Economic Feasibility of Rice Straw based Power Generation in Malaysia
Keywords:Economic, Rice straw, Power generation, Malaysia
Malaysia provides a potential in utilising rice straw for electricity generation. However, its implementation is still far away due to the information leak on the financial aspect for local conditions. This paper evaluates the economic feasibility of rice straw life cycle in electricity generation, starting with rice straw collection to electricity generation in Malaysia. For an assumption of 20 years, the cost of electricity generated (COE) is between RM0.72/kWh and RM0.53/kWh for 20 MW to 500 MW respectively. A sensitivity analysis on financial feasibility shows that the most influential parameter to NPV is the sales price. The result from the study will help policy makers obtain the right information regarding the economic potential of rice straw as a fuel in electricity generation in Malaysia.
 IEA. Renewable energy 2009;Statistics and Balances. 2012 [cited 2012 19 March]; Available from: http://www.iea.org/stats/index.asp.
 Y. L. Chiew , T. Iwata, and S.Shimada, System analysis for effective use of palm oil waste as energy resources. Biomass and Bioenergy, 2011. 35: p. 2925-2935.
 A. Kumar, J. B. Cameron, and P. C. Flynn, Biomass power cost and optimum plant size in western Canada. Biomass and Bioenergy, 2003. 24(6): p. 445-464.
 A.V.Bridgwater, A.J.Toft, and J.G.Brammer, A techno-economic comparison of power production by biomass fast pyrolysis with gasification and combustion. Renewable and Sustainable Energy Reviews, 2002. 6: p. 181-248.
 T. P.Upadhyay, et al., Economic feasibility of biomass gasification for power generation in three selected communities of northwestern Ontario,Canada. Energy Policy, 2012. 44: p. 235-244.
 M. K. Delivand, et al., Economic feasibility assessment of rice straw utilization for electricity generating through combustion in Thailand. Applied Energy, 2011. 88: p. 3651-3658.
 M. Hiloidhari and D.C. Baruah, Crop residue biomass for decentralized electrical power generation in rural areas (part 1): Investigation of spatial availability. Renewable and Sustainable Energy Reviews, 2011. 15: p. 1885-1892.
 M. Jungingera, et al., Technological learning in bioenergy systems. Energy Policy, 2006. 34: p. 4024â€“4041.
 In-Ae Yeo and J.-J. Yee, A proposal for a site location planning model of environmentally friendly urban energy supply plants using an environment and energy geographical information system (E-GIS) database (DB) and an artificial neural network (ANN). Applied Energy, 2014. 119: p. 99-117.
 Statistics Department, Social and Demography Statistic, 2013, Department of Statistics, Malaysia Official Website: Kuala Lumpur.
 Sabri, Interview of Logistics cost analysis (B-II) area, 2012: MADA Jerlun, Northern region of Malaysia.
 Malik, Interview of logistics cost analysis (F-IV) area, 2012: F-IV
 Yanwei Sun , et al., Spatial planning framework for biomass resources for power production at regional level: A case study for Fujian Province, China. Applied Energy, 2013. 106: p. 391-406.
 Annette Evans, Vladimir Strezov , and T.J. Evans, Sustainability considerations for electricity generation from biomass. Renewable and Sustainable Energy Reviews, 2010. 14: p. 1419â€“1427.
 J.Leboreiro and A. K.Hilaly, Biomass transporation model and optimum plant size for the production of ethanol. Bioresource Technology, 2011. 102: p. 2712-2723.
 G. Rendeiro , et al., Analysis on the feasibility of biomass power plants adding to the electric power system - Economic, regulatory and market aspects - State of ParÃ¡, Brazil. Renewable energy, 2011. 36: p. 1678-1684.