07032019SM0QO1H3PFR

Integrated Sugar Plant Expansion (5000 TO 7500 TCD), Ethanol Plant Expansion (30 TO 100 KLPD) With
Incineration Boiler / TG / Auxiliaries For ZLD & Proposed Cogen Power Plant (44 MW) Project (Doc No.
PWR/PNQ/DPR/2017-18/RJ/055, Dated November 16, 2017)
PRE-FEASIBILITY REPORT
INTEGRATED SUGAR PLANT EXPANSION

(5000 TO 7500 TCD), ETHANOL PLANT
EXPANSION (30 TO 100 KLPD) WITH
INCINERATION BOILER / TG /
AUXILIARIES FOR ZLD & PROPOSED
COGEN POWER PLANT (44 MW) PROJECT
Padmabhushan Krantiveer Dr. Nagnathanna

Nayakawadi
Hutatma Kisan Ahir SSK Ltd.
(PKDNNHKASSKL)
Nagnathannanagar, Tal- Walwa, Dist- Sangli
Maharashtra – 416313
Page 1 of 27
1.0 Project at a Glance
Padmabhushan Krantiveer Dr. Nagnathanna Nayakawadi Hutatma Kisan Ahir SSK Ltd.
(PKDNNHKASSKL) was registered under section 9 (1) of Maharashtra Co-operative Societies
Act, 1960, The registration number of the Society is SAN/PRG/(A) – 4. in June 29th, 1981,
with site located at Nagnathannanagar, Tal- Walve, Dist- Sangli, Maharashtra – 416 313.
PKDNNHKASSKL, is an existing sugar factory with 5000 TCD capacity (operating at average
cane crushing of 4000 TCD), along with 30 KLPD ethanol plant. PKDNNHKASSKL now
proposes to expand the crushing capacity from 5000 TCD to 7500 TCD, ethanol plant from 30
to 100 KLPD, along with incineration boiler / TG & auxiliaries for achieving Zero Liquid
Discharge (ZLD) along with proposed cogeneration power plant of 44 MW.
The integrated project comprises of expansion of sugar plant for the manufacture of high
quality sugar, thereby making available required bagasse for the proposed cogen power plant
and molasses for ethanol plant expansion. The proposed cogen power plant envisages utilizing
the bagasse generated from expanded sugar plant capacity during season & off-season
operations. The proposed ethanol plant expansion also envisages to utilize captive molasses
from the sugar plant expansion & procured molasses from factories in the surrounding area.
The command area of the proposed sugar mill has adequate irrigation facilities, potential for
sustained cane supply to the expanded sugar plant capacity. The project also envisages
installation of suitable capacity incineration type boiler for burning of spent wash generated
from existing ethanol plant & its expansion and achieve ZLD for the entire complex.
The aggregated capital investment for the integrated project has been estimated at Rs. 451.41
crores.
2.0 Project Rationale
The promoters and farmers in the command area, having experience in sugar industry and
sugarcane cultivation, were able to foresee the cane potential in the command area &
opportunity to utilize surplus cane available. The current policies in Maharashtra and in India
are conducive and backed by favorable regulatory framework for generation of eco-friendly
power & ethanol, as well as regarding support for private investment in such integrated
projects.
Page 2 of 27
2.1 The Promoters & Project Preparedness
PKDNNHKASSKL is promoted by Shri. Vaibhav Naganath Nayakawadi, the Chairman, Shri.

Baburao Dyandeo Borgavkar, Vice – Chairman along with other Directors, as listed in the
Appendix- VI, under the leadership of Shri. Narendra Laxmanrao Kapadnis, Managing
Director & competent factory staff. The promoters have adequate experience in the sugar &
ethanol sectors, as well as socio-economic activities in the command area. PKDNNHKASSKL
has been successfully operated integrated complex, including sugar for the last 3 decades.
The promoters have extensively and carefully analyzed the present and future scenario of sugar,
power and ethanol industries. They have studied carefully the present irrigation facilities,
surplus cane availability in the command area and potential for cane development, to suit the
proposed expansion plan.
PKDNNHKASSKL has already appointed a technical / managerial team of highly qualified

