United States Environmental Protection Agency Hazardous Waste Engineering Research Laboratory Cincinnati, OH 45268 Research and Development EPA/600/S2-85/013 Apr. 1985 Project Summary Preliminary Assessment of Costs and Credits for Hazardous Waste Co-Firing in Industrial Boilers R. McCormick and L. Weitzman The full report provides preliminary information on the costs and credits associated with hazardous waste co- firing in industrial boilers. The main objective is to identify and evaluate the costs/credits inherent in current hazardous waste co-firing practices, plus the additional costs that may be incurred as a result of more stringent emissions limitations. An overview of current hazardous waste/industrial boiler co-firing prac- tices is provided. This overview ad- dresses the type of waste now being disposed of in boilers, the generic designs and capacities of boilers now employing waste co-firing, and the types of air pollution control device (APCD) retrofits that may be required in the advent of air emissions regula- tions. Parametric cost estimate methods are provided for: (1) waste handling equipment addition, (2) com- bustion system retrofit, (3) APCD retrofit, (4) incremental O&M costs, and (5) fuel savings and waste disposal credits. The cost estimating approach is designed to account for differences in waste characteristics, boiler design, capacity, and waste/fuel co-firing ratio. Finally, cost/credit calculations are presented for two hypothetical waste co-firing scenarios. These calculations are presented to illustrate how the infor- mation provided in this report can be used; no conclusions concerning the economy of waste co-firing are in- tended. This Project Summary was developed by EPA's Hazardous Waste Engineering Research Laboratory, Cin- cinnati, Ohio, to announce key find- ings of the research project that is ful- ly documented in a separate report of the same title (see Project Report ordering information at back). Introduction The practice of burning hazardous wastes in industrial boilers has become in- creasingly popular over the past decade. The reasons for this trend are two-fold: (1) increased prices for conventional • fuels, favoring waste substitution or co- firing as a means of reducing fuel ex- penditures, and (2) stricter environmental regulations and higher costs for hazardous waste disposal by conventional methods, pro- moting waste co-firing as a means to eliminate or reduce waste disposal costs. Two regulatory actions in particular have favored boiler co-firing as a hazard- ous waste disposal alternative. The first such action was the virtual ban on liquid waste landfilling which promoted thermal destruction (in incinerators, boilers, ce- ment kilns, etc.) as a favored disposal method for hazardous organic liquids. The second regulatory action favoring boiler co-firing was the promulgation of emis- sions limitations for incinerators burning hazardous wastes. Since 1980, hazardous waste incinerators have been subject to Destruction and Removal Efficiency (DRE) requirements for hazardous organic con- stituents of the waste, paniculate emis- sion limitations, and HCI removal re- quirements. No such regulations have been imposed on boilers burning hazard- ous wastes. ------- In order to assess the need for and im- pacts of regulations governing hazardous waste co-firing in boilers, the United States Environmental Protection Agency (EPA) is currently conducting a Regulatory Impact Analysis (RIA) study. One of the major elements of this pro- gram is an economic assessment of the impacts of boiler performance standards and associated air pollution control re- quirements. The study addressed in this project summary is intended to provide preliminary cost/credit information for current boiler co-firing practices. As such, it serves as a precursor to the economic impact assessment phase of the RIA. Objectives and Scope The underlying objective of the study was to provide a preliminary evaluation of the costs and credits associated with hazardous waste co-firing in industrial boilers. Specific objectives are as follows: (1) Identify the major waste/boiler co- firing scenarios that need to be ad- dressed for the purposes of the RIA. This is basically an assessment of cur- rent and probable future co-firing practices. (2) Identifying the major costs and credits associated with boiler conversion to waste co-firing, including capital re- quirements for boiler