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UNIVERSITI TEKNOLOGIMARA

FAKULTI KEJURUTERAAN
KIMIA

TRUE COST OF WASTE GENERATION


EFFECTS TO OIL AND GAS INDUSTRY

Title: Cost of Waste Toward Future

NAME NO MATRIX

MOHD RAFIQ BIN MOHD ZUBIR 2017466188

MOHAMMAD FIKRI BIN HUSAILI 2017466178

2017466156
MOHD FIKRI BIN NASIR

MUHAMMAD AIMAN FAISAL BIN MOHD ZAILANI 2017466168

2017466164
NUR MOHAMMAD SHAHRUL IKRAM BIN MOHD NOR

Checked by: PROF MADYA DR AYUB MD SOM

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Table of Content
No. Content Page
1. Introduction
2. Raw material
3. Energy use
4. Effluent
5. Skips
6. Labour/Time/Maintenance
7. Conclusion
8. References

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Introduction

Waste is everything that we discard, dumped, produced and all of them is not required or wanted
anymore. As we know todays, the waste keeps increasing drastically without anyone concerned
about it. This is because in our daily life, there were no single day that the day without waste. So,
everyday there must be wastes that has been dispose. Disposing of waste can have a significant
impact on many things in our world especially on our future. For us to sustain and preserve our
future, we should manage the waste properly.

Based on my research, the waste that we generate is over 350 million tons per year. Waste
generated depends on the type of business operated. The operating business that produce the most
waste is manufacturing business. If we not manage these wastes properly, it may cost many things in
our future.

There are two cost of waste that can be identified. First is visible cost and the other one is hidden
cost. Visible cost is the cost that we can see it physically while hidden cost cannot be seen physically
but it may affect our future without we realized it. Some example of these costs are effluent, skips,
energy use, raw material, labor, time and maintenance.

In order for us to be aware of the importance of waste management, we must first understand and
know the cost of the waste to our future. Then, we will know the advantages and disadvantages of
the waste. From here, we can start to learn about waste management techniques and then manage
the waste properly either by reduce, reuse, recycle or treat them.

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Cost of waste Towards Future – Raw Materials

The raw materials that used in oil and gas industry nowadays will have a great cost of waste
generation on future. The harmful waste from the production of crude oil and natural gas need
careful disposal to reduce the impact on environment. To sustain our ecosystem, we must make sure
to implement the hierarchy of waste management. The main point is the developer or manufacturer
in oil and gas industry must choose the right raw materials to be used in the production line.
Renewable raw material is the best option to achieve the sustainability and save the future.

To achieve the sustainable goal, we must know how long it takes to decompose the waste. The
major problem we are facing nowadays are plastic products derived from petroleum. According to
estimates, every year we use approximately 1.6 millions barrel of oil just for producing plastic water
bottle. These plastic products such as water bottle and plastic bags took very long time up to 1000
years to decompose. An example of invention that can secure the future environment is
biodegradable plastics. This plastics can be made from many different of raw materials such as
petrochemical and corn starch. As we know the world population now is 9 billion people, so that
they are many plastics that need to fulfil the demand of consumers. If this happened the cost of
waste that effect on future can be reduced.

Palm oil is the best solution to reduce the cost waste generated by oil and gas industry on future.
Besides producing cooking oil, margarine, glycerol and soaps; it also can produce biodiesel. Biodiesel
is a renewable resources unlike the petroleum products that will vanish in years to come. It produces
less toxic pollutants and greenhouse gases than petroleum oil. Fossil fuels that we burnt nowadays
will release greenhouse gases like carbon dioxide in the atmosphere. It increase the temperature
and contribute to global warming. Based on study by experts, the adoption of biofuel can reduce
greenhouse gases up to 78%.

Instead of changing the raw material, the waste is potentially recyclable into secondary raw
materials. There are opportunities to increase the secondary raw materials by increasing the
recycling and proper waste management. The use of secondary raw materials is important in
industry, both as source of additional material resources and factors in reducing cost of products.
Secondary raw materials such as machines, equipment and metal scrap can reduce the cost of waste
generation on future.