engineers, contract & arbitration experts, agricultural officers and managerial personnel, for
implementation and operation of the captioned integrated project.
To make the venture commercially viable and financially profitable, the capacity of the sugar
plant expansion is decided and fixed at 7500 TCD, Ethanol plant of 100 KLPD along with 4
MW slop fired boiler/TG and a cogeneration plant of 44 MW.
The suitability of the soil, increased irrigation facilities and previous experience of the farmers
in cane growing will be helpful in developing the required area for cane plantation.
3.0 Project in Brief
3.1 Sugar Plant Expansion Mill (estimated capital investment of Rs. 128.30 crores)
The design basis includes average crushing rate of 7500 TCD (340.91 TCH, 22 hrs and 160
crushing days) with 30 % bagasse generation on cane, 0.80% bagacillo & handling losses
resulting in 29.20% bagasse on cane available as fuel for the proposed cogen power plant.
The sugar process steam consumption will be 96.6 TPH (40% on cane crushing). Power
consumption for sugar plant will be 8.52 MWh (at 25 kWh/TCH).
Page 3 of 27
The sugar plant expansion will manufacture white sugar of good quality. The sugar market in
India is quite up-beat and is expected to continue for a foreseeable future. Command area has
excellent sugarcane availability with average sugar recovery of about 11.30 %.
3.2 Cogen Power Plant (estimated capital investment of Rs. 205.45 crores)
The proposed cogen power plant of 44 MW capacity will mainly operate on mill bagasse during
160 season days and saved bagasse from expanded sugar plant & existing sugar plant to operate
for 38 off-season days.
During crushing season of 160 days, the gross power generated will be about 37.00 MW and
export shall be 25.15 MW, after satisfying the requirement of the sugar plant & cogen plant
auxiliaries. During the non-crushing season of 38 days, the gross power generated will be 44
MW and export will be 39.72 MW, after satisfying the requirements of the cogen plant
auxiliaries. The energy export from the cogeneration plant will be 96.57 MUs during the
crushing season and 35.78 MUs during the non-crushing season, cumulating to 132.35 MUs
(at design level), considering 198 operating days in a year. Additionally, the incineration boiler
& turbine will generate 4 MW power for 300 working days, independently for proposed 70
KLPD ethanol. The power will be exported for sale to MSETCL, as per prevailing tariff. In
view of the prevailing rate adopted by MERC as per its recent tariff order, dated April 28, 2017,
the sale of power has been considered at Rs. 6.33 / kWh. All steam and power requirements of
the sugar mill, cogen auxiliaries and colony, both during season and off-season periods, will
be met internally from the cogen power plant.
It will employ high pressure and temperature configuration 1 x 240 TPH (87 Kg/cm2 and 515
C) boiler & 1 x 44 MW double-extraction cum condensing (DEC) TG sets, as well as ESP for
emission control and DCS control system for efficient operation.
The policy for sugar, bagasse cogen & ethanol plants, both at the Central Government and at
the State, Government of Maharashtra are quite conducive. The MNRE has provided several
financial incentives in terms of capital grants and interest subsidy till date and the same are
likely to continue.
The proposed project will be eligible for these incentives as well as other incentives like
accelerated depreciation, income tax benefits, reduced import duties for renewable energy
projects.
Page 4 of 27
3.3 Ethanol Plant Expansion, along with incineration boiler / STG & Auxiliaries
(estimated capital investment of Rs. 117.66 crores)
Ethanol plant expansion will have capacity of 70 KLPD, along with sugar plant expansion &
proposed cogen plant. PKDNNHKASSKL will operate the ethanol plant on own molasses, as
well as procured molasses that is generated by the surrounding sugar factories for 300 days.
The Government of India proposes to increase blending from 5% to 10%. Therefore, the
demand of ethanol from 2008-09 is growing substantially. Total ethanol production increased
from 1,435 million litres in 2009-10 to 1,934 million litres in 2010-11 on account of higher
sugarcane and sugar production and the estimated ethanol production in 2011-12 is pegged at
2,130 million litres. Ethanol consumption increased from 1,780 million litres in 2009-10 to
2,010 million litres in 2010-11, owing to improved molasses supply and steady ethanol demand
from competing industries.
As per National Policy on Biofuels, it proposed that the blending level be increased to 20% by
2017. Recently, Government has also removed excise duty levied on ethanol supplied for
blending with petrol. The net realization of fuel ethanol to factory will be about Rs. 39/KL,
considering the excise duty benefit.
Ethanol plant will operate for 300 days, i.e. 120 days on the molasses generated by the sugar
factory & 180 days on procured molasses.
PKDNNHKASSKL proposes to follow the process for ethanol production viz. fermentation,
multi pressure distillation, spent-wash evaporation followed by slop / coal fired / incineration
boiler (40 TPH) & TG set (4 MW) to generate steam & power.
Page 5 of 27
Highlights of the Project
Name and Address : Padmabhushan Krantiveer Dr. Nagnathanna

Nayakawadi Hutatma Kisan Ahir SSK Ltd.
(PKDNNHKASSKL)
Factory Site : Nagnathannanagar, Tal- Walve,
Dist- Sangli, Maharashtra – 416 313
Constitution & Type : Co-operative Society
Products : Sugar, Co-generation Power & Ethanol
Installed Existing Capacities of the Integrated Project

Sugar Plant : 5000 TCD
Ethanol Plant : 30 KLPD

Installed Incremental Capacities of the Integrated Project
Sugar Plant Expansion : 2500 TCD (Average 160 crushing days)
Cogen Power Plant : 44.00 MW installed capacity

40.00 MW (Avg. Gen. power, Season 160 days)
28.90 MW (Avg. exportable power, Season 160 days)
44.00 MW (Avg. Gen. power, Off- Season 38 days)
39.72 MW (Avg. exportable power, Off- Season 38 days)
Ethanol Plant Expansion : 70 KLPD (Average 300 days)
Incineration Power Plant 4.00 MW installed capacity
1 MW (Avg. exportable power, Season 160 days)
1 MW (Avg. exportable power, Off- Season 140 days)
3.4 Financial Highlights

Project Cost
(Rs. in Lakh)
Total Project Cost Sugar Cogen Distillery Total
Expn. Project Expn.
Project Project
Land & Site Development : 140 230 105 475

Civil works : 2507 2918 2365 7790
Indigenous Plant and Machinery : 13420 16775 10126 40321
Miscellaneous Fixed Assets : 350 428 520 1298
Prelim & Preoperative Expenses : 1185 1196 907 3288
Contingencies : 352 431 280 1063
Working Capital Margin : 2768 123 312 3203
Total : 20722 22101 14615 57438
Page 6 of 27
Means of Finance:
(Rs. Lakh)
Financing Pattern Sugar Cogen Distillery Total
Expn. Project Expn.
Project Project
1. Promoter's Equity : 9532 2210 1462 13204
2. SDF Quasi Equity : 0 7359 4092 11451
3. F.I Loan : 11190 12532 9061 32783
Total : 20722 22101 14615 57438
Parameter First Year Fifth Year

