Economic background of chemical integration - a case study

K.R. Westerterp

doi:10.1016/0377-841X(78)90008-6

Economic background of chemical integration - a case study

K.R. Westerterp

University of Twente

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Abstract

In this second paper on chemical integration the author refines the usual relation of total costs equals fixed plus variable costs further by splitting the fixed costs into core, true fixed and capacity related fixed costs. A set of equations for a simplified definition of the returns on investment for an entire chemically integrated complex and individual production units in the manufacturing plant is given, from which the individual contributions of diversification and of chemical integration can be deduced. An example taken from practice is given.

Original language	Undefined
Pages (from-to)	279-286
Journal	Engineering and Process Economics
Volume	3
Issue number	4
DOIs	https://doi.org/10.1016/0377-841X(78)90008-6
Publication status	Published - 1978

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

SDG 9 Industry, Innovation, and Infrastructure

Keywords

IR-68438

Access to Document

10.1016/0377-841X(78)90008-6

Westerterp78economic

Cite this

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AB - In this second paper on chemical integration the author refines the usual relation of total costs equals fixed plus variable costs further by splitting the fixed costs into core, true fixed and capacity related fixed costs. A set of equations for a simplified definition of the returns on investment for an entire chemically integrated complex and individual production units in the manufacturing plant is given, from which the individual contributions of diversification and of chemical integration can be deduced. An example taken from practice is given.

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U2 - 10.1016/0377-841X(78)90008-6

DO - 10.1016/0377-841X(78)90008-6

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