AAC Sample Prject Profile-Complete

Sample AAC project profile for India
Prepared by Project Consultant. N.Gangadhar Reddy (Ph-9437123235, ngreddy2000@yahoo.com)

1

Name Of the Project

Autclaved Areated Concrete (AAC) Blocks Unit

Preparation Date
1
st
March, 2011
Project Report Version: 001:001

Presented to
Shandong Dongyue Building Machines Co Ltd,
Linyi City, Shandng province, China

Proposed Project site
Multi Location, Pan India

Prepared by
N.Gangadhar Reddy
Project Consultant,
Product Quality Reassurance Services
orissabricks@gmail.com, ngreddy2000@yahoo.com


2
1. Project at a Glance

1 Product Details :
Type :
BIS Code :
AAC light weight Blocks
Fly Ash Based or sand based
IS 2185 : 1984 ..Part 3
Technology Area Infrastructure & Green-Tech
Capacity Utilization :

80%

2. Assumptions
The following assumptions have been made while preparing this Project Report.

a. Land of 3 Acres is Required

b. Fly to be provided free of cost by power plants. Only transportation to be
arraigned by Project. Average distance of 100 KM

c. Production is estimated at 80% capacity,

d. 300 working days is considered in a year during the first year.

e. Boundary wall to be constructed from trail production bricks of Unit.

f. Carbon Credit is estimates are for reference purpose. The Project owner must
handle his part of CDM project to get Carbon credits, through independent
consultants.

g. Carbon credit can be transacted on registration. The PCN preparation &
presentation, the PDD preparation & presentation, host country approval and
the UNFCCC Registration might take somewhat 6 months to 2 years year. So
it may be wise to start early.

h. Sale price at site is estimated a conservative Rs 2500/- per cubic meter. An
almost at par price of regular bricks.

i. AAC Blocks of all sizes will be manufactured according to the market
requirement, though mainly stipulated sizes as per the BIS standards.


3

3. Introduction

AAC is Autoclaved Aerated Concrete. The blocks are made to aerate by creating a
reaction between silica in base material such as fly ash or sand, active lime, and
aluminum power. The block hardness is being achieved by cement strength, and instant
curing mechanism by autoclaving. Gypsum acts as a long term strength gainer.

The finished product is a 2.5 times lighter Block compared to conventional Bricks,
while providing the similar strengths. The specific gravity stays around 0.6 to 0.65. This
is one single most USP of the AAC blocks, because by using these blocks in structural
buildings, the builder saves around 30 to 35 % of structural steel, and concrete, as tese
blocks reduce the dead load on the building significantly.

The major raw material..Fly-Ash, an indispensable by-product of Thermal
Power Plants, is an environmental threat across the globe. Power plants are facing an ever
increasing challenge disposal of this polluting agent. This unit is proposed to manufacture
AAC Bricks & Blocks by consuming the Fly-Ash as one of the prime raw material.
Secondly, it also helps environment by saving the invaluable top soil by not using them in
brick making like conventional brick making. Thirdly, they need no burning, thus further
enhancing their Eco-Friendly Brand. The steam curing requires far less fuel, compared to
the backing for each cubic meter of Bricks. This is the reason these bricks are also
referred as Eco Bricks or popularly Green Bricks, (though the color is gray).

AAC Blocks are largely used in various constructions, such as load bearing and
pillar structure Buildings, Boundary walls, Roads, Culverts, Pavements, and wherever
conventional bricks can be used. The general AAC blocks fall in the strength zone of 30-
60 Kg/Cm
2
, thus is having comparable strength as conventional Bricks, and hollow
concrete blocks. These Blocks gain strength over a period of time up to 2 years, where as
the conventional bricks tend to lose strength over a period of time.

These green bricks can attain very regular and uniform shapes. As no burning is
involved, so the shape also remains unchanged. As a result, the final Brick work with
these green bricks consumes less mortar to build, less mortar to plaster. Further, the AAC
being a concrete itself, it forms a more uniform bond with cement mortar, giving almost a
homogeneous structure. Not only this, even exposed brickwork (without plastering) is a
good durable structure. So people prefer to leave the Green Bricks Brickworks in garages,
boundary walls etc. un-plastered.

4. Advantages of using AAC Blocks.

The advantages are as follows

1. Environmental friendly : Consumes Fly ash

2. Environmental friendly : Saves invaluable top soil

3. Environmental friendly: needs no burning/backing.


4
4. Strength: Higher Strength Bricks.

