakh MT, which can easily support 5000 TCD

sugar plant.

To make the venture commercially viable and financially profitable, the capacity of the sugar

plant is decided and fixed at 5000 TCD sugar plant and a cogeneration plant of 35 MW.


3

PSAPPL will generate about 36000 MT of molasses from expected / sustained cane crushing of

8.00 lakh MT / year, with 4.50% molasses recovery.

The requirement of in –house molasses to run the ethanol plant for at least 160 days as per SDF

norm is 54,468 MT. PSAPPL will utilize 36,000 MT of own molasses and 22.14% or 12,400 MT

of B-heavy molasses required to be diverted, for meeting the shortfall quantity of 18,468 MT of

final molasses.

The total requirement of molasses for the 270 days operation of the proposed ethanol plant at

optimum level of operation will be around 91,915 MT. PSAPPL will utilize 54,468 MT of

own/B-heavy molasses & the balance 37,447 MT of molasses will be procured from nearby

sugar mills.

2.1 The Promoters & Project Preparedness

PSAPPL is promoted by:-

Mr. Dilip Shankarrao Apet, Chairman & MD

Mrs. Shalini Diliprao Apet, Director

The CMD of PSAPPL is highly educated and has 35 years of experience in the sugar industry.

His huge practical experience in sugar industry will be immensely helpful in executing and

operating the proposed ethanol project. The management is successfully operating a sugar unit,

M/s. Shambhu Mahadev Sugar & Allied Industries Ltd. at Village Havargaon, Tal - Kallam, Dist

- Osmanabad.

PSAPPL already has appointed a technical / managerial team of highly qualified engineers,

contract & arbitration experts, agricultural officers and managerial personnel for implementation

and operation of the captioned integrated project.

PSAPPL has already obtained IEM from the Ministry of Commerce & Industry, Govt. of India

for setting up 30 KLPD ethanol plant and has already applied for amendment of IEM for 80

KLPD ethanol plant.

3.0 Project in Brief

3.1 Sugar Mill (estimated capital investment of Rs.97.00 crore)

A sugar mill of 5000 TCD capacity will be installed for manufacture of white sugar of good

quality. The sugar market in India is quite up-beat and is expected to continue for a foreseeable

future. Command area has adequate sugarcane availability with sugar recovery of about 11.50%.

3.2 Cogen Power Plant (estimated capital investment of Rs. 103.00 crore)


4

The cogen power project of 35 MW capacity will mainly operate on mill bagasse during 160

season days of the sugar mill and saved bagasse for 15 off-season days. At designed levels, it

will generate about 131.72 million kWh and export about 97.31 million kWh through MSEDCL

grid for sale to MSEDCL, as per prevailing tariff (present MERC tariff is Rs 6.27 /kWh). All

steam and power requirements of the sugar mill and cogen auxiliaries and colony, both during

season and off-season periods, will be met internally from the cogen power plant.

It will employ extra high pressure and temperature configuration (110 Kg/cm2 and 540 C) boiler

& steam turbine, as well as ESP for emission control and DCS control system for efficient

operation.

The policy for sugar mill cogen plants, both at the Central Government and at the State,

Government of Maharashtra, are quite conducive. The MNRE has provided several financial

incentives in terms of capital grants and fiscal incentives till date and the same are continued

vide their order dated April 28, 2010. The proposed project will be eligible for these incentives

as well as other incentives like accelerated depreciation, income tax benefits, reduced import

duties for renewable energy projects.

3.3 Distillery Unit (estimated capital investment of Rs. 127.00 crore)

The proposed ethanol plant of 80 KLPD capacity will employ fermentation, multi pressure

distillation system, evaporation & slop fired incineration boiler. Sugar mill will supply molasses,

while the incineration boiler & turbine will supply steam & power to the proposed ethanol plant.

Highlights of the Project

Name and Address

Factory Site:

:

:

M/s. Pingale Sugar & Agro Products Private Ltd.

