Utilizing biodiesel from non—edible resources replacing diesel in power generation sector would reduce significant amount of carbon footprint. Biodiesel has lower carbon monoxide (CO) and carbon dioxide (CO2) providing large environmental benefits. This paper aims to study economic feasibility of applying Callophyllum Innophyllum (CI) biodiesel in power generation sector replacing diesel by varying economic factors. Although CI has advantages in technical aspects high production cost due to limited supply still is a disadvantage to CI biodiesel commercialization. A techno-economic assessment for biodiesel production is studied from feedstock acquisition till biodiesel consumption by analyzing its payback period and internal rate of return (IRR). The result shows that CI biodiesel is a feasible option considering influence of selling price, tax incentives as well glycerol selling price.
Keywords renewable energy resources, technoeconomic feasibility, non-edible biodiesel, biodiesel for power generation