Estimated W/C Requirements Rs. Lakh 12812 17344
Estimated Annual Turnover Rs. Lakh 39224 75982
Profit Before Tax Rs. Lakh 11166 15094
Accumulated Cash Surplus Rs. Lakh 10072 36770
Employment Potential Nos. 670 670
Average 1.97
Debt Service Coverage Ratio (DSCR) Maximum 2.29
Minimum 1.56
Payback Period, Years 4 to 5
Internal Rate of Return on total
23.13%
Investment, %
Strengths
 Background and experience of the promoters & shareholders, as well as strong &
visionary leadership from Shri. Vaibhav Naganath Nayakawadi, Chairman & Shri.
Baburav Dyandeo Borgavkar, Vice Chairman
 Proven physical & financial performance for last three decades in sugar industry
 Surplus sugar cane availability in the command area & potential for securing required
quantum of cane for the expanded capacity of the sugar plant.
 Availability of basic infrastructure including approach, land, water, fuel & experienced
manpower
 Adequate support from the Central Government / State Government / MERC /SDF /
MNRE, for cogen power & ethanol.
 Readiness & support from Central Government for offtake of ethanol & from
Government of Maharashtra for purchase of exportable power at remunerative prices
 Close to demand / load centers, low transmission cost & proven project concept in the
State sugar industry.
Page 7 of 27
 Excellent operations and results of existing sugar & ethanol units in private sector sugar
mills in India and Maharashtra.
 Availability of nearest transmission line and grid to evacuate exportable surplus
 Capital subsidy from MNRE
3.5 Risks Factors
Risk Particular Mitigates

Performance Assured sugar cane & Cane development has been in full progress, with
risk fuel availability experienced senior professionals and staff
appointed for the purpose.
A full time fuel manager and dedicated staff have
been proposed for the cogen power plant. Excellent
support from farmers
Marketing Sugar sale / export Firm marketing tie up in offing. Alternative
risk marketing channels explored. No link with
domestic demand. Value added products proposed
Regulatory Conversion / No difficulty envisaged, as various governmental
risk clearances / tariff order agencies have already expressed their willingness
to issue approvals / consents. All the approvals in
pipeline. Conducive tariff for cogen power
Financial Financial viability of Satisfactory DSCR. Equity participation arranged
risk the project
3.6 Implementation Schedule
The integrated sugar, cogen power & ethanol plant will be commissioned by October, 2018.
Meticulous planning and strong project management proposed will ensure this schedule.
4.0 Project Description
4.1 Type of Project
The proposed project mainly to expand the capacities of the sugar plant from 5000 to 7500
TCD, ethanol plant from 30 to 100 KLPD along with incineration type boiler / TG & auxiliaries
for achieving Zero Liquid Discharge (ZLD) for the entire complex & install new cogen power
plant of 44 MW.
4.2 Location of Project
Page 8 of 27
The proposed unit is located at village Nagnathannanagar, Taluka Walve, Dist. Sangli,
Maharashtra.
4.3 Products & By-products
S.No. Name of Products

1 Sugar
2 Power
3 Ethanol
4.4 Sugar Plant
The objectives of PKDNNHKASSKL are to improve the efficiency and achieving steam &
power economy, by implementing the modernization scheme at the existing sugar plant, as well
as to expand the existing crushing capacity from 5000 TCD to 7500 TCD, by installing new
highly efficient & latest technology machinery. The power & steam consumption for sugar
process will be at 22 kWh/ TCH and 38 % steam on cane, for the expanded capacity.
4.5 Cogen Power Plant
The proposed cogen power plant component of the integrated project will have installed
capacity of 44 MW (1 x 220 TPH Boilers, 1 x 44 MW Double extraction cum condensing type
TG set and will employ 110 kg/cm2 and 540 C configurations.
The brief design parameters for the cogen power plant expansion will be as follows:
Boiler capacity, TPH : 1 x 220

Pressure, kg/cm2 : 110.00
Temperature, C : 540
Turbine capacity, MW : 1 x 44
Turbine type : Double extraction - cum
condensing
Season operation, days : 160
Off season operation, days : 33
Fuels used for season operation : Bagasse
Fuels used in off season : Saved bagasse
Boiler efficiency, %
- On bagasse : 70.00,  1
Feed water temperature, C : 210
Captive power consumption, % of : 9.00% , season
generation in season & off-season 9.50%, off-season
Turbo-generator efficiency, % : 96.00
Page 9 of 27
Sr. No. Item Unit Value

Season Operation
1 Avg. cane crushing TCD 7500
2 Gross season days nos. 180
3 Net season days nos. 160
4 Hrs. / day nos. 22
5 Normal cane crushing TCH 340.91
6 Cane crushed Lakh MT 12.00
7 Bagasse generation % cane 27.5
8 Bagasse generation TPH 93.75
9 Bagasse for bagacillo / handling loss % cane 1.00
TPH 3.41
10 Bagasse available for boiler TPH 90.34
11 Total equivalent bagasse available for boiler TPH 90.34
12 Bagasse saved for off season MT 48509
13 Bagasse used by new boiler Kg steam / 2.85
kg
14 Bagasse used by new boiler TPH 70.18
MT 269491
15 Steam generation TPH 200.00
16 Steam consumption TPH
16.1 HP steam @ for SJAE & GSC 0.50 1.00
HP heater I 10.00 20.00
16.2 MP steam @ 8 kg/cm2
HP heater II 10.00 20.00
Sub-total 20.00
16.3 LP steam @ 2.5 kg/cm2
Sugar process % cane 38.00 129.55
De-aerator 5.00 10.00
D/s water addition 2.00 2.79
Sub-total 136.75
16.4 Condensing steam 22.25
16.5 Total 200.00
17 Power generation MW 5.00 40.00
18 Power consumption MW
- Sugar process kWh/TCH 22.00 7.50
- Cogen auxiliaries 9.00 3.60
- Total 11.10
19.1 Power export from Cogen Plant
MW 28.90
MUs 110.98
Page 10 of 27
19.2 Power export from Incineration Plant

