The preparation of the glycerol plant is set up on the basis to meet the class of glycerol which continues to rise year after year. Raw material for glycerol is palm kernel oil (PKO) produced by PT. Agro Jaya Perdana, Sumatera Utara. The whole process of production uses a continuous process using the continuous fat splitting that involves a preparatory stage of raw materials, the hydrolysis stage and the glycerol purification stage, the process is chosen because the step for glycerol purification is shorter and requires no catalyst. The production capacity of the glycerol plant is 20,000 tons per year with 330 working days per year. The planned company form is a Limited Liability Company (PT) using the line and staff organizational structure method. The workforce needs to run the company are 110 people. The location of the plant is planned to be established in the area of Martubung, Kecamatan Medan Labuhan, Kota Medan, Provinsi Sumatera Utara with a land area of 16.260 m2 or 1,676 ha. The source of water for this glycerol plant comes from Deli river with a total water requirement of 91.667,083 kg/h, including sanitation water of 2.980 kg/h, process water of 19.139,401kg/h and make up water (steam and cooling water) as much as 67.335,742 kg/h, and the electricity needs of the glycerol plant of 8,247 MW obtained from diesel generators.
From economic analysis was obtained:
1. Fixed Capital Investment = Rp. 203.170.518.500
2. Working Capital Investment = Rp. 50.792.629.625
3. Total Capital Investment = Rp. 253.963.148.125
4. Total Production Cost = Rp. 4.887.761.492.920
5. Sale Cost = Rp. 4.935.681.415.615
6. Pay Out Time (POT) = 4,5 years
7. Break-even Point (BEP) = 49,5%
8. Internal Rate Of Return (ROR) = 28%
Based on the above technical and economic feasibility studies, it can be concluded that the design of the glycerol factory is feasible to proceed to the construction phase.