5. Uniform Shape: Easier and faster Brick working.

6. Uniform Shape: Less Mortar in Brick work.

7. Uniform Shape: Less Mortar in Plaster.

8. Natural Concrete: Gains strength over time.

9. Natural Concrete: Walls can be left exposed/un plastered.

10. Better heat & sound insulation compared to red Bricks

11. Far Lesser brakeage during handling & transportation.

12. Better Vibration resistance compared to red Bricks.

13. Light weight : Faster and easier transportation

14. Light weight : Faster and easier brickwork

15. Light weight : saves structural concrete by 35%

5. Market

Shelter is third skin, according to a German Concept, which implies its
importance next to human Skin and Clothing. This also shows the attachment of
human race to this fundamental requirement.

Building Material accounts for major component of the construction cost.
Depending on the location they can contribute to 60 - 70 % of the cost of
construction. With the ever increasing population, the demand for housing increases.
This directly creates demand for this prime commodity of building.

Add to the above fact the nearby area of this project site is undergoing a major
infrastructure revolution. As Residential, Commercial, IT companies, and Industrial
establishments are coming in, we can conclude that the Blocks unit will prosper and
flourish in this environment.

There is a central government gadget notification mandating government
departments and CPWD to use 100% Fly Ash based Bricks in their all constructions-
directly of through contractors. This factor will help the marketability of this product
immensely.

Fly Ash policy of the Government also mandates that 20% of Fly ash Generated
by a power plant must be given free of cost to SME sector on a priority basis.


5

6. Carbon Credits Estimates

AAC blocks are being seriously considered for CDM projects in India for
earning Carbon Credits. As the CER Generated is also relatively less, four or five
such units can be bundled together to make a Group CDM in the same sactors.

This project is likely to generate 1 CER per each 7 or 8 Cubic Meter of Blocks
production, depending on, and subject to the CDM methodology adopted, and the
interpretation of additionality and baseline parameters by the validating authority.

Just for a rough estimate of CERS, for an annual production of average size
AAC plant, that is 100000CM/Annum, we are likely to get around 12500 CERs on
full capacity Production. At present market rate of 11.5 Euros per CER and @ Rs. 60
per Euro, we can expect to get additional revenue on CER. But we must expect to take
a cut of around 20 to 30% of CERs, if we want to forward sell the CERs and get the
CDM part sponsored by the buyer.


6
7. Raw Materials, Sources and Availability.

Fly-Ash:

A lot has been said about this raw material in this Project Profile itself. But
this Raw material is freely available in Thermal Power plants. There are no taxes on this
item whatsoever. Transportation charges are only to be attended by the entrepreneur.

Lime:

Active powered lime is a requirement for giving the real aeration to the
product. In phase 1 we can aim to buy the active lime directly. In phase -2 we can think of
having backward integration and making a lime powering unit at site to have a more
competitive advantage, We can also think of a lime burning klin inside the factory
premises.

The project financials however have not considered the costs of powering unit, and the
lime kiln in this project.

Different qualities of lime are available, and depending on the raw
materials, the mix design can be chosen to get the optimal quality of production.

OPC.
This Project aims to utilize OPC cement as main binder material. It will
give faster strength to the bricks, besides giving improved consistent quality. It also
ensures a better cost effectiveness for the same. Using OPC will be a standardized
practice. The other prime advantages of using OPC (compared to other binders) is its
easy availability locally through nationwide Retail Network of Cement Companies.

Gypsum:

This too is an industrial waste. This is available as an industrial byproduct
of Fertilizer Plant. Gypsum is responsible to give long term strength to the Blocks.

Aluminum Power.

Finely ground Aluminum power is used in very limited quantity ( less than
0.5%), so that it reacts with active lime, and silica in base material to make the aeration,
and swell the product, making it very light weight product.


7

8. Process

The Process of manufacture is simple t follow, and complex to implement.

First, the Fly Ash is mixed with water, and made Slurry in a slurry mixture. If
Sand is used as a base material, we need a ball mill to grind the sand to fine power. The
slurry making process is same sand.

After Slurry is made, the slurry is stored in slurry storage tank, where the slurry is
constantly agitated. Care is taken to run the slurry storage tank all the time, so that is
never settles down the particles.