Registered Office:

C/o. Shambhu Mahadev Sugar & Allied Industries Ltd.,

Havargaon, Tal-Kallam, Dist-Osmanabad

Village Selu, PO Jategaon,Taluka Gevarai,

District Beed, Maharashtra

Constitution & Type : Limited Company

Products : Sugar,Co-generated Power, Distillery Unit


5

Installed Capacities of

the Integrated Project

Sugar Plant

Cogen Power Plant

Distillery Unit

:

:

:

5000 TCD

35 MW installed capacity

22.38 MW (Avg. exportable power, Season 160 days)

31.43 MW (Avg. exportable power, Off Season 15 days)

80 KLPD

3.4 Financial Highlights

Project Cost for Sugar & Co-gen Power Plant

(Rs. in Lakh)

Total Project Cost Sugar Cogen Total

Land & Site Development : 175 75 250

Civil works & Buildings : 1464 796 2260

Indigenous Plant and Machinery : 6785 8303 15088

Miscellaneous Fixed Assets : 140 85 225

Prelim & Preoperative Expenses : 822 845 1667

Contingencies : 140 152 292

Working Capital Margin : 174 44 218

Total : 9700 10300 20000

Means of Finance:

(Rs. Lakh)

Financing Pattern Sugar Cogen Total

1. PSAPPL’s Equity : 3201 1774 4975

2. SDF Quasi Equity : 0 1625 1675

3. FI Loan : 6499 6901 13400

Total : 9700 10300 20000

Parameter First Year Fifth Year

Estimated W/C Requirements Rs. Lakh 4699 5772

Estimated Annual Turnover Rs. Lakh 25399 31162


6

Profit Before Tax Rs. Lakh 4407 5109

Accumulated Cash Surplus Rs. Lakh 2812 14080

Employment Potential Nos. 370 370

Debt Service Coverage Ratio (DSCR)

Average

Maximum

Minimum

2.06

4.72

1.61

Payback Period, Years 4 to 5

Internal Rate of Return on total Investment,

%

21.38

Project Cost for Distillery

(Rs. Lakh)

Particulars Ethanol

Plant

Land and Site Development 150

Buildings 2346

Indigenous Plant and Machinery 9000

Miscellaneous Fixed Assets 80

Prelim. & Preoperative Expenses 590

Contingencies 244

Working capital margin 290

Total 12700

Means of Finance:

(Rs. lakh)

Particulars Ethanol Plant

PSAPPL Equity / Internal accruals (27%) 3429

SDF Quasi Equity (35%) 4445

Bank / F. I. Loan (38%) 4826

Total 12700

First year Fifth year

Estimated W/C Requirements Rs. Lakh 1157 1833

Estimated Annual Turnover Rs. Lakh 4925 8772


7

Profit Before Tax Rs. Lakh 827 2837

Accumulated Cash Surplus Rs. Lakh 1521 5245

Employment potential Nos. 81 81

Debt Service Coverage Ratio (DSCR) Average 2.38

Maximum 3.82

Minimum 1.35

FACR 1.34

Payback period Years 5 to 6

Rate of Return on total project cost % 19.32 %

Strengths

The main strengths of this integrated project include:

Background and experience of the promoters

Proposed Sugar Factory & Infrastructure

Commitment & vision of promoters, with forward integration planned right from

beginning

Excellent irrigation facilities with ensured cane cultivation & availability on a long

term basis

Project location in potential sugarcane area

Experienced, willing and committed farmers

Ensured cane availability

Demand supply gap in fuel ethanol in India

Conducive policy / regulatory frame work

High order of socio-economic and environmental value to the local populace

Latest technology equipment with highest efficiency and

Sound techno commercial viability

3.5 Risks Factors

Risk Factors Remarks

Industry Risk

The Industry is cyclical and highly regulated. The price of

free sale sugar is directly/indirectly controlled by the govt.


8

Therefore, the company has been making its operations

integrated, comprising of sugar, cogeneration and ethanol

plant to protect its margins and profitability and avert

cyclicality.

Implementation

Risk

PSAPPL has experienced people in its management team.

Keeping in view overall good track record, it is felt that

PSAPPL has the competence for timely implementation of

project as per the schedule. The ethanol project shall be

implemented on turnkey basis. The ethanol project being

implemented on turnkey basis, will reasonably assure

completion of the project within the envisaged cost.

However, any increase in cost of plant & machinery shall

be met by the internal accruals.

Operating Risk Though the company is new to the production and

marketing of ethanol, it is in the business of manufacturing

and marketing of sugar with proposed capacity of 5000

TCD & cogen 35 MW. Moreover, the ethanol project is

being implemented on a turnkey basis and will be backed

by suitable clauses in terms of warranty and guarantee. As

such it is felt that the operating risks would be mitigated to

a considerable extent.

