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    Date submitted
  • 08-Feb-2016

Greennovations Limited

Abstract

Greennovations Ltd, a Kenyan private limited company, intends to generate power (electricity) by running generators fueled by pyrolysis oil as their core business. Complementary revenue streams will be: water desalination by utilizing the heat produced by the gensets, converting the carbon black produced from tire pyrolysis into usable fertilizers or an ingredient in the plastic manufacturing industry and the sale of scrap steel.

Additional Questions

Who is your customer?

Initially the pyrolysis fuel will be sold directly to consumers as a kerosene or industrial diesel alternative. As we scale we will explore new markets like electricity and/or steam supply. The Kenya government has provided a feed-in-tariff to encourage green energy suppliers and developers, and has committed to purchasing all such energy at pre-determined rates. We intend to use this option to sell our electricity once we start producing it. We will also explore private industrial customers through off-take agreements.

What problem does this idea/product solve or what market need does it serve?

Over 2 million tires are discarded in Kenya annually (GIZ, 2012). This is equivalent to 50,000 tons/yr, of which, 60% (30,000 tons) are found in Nairobi alone. Using Nairobi statistics, 90% (27,000 tons) of these waste tires are burnt in the open, at night, by the informal collectors in order to salvage scrap metal to sale. Further, the Kenya National Cleaner Production Center, KNCPC (2006) reported that over 172,000 tons of plastic go to waste annually in Nairobi alone. This is 82% of the annual consumption. Most are burnt or disposed of indiscriminately. Greennovations Limited intends to pilot a waste-to-energy plant in Nairobi. Plastic and tire waste has caused a menace in the capital and there is no sustainable solution to curb this problem. Using pyrolysis technology, we intend to produce 7MW of electricity from the waste plastic and tires. This waste is collected by the informal sector that is currently participating in the recycling of metal and paper. We will create a market for this kind of waste by buying it as feed-stock from the collectors. Through a major two-step process, we will convert the solid feed-stock into electricity. First, convert the solid waste into a fuel which will, in turn, be used to run a generator.

What attributes will make this idea/product successful? Why do you believe that those features will create success?

At full scale, the project will be using up 30 tons per day in feed-stock. According to the US EPA WARM calculates a reduction of 10,606 MTCE of GHG emissions per year if we just process plastic alone and 47,580 MTCE if tires alone. So the range of emission reduction falls between these 2 figures. Effectively, our project will provide a sustainable alternative to open tire burning that is legitimate and better value for the collectors. Open tire burning emits carcinogenic pollutants into the air (smoke) or water (ash seepage) which negatively affects the surrounding communities. As mentioned above, plastic waste that is not properly disposed of can cause flooding.

Explain how you (your team) will execute to make this idea/product successful? What gives you (your team) an advantage over others already in the market or new to this market?

Our innovation addresses poverty alleviation by creating a market for feed-stock suppliers who can legitimately add value to discarded material by collecting, sorting and selling their collections to Greennovations. We target collectors from poverty stricken communities like Dandora to be able to earn something whilst they are cleaning up their environment. Our long term plan also differentiates us from similar projects.