STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and...

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STAKEHOLDER WORKSHOP ACTION PLAN TO DEVELOP THE MARKET FOR HOLLOW AND PERFORATED FIRED-CLAY BRICKS Sameer Maithel, Sonal Kumar & Ananth Krishnan 08 th June 2016

Transcript of STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and...

Page 1: STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks BURNT CLAY PERFORATED BUILDING BRICKS • Burnt clay

STAKEHOLDER WORKSHOP

ACTION PLAN TO DEVELOP THE MARKET FOR HOLLOW

AND PERFORATED FIRED-CLAY BRICKS

Sameer Maithel, Sonal Kumar & Ananth Krishnan

08th June 2016

Page 2: STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks BURNT CLAY PERFORATED BUILDING BRICKS • Burnt clay

Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

OUTLINE

1. Project Background – Building Materials & Resource

Efficiency Concerns

2. How perforated and hollow bricks addresses resource

efficiency question ?

3. Current status of the production and market

4. Future demand projections, market potential and barriers

5. Action plan for accelerated market development

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

BACKGROUND

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

PROJECTED LARGE GROWTH IN NEW BUILDING

CONSTRUCTION

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13.4

53.6

0.75

9.6

0

10

20

30

40

50

60

2012 2047

Residential floor space area (billion m2) Commercial floor space (billion m2)

Source: India Energy Security Scenarios, NITI Aayog (2015) estimates based for 7.4% CAGR in GDP

The building floor area is expected

to increase 4X by 2047

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

NEW HOUSING - LARGEST CONSTRUCTION

CATEGORY

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Source: Funding the vision — Housing for all by 2022, KPMG in India, 2014

19

40

5926-29

23-25

49-54

0

20

40

60

80

100

120

Urban (million housing units) Rural (million housing units) Total (million housing units)

Housing Forecast

Current housing shortage Required housing units by 2022

45-48

63-65

108-113

To provide “Housing for All” by 2022-more than 10 crore houses needs to be constructed.

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

LARGE INCREASE IN THE CONSUMPTION OF

CONSTRUCTION MATERIALS

Demand for

construction

materials

2012 2047 % Increase

(2012-2047)

Steel 80 MT/year 654 MT/year 820%

Cement 246 MT/year 1042 MT/year 425%

Walling

materials

200-300 billion

bricks/year

~1000 billion

bricks/year

400 -500 %

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Source: India Energy Security Scenarios, NITI Aayog (2015) estimates based for 7.4% CAGR in GDP for cement &

steel; GKSPL estimates for walling materials

The annual consumption of construction materials to increase by 400% or more.

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

ENVIRONMENTAL IMPACTS – WALLING MATERIALS

Life Cycle of Walling Material

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Mining/Extraction

Large scale extraction: 0.7-1.0 billion tons/year of fresh raw material

Possibility of using available waste material e.g. flyash, agri waste,…

Production

50-70 million tons of CO2/ year

Important source of PM & black

carbon emissions

Transport

CO2 emissions and air

pollution in transport

60-100 billion ton-kilometer/

year of road transport of raw

material and finished

walling materials

Building Construction &

Operation

Buildings consume 31% of

India’s electricity

Air-conditioning energy

increasing rapidly, thermal

properties of walling

material influences the

operational energy

Demolition/ End of Life

Waste generation

Reuse, recycle and disposal

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

PERFORATED & HOLLOW BRICKS – HOW THEY

ADDRESS RESOURCE EFFICIENCY CHALLENGE?

Life Cycle of Walling Material

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Mining/Extraction

Production

TransportBuilding Construction

& Operation

Demolition/

End of Life

Low freshly mined raw material content (kg/m3)

Low primary energy for manufacturing (MJ/m3)

Low CO2 emission for manufacturing (T CO2 /m3)

Low Thermal Conductivity

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

BURNT CLAY HOLLOW BLOCKS

• Burnt clay hollow bricks and

blocks for Walls and Partitions (IS

3952: 2013)

• Holes passing through the block

exceed 25 % of its volume and

the holes are not small.

• The hollows may be at right

angle or parallel to the bearing

surface.

• Minimum Average Crushing

strength: 3.5 N/mm2

• Water absorption shall not be

more than 20 %

• The thickness of any shell shall

not be less than 11 mm and that

of any web not less than 8 mm.

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

BURNT CLAY PERFORATED BUILDING BRICKS

• Burnt clay perforated building bricks IS

2222:1991

– The area of perforation shall be

between 30-45 % of the total area of

the corresponding face of the bricks.