Though the availability of adequate quantity of molasses is

also dependent on the supplies from neighboring units to

meet the shortfall, the company has identified nearby sugar

mills from where molasses can be sourced.

Credit Risk Average DSCR of the ethanol project is estimated to be

2.38, which is satisfactory. PSAPPL has been regular in

meeting its commitments to FIs/Banks and SDF.

Financial Risk The company is comfortably placed to infuse its equity

contribution in the project and is awaiting sanction of term

loan from banks. As such, no problem is envisaged

Raw Material Risk PSAPPL has announced a reasonable remunerative price in

line with the market trend and neighboring sugar mills.

Also, it is providing services to educate farmers about the

best practices in sugarcane cultivation for improvements in

the yield. Company is proposes operating a 5000 TCD

Sugar plant & 35 MW cogen power plant in the same

premises as proposed for the ethanol plant. The molasses

required for the ethanol plant shall be readily available

from the sugar plant. The Neighboring sugar mills has

already shown willingness to supply the molasses for


9

meeting the shortfall.

Market Risk/ off

take risk/ payment

risk

The Govt. of India has allowed mixing 5% ethanol in

petrol and has increased of ethanol percentage to 10%,

recently. Since there is need for huge investment to set up

additional required capacity of 96 million litres of ethanol

by 2017, PSAPPL is not expected to face any problem in

selling the ethanol from proposed project.

3.6 Implementation Schedule

The entire project will be commissioned by October 2016 after the financial closure expected by

October 2015. Meticulous planning and strong project management proposed will ensure this

schedule.

4.0 Project Description

4.1 Type of Project

The proposed project mainly involve the Manufacturing of Sugar from Sugar cane,

Cogeneration of Electricity and Fuel ethanol of 80 KLPD capacity.

4.2 Location of Project

The proposed unit is located at village Selu, PO Jategaon, Taluka Gevrai, District Beed,

Maharashtra.

4.3 Products & By-products

S.No. Name of Products

1 Sugar

2 Power

3 Ethanol

4.4 Sugar Plant

The objectives of the sugar plant of the proposed integrated project are mainly to manufacture

quality sugar for national & international markets at optimum operating and energy efficiencies,

as well as provide raw materials for cogen power plant. The integrated project will push the


10

product, which has highest realization in the market at any given time, either sugar or power. The

design of the sugar mill would match the latest and modern technologies, being employed for the

cogen power plant. At the same time, the flexibility of operation, expansion and diversification,

also will be available.

To meet the objectives indicated above, the sugar plant of the integrated agro energy project, will

have special emphasis on following:

Highest mill extraction efficiency (more than 96%), at low investment and

power consumption

Lowest steam consumption for the boiling house (less than 40 %), lowest

boiling house losses and reduction in capital cost

Lowest power consumption (less than 25 kWh/TCH for electrified fibrizor

and mill drives)

Lowest raw water consumption (practically nil)

Lowest effluent discharge (practically nil)

Lowest labour cost and chemical consumptions

Highest sugar recovery (more than 11.5% on cane) and sugar quality

The main parameters of cane crushed from 3rd

year onwards will be as follows:

Pol % cane, average 14%

Recovery, average 11.50 % on cane

Fibre, average 14% on cane

Bagasse generation, average 30% on cane

Bagasse moisture, average 50%

Molasses, 4% on cane

The design parameters of the proposed modern sugar plant have been indicated in the

following table:

Capacity / hr, TCH : 227.27

Capacity / day, on 22 hrs basis, TCD : 5000

Average season days, nos. : 160

Bagasse generation (30% on cane),

TPH, @ 50% moisture

: 68.18

Bagasse available as fuel (29.20% on

cane), TPH

: 66.36

Sugar produced (avg. 11.50% recovery),

MT

: 92000 (@ designed

capacity level)

Sugar quality

: ICUMSA color at 420 nm,

less than 40, moisture

max. 0.01 %

Cane preparatory index : 90 +

Imbibition water % fibre : 250 +

Maceration % cane : 30.00


11

Mixed juice % cane : 100

Primary pol extraction, % : 75

Mill extraction, % : 96

Reduced mill extraction, % : 96.50+

Reduced boiling house extraction, % : 91.00+

Total sugar loss, % cane : Max 1.6

Downtime % available hours, including

cleaning

: Max 4

Downtime % available hours, excluding

cleaning

: Max 2.5

LP Sugar Process steam required at 2.5

kg/cm2 (40% on cane), TPH

: 90.91

Process power consumption at 25

kWh/TCH, MW (with electrified

fibrizor & mill drives)

: 5.68

Molasses production (4% on cane), MT : 32000 (@ designed

capacity level)

4.5 Cogen Power Plant

The cogen power plant will have installed capacity of 35 MW and will employ 110 kg/cm2 and

540 C configurations. Bagasse generated from cane crushing, excluding handling losses and

bagacillo requirements will be available for operation of the high- pressure boiler during season

of 160 days. Saved bagasse will be used during the off-season period of about 15 days.