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Cost of Waste Towards Future – Energy Use

Based on our basic knowledge, we knew that there are two types of energy in this world that we
used in our daily life. They are renewable energy and non-renewable energy. Basically, renewable
energy is some source of energy that does not depleted when we used it for a long period. For non-
renewable energy the meaning is opposite to renewable energy which cannot be replaced once
consumed.

Todays, the most consumed energy is non-renewable energy. So from the present consumed
energy, it may affect the future which the non-renewable energy sources may be completely being
used, means that there are no more fossil fuels, oil, coal, nuclear energy and natural gas. In order to
avoid this from happening, non- renewable energy used should be reduced and increase the usage
of renewable energy.

In 2015, there is a journal published entitled Energy & Environmental Science authored by Standford
scholar Mark Z.Jacobson and nine colleagues which told about their ambition to work on renewable
energy. They want to replace the existing consumed energy which mostly being used are oil, natural
gas and coal with wind, water and solar (WWS). There is a map that shows their future plan on
reducing the usage of non-renewable energy by increasing the renewable energy usage.

Their core plan is to electrify everything. This does not mean that they want to completely destroy or
disregard the non-renewable energy, they just want to reduce it. They also want to switch all the
industry sector to be run on electric power instead of fossil fuels. By shifting into renewable energy
or electricity, it may eliminate many bad things and provide good things to our future such as
eliminating air pollution, reduce health problems and save on health costs.

Figure 1 Maps on Future Usage of Energy

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Cost of waste Towards Future – Effluent

Effluent is normally the liquid that being disposed by the industry, factory, civilization area and
framing area, into the river, lake, sewer system and sea. Usually the released effluent containing
very heavy chemical contains, inflammable solvent, garbage, tar or the immiscible liquid, and other
solid matters.

The excessive waste disposal of effluent into the river can cause flooding. This is because the solid
matters in the river will assemble in one particular area and the movement or the flowrate of the
water will reduce and flood will occur. Next, the color of the water will change darker due to massive
chemical waste being disposed into the river, sewer and lake. It also will release the bad odor to the
surrounding when people smell because it contains chemical and dead animals in the river.
Furthermore, the Biochemical Oxygen Demand (BOD) will increase rapidly and bacteria try to
decompose the organic matter will use a lot of oxygen. So the amount of oxygen in the river, lake,
and sewer system immediately will reduce very fast also the flora and fauna live in that ecosystem
cannot get enough oxygen and slowly its will die. The ecosystem of the river will badly damage it
environment and no living things will live in that particular area.

Figure 4.1: Effluent from Figure 4.2: Many aquatic Figure 4.3: Many
industry released into life die suspended solid in the
inland water river

In order to get the cleaner water environment, the effluent water must be treated and examine the
effect of effluent to the environment. The disposal waste in the sewage must be measure to
investigate the degree of the pollutants in the river, lake or sewer to get better understanding and
facilitate treatment. The purpose of treatment is to get the lower pH value in the environment and
low BOD value in the ecosystem. As the value disposal of effluents decrease the water will become
clearer, good quality and the aquatic live will increase. Thus, the restriction of release the effluent
into the inland water must be apply by the industry and civilization area to reduce the number of
effluent released into the inland water

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In the oil and gas industry, there are several factors can cause effluent in oil and gas industry. The
drilling wastes is considered as the major factor of effluent in oil and gas industry. The waste of
drilling fluids and drilling cutting usually contain small chipping solid that may deposited on the
onshore where the drilling site is located. Produced water is the amount of water generated from
the oil and gas extraction process. The produced water from the oil and gas industry also considered
as the effluent because highly contains many chemical solvents that can damage the marine
ecosystem. The amount of oil spills from the upstream production fill up at the sea surface.

In the future, if the excessive effluent from the oil and gas industry cannot be controlled it will be a
disaster for human mankind and also for marine ecosystem. The oil is less density compare to the
water so the oil will be on the top of sea surface. The oil will block the sunlight from entering to the
sea floor and the aquatic plant cannot enough food supply and slowly die due time. The fish also
cannot get enough oxygen and clean air for breathing because the sea surface is coated will thick
layer of oil spill. So many marines live rapidly die and human cannot get fresh food supply from the
sea.

