Cpde 2

Chemical Process Design and
Economics (CPDE)
6th Semester,
B.Sc. Chemical Engineering
Delivered by:
Dr Usman Ali
Department of Chemical Engineering

University of Engineering & Technology, Lahore
Introduction
Chemical engineering design of
new chemical plants and the
expansion or revision of existing
ones require the use of
engineering principles and
theories combined with a
practical realization of the limits
imposed by industrial
conditions.
2
Introduction
• A successful chemical engineer needs more than a knowledge and

understanding of the fundamental sciences and the related
engineering subjects.
• The engineer must also have the ability to apply this knowledge to
practical situations.
• Recognition of the economic, environmental, and ethical implications.
• Design of new chemical plants and the expansion or revision of
existing ones.
• Development of a new process or plant from concept evaluation to
profitable reality often is a very complex operation.
Design Steps
1. Inception
2. Preliminary evaluation of economics and market
3. Development of data necessary for final design
4. Final economic evaluation
5. Detailed engineering design
6. Procurement
7. Erection
8. Startup and trial runs
9. Production
4
Chemical engineering plant design
• Plant design includes all engineering aspects involved in the

development of a new, modified, or expanded commercial
process.
• Design engineer……. Process design
• Cost engineer……. Process engineering
• One individual cannot be an expert in all the phases involved in
plant design.
• If the overall design project is to be successful, close teamwork
is necessary among the various groups of engineers.
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The chemical engineer is

many times referred to
here as a design engineer.
PROCESS DESIGN
DEVELOPMENT
• Inception of the basic idea.

• Originate new process or modify an
existing process.
• The process-research phase.
• Pilot plant or a commercial
development plant.
• Complete market analysis.
• Complete cost-and-profit analysis.
7
• Plant location
• Plant layout
• Materials of construction
• Structural design
• Utilities
GENERAL • Buildings
OVERALL DESIGN • Storage
CONSIDERATIONS • Materials handling
• Safety
• Waste disposal
• Federal, state, and local laws or
codes
8
Process Design Development
1. Recognize a societal or engineering need.

• Make a market analysis if a new product will result.
2. Create one or more potential solutions to meet this need.
• Make a literature survey and patent search.
• Identify the preliminary data required.
3. Undertake preliminary process synthesis of these solutions.
• Determine reactions, separations, and possible operating conditions.
• Recognize environmental, safety, and health concerns.
4. Assess profitability of preliminary process or processes (if negative, reject process and
create new alternatives).
5. Refine required design data.
• Establish property data with appropriate software.
• Verify experimentally, if necessary, key unknowns in the process.
6. Prepare detailed engineering design.
• Develop base case (if economic comparison is required).
• Prepare process flowsheet.
• Integrate and optimize process.
• Check process controllability.
• Size equipment.
• Estimate capital cost.
7. Reassess the economic viability of process (if negative, either modify process or investigate other process
alternatives).
8. Review the process again for environmental, safety, and health effects.
9. Provide a written process design report.
10. Complete the final engineering design.
• Determine equipment layout and specifications.
• Develop piping and instrumentation diagrams.
• Prepare bids for the equipment or the process plant.
11. Procure equipment (if work is done in-house).
12. Provide assistance (if requested) in the construction phase.
13. Assist with start-up and shakedown runs.
14. Initiate production.
The services of a chemical engineer as a design engineer are needed in

each step of the design procedure, either in a central creative role or as
a key adviser.
Flowsheet
Development
Once a need has been identified, the chemical engineer creates
one or more solutions to meet this need.
These solutions generally consist of different process steps and

operating conditions, thus chemical engineer must establish
separate flowsheets or road maps for each solution.
A computer-aided process simulator is used to evaluate the

most promising flowsheet/solution (development of base-case
designs).
The results of these algorithmic will identify the flowsheet that

should be developed (Flowsheets that provide a favorable gross
profit are retained; the others are rejected.).
The controllability of the process is assed using dynamic