The auxiliary steam consumption for the power plant will be for soot blowing and other auxiliary

consumptions like Steam Jet Air Ejector (SJAE) & Gland Steam Condenser (GSC) at high

pressure, for twin HP heater at medium pressure and for de-aerator at low pressure. The auxiliary

power consumption for the power plant will be about 9% & 9.5% of generation during seasons

and off-season periods, respectively.

The colony power requirement will be met by the cogen power plant, both during season and off

season periods.

The brief design parameters for the cogen plant will be as follows:

Boiler capacity, TPH : 1 x 150

Pressure, kg/cm2 : 110.00

Temperature, C : 540

Turbine capacity, MW : 35

Turbine type : Double extraction - cum

condensing

Season operation, days : 160


12

Off season operation, days : 15

Fuels used for season operation : Mill Bagasse

Fuels used in off season : Saved bagasse

Boiler efficiency, %

- On bagasse : 70.00, 2

Feed water temperature, C : 210

Captive power consumption, % of

generation in season & off-season

: 9 & 9.50

Turbo-generator efficiency, % : 90.00

Sr. No. Item Unit Value

Season Operation

1 Avg. cane crushing TCD 5000

2 Net season days nos. 160

3 Hrs. / day nos. 22

4 Normal cane crushing TCH 227.27

5 Cane crushed Lakh MT 8.00

6 Bagasse generation % cane 30

7 Bagasse generation TPH 68.18

8 Bagasse for bagacillo / handling loss % cane 0.80

TPH 1.82

9 Bagasse available for boiler TPH 66.36

10 Total equivalent bagasse available for

boiler

TPH 66.36

11 Bagasse saved for off season MT 19136

12 Bagasse used by new boiler Kg steam /

kg

2.65

13 Bagasse used by new boiler TPH 55.85

MT 214464

14 Steam generation TPH 148.00

15 Steam consumption TPH

15.1 HP steam @ for SJAE & GSC 0.50 0.74

HP heater I 9.00 13.32

Sub-total 14.06

15.2 MP steam @ 8 kg/cm2

HP heater II 9.00 13.32

Sub-total 13.32

15.3 LP steam @ 2.5 kg/cm2

Sugar process % cane 40.00 90.91

De-aerator 5.00 7.40


13

D/s water addition 2.00 1.97

Sub-total 96.34

15.4 Condensing steam 24.28

15.5 Total 148.00

16 Power generation MW 4.8 31.00

17 Power consumption MW

- Sugar process kWh/TCH 25.00 5.68

- Colony 0.15

- Cogen auxiliaries 9.00 2.79

- Total 8.62

18 Power export

MW 22.38

MUs 85.93

19 Total no. of days / year nos. 175

Off Season Operation

20 Off-season fuel requirement TPH 52.83

No. of days on saved bagasse nos. 15

22 No. of hrs / day nos. 24

23 Steam generation TPH 140.00

24 Steam consumption TPH

24.1 HP steam @ for SJAE & GSC 0.50 0.70

HP heater I 10.00 14.00

Sub-total 14.70

24.2 MP steam @ 8 kg/cm2

HP heater II 10.00 14.00

- Total 14.00

24.3 LP steam @ 3 kg/cm2

- De-aerator 7.00 9.80

- D/s water 2.00 0.20

- Total 9.60

24.4 Condensing steam 101.70

24.5 Total 140.00

25 Power generation MW 4 35.00

26 Power consumption MW

- Cogen auxiliaries 9.50 3.33

- Sugar process 0.10

- Colony 0.15


14

- Total 3.58

27 Power export

- MW 31.43

- MUs 11.38

28 Boiler size (110 kg/cm2 & 540 deg C) TPH 1 150

29 TG size (105 kg/cm2 & 538 deg C) MW 1 35

Water & Condensate Balances

While steam, power and bagasse balances both for season and off season operations of the cogen

power plant have been indicated in section 2.2.5, the water and condensate balances are given in

the following table:

