Executive Summary: Review of Kānuka Biochar to Activated Carbon

Summary of Project and Key Findings:

Project Background:
The University of Auckland has prepared a techno-economic analysis of a proposed process to convert biochar from kanuka into activated carbon products. Scion was contracted by the BPA to review this techno-economic analysis.

Introduction and findings:
The report presents an opportunity to produce activated carbon from Kānuka biochar in New Zealand, potentially addressing local demand while promoting sustainability and community prosperity. We appreciate that the techno-economic analysis (TEA) done is part of a preliminary study to assess viability on high and support future work. This assessment did not include a review of the feasibility of the process and associated equipment to scale to a 60-tonne per year capacity plant.

Scion has an extensive background in techno-economic modelling, e.g. through the development of WoodScape and the bioenergy roadmap and similar initiatives and has been contracted to review the BPA23286 TEA.

The review highlights that the TEA assumptions offer a foundational framework but are likely to be optimistic and contain significant uncertainties. The feedstock has been confirmed to be cost-free, and the TEA provides a breakdown for different product streams; however, critical details such as yield, labour patterns, and equipment utilisation are not fully addressed. CAPEX and OPEX estimations are high level, omitting costs for essential equipment, water treatment, and realistic labour expenses, which distorts the economic viability of the proposed scales. Additionally, discrepancies in indirect cost allocations and the absence of scalability references increase the uncertainty associated with the TEA, necessitating further refinement and validation to ensure a reliable assessment.

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