simulators for ease of controlling the process and the degree to
which the design is resilient to possible process disturbances. .
COST ESTIMATION
• Fixed costs
• Raw materials costs
• Labor charges
• Maintenance
• Power
• Utilities
• Costs for plant and administrative overhead
• Distribution of the final products
• Other miscellaneous items
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Special Techniques for Cost
Estimation
1. Order of magnitude estimate:(ratio estimate) accuracy
typically +30%, usually based on the costs of similar processes
and requiring no design information.
2. Preliminary estimates (budget authorization/scope
estimate): accuracy typically +20%, They are based on limited
cost data and design detail.
3. Study estimates (factored estimate): based on knowledge
of major items of equipment, accuracy of estimate upto +30%
4. Detailed estimates (contractor’s estimate): accuracy +5%,
Complete specifications, drawings, and site surveys for the
plant construction are required
5. Definitive estimates (project control estimate): accuracy
+10%, Based on complete data but before completion of
drawings & specifications.
14
FACTORS AFFECTING PROFITABILITY
OF INVESTMENTS
• Interest
• Insurance
• Taxes
• Depreciation
• Time value of money
• Rate of return
15
OPTIMUM DESIGN
There are several alternative methods

which can be used for any given process or
operation, optimization is to choose the
best process and to incorporate into
designing the equipment and methods
which will give the best results.
16
Optimum Design
• Formaldehyde can be produced

• By Catalytic dehydrogenation of methanol
• By controlled oxidation of natural gas
• By direct reaction between CO and H2
under special conditions of catalyst, temperature, and pressure.
• Each of these processes contains many possible alternatives involving variables such as
• The gas-mixture composition
• Temperature
• Pressure
• Choice of catalyst
It is the responsibility of the chemical engineer, in this case, to choose the best process and
to incorporate into the design the equipment and methods that will give the best results.
This study is known as optimization study.
Optimum
Economic
Design
If there are two or
more methods for
obtaining exactly
equivalent final results,
the preferred method
would be the one
involving the least total
cost.
18
19
Optimum
Operation
Design
Many processes require
definite conditions of
temperature, pressure,
contact time, or other
variables if the best results
are to be obtained. It is often
possible to make a partial
separation of these optimum
conditions from direct
economic considerations. In
cases of this type, the best
design is designated as the
optimum operation design.
20
21
Engineering ethics in design
• The Code of Ethics adopted by the American Institute of
Chemical Engineers is as follows;
Members of the American Institute of Chemical Engineers
shall uphold and advance the integrity, honor, and dignity of
the engineering profession by: being honest and impartial and
serving with fidelity their employers, their clients, and the
public; striving to increase the competence and prestige of
the engineering profession; and using their knowledge and
skill for the enhancement of human welfare. To achieve these
goals, members shall:
1. Hold paramount the safety, health, and welfare of the
public in performance of their professional duties.
2. Formally advise their employers or clients (and consider further disclosure, if warranted)
if they perceive that a consequence of their duties will adversely affect the present or
future health or safety of their colleagues or the public.
3. Accept responsibility for their actions and recognize the contributions of others; seek
critical review of their work and offer objective criticism of the work of others.
4. Issue statements or present information only in an objective and truthful manner.
5. Act in professional matters for each employer or client as faithful agents or trustees and
avoid conflicts of interest.
6. Treat fairly all colleagues and co-workers, recognizing their unique contributions and
capabilities.
7. Perform professional services only in areas of their competence.
8. Build their professional reputations on the merits of their services.
9. Continue their professional development throughout their careers and provide
opportunities for the professional development of those under their supervision.
THE DESIGN APPROACH
Generally
Profitable plant
overdesign and
design
safety factors
Optimization of
the design by Make necessary
using high-speed assumptions
computers
Economic
conditions and
limitations
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Chemical Process Design and

Department of Chemical Engineering

• A successful chemical engineer needs more than a knowledge and

• Plant design includes all engineering aspects involved in the

The chemical engineer is

• Inception of the basic idea.

1. Recognize a societal or engineering need.

The services of a chemical engineer as a design engineer are needed in

These solutions generally consist of different process steps and

A computer-aided process simulator is used to evaluate the

The results of these algorithmic will identify the flowsheet that

The controllability of the process is assed using dynamic

There are several alternative methods

• Formaldehyde can be produced

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