Cpde 1

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
Semester:
6th
Chemical Course Number:

Process ChE-313
Design and Contact Hours:
Economics 3
Credit Hours:
3
Content
(1) General design considerations: (a) Process design development (b)
Flowsheet development (c) Computer-aided design (d) Cost estimation (e)
Profitability analysis of investments (f) Optimum economic design (g)
Optimum operation design (h) Practical constraints in process and equipment
design (i) Ethics in design
(2) Health and safety hazards: (a) Sources of exposure (b) Exposure
evaluation and control (c) Fire and explosion (d) Personnel safety (e) Safety
regulations
(3) Loss prevention: (a) HAZOP study (b) Fault-tree analysis (c) Failure
mode and effect analysis (d) Safety indexes (e) Safety audits and Maintenance
(4) Environmental protection: (a) Environmental regulations (b) Air
pollution control (c) Water pollution control (d) Solid waste disposal (e)
Thermal pollution control (f) Noise control
(5) General considerations for plant location, layout, operation, and control
Content
(6) Process design development: (a) Development of design database (b) Process
creation and design (c) Process flow diagrams (d) Piping and instrumentation
diagrams (e) Isometrics (f) Equipment design and specification sheets (g) At least
one comprehensive tutorial on preliminary process design guiding through all steps
(7) Flowsheet synthesis and development: (a) General procedure for flowsheet
synthesis (b) Development, evaluation, and selection with comprehensive tutorials
for each step (c) Use of algorithms and simulation software for flowsheet synthesis
(8) Use of software in process design, chemical property estimation, process
simulation and optimization, process control, and economic evaluation
(9) Process economics: (a) Cash flow concepts (b) Factors affecting fixed and
operating costs (c) Components of capital investment and methods for estimation
(d) Cost indexes (e) Estimation of total production costs, revenues, and profits
(10) Interest: (a) Simple and compound interest (b) Nominal and effective interest
rates (c) Continuous interest (d) Effect of income tax and loan payments on cost of
capital
Content
(11) Time value of money: (a) Discrete and continuous cash flows (b)
compounding and discounting factors
(12) Income tax: (a) Taxable income (b) Capital gains tax (c) Sales tax (d) Non-
income taxes
(13) Fixed charges: (a) Depreciation (b) Current value (c) Salvage value (d)
Recovery period (e) Methods for calculating depreciation (f) Insurance
(14) Profitability analysis: (a) Minimum acceptable rate of return (b) Methods for
calculating return on investment with and without considering time value of
money; Effect of inflation (c) Evaluation of alternative investment and replacement
scenarios
(15) Optimum design: (a) Objective function (b) Structural and parametric
optimization (c) Sub optimization (d) Linear and nonlinear programming methods
(e) Comprehensive tutorials on solving process optimization problems
(16) Pinch technology analysis and heat exchanger network design
Recommended Literature
✓ Peters, M. S.; Timmerhaus, K. D.; West, R. E., Plant Design and
Economics for Chemical Engineers. 5th ed.; McGraw-Hill: 2003.
✓ Seider, W. D.; Lewin, D. R.; Seader, J. D.; Widagdo, S.; Gani, R.; Ng, K. M.,
Product and Process Design Principles: Synthesis, Analysis and Evaluation. 4th
ed.; John Wiley & Sons, Inc.: 2016.
✓ Silla, H., Chemical Process Engineering: Design and Economics. Marcel
Dekker, Inc.: 2003.
✓ Smith, R., Chemical Process Design and Integration. 2nd ed.; John Wiley &
Sons, Inc.: 2016.
✓ Towler, G.; Sinnott, R., Chemical Engineering Design: Principles, Practice and
Economics of Plant and Process Design. 2nd ed.; Butterworth-Heinemann:
2012.
✓ Turton, R.; Shaeiwitz, J. A.; Bhattacharyya, D.; Whiting, W. B., Analysis,
Synthesis, and Design of Chemical Processes. 5th ed.; Prentice Hall: 2018.
*5th edition: chapter 1-9
Course Learning Outcomes (CLOs)
PLO3: Design/Development of Solutions C-3: Apply

PLO6: The Engineer and Society C4: Analyze
C5: Evaluate
Quizzes (20%)
Assignments and Complex Engineering

Problem (10%)
Evaluation
Mid term (30%)
and
Assessment
Final term (40%)
***An attendance of 75% is mandatory

to sit in the final examination.
Timetable
What does
design
mean?
Design is a creative process
whereby an innovative solution
for a problem is conceived.
A fashion designer creates
clothes that will enhance
the appeal of an individual.
An automobile designer
creates a car model that
will provide transportation
and a certain appeal to the
consumer.
Design occurs when a
possible answer for a
present or projected need
or desire by people or
industry has been found. If a
product were not expected
to meet a need or desire,
there would be no reason to
produce it and hence no
reason for design.
Design Process
Design
Constraints
Skills needed for
Plant design project
• Research
• Market analysis
• Design of individual pieces
of equipment
• General design
considerations
• Constraints
• Cost estimation
• Computer programming
• Plant-location surveys
Review
Design Steps
✓ Inception
✓ Preliminary evaluation of economics and market
✓ Development of data necessary for final design
✓ Final economic evaluation
✓ Detailed engineering design
✓ Procurement
✓ Erection
✓ Startup and trial runs
✓ Production

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Chemical Process Design and

Department of Chemical Engineering

Chemical Course Number:

PLO3: Design/Development of Solutions C-3: Apply

Assignments and Complex Engineering

***An attendance of 75% is mandatory

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