– Minimum Average Compressive

strength: 7 N/mm2

– Water absorption shall not be more

than 20 %

– The shorter side of the perforation shall

be less than 20 mm in case of

rectangular perforations and less than

25 mm diameter in case of circular

perforations. The area of each

perforation shall not exceed 500 mm2.

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

MARKET ASSESSMENT STUDY

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

METHODOLOGY FOR THE STUDY

Action Plan For Accelerated Market Development

Demand Projection

Key InformationProduction data Market (type of building, regions, advantages) Barriers

Survey & VisitsManufacturer (15 nos) Users (Architects, Builders, etc) - 30 nos

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

SURVEY

RESPONDENTS

LOCATIONS

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

PERFORATED BRICK PRODUCTION: 2011 & 2015 (STANDARD MILLION BRICKS/YEAR)

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14.4 13.5

5.0

26.8

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

40.0

45.0

2011 2015

UNDP Other

19.4

40.3

• The production of perforated bricks has doubled during 2011-2015.

• Most of the increase is from the new units that have been set-up.

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

1.9 9.2

98.6

150.2

0.0

20.0

40.0

60.0

80.0

100.0

120.0

140.0

160.0

180.0

2011 2015

UNDP Other

HOLLOW BRICK PRODUCTION – 2011 & 2015 (STANDARD MILLION BRICKS/YEAR)

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100.5

159.4

• The production of hollow bricks has increased 150% during 2011-2015.

• Weinberger alone constitutes ~ 90% of the production.

• Hollow blocks production in several existing units has increased.

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

SURVEY: KEY ISSUES OF PRODUCERS

• Technological issues

– Most of the units do not have complete integrated technology production line

– Shortage of drying facilities, seasonal operation of kilns, technical problems in extruders - limits the production

• Regulatory issues

– Uncertainty over clay supply and availability due to environment regulations (highlighted in Kerala) adversely impacts production and expansion plans

• Market

– In new markets, creating consumer awareness is a slow process and hence slow growth of the market. Production intermittent – high cost.

– Lack of recognition by the government as resource-efficient product and providing preference in procurement

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

MARKET OF WALLING MATERIALS - TYPES OF

BUILDINGS

New Construction

Residential

Rural

EWS

LIG/ MIG/ HIG

Urban

Low-rise

EWS/ LIG

MIG

HIG/ Luxury

Mid/ High-rise

EWS/ LIG

MIG

HIG/ Luxury

Non-Residential

Commercial

Educational Institute

Office

Retail/ Shopping

Hospital

Hotel

Public

Office

Hospital

Educational Institute

Airport/ Railway

Industrial

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S

P

G

Self-constructed

Private Sector Builder

Government Program/Public Sector

GS

G

P

S

P

S

P

G

S

P

G

S

P

P

P

P

P

P

P

P

P

G

G

G

Page 18: STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks BURNT CLAY PERFORATED BUILDING BRICKS • Burnt clay

Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

MARKET OF WALLING MATERIALS - TYPES OF

BUILDINGS

New Construction

Residential

Rural

EWS

LIG/ MIG/ HIG

Urban

Low-rise

EWS/ LIG

MIG

HIG/ Luxury

Mid/ High-rise

EWS/ LIG

MIG

HIG/ Luxury

Non-Residential

Commercial

Educational Institute

Office

Retail/ Shopping

Hospital

Hotel

Public

Office

Hospital

Educational Institute

Airport/ Railway

Industrial

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S

P

G

Self-constructed

Private Sector Builder

Government Program/Public Sector

GS

G

P

S

P

S

P

G

S

P

G

S

P

P

P

P

P

P

P

P

P

G

G

G

Market for perforated and hollow bricks is limited to certain market segments.

Page 19: STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks BURNT CLAY PERFORATED BUILDING BRICKS • Burnt clay

Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

MARKET – BURNT CLAY HOLLOW BLOCKS

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SOURCE: LIVING WALLS-VDB INFRA & REALTY PVT. LTD.-BANGALORE

Key benefits as perceived by the users• Faster construction• Good insulation• Reduction in dead load

Individual MIG/HIG Housing Mid/High-Rise MIG/HIG Housing

SOURCE: AR K.S. CHETAN- KHAM DESIGN

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

MARKET - PERFORATED CLAY BRICKS

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SOURCE: MAHALUXMI BRICKS SOURCE: JINDAL MECHNO BRICKSSOURCE: ADALAKHA ASSOCIATES