Item Value, TPH

Season Off season

Condensate return from sugar process 86.00 0

Condensate from Steam to de-aerator 7.40 9.80

Blow down flash recovery 0.50 0.40

Condensate from condenser 25.02 102.40

Make up water from DM plant 5.91 1.00

Condensate from HP heater 26.64 28.00

Flow from de-aerator 151.47 141.60

Bagasse / Fuel Balance

The bagasse and fuel balances are indicated in the following table:

Sr. Item Value

No. Season

Off season

1. Crushing rate, TCH 227.27 -

2. Bagasse generation at 30 % on cane,

TPH

68.18 -

3. Bagacillo / handling loss at 0.80 % on

cane, TPH

1.82 -

4. Bagasse available as fuel at 29.20 % on

cane, TPH

66.36 -

5. Total equivalent bagasse available, MT 233600 -

6. Bagasse consumed by new boiler, TPH

(MT)

55.85

(214464)

52.83


15

7. Bagasse saved / available for off

season operation, TPH (MT)

19136

Power Balance

Following table gives the power balance for the season and off-season

Sr. Item Value, MW

No. Season Off

season

1. Power generation, MW 31.00 35.00

2. Power consumption, MW

- Sugar process (@ 25 kW / TCH after mill /

fibrizor drives electrification)

5.68 0.10

- Colony 0.15 0.15

- Cogeneration auxiliaries 2.79 3.33

- Total 8.62 3.58

3. Power export, MW 22.38 31.43

4. Power export at design capacity level, MU 85.93 11.38

5. Total, season + off season MU at design levels 97.31

Based on the qualification criteria of the topping cycle under the MERC tariff order, the

eligibility of the proposed project in season has been worked out as under:

Sr.

No.

Item Value

1. Net Energy Input (A), M Kcal/hr 125.66

(55.85 TPH x 2250 kcal/kg)

2. Electrical power output (B), M

Kcal/hr

26.66

(31 MW x 860 kcal/kWh)

3. Useful thermal output (C) (energy in

the process), M Kcal/hr

59.91

(90.91TPH x 659 kcal/kg)

4. Total energy output (B+ C), M

kcal/hr

86.57

5. 20% of total energy output (D), M

kcal/hr

17.31

6. Evaluation condition (CD) Yes

7. Efficiency, % (B+C/2 / A) 45.05

Note: Hence, the proposed project is eligible under the MERC tariff order and

qualifies under the same.


16

Key performance parameters

The key performance parameters for the cogen power plant are given below:

Sr.

No.

Description Value

1 Steam Generator efficiency, % : 702 on bagasse

2 Steam to Fuel Ratio, kg bagasse / kg : 2.58

3 DEC Turbine efficiency, % : +90%

4 Average Steam to Power Ratio, kg / kW

Season

Off-Season

:

:

4.80

4.00

5 Auxiliary Power consumption, MW (%)

Season

Off-Season

:

:

2.79 (9.00)

3.33 (9.50)

6 Power Generation / Export :

Season–MW/MU’s Generation : 31.00/ 119.04

Export : 22.38 / 85.93

Off-season–MW/MU’s Generation : 35.00 / 12.68

Export : 31.43 / 11.38

Annual Total - MU’s Generation : 131.72

Export : 97.31

7 Exportable Surplus power

(% Generation)

Season : 72.19

Off-season : 89.75

Total : 73.88

4.6 Distillery Unit

4.6.1 Process

The brief manufacturing processes for project component are given below:

The process envisages use of own & B-heavy as well as procured molasses from nearby sugar

factories for manufacture of ethanol during sugar mill season and during off-season days.


17

Cane crushing system

Fermentation system

Distillation & Fuel Ethanol

Effluent treatment system

Following is a brief description of the process:

4.6.2 Cane crushing system

The crushing capacity of sugar mill is 5000 TCD. All the molasses generated in the boiling

house will be stored / utilized for the ethanol plant. The molasses recovered during manufacture

of sugar will be 4.5% of cane. The net generation of the molasses at optimum level of operation

will be 36000 MT. To balance the requirement of molasses, the other nearby sugar mills will be

utilized by PSAPPL.

4.6.3 Fermentation system

The molasses stored in the storage tanks will be supplied to the fermentor, where it will be

diluted partly by water and partly by the effluent produced by the ethanol plant and then

fermented in a continuous fermentation reaction.

