Pyrolysis of mixed engineering plastics: Economic challenges for automotive plastic waste

Chemical recycling of complex plastic waste via pyrolysis can reduce fossil resource dependence of the plastics value chain and greenhouse gas emissions. However, economic viability is crucial for its implementation, especially considering challenging waste streams with high shares of engineering plastics that have lower pyrolysis product quality than standard thermoplastics waste. Thus, this study conducts a techno-economic assessment determining the profitability factors of pyrolysis plants for automotive plastic waste in Germany including different plant capacities and calculating cost-covering minimum sales prices for the resulting pyrolysis oil. Main findings are that due to economies of scale, the cost-covering minimum sales prices vary between 1182 euro/Mg pyrolysis oil (3750 Mg input/year) and 418 euro/Mg pyrolysis oil (100,000 Mg input/year). The pyrolysis technology employed must be robust and scalable to realize these economies of scale. Large plant capacities face challenges such as feedstock availability at reasonable costs, constant feedstock quality, and pyrolysis oil quality, affecting pyrolysis oil pricing. Due to the limited yield and quality of pyrolysis oil produced from these technically demanding feedstocks, policy implications are that additional revenue streams such as gate fees or subsidies that are essential to ensure a positive business case are necessary. Depending on the assessed plant capacity, additional revenues between 720 and 59 euro/Mg pyrolysis oil should be realized to be competitive with the price of the reference product heavy fuel oil. Otherwise, the environmental potential of this technology cannot be exploited.