retrofit, in- cremental O&M costs, fuel savings credits, and credits for elimination of alternative waste disposal costs. (3) Develop preliminary cost data for the major and most probable boiler retrofit activities, including possible addition of air pollution control equipment. (4) Develop a parametric approach to estimate retrofit costs, incremental O&M costs, and credits so that cost/credit tradeoffs can be projected as a function of waste type, waste: fuel co-firing ratio, boiler design and capacity, and potential air pollution control requirements. Due to the preliminary nature of the study, none of the objectives are ad- dressed in a completely thorough or rigorous manner. The goal is simply to provide a basis for initial decision-making and more detailed future study. Co-Firing Scenarios Evaluated The range of hazardous waste co-firing scenarios addressed in the study is necessarily limited in terms of waste type, boiler design characteristics, capacity, and waste: fuel co-firing ratios. The evaluation is limited to those scenarios that best represent current practice and probable future practice. Waste Characteristics As a starting point, the evaluation is limited to hazardous organic liquid waste co-firing. This limitation is imposed because organic liquids are the prime can- didates for boiler co-firing. Second, the economic evaluation is based on on-site generation of the organic liquid wastes being co-fired. The third major assump- tion is that the majority of wastes co-fired in industrial boilers possesses desirable fuel properties. Heating values are as- sumed to be greater than or equal to 8,000-10,000 Btu/lb, such that the waste will support combustion. Water, ash, and halogen contents are also assumed to be reasonably low. Finally, reasonable mid- range waste: primary fuel co-firing ratios are considered. The range is 10-50% waste with primary fuel, with the percent- age based on gross heat input. Boiler Designs and Capacities The basic boiler designs considered in the study are those characteristic of the industrial size range (up to 250,000 Ib/hr steam) originally designed to burn natural gas, distillate oil, residual oil, or a com- bination of these fuels. The three most common design types, addressed in the study, are as follows: 1. Scotch firetube, N-pass design, packaged boilers for natural gas, distillate oil firing. Single burner design, with no economizer for air heater. Typical capacities are 10,000 to 30,000 Ib/hr steam, up to 50,000 Ib/hr steam. Saturated steam up to 150 psig. 2. Watertube design for natural gas, distillate oil, gas/distillate, or gas/distillate/residual oil firing (with oil preheat equipment). Single or multiple burner design. Steam capacities of 20,000 to 100,000 Ib/hr saturated at 125 to 250 psig design rating. Economizers not atypical at more than 50,000 Ib/hr steam, but air heaters rare. 3. Watertube design with multiple burners for gas/oil firing. Steam capacities of 100,000 to 250,000 Ib/hr and up, with turbogenerator steam pressures and superheat in the larger size ranges. Economizers typical, and possibly air heaters. These boiler designs are most common (and compatible) for liquid waste co- firing, although a limited number of coal- fired boilers are also being used to co-fire hazardous liquids. Both stoker and pulverized coal-fired boiler conversion for waste co-firing are addressed to a minor extent. Findings Capital Requirements For Boiler System Retrofit As indicated in the preceding section, one of the baseline assumptions of this study is that boilers co-firing hazardous wastes are originally designed to burn one or more conventional fossil fuels—natural gas, or oil. Therefore, an initial capital in- vestment is required to retrofit a boiler for waste co-firing. This capital investment can be divided into three components: (1) addition of waste storage and feeding equipment, (2) boiler modification to accommodate the waste fuel, and (3) air pollution control device addition for particulate/HCI removal, if re- quired by regulation. The direct capital cost requirements for boiler retrofit were broken out as follows: • Waste handling equipment Tanks (installed) Pumps (installed) Piping (installed) Filters (installed) • Burner system modification Equipment Installation • APCD additions Equipment Installation Engineering designs and cost data are provided on waste storage tanks and transfer lines, as well as boiler nozzles, complete