4.6.4 Distillation

The fermented wash will be then fed to the distillation column. Here the wash will be distilled to

generate the rectified spirit, which will be sent to the molecular sieve section where rectified

spirit will be converted to ethanol.

The ethanol plant will produce 80000 liters of total spirit per day & 76,000 litres per day ethanol

that will be sold to the oil companies for blending with petroleum products.

4.6.5 Effluent treatment system

The spent wash of a distillery process is a serious problem by way of threat to the environment.

Its volume from continuous fermentation plant is as large as 7.56 TPH for a distillery of 80

KL/day capacity based on multi pressure distillation with integrated evaporator system.

The spent wash evaporation technology is a multiple effect evaporator system in which heat

recovered from one effect is used to concentrate spent wash in second effect evaporator with

continuous recirculation of concentrated spent wash with in the system until desired

concentration is obtained. This entire concentration process is carried out under vacuum leading

to less consumption of steam and maximum concentration of spent wash with in less period of

time.

The concentrated spent wash generated after entire process of evaporation is then sprayed in a

furnace with support fuel bagasse and is then burnt in a boiler.

4.6.6 Choice of Spent wash Treatment System

In order to fulfill the Pollution Norms and to achieve zero Discharge and at the same time to

operate ethanol plant for the period more than 270 days per annum, PSAPPL proposes to go for


18

spent wash Concentration and Incineration Technology simultaneously generating Steam and

Power for the process and Ethanol plant.

With effective utilization of such a technology big hurdle of spent wash disposal will be solved

and distilleries will become zero effluent discharging unit.

4.6.7 Condensate Polishing Unit

The condensate polishing unit is also envisaged to take care of spentlees, cooling tower blow

down, washing and process condensate from evaporation plant. After treatment all the stream at

CPU, water can be recycled to process and as cooling tower make up.

4.6.8 Requirement of Molasses:

The requirement of in –house molasses to run the ethanol plant for at least 160 days as per SDF

norm is 54,468 MT. PSAPPL will utilize 36,000 MT of own molasses and 22.14% or 12,400 MT

of B-heavy molasses required to be diverted, for meeting the shortfall quantity of 18,468 MT of

final molasses.

4.6.9 Use of B-heavy molasses:

The entire process & advantages of Ethanol production by B-heavy molasses route for meeting

the shortfall in the molasses quantity, is explained as below.

There is practically no change in the manufacturing process for Ethanol

production, only the source of molasses is both from low purity molasses

available from C curing of the sugar process and from diversion of

required quantity of B-heavy molasses after B curing.

No need of any additional investment and machinery for this diversion and

meeting the molasses shortfall, except minor piping and accessories

Flexibility for starting & stopping within no time gap, as per the market

position for Sugar or Ethanol

Improvement in sugar quality thereby increasing revenue

Increase in the boiling house capacity to the extent of diversion of B-

heavy molasses, due to increase in consequent pan capacity and reduction

in massecuite % cane

Reduction in steam consumption, resulting in additional bagasse saving

Possibility of storage of B-heavy molasses, in the same final molasses

storage tanks

The calculation of requirement of B-heavy molasses diversion, to meet the molasses shortfall is

given below:

Requirement of Molasses & B Heavy molasses for 160 days

1 Final Molasses required for proposed 80 KLPD Ethanol

plant for 160 days ( 80000/235 x 160), MT

54468


19

2 Present availability of molasses @ 4.5 % on cane for 5000

TCD sugar plant for 160 days ( 5000 x 160 x 4.5 %), MT

36000

3 Shortage of own molasses for proposed 80 KLPD Ethanol

plant ( 1-2), MT

18468

4 B-heavy molasses production from 5000 TCD sugar plant

@ 7% on cane for 160 days. i.e. (5000 x 160 x 7 %), MT

56000

5 Recovery of ethanol from Final molasses, Lits/MT as per

SDF norms

235

6 Recovery of ethanol from B-heavy molasses, Lits/MT

Ethanol Recovery =

(Fermentable Sugar x Ethanol Conversion Factor x

Fermentation efficiency x Distillation efficiency x

Dehydration efficiency ) / Alcohol Strength

Fermentable Sugar = 61 % ,

(based on latest RT 8 ( c ) records giving B heavy molasses

purity and reasonable assumptions thereof, as special

analysis for B heavy molasses is unavailable with the sugar

factory, as no diversion is made till date )