Key benefits as perceived by the users• Aesthetics – possibility to use as facing bricks• High compressive strength – possibility of load-

bearing structure• Uniform shape and quality – better finish of walls,

reduction in plastering

Low rise EWS/LIG Mass Housing Individual HIG Housing Institutional buildings

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

MARKET – KEY ISSUES AS PERCEIVED BY USERS

1. Unavailability of skilled workers for construction with

perforated and hollow bricks - problems during construction

like laying of pipes and conduits

2. Limited availability of hollow/perforated clay products and

higher price for these products

3. Suitable for specific applications and type of buildings

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

ACTION PLAN FOR ACCELERATED MARKET

DEVELOPMENT

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

PERFORATED & HOLLOW CLAY BRICK

PRODUCTION: DEMAND PROJECTION

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40 144403

159

358

1594

0

500

1000

1500

2000

2500

2015 2022-Business as Usual 2022-Accelerated Growth

Perforated Hollow

~200

~500

~2000

• In the BAU scenario, the production of perforated and hollow bricks is expected to increase from 20 crore/year (2015) to 50 crore/year (2022). These bricks constitute only 0.1% of the total walling material market.

• The potential market for these bricks could be huge, given their suitability for different kinds of housing. If a 10 times increase is targeted, then the projected production in 2022 will be 200 crore bricks/year.

Page 24: STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks BURNT CLAY PERFORATED BUILDING BRICKS • Burnt clay

Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

THE WAY FORWARD

• The efforts made by the ongoing relatively small MoEFCC-

UNDP-GEF project and the existing perforated and hollow

brick producers, has laid a solid foundation in the form of

revised IS standards, PWD schedule of rate in a few states,

quantifying benefits, development of niche markets, etc.

• There is a scope to scale-up the efforts in coming years in

the form of a “National Resource Efficient Brick Mission”, to

promote perforated and hollow bricks along with other

resource efficient options.

• These bricks can play an important role in the “Housing for

All” and “Make in India” initiatives of the GoI.

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Page 25: STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks BURNT CLAY PERFORATED BUILDING BRICKS • Burnt clay

Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

WHAT NEEDS TO BE DONE ?

Actions for Accelerated

Market Development

Increase Supply

Increase Demand

Develop Human

Capacities

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Page 26: STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks BURNT CLAY PERFORATED BUILDING BRICKS • Burnt clay

Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

MEASURES TO INCREASE SUPPLY

1. An action plan aimed at increasing the utilization of the installed capacity of machines to increase the supply and reduce the cost of burnt clay perforated and hollow bricks– Around 25 enterprises are producing perforated and hollow bricks but plant

utilization factor is low.

– There are >100 other enterprises who have some basic machinery (extruder), and can potentially produce perforated/hollow bricks

Actions to create awareness, provide technical support, access to finance and assistance in market creation can help in expanding the production with small investment and in short time.

2. Making available cost-effective integrated technology package(s) for the production of perforated and hollow bricks– Brick dryer

– Tunnel kiln

– Material transfer

– Clay preparation and shaping

This would involve work in developing standard specifications as well as pilot testing of certain technologies.

3. Clay and other raw materials– Resolving the issues regarding the environment clearance for clay mining

– Systematic clay resource assessment and mining

– Utilization of waste materials2608-06-2016

Page 27: STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks BURNT CLAY PERFORATED BUILDING BRICKS • Burnt clay

Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

MEASURES TO CREATE DEMAND

1. Recognition as a resource efficient product through

certification by government agencies (e.g. BMTPC) and by

independent green building product ratings (GRIHA, IGBC,

GBCI).

2. Inclusion in the schedule of rates by CPWD and various

PWDs

3. Targeted awareness creating campaign for end-users

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

MEASURES TO BUILD CAPACITIES

• Development of human capacities

– Manufacturing, service and operation of machines to produce

hollow and perforated bricks (Technical training of technicians

and engineers)

– Application of perforated and hollow bricks in buildings

(Training of masons, contractors, architects, etc.)

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Action Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks

CONCLUSIONS

• Through the efforts of MoEF-UNDP-GEF and brick industry, useful work has already been done to establish perforated and hollow bricks in some markets in India.

• A large potential exists for accelerated development of the market for these products given their specific application in residential buildings and in the context of “Housing for All” initiative.

• A “National Resource Efficient Brick Mission” which promotes perforated and hollow bricks along with other resource efficient walling materials is needed. Specific actions are required

– Increase supply or support manufacturing industry

– Create demand

– Capacity building

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Page 30: STAKEHOLDER WORKSHOP - resourceefficientbricks.orgAction Plan to Develop the Market for Hollow and Perforated Fired-Clay Bricks BURNT CLAY PERFORATED BUILDING BRICKS • Burnt clay

www.gkspl.in

THANK YOU !!!

Contact: Sameer Maithel

Email: [email protected]

Mobile: +91 98113 92256

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