MW 1.00
MUs 3.84
19.3 Total Mus, Season 114.82
20 Total no. of days / year nos. 193
Off Season Operation
21 Off-season fuel requirement TPH 61.75
Total No. of off season days nos. 33
No. of days on Coal 0
No. of days on cane trash 0
22 Days on Saved bagasse nos. 33
23 No. of hrs / day nos 24
24 Steam generation TPH 176.00
25 Steam consumption TPH
25.1 HP steam @ for SJAE & GSC 0.50 0.88
HP heater I 10.00 17.60
25.2 MP steam @ 8 kg/cm2
- Sugar process 0.00
HP heater II 10.00 17.60
- Total 17.60
25.3 LP steam @ 2.5 kg/cm2
- De-aerator 5.00 8.80
- D/s water 2.00 0.18
- Total 8.62
25.4 Condensing steam 131.30
25.5 Total 176.00
26 Power generation MW 4.00 44.00
27 Power consumption MW
- Cogen auxiliaries 9.50 4.18
- Sugar process 0.10
- Total 4.28
28.1 Power export from Cogen Plant (33 Days)
- MW 39.72
- MUs 31.46
28.2 Power export from Incineration Plant (140
Days)
MW 1.00
MUs 3.36
28.3 Total Mus, Off-Season 34.82
29 Total power export 149.63
30 Boiler size (110 kg/cm2 & 540 deg C), with 1 220
bagasse dryer
31 TG size (105 kg/cm2 & 535 deg C) 1 44.00
Page 11 of 27
Water & Condensate Balances
While steam, power and bagasse balances both for season and off season operations of the
cogen power plant have been indicated in section 3.2.5, the water and condensate balances are
given in the following table:
Item Value, TPH

Season Off season
Condensate return from sugar process 123.01 0
Condensate from Steam to de-aerator 10 8.80
Blow down flash recovery 0.6 0.6
Condensate from condenser 23.25 132.18
Make up water from DM plant 27.93 18.8
Condensate from HP heater 20 17.60
Flow from de-aerator 204.79 177.98
Bagasse / Fuel Balance
The bagasse and fuel balances are indicated in the following table:
Sr. Item Value

No. Season Off season
1. Crushing rate, TCH 340.91 -

2. Bagasse generation at 27.5 % on cane, TPH 93.75 -
3. Bagacillo / handling loss at 1.0 % on cane, TPH 3.41 -
4. Bagasse available as fuel at 26.50 % on cane, TPH 90.34 -
5. Total equivalent bagasse available, TPH 90.34 -
6. Bagasse consumed by boiler, TPH (MT) 70.18 (269491) 52.83
7. Bagasse saved for off season operation from - 48509
cogen plant expansion, MT
No. of days 160 33
Power Balance
Following table gives the power balance for the season and off-season
Sr. Item Value, MW

No. Season Off season
1 Power Generation from Cogen Plant Expansion 40.00 44.00
Project, MW
2 Power Consumption for Cogen Plant Expansion
project, MW
Page 12 of 27
- Sugar process @22 kW / TCH 7.50 0.10

- Cogeneration auxiliaries 3.60 4.18
- Total 11.10 4.28
3 Power export from Cogen Plant Expansion, MW 28.90 39.72
(160 days) (38 days)
Power export at design capacity level, MU 110.98 31.46
4 Power export from Incineration Plant, MW 1.00 1.00
Power export at design capacity level, MU 3.84 3.36
5 Total MUs at design levels 149.65
MERC Qualifying Criteria
Based on the qualification criteria of the topping cycle under the MERC tariff order, the
eligibility of the proposed project in season has been worked out as under:
Sr. Item Value

No.
1. Net Energy Input (A), M Kcal/hr 157.91
(70.18 TPH x 2250 kcal/kg)
2. Electrical power output (B), M 34.40
Kcal/hr (40 MW x 860 kcal/kWh)
3. Useful thermal output (C) (energy in 85.37
the process), M Kcal/hr (19.55 TPH x 659 kcal/kg)
4. Total energy output (B+ C), M kcal/hr 119.77
5. 20% of total energy output (D), M 23.95
kcal/hr
6. Evaluation condition (CD) Yes
7. Efficiency, % (B+C/2 / A) 48.82
Note: The proposed project is eligible under the MERC tariff order and qualifies under
the same.
Key performance parameters

The key performance parameters for the cogen power plant are given below:
Sr. Description Value

No.
1 Steam Generator efficiency, % : 701 on bagasse
2 Steam to Fuel Ratio, kg bagasse / kg : 2.85
3 DEC Turbine efficiency, % : +90%
4 Average Steam to Power Ratio, kg / kW
Season
Off-Season : 5.00
: 4.00
Page 13 of 27
Sr. Description Value

No.
5 Auxiliary Power consumption, MW (%)

Season : 9.00
Off-Season : 9.50
6 Utilization Level, % 80 in 1st year, 85 in 2nd year

& 90 in 3rd year & 95 from
4th year onwards
7 Power Generation / Export :
Season–MW/MU’s : 40.00 / 172.80
Generation
Export : 28.90 / 110.98
Off-season–MW/MU’s : 44.00 / 34.85
Generation
Export : 39.72 / 31.46
Cogeneration Annual Total - MU’s : 207.65
Generation
Export : 145.79
7 Exportable Surplus power
(% Generation)
Season : 72.25
Off-season : 90.27
Total : 75.58
Ethanol Plant Expansion

