Some Environmental Issues &

Business Opportunities in Indian

Industry

S.Padmanaban, USAID

US-INDIA BUSINESS SUMMIT

Industry Breakout Session –
Environment
November 30, 2006
Mumbai
 History of USAID/India’s
Energy/Environment Programs
❖ 1960s/70s: construction of 15 thermal power
plants and several hydro projects.

❖ 1980s: moved on to science and technology

development in the eighties.

❖ 1990s: focused on privatization and technology

commercialization in the early nineties.

❖ 1998: GHG emissions reductions in the energy

sector - main focus since the sanctions.

❖ Today: electricity distribution reform, water-

energy, methane-to- markets, municipal services
 KEY PROGRAMS IN
ENVIRONMENT & ENERGY

❖ ENERGY EFFICIENCY
❖ CLEAN COAL
❖ WATER- ENERGY NEXUS
❖ POWER DISTRIBUTION
❖ DISTRIBUTED GENERATION
❖ SUSTAINABLE BUSINESS
DEVELOPMENT
 1. Industrial & Hazardous Waste
Management
❖ Major issues in India
 30 million tons of waste generated apart
from fly ash (2003 data)
❑ 8 million tons of hazardous waste

❖ Key issues
 Lack of secure landfills and Treatment,
storage and disposal facility (TSDF)
❑ Only 11 TSDFs in India
 Lack of incineration facilities
 Lack of waste handling and management
systems
 Industrial & Hazardous
Management
❖ Opportunities
 Technical assistance in
designing & operation of
landfills
 Technologies for waste
minimization and recycling &
related services
Hazardous waste disposal industry in
the industry sector is worth about
$200 million
 2. Cost-Effective Potential for
Improving Energy Efficiency of
Products in India
4500 B ase C ase 70%
E ffic ie n c y C a s e
4000 E ffic ie n c y Im p ro ve m e n t
60%
3500
50%
3000
2500 40%
kWh/yr

2000 30%
1500
20%
1000
10%
500
0 0%
D ir e c t-c o o l F r o s t-fr e eW in d o w R o Ao m
g r ic u ltu r a lIn d u s tr ia l D T 1 0 0 k V A
R e fr ig R e fr ig AC M o to r – 5 HMPo to r – 1 5 H P
 Energy Efficiency Market
Assessment – Industrial Sector
Investment Opportunity: $ 10 billion
Aluminium Industries Investments
mn Rs
Finished steel Paper
Cotton & blended yarn Aluminum 1,120.00
Synthetic yarn
H Glass & glassware
Paper 5,565.00

Cotton & blended yarn 2,200.00

Cement Nitrogenous fertilisers
Market Attractiveness

Finished steel 7,710.00

Refinery
Caustic soda
Synthetic yarn 1,240.00

Other Fertilisers
Glass & glassware 225.00
Automobile
Ceramic tiles 190.00
M Sugar Cement 6,065.00

Nitrogenous fertilizers 2,930.00

Petro Chemicals Refinery 3,720.00
Other Organic Chemicals
Caustic soda 630.00
Drugs & pharmaceuticals Sugar 3,335.00

Petro Chemicals 4,930.00

L Financial Attractiveness Drugs & pharmaceuticals 220.00

Other Organic Chemicals 400.00

L M H Other Fertilisers 1,125.00

Automobile 440.00

Total, mn Rs 42,045.00
3. Utilisation of wastes in cement
plants
❖ Waste utilisation in cement plants in India
 Almost nil – except fly ash and gypsum
❖ US/Japan and European Cement plants
 Use 80% of waste as fuel
 450 kg of waste is used as raw material for
production of one ton of Cement production in
Japan
❖ Tremendous potential in India
 Waste utilization technology
 Waste processing equipment
❖ Key requirement
 Suitable legislation for waste processing in Cement
industry
Indian cement plants can absorb 14
million tons of hazardous waste /year
 4. Air pollution