Then a weigh batcher weighs the Slurry, lime, OPC, Gypsum and aluminum
power in preset quantities, and mixes thoroughly. The mixture also pours the mix into the
Mould carried n the mould cart. The full pouring of the mixture is just enough to fill
around 50% of the mould.

Then the mould is kept in a warm chamber for 2 hours, so that the aeration and the
light initial setting takes place.

Next process is de-molding process of the big block, in which a sophisticated
overhead hoist takes the mould, demoulds the block.

Next process is the level wire cutting of the Block, while the block passes on the
cutting trolley through the series of wires. This process follows a vertical wire cutting
where as the block remains stationary, and the cutter cuts the block vertically.

The final cut blocks are Steam cured in autoclaves for 8 hours at 12 KG/Sq cm
pressure, and 200D C

The product is ready on the same date to go into the market.

Please refer the Process Flowchart Drawing, 3D Layout Drawing, and the
Pictorial Sketch Drawing given in following pages.


8

9. Process Flow Chart.

Eco-Bricks Ready for Sale

Fly Ash

Gypsum

Lime

OPC
Main
Raw Materials
Water
Flyash
Slurry
Batched

Weight
Batched

Weight Batched

Quantity

Aluminum pouring Mixture
to mix ingredients
Bricks Casting on Mould
Hi Pressure Steam Curing for 8 Hours
De-molding and Wire Cutting


9
10. Layout Drawing (3D)

Please follow the real 3D graphical layout drawing, and its prospective pictorial Sketch
description


10
11. Photographs

Just for technical clarity some of the photos of the real working are provided here. Please
ask for a free video CD explaining complete working condition.


11
11. Raw Material Suitability

Almost 95% of the raw materials can be made suitable for AAC line through proper mix
design. Also we can have many different mix designs for the same denicitysame
strength of Blocks. We will help you to get the Best quality blocks at optimal cost by
means of designing proper Mix as per your input raw materials.

The following are basic guidelines (certainly not the final call) on the suitability of basic
raw materials for AAC.

1. Fly ash (65-70%)
Index Item
Grade (%)
Gr-I Gr-II
Degree of
fineness
(0.045 square hole sieve left amount) 30 45
(0.080 square hole sieve left amount) 15 25
Ignition loss 5.0 10.0
SiO
2
45-55 40
SO
3
1 2
Reference : The fineness can be 0.045 or 0.080 square sieve left amount.

2. Lime (8-25%)
Item Grade
Super Gr. 1
st
Gr. 2
nd
Gr
A(CaO+MgO) Quality Fraction % 90 75 65
MgO Quality Fraction % 2 5 8
SiO
2
Quality Fraction % 2 5 8
CO
2
Quality Fraction % 2 5 7
Digestion speed ,min 5-15
Digestion temperature ,
60-90
Undigested residue quality fraction ,% 5 10 15
Fineness (0.080 square hole sieve left amount) % 10 15 20

3.Cement (6-15%)
SiO2 Al
2
O
3
Fe
2
O
3
CaO MgO C
3
S C
2
S C
3
A C
4
AF
21-23 5-7 3-5 64-48 4-5 44-59 18-30 5-12 10-18

5. Aluminum Power (about 0.08%)
Type and recommendation for supply depend on raw materials and mix formula
Metal Content Approx. >=65% Powder

4. Gypsum/Plaster (3-5%)
CaSO4 70%
MgO 2%
Chloride 0.05%
Preferably ground residue 90m 10-15%


12
12. Indian Standard for AAC blocks

Bureau of Indian Standard Code no- 2185(Part-3):1984 discusses in details regarding the
AAC blocks specifications in India. The prime requirements for AAC blocks (of ISI
standards) in India as per the above said code are as follows.