The molasses balance for the proposed 70 KLPD Ethanol will be as follows:
Particulars Quantity
Existing Crushing, MT 800000
Proposed Crushing, MT 400000
Est. Molasses Recovery, % 4
Capacity Utilization,% 100
Annual Incremental Molasses production, MT 16000
Molasses Generation from existing sugar plant, MT 32000
Total generated molasses, MT 48000
Molasses requirement for 100 KLPD Ethanol 127660
Procured Molasses for 100 KLPD Ethanol 79660
Own Molasses for 30 KLPD Ethanol 14400
Own Molasses for 70 KLPD Ethanol 33600
The design parameters & molasses required per day for the ethanol plant expansion are given
in the following table:
Page 14 of 27
Sr. No Item Ethanol Plant

1 Cane Crushing Expansion, TCH 340.91
2 No. of hrs. per day 22
3 No. of season days, Sugar factory 160
4 Cane crushing, MT 1200000
5 Ethanol capacity, KLPD 100 (Existing 30+ Proposed 70)
6 No. of days of operation, Ethanol plant 300
7 Molasses, % cane 4
8 Total Molasses Generation 48000
Own molasses used by existing 30 KLPD Ethanol 14400
Own molasses available for proposed 70 KLPD 9702
Ethanol
9 Ethanol recovery, liters / MT of molasses 235
10 Quantities for proposed 70 KLPD Ethanol
Molasses required MT per Annum 89362
Molasses required MT per day 298
11 Procured Molasses for proposed 70 KLPD, MT 79660
12 No. of days (proposed 70 KLPD)
- Own Molasses 113
- Procured Molasses 187
- Total 300
13 Spent-wash generation per lit of RS, Ltrs. 10
14 Total Concentrated spent-wash generation / day, 174.55
(m3)
15 Total spent-wash generation per annum (m3) 52365
16 Spent-wash generation, after evaporation, TPH 9.45
17 Total spent-wash generation per annum (MT) 36306
18 Incineration Boiler / TG Set, TPH & MW 40/4
19 Water, KL/day @ 10 m3/KL 1000
The brief manufacturing processes of ethanol are given below:
The process envisages use of own molasses generated by the sugar factory for manufacture of
ethanol during sugar mill season and during off-season days.
Following is brief description of the process:
Fermentation System
The molasses stored in the storage tanks will be supplied to the fermenter, where it will be
diluted partly by water and partly by the effluent produced by the distillery and then fermented
in a continuous fermentation reaction.
Distillation
Page 15 of 27
The fermented wash will be then fed to the distillation column. Here the wash will be distilled
to generate the rectified spirit, which will be sent to the molecular sieve section where rectified
spirit will be converted to ethanol.
The distillery will produce 70000 liters of ethanol per day which will be sold to the oil
companies for blending with petroleum products.
PKDNNHKASSKL proposes to go for spent-wash Concentration and Incineration Technology

simultaneously generating Steam and Power for the process and Distillery. The spent-wash /
coal fired boiler will have capacity of 40 TPH & Turbine 4 MW.
Effluent Treatment
I. Sugar Plant
The sugar plant effluents will be treated in a separate effluent treatment plant & the discharges
will be maintained as per the latest norms of the MPCB & CPCB. The liquid effluents from the
sugar process will be mainly waste water from various process equipment in the milling &
boiling house sections & the treated water will be used for gardening purposes. The air
emissions in the sugar bagging sections will be limited to the acceptable limits due to
deployment of dust catchers.
II. Cogen Power Plant
The cogen power plant effluents will also be treated in a separate effluent treatment plant &
the discharges will be maintained as per the latest norms of the MPCB & CPCB. The liquid
effluents generated from the cogen power plant will be mainly from boiler blow down & water
treatment plant blow downs, wash water & other sewage effluents. The treated water will be
used for gardening purposes. The air emissions will be maintained well within the norms due
to deployment of the latest design electro static precipitator & the ash generated will be sold to
brick manufacturers after mixing it with the press mud.
III. Ethanol Plant
The spent-wash generated in the distillery process is a serious problem by way of threat to the
environment. Its volume from continuous fermentation plant is as large as 1000 m3/day for a
distillery plant of 100 KLPD capacity if multi pressure distillation technology is adopted.
Page 16 of 27
PKDNNHKASSKL is adopting 4 stage zero discharge effluent treatment process to take care
of spent-wash. These stages are briefly described below:
1) Multi pressure distillation along with integrated evaporation– In this section, steam
is utilized in direct way for heating. Hence, spent-wash quantity generated is less as compared
to traditional distillation technology. Integrated evaporation shall be adopted along with multi
pressure distillation. During this stage evaporation is done, which helps to reduce volume of
spent wash.
2) Multi effect evaporation -The spent-wash evaporation technology is a multiple effect

evaporator system in which heat recovered from one effect is used to concentrate spent-wash
in second effect evaporator with continuous recirculation of concentrated spent-wash within
the system until desired concentration is obtained. This entire Concentration process is carried
out under vacuum leading to less consumption of steam and maximum concentration of spent-
wash with in less period of time. This is the 2nd stage of effluent treatment wherein spent-wash
after integrated evaporation is concentrated.
3) Incineration Boiler - Concentrated spent wash along with support fuel like coal is
burned in incineration boiler, which will take care of entire spent wash of the distillery.
4) Condensate Polishing Unit- The condensate polishing unit is also envisaged to take
care of spent less, cooling tower blow down, washing and process condensate from evaporation
plant. After treatment all the stream at CPU, water can be recycled to process and as cooling
tower make up.

