Analysis of financial and economic feasibility of the use of vinasse for electricity generation in Brazil

• Autor(a) principal: Araujo, Geraldo Jose Ferraresi de
• Data de Publicação: 2020
• Outros Autores: Oliveira, Sonia Valle Walter Borges de
• Tipo de documento: Artigo
• Idioma: por; eng
• Título da fonte: Cadernos EBAPE.BR
• Texto Completo: https://periodicos.fgv.br/cadernosebape/article/view/82700
• topic: Vinasse; Electricity; Financial and economic feasibility; Electricity market; Public auctions of electricity; Vinaza; Electricidad; Viabilidad económica y financiera; Mercado de electricidad; Subastas públicas de electricidad; Vinhaça; Eletricidade; Viabilidade econômica financeira; Mercado de eletricidade; Leilões públicos de eletricidade

In view of the growing importance of distributed generation, the pluralization of the energy matrix close to large consumption centers has become necessary. In this sense, the energy sector can contribute to electricity generation using waste products such as vinasse, the most relevant in terms of volume and polluting capacity. The general objective of this article is to analyze the economic feasibility of using vinasse for electricity generation, and as a specific objective, to identify the viable price range of MWh in free and regulated energy environments and the productive capacity of plants for this type of investment. The methodology used was quantitative research, based on the cost structure of a biodigester IC internal combustion engine with 38% yield and vinasse logistics according to the production capacity of autonomous plants of 100 m3, 1,000 m3, and 3,000 m3 ethanol/day for scenarios with and without tax exemptions for a price range between US$ 26.04 and US$ 130.20/MWh. The analysis shows that the use of vinasse for electricity generation is restricted to medium and large producers. Furthermore, the price of MWh is more relevant than the tax exemption for the feasibility of this type of project. This corroborates the constant requests from the sugar-energy sector to hold exclusive electricity auctions for biomass, given its cost structure and its social, economic, and environmental externalities.