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 5. Economic Analysis for Burning Waste Oil
a. $ savings/yr = quantity of waste oil
generated/yr x (unit price of new fuel -
sale price of waste oil)
$
b. Initial investment
$
C. Recurring costs/yr figured from
following:
$
Labor
Material Total
Function
Rate
cost
cost
Hours
cost
Nonburnable Waste
Segregation
Waste Oil Testing
Mixing/Blending
Other (site
specific)
Total
net annual $ savings* =
d.
$ savings /yr -
recurring costs/yr
$
e.
Simple Payback Period (yr) =
Initial investment for one time project
net savings
$
*Savings should exceed cost of burning the waste oil.
C-2
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