A. ON PHISICAL SIZES OF AAC BLOCKS

B. ON TOLERANCES OF AAC BLOCK SIZES

C. ON DENCITY, STRENGTH & THERMAL CONDUCTIVITY
TABLE-1

Sample AAC Project for Dongyue-India Clients
AUTOCLAVED AREATED CONCRETE BLOCKS PROJECT EXECUTION SUMMERY
All figures in Rs. Lakhs
Items
(Fly ash Based AAC lines
)
Phase-1
(First
executions-
Gestation
period-6
Months
min)
Phase-2
(2nd
executions-
Gestation
period-2
Months
min)
Phase-1
(3rd
executions-
Gestation
period-2
Months
min)
Semi Auto
Total
Project
Fixed costs
Auto
Module
AddON-
landing
Automatic
Module
Project Fixed
Costs
50000 CM/Annum AAC Plant 718.52 0.00 0.00 718.52 60.00 778.52
Working Capital Rs. Lakhs
50000 CM/Annum AAC Plant 44.37
Please see the fixed inner sheets for details
Assumptions for Sample Project Profile
As land costs vary widely, this has been excluded
Customs duties considered as per rates applicable during 2010-11
10% depreciations of Land & Buildings considered & 15% on machinery
USD exchange rate taken as Rs. 45/-
Sea Fare, Truck charges, C/F charges as per the prevailing charges is considered
The shed area and office area for guidelines only. Clients can have their own luxury as per the needs.
The work shed and office space and fabrication charges considered as CPWD averages.
The Machinary Commissioning and Civil charges are considered @ 5% of its landing price
For clarity Phase 2 expansion is considered in Year 2 and Phase 3 expansion in Year-3
The raw material rates pertains to a specific place and may vary from place to place
Block sale price indicated in this Project is exfactory. All taxes and transport extra as applicable
Intrest and oppurtunity cost is considered at 13% as per the Prevailing rates
Disclaimer
This Project Profile is supplied free of cost to all prospective AAC clients
This FULL document can be distributed free of cost to any one, without any sort of permission
This Document cannot be sold to anyone for any purpose( neither soft copy nor hard copy)
This Project Profile is A GENERALISED profile and do not represent any one unit in particular.
This is for guiding prospective client, and helping them to understand the project well
This can also serve a basis for Clients Chartered Account for making a DPR for them
This template with a little variation can be used to get the DIC EM-1, Pollution control NOC, and other Docs
This document do not in any way bind, restrict or force any data on Dongyue Company or N.G.Reddy
The AAC project being Modular, there can be client specific needs, which may not be mentioned herein.
As the raw materials vary widely, so also does the mix designs we suggest. So final costing may vary.
The Price basics for China Machinery, and Indian side machinery is just for reference purpose.
Even the quantity of items is approximate, and can vary from case to case basis
The civil costs can vary depending location, and the clients rapport and grasp on the field
The fabrication costs can depend a lot on clients ability to handle the things on his own, and Steel Prices
The speed of execution of project totally depends on Clients skills to Coordinate the Indian suppliers
We can take up the client specific Project profile on a Nominal Payment basis
We are attempting to get the AAC units bundled in a group for CDM benefit to earn Carbon Credits
If we need sand base AAC add on, we need to add a 150 KW
ball mill and a block separator Extra. Even we may need 2 more