Figure 4.1: Effluent from oil and gas industry


released into onshore

Next, in order to sustain the amount of the effluent in the future is try to reduce the significant value
of waste materials from the oil and gas industry. The value of produced water needed to be
controlled. The possible treatment for the produced water are operating performance of gas
flotation technology, granular filtration and subsequent surface water discharge, granular filtration
by reinjection of produced water into any compatible geologic formation. The cost of treatment will
depend on the size of the upstream area of petroleum production. The bigger the area the more
cost needed for the treatment of the produced water.

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Cost of waste Towards Future – Skips

It is obviously true that the amount of waste is being produced and keeps increasing day by day. This
will eventually affect the future in many aspects. Back to the main issue, it is recorded that the world
generates 2.01 billion tonnes of municipal solid waste annually, with at least 33% of that not
managed in an environmentally safe manner. The East Asia and Pacific region is the region that
currently generates most of the world’s waste at 23% while the high-income countries combined are
generating over one-third of the world’s waste. As stated at the beginning, this problem keeps
increasing from days to days and we will surely confronting some costs from that issue.

There are two types of cost of waste which are known as visible costs and hidden costs. Skips are
one of the visible costs of waste. A skip is a large open-topped waste container designed for loading
onto a special type of lorry. The skip is removed or replaced by an empty skip and then tipped at a
landfill site or transfer station instead of being emptied into a bin lorry on site. Skips are commonly
used to hold open-topped loads of construction and demolition waste, garden waste or any other
waste and litter types.

Regarding the increment amount of waste every year, the usage of skip will surely increase too. In
my opinion, if the wastes are not being well managed or reduced properly, the cost of skip will be
higher and the number of skips and containers we needed will be higher too. The service of skip is
not free. The cost of skip will depend on several factors but typically varies based on the type and
volume of waste that need to be removed and also the size of the skip. Every company offers
different prices. The average price for an 8 yard builders skip is around RM1250. That is before the
cost of any skip permit or parking bay suspension. Before putting a skip on a road, we need a skip
hire permit and if it is in a controlled parking zone, we will also need a parking suspension. Both cost
us money and take at least a few days to arrange. Furthermore, if the skips are overfilled, the skip
company will also charge us more at the point of collection. So, in the future, the wastes need to be
reduced in order for us to use less skips that may cost us a lot of money.

Unmanaged and overflowing waste can also impact our health and environment. These issues will
happen if we use less skip in the future. One of the outcomes of overflowing waste is water
pollution. Garbage and liquid waste that end up in water bodies negatively change the chemical
composition of the water that affects all ecosystems existing in the water, including fish and other
animals that drink the polluted water. Overflowing waste can also cause air pollution. The toxic
substances in air contaminated by waste include carbon dioxide, nitrous oxide and methane that can
cause various respiratory diseases and other adverse health effects. Besides causing all sorts of
health and environmental issues, overflowing waste is a public nuisance and eyesore.

In conclusion, waste management is a universal issue that matters to every single person in the
world. Improving waste management will also help cities become more resilient to the extreme
climate occurrences that cause flooding, damage infrastructure and displace communities and their
livelihood. If left unmanaged, dumped or burned, waste harms human health, damages the
environment and climate plus hinders economic growth in poor and rich countries alike.

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Conclusion

In conclusion, true cost of waste generation on future will cause a great impact on oil and gas
industry. So, in order to reduce the cost of waste generation on future, we must acknowledge all
disposal and hidden cost such as raw material, effluent and energy use that contribute to cost waste
generation on future. Petroleum industry consists of three activities; upstream, midstream and
downstream activities. The upstream activities such as drilling, completion, and production
operations, various wastes including muds, cuttings, and others are created along the oil and gas.
These wastes can be disposed of through a variety of methods, including burial, either onsite or
(more commonly) offsite. In order to benefit the, government must enforce strict act regarding the
waste management practice of the oil exploration and production waste discharge from oil and gas
industry. These complies the lacking of knowledge on petroleum waste management, less
encouragement from agencies that manage petroleum wastes, low of commitments from petroleum
waste management party and finally the cost of managing the petroleum wastes. Oil and gas
industry is indeed contribute a great impact to development in Malaysia as well continued to
become one of the major source of income for the government. Despite the challenges that the oil
and gas industry is currently facing, the focus on oil and gas projects arising from Economic
Transformation Program will create a progressive oil and gas industry in Malaysia with various
market opportunity and potential jobs.

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