1. Development Alternatives CDM Opportunities, New Delhi Vertical Shaft Brick Kiln Project: A Case Study Workshop on CDM: Opportunities in Rajasthan Jaipur 28-29 January, 2005

2. Development Alternatives CDM Opportunities, New Delhi CONSTRUCTION SECTOR IS THE LARGEST CONTRIBUTOR TO CO 2 EMISSIONS IN INDIA

3. Development Alternatives CDM Opportunities, New Delhi Cement Steel Bricks 60% of CO 2 Emissions in Construction Sector are contributed by

4. Development Alternatives CDM Opportunities, New Delhi Demand Projections of Building Materials Cement (mt) Brick billion Steel (mt) Lime (mt) Building material demand Year

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10. Development Alternatives CDM Opportunities, New Delhi Majority of current technologies for burnt bricks do not meet environmental standards or Supreme Court of India directives National Concern

11. Development Alternatives CDM Opportunities, New Delhi CDM Project Technology and Action for Rural Advancement will facilitate installation of 100 VSBKs across 3 states TARA will provide the technology and existing kiln owners the finance

12. Development Alternatives CDM Opportunities, New Delhi Technology Description Multiple Shaft VSBK with individual shafts upto 1.25m X 2m size OperationContinuous mode Production Capacity10000 to 40,000 per day FuelPulverized coal, lignite pellets Greenhouse Gas MitigationDrastic reduction in fossil fuel use (upto 60%) CDM Project - Vertical Shaft Brick Kiln

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14. Development Alternatives CDM Opportunities, New Delhi Schematic Diagram of VSBK

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18. Development Alternatives CDM Opportunities, New Delhi Baseline Movable Chimney Bull Trench Kilns banned by the Supreme Court Fixed Chimney BTK is an option but involves higher capital investments Most MCBTKs still operating due to less enforcement and lack of alternative options Continuation with MCBTKs is therefore the baseline scenario

19. Development Alternatives CDM Opportunities, New Delhi Clamps =4.5 to 8.0 MJ / Brick Movable Chimney = 4.2 MJ / Brick (BTK) VSBK =1.80 MJ/ Brick Energy Consumption in Brick Production

20. Development Alternatives CDM Opportunities, New Delhi Baseline Calculations Energy baseline: Specific Energy Consumption using MCBTK = 4.4 * 10-6 Tj/ brick Total Number of bricks produced in 70 kilns = 70 kilns * 20,00,000 bricks/ kiln = 140,000,000 Total Energy Consumption = Specific Energy Consumption * Total Bricks produced = 4.4 * 10-6 * 140,000,000 = 616 Tj Carbon Emission Factor (CEF) for bituminous coal = 25.8 tonnes of carbon per Terajoule Emissions baseline = Total Energy Consumption * CEF = 616 Tj * 25.8 t C/ Tj = 15892.8 t C

21. Development Alternatives CDM Opportunities, New Delhi Additionality Identification of alternatives –Continue their existing operation with MCBTKs (not legal) –Replace MCBTKs by Clamp Kilns (not profitable) –Replace MCBTKs by Fixed Chimney BTKs –Replace MCBTKs by VSBK.

22. Development Alternatives CDM Opportunities, New Delhi Additionality Investment Analysis –IRR for Fixed Chimney BTK: 34% –IRR for VSBK: 24%

23. Development Alternatives CDM Opportunities, New Delhi Additionality Barrier Analysis –Investment Barrier : Existing kiln owners used to cash requirements of Rs. 20 lakh per annum.In VSBK double is required – Technological Barrier –Reluctance to adopt a new technology –Service infrastructure not yet in place –Require more trained manpower

24. Development Alternatives CDM Opportunities, New Delhi Additionality Impact of CDM Registration –Increases IRR for entrepreneues to 29% –Bridges the financing gap for TARA to undertake the project –Helps alleviating other barriers

25. Development Alternatives CDM Opportunities, New Delhi Sustainable Development S.D. FactorsIndicatorsImpacts/Results Economic Well-BeingEmployment Generation300 more jobs created Environmental Soundness CO 2 reduction38000 tonnes per year SO 2 reduction380 tonnes per year NO X reduction11 tonnes per year SPM reduction111µg/nm 3 RPM reduction86µg/nm 3 Social wellbeingCommunity Development Contribution to brick workers’ savings Technological Adaptation Resource requirementsLess land requirement Improved brick quality

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