autoclaves to reach max production of 1,5 Lakhs CM as the
steam curing period is at least 25% more
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1 Pre curing Room 24.00 16.50 3960
2 Mould Turning Ares 6.00 16.50 990
3 Cutting Area 18.00 16.50 2970
4 Boiler Area 16.00 8.00 1280
5 Total Mandatory workshed Areas 9200
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6 Raw Material Handling Section 12.00 16.67 2000
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7.a For 50000 CM/annum plant 30.00 8.00 2400
7.b For 100000 CM/annum plant 30.00 14.00 4200
7.c For 150000 CM/annum plant 30.00 20.00 6000
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Total Area
(acers )
Shed Area (sft)
Plant Area
(sft)
1. Minimum Area for 50000CM Plant 2.50 13600 18400
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C Installation Schedule
Installation Schedule for 150000 CM/Year capacity AAC plant on autoclaves & Major Items
Sl. No Items Phase-1 Phase-2 Phase-3
1
Autoclaves Complete Kit along with
Body, Steam Pipes, Cyllinder and
Insulation, safety devices, Rails
2 2 2
2 Moulds 12 4 4
3 Side Pallets 50 50 50
4 Steam Traullies 25 25 25
D Indian Total Duty Obligation Calculations
1 CIF Price (=FOB Price+Sea Fright+ Sea Insurance) % value 100.00
2 Landing Overheads by Indian Costoms 1% 101.00
3 Basic Customs Duty (84708410) 7.50% 7.58
4 sub total-1 108.58
5 CVD (Counter Valing Duty) 10% 10.86
6 Deducational cess 3% 0.33
7 Sub total-2 119.76
8 Customs cess on total duty 3% 0.56
9 sub Total-3 120.32
10 Aditional customs cess 4% 4.81
11 Grand Total 125.13
12 EFFECTIVE Percentage of tax on imports over CIF price 25.13%
E
Details of Machinary From (Both India and China ) Installation in a 3 Phase Split
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Items imported from ChinaFOB
price ( Fully Automatic Module )
US$ 613,556 89,018 89,018
Containers needed nos 12 2 2
Avg Sea frieght + Insurance 1500 US$ 18,000 3,000 3,000
CIF price US$ 631,556 92,018 92,018
Customs + CVD + Surcharge, and
other taxes
25.13% US$ 158,710 23,124 23,124
Landing Price US$ 790,265 115,142 115,142
Landing price in INR 45 Rs. 35,561,943 5,181,396 5,181,396
Clearing and liasoning charges per
B/L
Rs. 12,000 12,000 12,000
Destuffing and road frieght charges
on trawler basis
30000 Rs. 360,000 60,000 60,000
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s!te l:!ce s!te l:!ce s!te l:!ce s!te l:!ce
Rs. Rs. Rs. Rs. 8b,988,948 8b,988,948 8b,988,948 8b,988,948 b,?b8,89b b,?b8,89b b,?b8,89b b,?b8,89b b,?b8,89b b,?b8,89b b,?b8,89b b,?b8,89b
Total Indian Machines FOR
Prices (approxmate USD
equvalent)
USD 364,896 164,960 164,960
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!n 1NR + !n 1NR + !n 1NR + !n 1NR +
4b 4b 4b 4b Rs. Rs. Rs. Rs. 1b,4?D,8?D 1b,4?D,8?D 1b,4?D,8?D 1b,4?D,8?D 7,4?8,?DD 7,4?8,?DD 7,4?8,?DD 7,4?8,?DD 7,4?8,?DD 7,4?8,?DD 7,4?8,?DD 7,4?8,?DD
O:und totuI Mucl!nu:v O:und totuI Mucl!nu:v O:und totuI Mucl!nu:v O:und totuI Mucl!nu:v Rs. Rs. Rs. Rs. b?,8b4,?b8 b?,8b4,?b8 b?,8b4,?b8 b?,8b4,?b8 1?,b7b,b9b 1?,b7b,b9b 1?,b7b,b9b 1?,b7b,b9b 1?,b7b,b9b 1?,b7b,b9b 1?,b7b,b9b 1?,b7b,b9b
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c!v!I wo:ks c!v!I wo:ks c!v!I wo:ks c!v!I wo:ks
b b b b Rs. Rs. Rs. Rs. ?,b17,718 ?,b17,718 ?,b17,718 ?,b17,718 b88,88D b88,88D b88,88D b88,88D b88,88D b88,88D b88,88D b88,88D
TotuI Mucl!nu:v TotuI Mucl!nu:v TotuI Mucl!nu:v TotuI Mucl!nu:v