bagasse fired boiler will have capacity of 40 TPH & Turbine 4 MW.
With effective utilization of such a technology big hurdle of spent-wash disposal will be solved
and distilleries will become zero effluent discharging unit.
Raw Materials
I Sugar Plant
Page 17 of 27
The proposed sugar plant expansion of 7500 TCD (340.91 TCH) will require about 12 lakh
MT of sugarcane for 160 days crushing season. The present source of water in the command
area is from Krishna River, tube wells and the lift irrigation by using pumps on the River. Rest
of the irrigation is made from the open well and tube wells.
The irrigation & climatic conditions are quite conducive. Considering this situation, the
proposed project will not have any difficulty for making the required sugar cane available for
crushing for the proposed capacity.
II Cogen Power Plant
 As indicated in the steam / power cycle design, the total bagasse available from the
sugar mill expansion, from cane crushing of 12 lakh MT, as fuel, will be 318000 MT
(90.34 TPH for 22 hrs / day and 160 days / season) after considering bagacillo &
handling losses.
 Out of this 269491 MT (70.18 TPH) will be utilized by the cogen plant boiler, leaving
saved bagasse of about 48509 MT for the off season operation. Hence, the total bagasse
availability for the off-season operation will be 48509 MT.
 For off season operation of 33 days, saved bagasse of 48509 MT will be used.
 Therefore, no additional fuel procurement is envisaged in getting fuel for the cogen
plant expansion for total 193 days (160 season days for full plant & 33 days for 1 x 220
TPH boiler & 1 x 44 MW DEC TG set operation).
Ethanol Plant
Ethanol plant expansion will operate for 300 days, i.e. 113 days on the molasses generated by
the sugar factory expansion project. Additional 187 of season days will be operated on procured
molasses of 79660 MT at 100% utilization. With 42% fermentable sugar in molasses one ton
of molasses, will yield 235 lit of total ethanol.
Page 18 of 27

bagasse fired boiler will have capacity of 40 TPH & Turbine 4 MW.
Utilities & Consumables
I. Water and power are the main utilities required for operating the integrated project.
 Water will be drawn from Krishna river right canal, the perennial source of water at a
distance of about – 2 km from the site. Therefore no difficulty envisaged in terms of
availability of water required for the proposed sugar complex, except the draught years.
Hence average water required per day for generation of power is considered as about
600 m3, due to usage of Air Cooled Condenser.
The average water requirement per day for sugar & ethanol plants will be 400 m3/day
& 1000 m3/day, respectively.
 Power required for construction and in case of shut down of plant will be drawn from
the State grid.
II. The consumables required for operation of sugar plant include sugar bags, laboratory
and ETP chemicals, oils / lubricants and other chemicals for the machinery and
processing, etc. The consumables indicated above will be available in substantial
quantities from nearby Sangli city, and no difficulty will be envisaged.
Technical Specifications
Sugar Plant Expansion
The expansion of the sugar plant will be carried out in the sugar factory, to reduce the steam &
power consumptions, stabilize the crushing rate at 7500 TCD (5000 TCD of the existing sugar
plant & 2500 TCD sugar plant expansion project), improve the recovery, crushing performance
& saving in bagasse.
Cogen Power Plant
Page 19 of 27
The technical specifications include 1 x 220 TPH Boilers & auxiliaries, 1 x 44 MW DEC TG
set, water treatment plant, fuel & ash handling system, Air Cooled Condenser & auxiliaries for
44 MW DEC TG, electrical evacuation & distribution system, AC & Ventilation, air
compressor, interface steam / water / compressed air piping, PRDS, DCS, EOT crane etc.
Ethanol Plant Expansion
The state of the art technology based modern ethanol plant based on molasses will have
following major equipment sections:
 Molasses weighing and handling

 Fermentation
 Multi Pressure Distillation along with integrated evaporation
 Molecular Sieve Dehydration
 Alcohol Storage
 Utility Including Cooling Water System, Instrument Air
 Instrumentation System including PLC based Control
 Effluent Treatment Plant including evaporation
 Spent-wash storage tanks, interconnecting process & utility piping, internal electrical
distribution system,
 Evaporation, firefighting system etc.
 Spent-wash fired boiler (40 TPH)
 Back Pressure Boiler (4 MW)
 Electrical evacuation & distribution system, AC & Ventilation, Fuel & Ash handling
Project Site & Key Features

Site Location
Site location Walwe
Nearest City Islampur
Tehsil Walwe
District Headquarter Sangli
Nearest Highway NH-4
Distance from Highway 15 KM
Nearest Railway Station Sangli
Nearest Airport Kolhapur
Distance from nearest Water Krishna River, 2 Km.
Source
Distance from nearest 132 KV, (LILO line near
MSETCL EHV substation factory premises)
The proposed site is ideal for the proposed integrated sugar, cogen power project and ethanol
plant, due to following reasons:
Page 20 of 27
 Required land is available at the factory site and is owned by PKDNNHKASSKL
 The site is easily accessible by road.
 The cane potential and irrigation facilities in the command area are adequate and will
ensure sustained cane availability for the proposed project with the extensive
experience of farmers in sugar cane cultivation.
 The off season non-fossil fuel requirements for the cogen power plant can be easily met
by saved bagasse.
 The evacuation of exportable surplus power from the cogen plant and the slop fired TG
will have to be made through the substation (132 kV) Grid (LILO is considered for
power evacuation of MSETCL, as the line is available near factory premises).
Infrastructure
The site has easy access to latest communication and other social infrastructure facilities,
including telecommunication, schools and colleges, medical & health facilities, commercial
infrastructure, etc. at Walwe, which is a Tehsil Headquarter & Sangli, which is a District
Headquarter.
The construction power can be easily made available from MSETCL.
Manpower
The skilled manpower required for operation of sugar, cogen power and ethanol plants will be
easily available from Sangli district. PKDNNHKASSKL will require 670 persons for existing
& proposed integrated expansion project. It is most essential for PKDNNHKASSKL to define
the organization structure individually for the sugar mill, ethanol and the cogen power plant.
Project Implementation & Schedule
Project Implementation
For implementing this mega and complex project within the desired time and cost schedules,
it is essential to undertake meticulous planning, right from the conceptual stages. Following
aspects of the project implementation will be crucial:
I. Intensifying cane development activities by networking and supporting the farmers from the
command area.
II. Effecting timely project development activities, including securing various approvals /
NoC’s / permissions for each component of the integrated project.
Page 21 of 27
III. Appointment of pre-investment consultants and experts for preparation of DPRs,