Ethanol Conversion Factor

= Sucrose to Alcohol Factor x 1000 / Alcohol Specific

Gravity

= (0.5111 x 1000 /0.794) = 644

Fermentation efficiency = 90%

Distillation efficiency = 98.5%

Dehydration efficiency = 99.6%

Alcohol Strength = 99.8%

350

7 The quantity of B-heavy molasses (of 65 to 70 TRS)

required to be diverted for meeting balance molasses

requirement ( 18468 x 235 / 350), MT

12400

8 The percentage of diversion of B-heavy molasses, %

(12400 MT/ 56000 MT)

22.14%

4.6.10 Molasses balance:

The total requirement of molasses for the 270 days operation of the proposed ethanol plant at

optimum level of operation will be around 91,915 MT. PSAPPL will utilize 54,468 MT of

own/B-heavy molasses & the balance 37,447 MT of molasses will be procured from nearby

sugar mills.The installed capacity and capacity utilization levels for ethanol plant and respective

annual requirement of molasses have been shown in the following table:

Sr. Particulars Projected


20

No. 2016-

17

2017-

18

2018-

19

2019-

20

100%

capacity

Utilizatio

n

1 Estimated annual crushing in LMT 8.00 8.00 8.00 8.00 8.00

2 Molasses recovery, % cane 4.50 4.50 4.50 4.50 4.50

3 Production of own molasses, MT 36000 36000 36000 36000 36000

4

Installed Capacity of Ethanol

Plant, KLPD 80 80 80 80 80

5

Ethanol yield from cane molasses

as per SDF Norm, lit/MT 235 235 235 235 235

6

Requirement of Molasses for 80

KLPD Ethanol Plant for 160 days,

MT 54468 54468 54468 54468 54468

7 Capacity Utilization, % 80% 85% 90% 95% 100%

8



MT 43574 46298 49021 51745 54468

9

Deficit of molasses for 160 days,

MT -7574 -10298 -13021 -15745 -18468

10

Recovery of ethanol from B-heavy

molasses, Lits/MT 350 350 350 350 350

11

Requirement of B-heavy molasses,

MT 5086 6914 8743 10571 12400

12



MT 73532 78128 82723 87319 91915

13

Molasses procured from nearby

sugar mills for 270 days, MT 29957 31830 33702 35574 37447


21

SITE DETAILS AND INFRASTRUCTURE

5.0 Project Site, Key Features

5.1 Site Location

Village Selu

Taluka Gevarai

District Beed

Nearest Taluka Gevarai, 25 Km

Nearest Water Source Godavari River, 10 Km

Nearest Electrical Substation 132 kV, located at Gevarai at 20 Km

Required land is available at the project site and is owned by PSAPPL

The site is easily accessible by road,The site is located at Village Village Selu, PO

Jategaon, Taluka Gevarai, Dist. Beed, Maharashtra, which has very good ground water

availability and is near to the perennial source of water

The cane availability and potential in the command area is excellent and will ensure

sustained cane availability.

The off season non-fossil fuel requirements for the cogen power plant can be easily met

by saved bagasse. The evacuation of exportable surplus power from the cogen plant will

have to be made through the Gevarai substation 132 kV of MSEDCL, which is 20 km

away from the site.

The plant will operate on own & procured molasses

5.2 Infrastructure

The site has easy access to latest communication and other social infrastructure facilities,

including telecommunication, schools and colleges, medical & health facilities, commercial

infrastructure, etc. at Gevarai, which is a Taluka Headquarter.

There are no major mountains in the command area. The rest of the command area is by and

large plane, with good fertile soil.

The Climate of the district is characterized by a hot summer and general dryness throughout the

year except during the south-west monsoon season, i.e., June to September. The temperature

rises rapidly after February till May, which is the hottest month of the year. The mean daily

maximum temperature during May is 42.0°C and the mean daily minimum temperature during

December is 12.0°C.The normal annual rainfall (1901-1996) varies from about 600 to 800 mm.

It is minimum in the western part around Ashti and gradually increases towards east and reaches

maximum around Majalgaon.

These climatic conditions and the nature of the soil make the area ideally suitable for cotton,

jowar, soyabean, bajra, gram, tur, sugarcane and wheat.


22

The construction power can be easily made available from MSEDCL. The surplus power

generated during crushing season as well as off-season will be evacuated to Gevarai substation of

MSEDCL located at about 20 km from site.