comm!ss!oned clu:,es ut comm!ss!oned clu:,es ut comm!ss!oned clu:,es ut comm!ss!oned clu:,es ut
s!te s!te s!te s!te
Rs. Rs. Rs. Rs. b4,971,97b b4,971,97b b4,971,97b b4,971,97b 18,81D,4?b 18,81D,4?b 18,81D,4?b 18,81D,4?b 18,81D,4?b 18,81D,4?b 18,81D,4?b 18,81D,4?b
TotuI Mucl!nu:v TotuI Mucl!nu:v TotuI Mucl!nu:v TotuI Mucl!nu:v
comm!ss!oned costs !n comm!ss!oned costs !n comm!ss!oned costs !n comm!ss!oned costs !n
lukls 1NR lukls 1NR lukls 1NR lukls 1NR
lukls Rs. lukls Rs. lukls Rs. lukls Rs. b49.7? b49.7? b49.7? b49.7? 188.1D 188.1D 188.1D 188.1D 188.1D 188.1D 188.1D 188.1D
* India Side Procurement includes Boiler, Autoclaves, Surrry Tank Body, Loader, Forklift, and Other unfabricated MS items
F Fixed Cost Calculations
Sl No Details
Fixed
Cost
Promote
r's
Margin
in %
Seed
Funding
Bank
Loan
1 Land 4 Acers @ Rs. Own Land 0.00 100.00 0.00 0.00
2 Land Devolopment @ Rs. 3 Lakhs/Acer 15.00 50.00 7.50 7.50
3 Stores & workShed 17200 sft @ Rs.800/- 137.60 30.00 41.28 96.32
4 office 1000 sft 8.00 30.00 2.40 5.60
5 500 sft x 3 floor rcc or MS struct 15.00 30.00 4.50 10.50
6 Mis fixed assets 5.00 40.00 2.00 3.00
7
Transformer/geneset/Electric Installations
& charges 50.00 25.00 12.50 37.50
8 Water Source--Boor Well with Pump 2.00 25.00 0.50 1.50
9
Plant & Machinary(with Installation)-
Phase-1 (1st Year) 549.72 25.00 137.43 412.29
10
Phase-2 (2nd yr) 133.10 25.00 33.28 99.83
11
Phase-3 (3nd yr) 133.10 25.00 33.28 99.83
12 Prilimnary exp 5.00 40.00 2.00 3.00
13 Preoperative 15.00 40.00 6.00 9.00
14 Contingency 5.00 40.00 2.00 3.00
15 Total 1073.53 284.66 788.87
G Working Capital Calculation
1st Year Capacity 50000
Costing Per Month at 80% production 40000 24000 Tons
1 Raw materials/ CM in Rs. in Rs.
particulars Quantity T rate/tonne Amount
a Fly Ash 0.45 150 67.50 Rs.
b lime 0.09 5000 450.00 Rs.
c OPC Cement (Tanker load) 0.07 5000 350.00 Rs.
d Aluminium power 0.0005 230000 115.00 Rs.
e Gypsium 0.005 550 2.75 Rs.
f RM/CM 0.62 985.25 Rs.
g Power(KWH) 9.00 6 54.00 Rs.
h Coal (Kg) 30.00 4 120.00 Rs.
Other Consumables 50.00 Rs.
i Total 1,209.25 Rs.
j add Wastage @ 1% 12.09 Rs.
k Raw material per CM 1,221.34 Rs.
L Raw Materials per month CM 3333.33 4,071,141.67 Rs.
at 80% capacity
2 Labour/Month Nos Lab/Month Tot sal/day
a Skilled Labour 5 6000 30,000.00 Rs.
b Semi Skilled Labour 5 5000 25,000.00 Rs.
c Un skilled Labour 10 4000 40,000.00 Rs.
d Total Labour/Month 95,000.00 Rs. 95,000.00 Rs.
3 Officeial staff/Month Nos Lab/Month Tot sal/day
a Managers & accounts 2 10000 20,000.00 Rs.
b Supervisors 4 8000 32,000.00 Rs.
c Other staff 4 6000 24,000.00 Rs.
d Total Labour/Month 76,000.00 Rs. 76,000.00 Rs.
5 Insuraance per Month ( at 0.3% per annum ) 20,182.99 Rs. 20,182.99 Rs.
6 Maintainance per Month ( at 2% per annum ) 91,619.96 Rs. 91,619.96 Rs.
7 Office Overheads(Post+phone+Net+travel+stanry) @ Rs. 25/CM 83,333.33 Rs. 83,333.33 Rs.
8 Total Expences per Month 4,437,277.95 Rs.
9 Working Capital for 1 Cycle
a Curing Line 2 days
b Cerdit Period 14 days
c Stock holding 14 days
d Total = 30 Days
10 Working Capital for 1 Cycle (30 days=1 month)- 1st year 4,437,277.95 Rs.
11 Working Capital for 1 Cycle (30 days=1 month)- 2nd year 8,874,555.91 Rs.
12 Working Capital for 1 Cycle (30 days=1 month)- 3nd year 13,311,833.86 Rs.
* Note
i Installed Capacity in phase-1 (1st Year ) is 50000 CM/annum
ii capacity adition in phase-2 (2nd Year ) is 50000 CM/annum
iii capacity adition in phase-3 (3rd Year ) is 50000 CM/annum
H DEPREATIATION
