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The Cogeneration Potential of the Sugar Industry in Vietnam

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  • Subhes C. Bhattacharyya
  • Dang Ngoc Quoc Thang

Abstract

Vietnam produces about 15 million tons of sugarcane per year and about five mt of bagasse. There is the potential for cogeneration using bagasse, which can also help overcome power shortages in the country. This paper analyses the potential for cogeneration from the sugar industry in Vietnam under three different scenarios and finds that between 100 and 300 megawatts of power‐generating capacity could be supported by the bagasse generated from sugar mills, depending on the technology considered for sugar mills and cogeneration and the possibility of renovation of the existing mills. The paper also assesses the expense of cogeneration and finds it to be a cost‐effective option for all types of sugar mill. It is found that the cost savings from cogeneration would more than offset the cost of introducing cogeneration in sugar mills with inefficient caneprocessing technologies. Sugar mills with modern technologies would have a significant amount of excess power and most of these plants would break‐even if they sold excess power at around 4.5 cents per kilowatt hour. The break‐even cost and the average production cost are sensitive to the investment cost assumptions. The paper thus suggests that cogeneration from the sugar industry is an attractive option for investors in existing mills or new sugar mills alike.

Suggested Citation

  • Subhes C. Bhattacharyya & Dang Ngoc Quoc Thang, 2004. "The Cogeneration Potential of the Sugar Industry in Vietnam," OPEC Energy Review, Organization of the Petroleum Exporting Countries, vol. 28(1), pages 63-80, March.
  • Handle: RePEc:bla:opecrv:v:28:y:2004:i:1:p:63-80
    DOI: 10.1111/j.0277-0180.2004.00079.x
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    1. Wajahat Ullah Khan Tareen & Zuha Anjum & Nabila Yasin & Leenah Siddiqui & Ifzana Farhat & Suheel Abdullah Malik & Saad Mekhilef & Mehdi Seyedmahmoudian & Ben Horan & Mohamed Darwish & Muhammad Aamir &, 2018. "The Prospective Non-Conventional Alternate and Renewable Energy Sources in Pakistan—A Focus on Biomass Energy for Power Generation, Transportation, and Industrial Fuel," Energies, MDPI, vol. 11(9), pages 1-49, September.

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