approaching select FIs / bankers, rendering required follow up and achieving financial closure,
through raising of required equity and providing necessary securities.
IV. Finalization of mode of project implementation, package route and O&M contracts for
individual project components, along with strong owner engineering / consultancy team for
effective monitoring of the implementation / commissioning of each component as per the
schedule, is recommended, considering the complexities of individual projects.
V. PKDNNHKASSKL proposes to appoint experienced project engineering management

consultancy firm, as well as experienced in-house project team for the purpose.
VI. Manpower and resource mobilization at required time and effectively
VII. Interface between the sugar mill, cogen power plant & ethanol plant
Project Schedule
The zero date of the project starts from the date of achieving financial closure. The integrated
sugar, cogen project & ethanol plant will be commissioned and start production by October,
2018. The project schedule will have main components as follows:
Activities Expected Completion Date
Project development activities up to financial closure December, 2017

Integrated Project October, 2018
Stabilization & development of MIS October, 2018
The detailed PERT / CPM networks for individual components and overall project will have
to be prepared by the time of achieving the financial closure. The major activities after the
financial closure for each component will include,
 Appointment of owner engineer / consultant, in-house project team and project architect
 Basic engineering & finalizing outline specifications
 Detailed design engineering and specifications
 Preparation of package bids, bidding, bid evaluation, recommendations and contracting
for civil, mechanical, electrical and instrumentation components, as well as BoPs
 Kick off meetings with individual vendors / contractors
 Vendor drawing review and approvals, inspection and expediting and delivery at site
 Site supervision for erection, testing & commissioning
 Bidding, contracting and signing of O&M contracts
 Plant stabilization and development of MIS and automatic control systems for all
sections of the plant
Page 22 of 27
Plant Layout
Layout Considerations
I. Considerations for design layout
Major layout design issues, which have been considered while developing the proposed plant
layout, are as follows:
 Available land already acquired for the integrated project at site location
 Topography of the land being acquired and contour limitations
 Area requirements for various plant buildings, storage areas, colony, admin building,
miscellaneous areas, etc.
 Direction / velocities of wind.
 Likely ingress of bagasse on to transformers etc. and precautions to be taken to mitigate
 Optimum men and material movement
 Minimum length of high pressure piping
 Minimum lengths of interface systems between the power plant and sugar mill
 Disposal of ash
 Routing of overhead EHV transmission line
 Vastu Shastra
II. Area requirement & Layout
The preliminary plant layout is prepared and presented in Appendix – XVII with the details of
area requirements for different sections of the proposed plant. The final layout will be frozen
based on the detailed discussions with the select vendors / contractors.
III. Ash, Effluent & Sewage Disposal
a) Ash
At 100% capacity utilization of the proposed power plant, around 3.18 lakh MT of bagasse will
be burnt during season and off-season operations. Annual ash generation from this quantity of
bagasse will be about 6360 MT. This ash will be mixed with the press mud, being distributed
free to the farmers or nearby brick manufacturers.
b) Effluent
Page 23 of 27
Wastewater from a power plant does not have any significant BOD / COD level. All wastewater
will be neutralized prior to discharging in the existing sugar plant expansion ETP.
c) Sewage
All sewage will be collected in a common septic tank and discharges as per accepted norms.
Environment & Socio-Economic Benefits
 The proposed integrated project is utilizing the cane crop in the most efficient manner
for eco-friendly products like sugar and renewable and decentralized power generation.
The optimum production of conventional but quality sugar will cater to value added
domestic and international markets. The sound techno-economic and commercial
viability of this project, coupled with highest efficiency in all aspects of product
manufacture, will pave the way for integration of sugar industry in the country.
Establishment of the latest and most efficient technologies adopted for cane crop
development, sugar manufacture, cogen power generation and ethanol plant will also
help the Indian sugar industry and equipment manufacturers to grow leaps and bounds,
at the national and the international levels.
 The socio-economic benefits arising out of this project for the local populace will
include creation of direct and indirect jobs and consequent rise in the income levels,
associated commercial and social infrastructure development in the project areas,
improved quality and availability of power due to grid benefits (in terms of deemed
generation and power factor improvement), better environment and higher returns for
the cane crop due to higher yield and cane price.
 At the national and the State levels, the benefits include decentralized power generation,
reduction in T&D loss, reduced emissions, reduction in the imports of petroleum
products, increased tax revenues and reduction in the transportation costs.
 The project will have excellent multiplier effect and will become truly a win-win
situation for all the stakeholders. Thus, the proposed project has substantial socio-
economic and environmental benefits at the local, the State, the Regional and the
National levels.
Page 24 of 27
Conclusions & Recommendations
Project SWOT Analysis
I. Strengths (S):
 Background and experience of the promoters & shareholders, as well as strong &
visionary leadership from Mr. Vaibhav N. Nayakawadi, Chairman
 Proven physical & financial performance for last three decades in sugar industry
 Surplus sugar cane availability in the command area & potential for securing required
quantum of cane for the expanded capacity of the sugar plant.
 Availability of basic infrastructure including approach, land, water, fuel & experienced
manpower.
 Adequate support from the Central Government / State Government / MERC /SDF /
MNRE, for cogen power.
 Readiness & support from Central Government for offtake of ethanol & from
Government of Maharashtra for purchase of exportable power at remunerative prices
 Close to demand/load centres, low transmission cost as transmission line (LILO line
near to factory premises) & proven project concept in the State sugar industry.
 Availability of near 132 kV transmission line (LILO Line) from grid to evacuate
exportable surplus
 Capital subsidy from MNRE
II. Weaknesses (W):
 Complexities and higher investment levels of the integrated project. Employment of