Item 1st Yr 2nd year 3rd Year 4th Year 5th Year Remarks
1 Block Land & Building 165.60 149.04 134.14 120.72 108.65
2 Added Land & Buildi ngs 0.00 0.00 0.00 0.00 0.00
3
Depreaciation on building/shed and other
constructions except land 10% 16.56 14.90 13.41 12.07 10.87
4 Year end Block 149.04 134.14 120.72 108.65 97.79
1 Block Machinary 601.72 511.46 567.85 615.77 523.41
2 Block Added in the Year 0.00 133.10 133.10 0.00 0.00
3 Depreaciation on machinary & equipments 15% 90.26 76.72 85.18 92.37 78.51
4 Year end Block 511.46 567.85 615.77 523.41 444.90
I Debt Service Coverage Ration ( D.S.C.R )
1 Bank Loan 689.04 689.04 616.61 444.35 272.09
2 Intrest on Bank Loan 89.57 89.57 80.16 57.77 35.37
3 Repayment 0.00 172.26 172.26 172.26 172.26
4 Aditional Loan in Year 0.00 99.83 0.00 0.00 0.00
5 Profits before TAX 249.99 709.64 1147.13 1256.72 1387.22
6 Profits after Tax (33%) 33% 82.50 234.18 378.55 414.72 457.78
7 Profit After Tax 167.49 475.46 768.57 842.00 929.44
8 D.S.C.R 4.06 2.51 3.75 4.37 5.08
9 Average DSCR 3.95
Note D.S.C.R = ( Profit After Tax + Depreciation + Intrest on Trrm Loan ) / (Intrest on Term Loan + Term Loan Repayment )
J Project Cost, Profitability Calculation & Ratios
J1 Project Cost 1st Yr 2nd year 3rd Year 4th Year 5th Year
1 Total Fixed Capital 807.32 940.42 1073.53 1073.53 1073.53
2 Total Working Capital (30 days) 44.37 88.75 133.12 144.21 155.30
3 Project Cost 851.69 1029.17 1206.65 1217.74 1228.83
J2
Machinary Utilisation
assumed/production 40000 80000 120000 130000 140000
CM/
year
E Cost of production per year
1 Working capital for 12 months 532.47 1064.95 1597.42 1730.54 1863.66
2
Depreaciation on building/shed and
other constructions except land 10 percent 16.56 14.90 13.41 12.07 10.87
3 equipments 15 percent 90.26 76.72 85.18 92.37 78.51
4 Intrest and Oppurtunity Cost 13 percent 110.72 133.79 156.86 158.31 159.75
5 Total cost of production 750.01 1290.36 1852.87 1993.28 2112.78
J3 Sales per year @ Rs. 2500/CM 1000.00 2000.00 3000.00 3250.00 3500.00
Note : Sales inclusive of VAT & Excise 2808.00
Expected CER Generated 5000.00 10000.00 15000.00 16250.00 17500.00
J4 Carbon Credit Revenue (Apprx) 25.88 51.75 77.63 84.09 90.56
Note :
CERs @8 CM=1 CER, 50000
CM=6666 CER @ 11.5 Euros@60
INR
Analisis
J5 Total Revenue 1000.00 2000.00 3000.00 3250.00 3500.00
J6 Net Profit/year 249.99 709.64 1147.13 1256.72 1387.22
J7 Net Profit Ratio 25.00 35.48 38.24 38.67 39.63 %
J8 Rate of return on investment 29.35 68.95 95.07 103.20 112.89 %
J9 Fixed cost (Per annum)
1 Depreatiation (Full) 106.82 91.62 98.59 104.44 89.38
2 Insurance (0.3% on Fixed costs) 2.42 2.82 3.22 3.22 3.22
3 Intrest on investment (Full) 110.72 133.79 156.86 158.31 159.75
4 25% Power 5.40 10.80 16.20 17.55 18.90
5 30% of wages &50% salary 7.98 15.96 23.94 25.94 27.93
6 Other Overheads (Full) 10.00 20.00 30.00 32.50 35.00
7 Total fixed cost 243.34 275.00 328.82 341.95 334.18
J10 Break Even Point (B.E.P) 49.33 31.66 22.28 21.01 19.41 %
Note :
1 Net Profit Ratio = (Net Profit / Net Sales) x100
2 Rate of Return on Investment = (Net Profit / Project Cost) x 100
3 Break Even Point ( B.O.P )= (Fixed Cost / (Fixed Cost + Net Profit)) x 100
25% of CERs deducted as transactional and operational costs. CER
revenues for Guidelines only. Not computed in Profitability of this
report

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AAC Sample Prject Profile-Complete

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