Overview of the project’s transition assessment: Insights on Cost-Revenue Analyses, Feasibility and Environmental Assessments.

The EU-funded paperChain project aims at deploying five circular economy models valorising wastes generated by Pulp and Paper Industries (PPI) as secondary raw materials for three resource intensive sectors: buildings and roads construction sector, mining sector, and chemical industry.

As partner in the PaperChain project, LGI released last December the project’s transition assessment, key element of any circular economy project, assessing the benefits and disadvantages of both linear and circular models. This assessment has been carried out using a stakeholders’ map, a cost-revenue analysis and environmental, social and feasibility assessments for each case. Finally, key determinants that lead to successful transition towards circular economy were identified.

The deliverable is confidential, however, we are authorised to publish some insights on the pilot cases. In this assessment overview, you’ll find, for each case:

• The case’s objective • A brief presentation of the stakeholders and their role • A representation of both the linear and circular models, and an overview of their

main differences • A basic Cost-Revenue Analysis (CRA),

along with the main conclusions on the CRA, the qualitative feasibility and environmental assessments, and the transition determinants and enablers.

For any further question, please contact us.

eve.dallamaggiore@lgi-consulting.com

Visit paperChain webiste: www.paperchain.eu

Replacing part of the usual aggregates for concrete preparation with Kraft production wastes (lime mud ash coming from the causticizing step)

MAIN DIFFERENCES Linear model Circular model

Inputs Raw materials (Natural fillers) Natural fillers + lime mud ash powder Outputs Usual Pre-cast concrete Pre-cast concrete with lime mud ash

Processes Landfilling Waste transportation to SPRAL Storage at SPRAL

BASIC COST-REVENUE ANALYSIS STEPS Costs – linear Costs – Circular

Landfilling Landfills costs

Waste management cost paid to DILUMEX

Authorisation costs Waste declassification

Raw materials acquisition

Costs to acquire Pre-cast concrete components from

RAW MATERIAL SUPPLIER

Costs to acquire (and transport) pre-cast concrete components, including this time,

lime mud ashes from NAVIGATOR Pre-cast production

OPEX of the usual pre-cast concrete OPEX of the new pre-cast concrete

STEPS Revenues – linear Revenues – Circular

Valorisation SPRAL’s sales of usual pre-cast concrete

SPRAL’s sales of new and usual pre-cast concrete

Replacing part of the asphalt mixture’s usual aggregates with Kraft production wastes - Green Liquor Dregs (GLDs) and slaker grits coming from the causticizing step

MAIN DIFFERENCES Linear Circular

Inputs Natural aggregates Dregs and grits (up to a certain percentage) Outputs Usual asphalt mixture New asphalt mixture

Processes Landfilling

(Pre-)treatment of dregs & grits Storage

Waste transportation New mixture preparation process

BASIC COST-REVENUE ANALYSIS STEPS Costs – linear Costs – Circular

Landfilling Landfills costs

Waste management cost paid to DILUMEX

Authorisation costs Waste declassification

Transport Transporting dregs & grits from NAVIGATOR to DILUMEX and from DILUMEX to CENTRAL

Asphalt mixture production

Buying natural aggregates & bitumen + mixture OPEX

Buying treated dregs & grits from DILUMEX + new mixture OPEX

STEPS Revenues – linear Revenues – Circular

Valorisation MEGAVIA’s sales of usual asphalt mixture

MEGAVIA’s sales of new and usual asphalt mixture

Developing alternative binders for soil stabilisation in road construction projects with ashes produced in PPI waste energy recovery

MAIN DIFFERENCES Linear Circular

Inputs Quicklime, cement Fly and bottom ashes (FA, BA)

Outputs Usual normal Hardening Road Binders (nHRB) New nHRBs with FA and BA

Processes Waste Paper Ash storage

Landfilling of WPA Binders purchase

New WPA storage Quality control

WPA transport to Acciona Slightly different soil-cement construction in

the circular case

BASIC COST-REVENUE ANALYSIS STEPS Costs – linear Costs – Circular

WPA landfilling Transport costs and taxes

WPA storage Storage OPEX FA and BA storage CAPEX and OPEX

Other costs Quality controls and other fees / costs (quality technical report, CE marking…)

Materials acquisition Binders purchases Ashes (BA, FA) purchases from SAICA and

transport to ACCIONA Road construction OPEX of the different layers New OPEX

STEPS Revenues – linear Revenues – Circular Road construction service

Sales of road construction service

Using ash sludge to create a new material called MUDIPEL to be applied on railway slope for stabilisation

MAIN DIFFERENCES Linear Circular

Inputs Natural backfill material MUDIPEL Outputs Usual retaining wall New retaining wall with MUDIPEL

Processes Landfill and other construction materials

Mixing DPA and DPS (Deinking Paper Ashes and Sludge) with water,

Compacting MUDIPEL transport from VIPAP to DUSAN

HOLESEK

BASIC COST-REVENUE ANALYSIS STEPS Costs – linear Costs – Circular

Waste valorisation and disposal

Waste management of DPA & DPS + OPEX of construction

materials CAPEX and OPEX of MUDIPEL

Materials acquisition

Purchase of concrete, gabions, and natural materials Purchase of MUDIPEL

MUDIPEL transport Transport costs from VIPAP to DUSAN HOLESEK

STEPS Revenues – linear Revenues – Circular

Valorisation Sales of retaining wall, sales of other construction materials Sales of retaining wall with MUDIPEL

Using fibre sludge to produce Ethyl chloride used for the production of Bermocoll

MAIN DIFFERENCES Linear Circular

Inputs EtCL from Germany

Special grade cellulose NaOH

Enzymes for fiber sludge hydrolysis

Outputs Usual Bermocoll Pile of fiber sludges Circular Bermocoll

Processes Bermocoll production Fiber sludge storage

Increased production of bio-EtOH Production of HCl Production of EtCl

Production of circular Bermocoll

BASIC COST-REVENUE ANALYSIS STEPS Costs – linear Costs – Circular

Waste disposal Fiber sludge storage Production of Bio-EtOH, EtCl and specific cellulose

CAPEXs and OPEXs

Production of Bermocoll

Purchase of EtOH and cellulose + usual OPEX New OPEX

STEPS Revenues – linear Revenues – Circular Product sales Sales of usual and circular Bermocoll

Improving local till - and sometimes replacing bentonite - which are the usual elements of sealing layers, with Green Liquor Dregs (GLD) from the pulp and paper industry, to mitigate Acid Rock Drainage in sulphide-bearing mines.

MAIN DIFFERENCES Linear Circular

Inputs Local till or local till + bentonite Local till + GLDs

Outputs Sealing layer with till/till + bentonite Efficient sealing layer with till + GLDs

Processes Landfilling Blending

Compaction process

Partial landfilling Additional transport Additional storage

New blending New compaction process

BASIC COST-REVENUE ANALYSIS STEPS Costs – linear Costs – Circular

Landfill Transport costs, landfill OPEX costs

Waste transport

Transport to landfill or RAGN-SELLS Transport to RAGN-SELLS

Sealing layer construction

Extraction and blending of local till / bentonite

Storage, blending of GLDs and local till Transport from RAGN-SELLS to BOLIDEN

STEPS Revenues – linear Revenues – Circular

Sealing Use of usual sealing layer or new, more efficient sealing layer -> increased profitability

(1) https://ec.europa.eu/info/research-and-innovation/law-and-regulations/innovation-friendly-legislation_en

(2) https://ec.europa.eu/info/research-and-innovation/law-and-regulations/innovation-friendly-legislation/identifying-barriers_en