burner assemblies, and burner assembly plus blower and controls. Design specifications and cost for elec- trostatic precipitators, baghouses, and venturi scrubbers/acid gas adsorber systems are also given. To determine design characteristics of air pollution con- trol devices (APCD) it was assumed that the boilers would have to meet standards for paniculate and hydrogen chloride emissions that were comparable to those hazardous waste incinerators. Cost multipliers are provided for estimating the following indirect cost: engineering and supervision, construction and field expense, construction fee, start- up, and contingency. Incremental O&M Cost Incremental O&M costs for boiler operation are likely whenever waste, rather than fuel, is burned. These in- ------- cremental costs can include increased consumption of electric power and water, higher costs for maintenance and residue disposal; add-on costs for scrubbing chemicals, liquid nitrogen, and waste analysis, plus capital recovery charges. The full report identifies how boiler retrofit affects each of these cost com- ponents and provides typical units costs for estimating incremental cost increases. Incremental O&M costs for waste co- firing in boilers are provided for each of the following categories: power, water, caustic, liquid nitrogen, ash disposal, semivariable costs, operating labor, maintenance, waste analysis, fixed costs, capital recovery, and taxes and insurance. Credits Finally, the study provides a methodology for estimating the credits associated with co-firing hazardous wastes. This includes the obvious fuel savings, plus elimination of certain on-site and/or contractor costs for disposal of the waste. These credits fall into two categories: reduced fuel requirements (due to substitution of waste for fuel), and elimination of waste disposal costs. Cost/Credit Summary Based on total capital investment, an- nual O&M costs and annual credits the net annual credit or cost of co-firing with hazardous waste in boilers can be deter- mined. Using the annual waste throughput, an annual unit credit (or cost) can be determined in dollars per pound of waste fired. Example Cases The full report presents cost/credit evaluations for two hypothetical co-firing scenarios. These evaluations are intended to demonstrate how the information presented earlier in this report can be used to assess the economics of hazard- ous waste co-firing for specific situations. Although the results indicate that co-firing is profitable in both cases, no generaliza- tion concerning co-firing economics is in- tended. Case A The subject of this evaluation is a large chemical intermediates plant located in the midwestern U.S. Among the many wastes and byproducts generated in this plant is a 2,000 Ib/hr, 14 million Ib/yr methacrylate bottoms stream with a higher heating value of 12,000 Btu/lb. This waste is currently disposed at a near- by commercial incineration facility at a cost of 4 cents/lb. Other than its 1% ash content, however, this waste is a prime candidate for co-firing in the plant boiler facility. This case study addresses the in- cremental costs and credits associated with the switch from off-site disposal to on-site boiler co-firing. Tables 1 and 2 present the pertinent technical and cost information in summary form; the follow- ing subsections discuss the methods and assumptions used to develop this informa- tion, including the final cost/credit projec- tions. From this hypothetical case, waste co- firing is an attractive alternative to off-site waste disposal. The fuel savings alone provide a net credit of nearly $700,000/yr. Including waste disposal cost elimination, the annual savings is $1.2 million. This yields a payback period of less than 1 year for the initial $1 million investment. Table 1. Case A—Boiler Design and Operating Characteristics Parameter Basic design Burner system APCD system Waste storage Steam pressure, psig Steam capacity, Kflblhr Ave. steam load, KPIb/hr Heat output, 10'Btu/hr Mass feed rate, Ib/hr Fuel Waste Total Volumetric feed rate, gph Fuel Waste Heat input, 10*Btu/hr Fuel Waste Total Heat input, with waste, % Boiler efficiency, % Excess air, % Fuel Waste Total air flow, Jff'lb/hr Combustion gas temp., °Fa Combustion gas flow, 1O*lb/hr 10* acfrrf 103 dscfm Paniculate loading, gr/dscf ESP inlet ESP outlet" Required removal efficiency, % Annual on-stream time, hrs/yr Baseline fuel firing Watertube, balanced