The process steam required at 8 kg/cm2 for cogen plant and 2.5 kg/cm2 for the sugar plant during

season will be supplied by the cogen power plant. The high pressure, medium pressure and low-

pressure steam required for cogen auxiliaries will also be met. The power requirement for sugar

process during season, for cogen auxiliaries and colony will have to be met from the cogen plant.

The steam and power cycle has been designed accordingly.

The cogeneration plant requires compressed air, both for instrumentation and for servicing,

which is generated by installing the air compressors of the required capacity, as part of the cogen

power plant.

The process steam & power required at 3.5 kg/cm2 for the proposed ethanol plant which will be

met through 32 TPH, 45 kg/cm2 slop fired boiler and matching 4 MW turbine.

5.3 Manpower

The skilled manpower required for operation of sugar and cogen power plants will be easily

available from Gevarai & Beed city. PSAPPL will require about 455people for operation of

proposed integrated project. PSAPPL is in a process of appointing required manpower and has

already appointed key top management positions for the purpose.

5.4 Effluent Disposal

Due care will be taken in design, implementation and operation of the captioned integrated

project for satisfactory disposal and effective utilization of plant effluents, waste water and

colony waste water. Scientific treatment will be given to ensure that waste water from all sources

needs the norms stipulated by the Maharashtra State Pollution Control Board (MPCB).

5.5 Raw Materials

5.5.1 Sugarcane availability

Proposed sugar plant of 5000 TCD installed capacity requires about 8.00 lakh MT of

sugarcane. Considering the capacity utilization, 6.40 lakh MT of sugarcane in the first

year of operation, 6.80 lakh MT in the 2nd

year, and 7.20 lakh MT from the 3rd

year

onwards shall be required.

Presently, after meeting the cane requirement of existing sugar factories, 12.10 lakh MT

surplus cane will be available for PSAPPL. The irrigation & climatic conditions are quite

conducive. Considering this situation & long term cane development program being

adopted by PSAPPL, the proposed project will not have any difficulty for making the


23

required sugar cane available for crushing for the proposed capacity. (Refer Cane Survey

Report for availability of sugarcane in the command area)

5.5.2 Raw Materials for Cogen Power Plant

As indicated in the steam / power cycle design, the total bagasse available from the sugar

mill, from cane crushing of 8.00 lakh MT, as fuel, will be 2,40,000 MT ( TPH for 24

hrs/day and 160 days / season after deducting bagacillo & handling losses), out of this

2,33,600 MT (66.36TPH) will be utilized by the cogen plant boiler, leaving saved

bagasse of about 19,136 MT for the off season operation.

For off season operation of 15 days, saved bagasse of 19,136 will be used.

Therefore no difficulty envisaged in getting fuel for cogen plant for 175 days of

operation.

5.5.3 Raw Materials for Fuel Ethanol Plant

The total requirement of molasses for the 270 days operation of the proposed ethanol

plant at optimum level of operation will be around 91,915 MT. PSAPPL will utilize

54,468 MT of own/B-heavy molasses & the balance 37,447 MT of molasses will be

procured from nearby sugar mills.

It is concluded that PSAPPL can easily generate the required quantity of molasses and

procured molasses from nearby sugar mills to operate plant for 270 days.

5.6 Utilities & Consumables

Water and power are the main utilities required for operating the integrated project.

Water will be drawn from Godavari River, perennial source of water at a distance of

about 10km from the site. Therefore no difficulty envisaged in terms of availability of

water required for the proposed sugar complex. Power required for construction and in

case of shut down of plant will be drawn from the MSEDCL grid.

The consumables required for operation of sugar plant include sugar bags, laboratory and

ETP chemicals, oils / lubricants and other chemicals for the machinery and processing,

etc.

The consumables required for operation of ethanol plant include, laboratory and

chemicals, oils / lubricants and other, etc.

The consumables indicated above will be available in substantial quantities from nearby

Gevarai town, and no difficulty will be envisaged.

Conclusions

Over all, the project is well conceived and conceptualized, with sound commercial viability. The

expected financial returns are quite satisfactory. The project is being implemented by promoters


24

having requisite background and experience and with proposed employment of experienced

professionals, experts and consultants. All perceived risks have adequate safe guards. The project

is recommended for equity participation and lending by financial institutions.

pre-feasibility report for 5000 tcd sugar plant 35 mw … · 2016. 2. 26. · pre-feasibility...

Documents