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STEP4: GSELECTING CLEANER PRODUCTION OPTIONS

It is necessary to carry out a detailed feasibility study on technical, economical and environmental aspects for the more complicated cleaner production options,  

Technical feasibility

Some of the aspects that should be covered during the technical feasibility are:

  • Product quality;
  • Production capacity;
  • Space requirements;
  • Close-down-time during installation;
  • Compatibility with the existing equipment;
  • Operation and maintenance requirements;
  • Need for training; and
  • Occupational health and safety aspects.

  Financial viability

 

The financial viability should be calculated on basis of the expected investments and the expected savings.

Some methods for appraising the financial feasibility are:

 Profit comparison: based on the income and the savings of each alternative;

  • Return on Investment: relates the profits with the invested capital;
  • Payback period;
  • Net Present Value (NPV); and
  • Internal Rate of Return (IRR).

  The payback period is commonly used because it is easy and fast to calculate. For cleaner production options that require big investment it is necessary to make a more detailed economical analysis, e.g. NPV and IRR.

 

Environmental feasibility

 For most options the environmental feasibility is obvious; however, it should be evaluated whether any negative environmental impacts exceed the positive aspects.

 

Select options for implementation  

The results of the technical, financial and environmental evaluation have to be combined in order to select the best options. This can be done using the weighed sum method.