draft. with economizer 4 single register gas/ oil None None 250 sat 100.0 80.0 81.1 5,096 0 5,096 637 0 94.3 0 94.3 0 86.0 10 — 77.8 350 84.0 28.5 16.2 — — — 7000 Waste co-firing same same ESP (insulated) 1-5000 gal tank 250 sat 99.4 80.0 81.1 3,836 2,000 5,836 480 263 71.0 24.0 95.0 25.3 85.4 10 25 80.5 350 87.4 29.8 16.8 0.14 0.03 78.4 7000 "Economizer outlet temperature. bApplicable paniculate standard. Table 2. Case A—Overall Cost/Credit Summary Item Cost/credit Total capital investment Annual O&M costs Annual credits Fuel savings Waste disposal elimination Total credit Net credit Annual waste throughput Unit credit $1,000,000 $ 258,000 $ 937,000 $ 560,000 $1,497,000 $1,239,000 14,000,000 Ib $0.0885lib ------- Case B The subject of this evaluation is a small chemical processing plant, also located in the Midwest. This plant generates approx- imately 500 Ib/hr (65-70 gph) of liquid waste, primarily methanol and dirty solvents, along with a larger quantity of solid waste. Both the liquid and solid wastes are currently disposed off-site at an average cost of 5 cents/lb. However, the liquid waste is a reasonably good can- didate for boiler co-firing, despite the- fact that it contains some chlorine and ash. Tables 3 and 4 summarize the technical information, retrofit costs, annual O&M costs, and credits associated with co- firing this waste is an on-site boiler for process steam generation, as an alter- native to off-site disposal. In this hypothetical scenario, waste co- firing is an attractive alternative to off-site disposal assuming that no significant boiler maintenance problems are en- countered. The net annual credit is nearly $200,000, providing a payback period of 14 months for the initial $230,000 invest- ment. However, the payback based on fuel savings alone is marginal; less than $20,000/yr or 8.3% return on investment. This might not justify the initial capital in- vestment if the waste was initially being burned in an on-site incinerator, rather than disposal off-site. Table 3. Case B—Boiler Design and Operating Characteristics Parameter Baseline fuel firing Waste co-firing Basic design Burner system APCD system Waste storage Steam pressure, psig Steam capacity, lO'lb/hr Ave. steam load, KPIb/hr Heat output, IPBtu/hr Mass feed rate, Ib/hr Fuel Waste Total Volumetric feed rate Fuel, JPscfh Waste, gph Heat input, 10*Btu/hr Fuel Waste Total Heat input, with waste, % Boiler efficiency, % Excess air, % Fuel Waste Total air flow, lO'lb/hr Combustion gas temp., °F Boiler exit APCD exit Combustion gas flow, lO'lb/hr Boiler exit APCD exit Combustion gas flow, KPacfm Boiler exit APCD exit Combustion gas flow, Iffidscfm Paniculate loading, gr/dscf Boiler exit APCD exif Required removal efficiency, % HCI removal efficiency, % Annual on-stream time, hrs/yr Firetube, forced draft 1 gas only None None 125 sat 10.0 9.0 9.04 547 0 547 11.9 0 11.9 0 11.9 0 75.8 9.03 550 9.70 4.33 1.80 7000 same 1 gas/liquid fuel Wet scrubber 1-5000 gal tank 125 sat 9.9 9.0 9.04 325 500 825 7.07 66.7 7.07 5.0 12.07 41.4 74.9 5 20 9.48 550 155 (sat) 10.4 11.5 4.62 3.27 1.92 0.15 0.03 80.0 99.0 7000 'Applicable standard. Table 4. Case B— Overall Cost/Credit Summary Item Total capital investment Annual O&M costs' Annual credits Fuel savings Waste disposal elimination Total credit Net credit Annual waste throughput Unit credit Cost/credit $ 230.000 t 146,000 $ 165,000 $ 175,000 $ 340,000 $ 194,000 3,500,000 Ib $0.0554/11) 'Does not include maintenance costs, if any, arising from boiler tube fouling or HCI corrosion. ou.S.Government Printing Office: 1985 — 559-111/10817 ------- ------- R. McCormick andL. Weitzman are withAcurex Corporation. Mountain View, CA 94039. Benjamin L. Blaney is the EPA Project Officer (see below). The complete report, entitled "Preliminary Assessment of Costs and Credits for Hazardous Waste Co-Firing in Industrial Boilers," (Order No. PB 85-172 575/AS; Cost: $ 10.00, subject to change) will be available only from: National Technical Information Service 5285 Port Royal Road Springfield. VA 22161 Telephone: 703-487-4650 The EPA Project Officer can be contacted at: Hazardous Waste Engineering Research Laboratory U.S. Environmental Protection Agency Cincinnati, OH 45268 United States Environmental Protection Agency Center for Environmental Research Information Cincinnati OH 45268 BULK RATE POSTAGE & FEES PAII EPA PERMIT No. G-35 Official Business Penalty for Private Use $300 ------- |