Saturday, May 27, 2017

TECH SPECIAL..... Water treatment: Transitioning from a product to a service

Water treatment: Transitioning from a product to a service
Water is a finite resource and its availability is increasingly constrained. Industry, not surprisingly, has the last recourse to water, and in several parts of the world its availability is posing a constraint to growth, including for the chemical industry. These circumstances, however, offer significant opportunities for several companies that offer solutions to treat water – to either use in chemical processes or for discharge into receiving bodies. Regulations governing both the tapping of surface & underground waters, and the discharge of effluents are tightening everywhere – including in India – and driving investments and technological developments in water purification and wastewater treatment.

Lowering the water footprint
The chemical industry has a hefty water footprint. Water is used in the industry for several purposes: in the process itself, as a solvent, for cooling & heating etc. Like several other industries, the chemical industry largely now depends on conventional sources of water to meet its needs. These could be surface sources such as rivers, ponds and lakes; or underground ones such as wells, springs etc.
Progressive chemical companies across the world are however closely evaluating their water footprint and setting targets for lowering water usage, as part of their sustainability initiatives, even as they grow their businesses. They are taking several approaches to do this. Process modification is one option, but can be technically challenging. In some instances, there is even a juggling of the portfolio to eliminate products that pose heavy demands on water. Pigment or dyes manufacturing, for instance, requires copious quantities of water, including in several steps of washings to get to the desired quality. It is a matter of concern that manufacture of these has largely shifted to China and India – countries severely stressed for water – for environmental reasons.
The most common approaches to reduce consumption of freshwater are through recycling and reuse, and by switching to ‘grey’ or wastewaters, or even seawater. These alternate waters are usually abundant and come at next to no cost, but their quality upgradation calls for significant investments.

Recycle and reuse – segregation is key
For industries looking to treat wastewater prior to discharge, onsite recycle also affords an opportunity to recover valuable products that could have substantial economic value.
The key here is segregation of effluent streams at source, characterisation of its chemical composition and the design of appropriate treatment schemes. It should be borne in mind that effluent treatments are most effective when volumes are low and concentrations high. Each stream has its own physical properties (colour, pH, temperature), chemical composition (organics, inorganics), volumes (large, medium, small), characteristics (COD, BOD, TDS etc.), toxicity and hazards. End-of-pipe treatments that mix several result in a complex stream that contains a cocktail of chemicals (50 or even more), each with its own resiliency to generic treatment options.
Some industries – notably pharmaceuticals – have legitimate concerns on adopting water recycling schemes due fears that these may lead to accumulation of impurities, affect process yields and even quality of the active pharmaceutical ingredient (API). There are also concerns that regulators or even customers may not approve such schemes. Above all, the economics of recycling are often not compelling enough, as profit margins are still high and savings realised not significant enough.
While it is difficult to sell recycling schemes in API syntheses, that need not be the case in the earlier stages of making their intermediates. The processes to make them typically involve multi-step synthesis, diverse chemistries and create pollution despite efforts to adopt ‘green’ routes. Customer approvals are also more easily forthcoming for intermediates than for APIs.

Recovery of by-products – crucial for economics
The recovery of valuable components in the waste streams is integral to success of these treatment schemes and to justify investment costs. Several success stories exist right here – in the manufacture of speciality chemicals, dyes, APIs etc. These industries have high waste generation per unit of the desired product (e-factor), and are ones in which India is seen to be globally competitive.
Tertiary treatment solutions such as ultra-filtration, reverse osmosis and multiple effect evaporation can enable chemical companies operate with zero liquid discharge (ZLD). Their adoption may no longer be a choice, as regulators are making these mandatory to receive consent to operate. Economics of these projects are attractive, with payback periods of a couple of years, when combined with recovery of valuable by-products that would otherwise have been consigned to the solid wastes.

Using alternate waters
Another approach to reducing freshwater consumption is to use wastewaters or even seawater to meet process or cooling needs.
While treatment of sewage by chemical and biological treatment are well known, the treated water is usually discharged into reservoirs. Making them available for industrial use or even potable use is uncommon, but technologically achievable even today. Singapore’s successful experiment to turn ‘grey’ water into potable water is an outstanding achievement that few others have dared emulate. The challenges here are not just technological, but also of perception.
Sewage treatment can be carried out in centralised sewage treatment plants (STPs) or in decentralised ones, and each comes with its pros and cons. Centralised facilities can be built to a larger size – and so leverage economies of scale – and with a higher level of automation, to ensure consistent performance. They are typically located far from dwellings, but that implies additional costs for pumping the sewage in and the treated water out. Decentralised systems, on the other hand, can be located close to the point of generation of the wastewater and are well suited for areas where, for example, sewer lines are not available. They can even be designed for recovery of by-products.
Seawater desalination is probably the last option for industries that have no other recourse to water, but are located at or near the coast. Technologies include thermal systems such as multiple effect distillation or multi-stage evaporation to membrane-based ones, and choice is determined by availability and cost of energy. In the end, it comes down to choosing between capital and operating costs.

Policy support crucial
Investments in STPs for meeting water needs in industry have so far taken place when no fresh water supply was available. Several power plants have turned to sewage from nearby towns and found the economics attractive. Costs of treated water typically come to just about a third of that of municipal supplies (assuming it was available), with no problems in quality.
But broader scale use of sewage is still missing. For that to happen several challenges will need to be overcome. For a start, the policies need to encourage capital flows into the sector. Pricing of water and wastewater need to provide an economic incentive to upgrade water. Firm contractual agreements for supply of wastewater and for offtake of treated water are just as important. Technology choices matter, but are best left to investors who should know more about it than regulators.

Transition to services model
Heightened regulatory and sustainability mandates have increased demand for water purification and wastewater treatment, and so provided opportunities for manufacturers of water treatment chemicals. Globally, this is an industry valued at about $23-bn globally and growing at 6-9% annually.
India’s water treatment chemicals industry is still in its infancy – both in terms of size and the complexity of offerings. In some segments – such as ion exchange resins, for example – it has companies that are both indigenous and international, and a few are competitive even in export markets.
Globally, the water treatment business has transitioned to one wherein major companies go beyond offering just chemicals and instead offer a comprehensive package that includes service – maintaining equipment, minimising downtime, ensuring promised performance, improving efficiencies etc. This locks the service provider into a higher margin business engagement than a transactional sale of chemicals would do. This is the direction India’s leading water treatment companies are also taking.


- Ravi Raghavan Chwkly16may17

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