Energy has been the driving force for economic development. However, the source of energyrnhas become a big issue concerning the environmental pollution. Cellulosic bioethanol is onernof the different types of alternative energy sources so far innovated. It is promised to replacernthe liquid fossil fuel and settle the fuel vs food competition. This area attracts researchersrnfrom around the world due to its abundant resource and environmentally friendly productionrnprocess. Depending on that premises, this simulation-based bioethanol production researchrnpaper was dealt to investigate some of the scale up problems and to study the economicrnfeasibility. The research paper carefully simulates the production process and analysis itsrntechno-economic. The conceptual model used on this paper encompasses feedstockrnhandling, pretreatment, saccharification, cofermentation, and production recovery. Tornvalidate the equation used by Aspen Plus to simulate enzyme kinetics, the mathematicalrnequation for enzyme kinetics of hydrolysis and cofermentation were tested in Matlab. Therntechno-economic analysis for the overall production process was then studied depending onrntwo models. The two models were bioethanol plant gate price assessment model (BPAM)rnand feedstock cost estimation model (FCEM). During the process sensitivity analysis is alsornperformed using Aspen Plus built-in single objective function. The result of the sensitivityrnanalysis showed that, the conversion rate of cellulose to glucose, feedstock cost, and enzymernloading have high factor in the minimum plant gate ethanol selling price determination. Thernrelationship between scaling up and ethanol production capacity was uniformly corelated.rnThe bioethanol for 5000 kg/h and 100000 kg/h of sugarcane bagasse was 296.518164 andrn26443.563 respectively. This shows the positive correlation of the scale up and bioethanolrnproduction. In addition to that, the overall simulation result showed that the minimum plantrngate ethanol selling price at breakeven point was $2.1174 per liter. This result indicates that,rneven in the most optimistic scenario, the price of cellulosic ethanol is much more expensivernthan the other similar fuels, gasoline. However, bioethanol can be competitive at somernconditions. Some of the conditions that makes the biorefinery plant competitive enough onrnthe local market are feed-in tariff and compulsory purchase of electricity, government directrnsubsidy, tax preference and R&D. In addition to the above condition, public awareness isrnalso important. Finally, the researcher has recommended to government to revise the aboverncondition to entertain such type of environmentally friendly biorefinery plants.