Techno-economic modeling (TEM) is a valuable tool for connecting R&D, engineering, and business. By linking process parameters to financial metrics, businesses can better understand the factors affecting the profitability of their projects.
TEM is useful throughout the technology development lifecycle. While considering new ideas, innovators can use TEM to assess economic feasibility and potential. At the bench scale, scientists can use TEM to identify the process parameters that have the greatest effect on profitability. During process development, engineers can use TEM to compare the financial impact of different process conditions and configurations. TEM incorporates information from all these stages of development, and offers a basis for making objective decisions.
The individual techniques used in TEM are familiar to chemical engineers. Process modeling, equipment sizing, and economic calculations are covered in numerous resources. This article will show you how to integrate and leverage these techniques in a single, holistic model.