experienced and professional teams and consultants, as well as project and equity
partners, directors on board will reduce this weakness.
 Fluctuating prices of sugar.
Page 25 of 27
 Changes in the Govt. policies related to sugar, ethanol & cogen power
III. Opportunities (O):
 Excellent opportunity for maximizing returns from extended off-season operation of

the cogen power plant by using bio mass materials
 Decreased dependence on fluctuating margins for sugar.
IV. Threats (T):
 Adverse changes in Govt. policies, particularly related to sugar prices and prices of
exportable power
 Delay in project implementation which may lead to project overrun and cost overrun.
(PKDNNHKASSKL will be employing proven consultants to monitor and expedite the
progress).
Risks & Mitigates
Risk Particular Mitigates

Performance Risk Assured sugar cane & Cane development has been in full progress,
fuel availability with experienced senior professionals and staff
appointed for the purpose. A full time fuel
manager and dedicated staff have been
proposed for the cogen power plant. Excellent
support from farmers.
Marketing Risk Sugar sale / export Firm marketing tie up in offing. Alternative
marketing channels explored. No link with
domestic demand. Value added products
proposed.
Regulatory Risk Conversion/ No difficulty envisaged, as various
clearances/tariff order governmental agencies have already expressed
their willingness to issue approvals / consents.
All the approvals in pipeline. Conducive tariff
for cogen power & purchase price for ethanol
Financial Risk Financial viability of Satisfactory DSCR. Equity
the project Participation arranged.
Key Management Features
 Appointment of Project Team, required experts and consultants, as well as top level
staff - right from the beginning
Page 26 of 27
 Securing all required balance permissions / NoC’s / approvals quickly and achieving
the financial closure at the earliest.
 Selection of right technology and equipment suppliers for sugar and cogen power plants
as well as ethanol plant.
 Effective project management for timely execution
 Cane development in the command area
Conclusions & Recommendations
 The captioned integrated sugar expansion, ethanol expansion along with incineration
boiler / TG & auxiliaries for achieving ZLD & proposed cogen power plant project, is
technically feasible and commercially viable. The integrated project is recommended
to financial institutions for financing term and working capital loans.
 The backward and forward linkages of this project / as well as socio-economic and
environment benefits to the local populace, make this a win-win project to all the
stakeholders.
Page 27 of 27

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Integrated Sugar Plant Expansion (5000 TO 7500 TCD), Ethanol Plant Expansion (30 TO 100 KLPD) With

INTEGRATED SUGAR PLANT EXPANSION

Padmabhushan Krantiveer Dr. Nagnathanna

1.0 Project at a Glance

2.0 Project Rationale

2.1 The Promoters & Project Preparedness

PKDNNHKASSKL is promoted by Shri. Vaibhav Naganath Nayakawadi, the Chairman, Shri.

PKDNNHKASSKL has already appointed a technical / managerial team of highly qualified

3.0 Project in Brief

Highlights of the Project

Name and Address : Padmabhushan Krantiveer Dr. Nagnathanna

Products : Sugar, Co-generation Power & Ethanol

Installed Existing Capacities of the Integrated Project

Ethanol Plant : 30 KLPD

Cogen Power Plant : 44.00 MW installed capacity

3.4 Financial Highlights

Land & Site Development : 140 230 105 475

Parameter First Year Fifth Year

 Availability of nearest transmission line and grid to evacuate exportable surplus

 Capital subsidy from MNRE

3.5 Risks Factors

Risk Particular Mitigates

3.6 Implementation Schedule

4.0 Project Description

4.1 Type of Project

4.2 Location of Project

4.3 Products & By-products

S.No. Name of Products

4.4 Sugar Plant

4.5 Cogen Power Plant

Boiler capacity, TPH : 1 x 220

Sr. No. Item Unit Value

19.2 Power export from Incineration Plant

Water & Condensate Balances

Item Value, TPH

Bagasse / Fuel Balance

Sr. Item Value

1. Crushing rate, TCH 340.91 -

Sr. Item Value, MW

- Sugar process @22 kW / TCH 7.50 0.10

MERC Qualifying Criteria

Sr. Item Value

Key performance parameters

Sr. Description Value

Sr. Description Value

5 Auxiliary Power consumption, MW (%)

6 Utilization Level, % 80 in 1st year, 85 in 2nd year

Ethanol Plant Expansion

Sr. No Item Ethanol Plant

The brief manufacturing processes of ethanol are given below:

Following is brief description of the process:

PKDNNHKASSKL proposes to go for spent-wash Concentration and Incineration Technology

II. Cogen Power Plant

III. Ethanol Plant

2) Multi effect evaporation -The spent-wash evaporation technology is a multiple effect

PKDNNHKASSKL proposes to go for spent-wash Concentration and Incineration Technology

II Cogen Power Plant

PKDNNHKASSKL proposes to go for spent-wash Concentration and Incineration Technology

Utilities & Consumables

Sugar Plant Expansion

Cogen Power Plant

Ethanol Plant Expansion

 Molasses weighing and handling