❖ Air pollution
 Major issue in India
❖ Potential opportunities
 Nox/Sox control systems
 VOC control technologies in chemical
plants and automobile industry
 Reducing respirable suspended
particular matter in several industries
 General dust control systems
 Other technologies for gas (H2S, C2S,
Acid fumes) emission control
 5. Water pollution and
treatment
❖ Non availability of water to industry in India
❖ Water pollution
 Industrial water pollution
❑ Only 60% industrial effluents of large & medium scale
industries are treated (PCB Data)
 Municipal water pollution
❑ 25% water in metro municipalities treated and less
than 5% reused
❑ Other municipalities and towns very little or no
treatment
❖ Potential opportunities
 Water treatment technologies for industries and
municipality
❑ Membrane technologies / bio reactors
 Water pollution and
treatment..
❖ Potential Opportunities..
 Technologies for recycling of water
and zero discharge options in industry
/ municipality
 Bio – gas generation through
anaerobic treatment of municipal /
industrial waste water
 Technologies for handling membrane
waste water
 Water saving devices and equipment
 6.Service Providers for Utility
Heat Rate Improvements
❖ EE & R&M in Indian coal-fired utilities
❖ Private Sector Services to include:
 - Advanced diagonistics
 - Energy audit services
 - Environmental monitoring
 - Low carbon options
 - O&M services

Funding: Proposed IBRD funding: $ 120 million loan + $

45 million GEF grant

Targeted Capacities for EE&RM: 650 MW

 7. Opportunities in Building
Sector
❖ Construction contributing 10% to
National GDP (500 Billion USD)

 Growth rate 9.2% vis-à-vis 5.5 %

Global average

❖ Sectors to watch for

 IT / IT Enabled Services

 Commercial buildings

 Infrastructure (Airports, Roads,

etc.,)

 Residential
 Availability Of Green Materials
Issues Possible Solution
❖ Green materials are not ❖ Solutions sought
readily available  Incubation of Green
 Certified wood
Building materials
 Waterless urinals
 Display in GBC
 High albedo materials
 High recycled content Technology Centre
materials ❖ Type testing for
 High performance glass equipment
 Low VOC materials
❖ Green Building materials
❖ Testing and certification
facilities not Available Meet
 Eg., Cooling towers, ❖ Green Building Congress
Chillers
 Success Stories in India
❖ Waterless urinals
 2001 – Awareness Nil
 2005 – Three major players (EID Parry,
Hindware, Falcon have the major market share)

❖ High Albedo material

 Unheard in 2001
 Two major players established
❑ Thermosheild
❑ Advance Coating systems
 Success Stories in India

❖ CRI Certified carpets

 2001 – Awareness nil
 2005 – Interface, Milliken,
Shaw carpets
 Opportunities
❖ Materials & Equipment ❖ New Services
 Composting toilets  III Party
 Waterless urinals Commissioning
 Low VOC adhesives &  Energy simulation
sealants  LEED Facilitation
 CRI certified carpets services
 FSC Certified wood ❖ LEED-India (to be
 High albedo roofing launched shortly)
material
 BIPV
 CTI certified cooling
towers
 Living machines, etc.,.

Green building products – 350 Million USD by 2012

 Energy Efficiency
in the Indian Cement Industry
-Wide range in energy intensity in Indian cement industry
- Some of the most efficient plants in the world are in India
- Only 5% are inefficient wet kilns (vs. 18% in the U.S.)
- Energy savings and emission reduction possible through:
-Improved energy efficiency
-Increased blending of cement
-Use of alternative fuels
-Waste heat power generation
Average

Dry Kilns

Alt Fuels (Tires, Solvents)

Alt Fuels (Biomass)

Waste Heat Power Generation

Blended Cement (90% >> 70%)

Energy Efficiency

All Options

0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 0 50 100 150 200 250 300
GJ/t cement kgC/t cement

Source: Sathaye et al. (2005)

THANK YOU