increasing profitability with green chemistry (chemspec asia'14, bangkok)

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Increasing profitability with Green Chemistry Nitesh H. Mehta Green ChemisTree Foundation Mumbai, India www.industrialgreenchem.com [email protected]

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Page 1: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Increasing profitability with Green Chemistry

Nitesh H. MehtaGreen ChemisTree FoundationMumbai, India

www.industrialgreenchem.com

[email protected]

Page 2: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Realities of Chemical Industry – Past, Present & Future

Magnitude of environmental challenge & its impact

Approaches to address our environmental challenges

Distinguishing “Green Chemistry”

Strategies to implement Green Chemistry

Increasing Profitability with Green Chemistry: Case Study of Recycle@SourceTM Solution

Potential Impact of a Green Chemistry Solution

Barriers to implement Green Chemistry

Conclusions

Flow

Page 3: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

• Population Explosion

• Last two decades, nature of expansion:

mostly linear expansion of volumes

linear expansion of hardware

linear expansion of batch size

linear expansion of labour

linear expansion of effluent treatment facilities

• Developing countries like India, China, etc – outsourcing hub for

manufacturing activities & hence environmental load on us is higher

Increase in Demand

Need for expansionExpanded Capacities

Realities of Chemical Industry: Past

Page 4: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

In the last two decades, direction of innovation:

enhancing productivity & better material handling

enhancing quality

expanding & improving effluent treatment methods

Drivers for innovation: Cost Quality Productivity

Recent signals from nature:

Earthquakes Cyclones Floods, Diseases, etc…

Impact on ENVIRONMENT???

Realities of Chemical Industry: Present

Our practices UNSUSTAINABLE

Page 5: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Probable Future

Environmental Norms – more stringent, more regulatory pressure

Common man’s awareness about their rights – expand

Customer’s / End User’s demand for “Green” products – increase

Water – crisis

Energy – short supply

Managing Eco. & Environmental Competitiveness – big challenge

raw material prices going up

labor, power & overheads going up

effluent treatment costs going up

selling prices going down

Chemical Industry – tough times ahead (from the perspective of environment), unless we intervene & do something different.

Realities of Chemical Industry: Future

Page 6: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Magnitude of environmental challenge

Industry Sector

Production (bn

kg)

No. of Steps

E-Factor (Ref: R.

Sheldon)

Aqueous E-Factor

Vol. of Liq. Eff. (bn lits)

No. of tankers

(mn)

COD (lacs)

Toxicity

Pharma 0.75 - 1 7+ 50 - 100 20% 15 1.5 1.5 - 2 Very High

Agro 1 - 1.5 5+ 40 - 60 25% 15 1.5 1 - 1.5 Very High

Pigment 1.5 - 2 4+ 30 - 50 30% 20 2.0 0.5 - 1Medium

High

Dyes 2 – 2.5 3+ 20 - 30 35% 20 2.0 0.25 - 0.5 High

Total volume of liquid effluents (world) = around 70 bn lits/year

= 7 million trucks/year

Indian Market 20 – 30 % of global

Total volume of liquid effluent (India) = 15 - 20 bn lits/year

= 1.5 – 2.0 million trucks/year

= 4,000 trucks/day

Total Organic Mass in effluents (India) = 875,000 TPA (avg. COD = 50K)

Page 7: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Impact: huge threat to water bodies & human health

Quantity : approx. 50 - 70 bn kgs of liquid effluents include solid & gaseous effluents include all wastes from all other sectors (mining, steel, power,…..)

Practice : End-of-pipe-treatment (converting one kind of effluent in to other)

Issue : Toxicity not fully known (Ecotoxicity data available for less than 1% of human pharmaceuticals…Ref: journal “Regulatory

Toxicology Pharmacology, April’2004)”

Degradation : very slow, impact unknown after degradation

Impact on Economics

Direct Cost : loss of solvent, raw material & finished product, loss of utilities, treatment cost, higher overheads, loss of business…

Indirect Cost : unreliable supplies, loss of credibility in market, anxiety, etc.

Impact

Page 8: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Approaches to deal with environmental challenges

Page 9: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

What is Green Chemistry?

a science

a philosophy

an attitude

a new domain or branch of chemistry

“greener” way of doing the same chemistry

Way we look at Green Chemistry:

an approach

a way of thinking

place to come from while designing or working on a product or process

Distinguishing Green Chemistry

Page 10: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Definition of Green Chemistry:

Chemistry & chemical engineering to design chemical products & processes that

reduce or eliminate the use or generation of hazardous substances while

producing high quality products through safe and efficient manufacturing

processes.

- “Green Chemistry” as defined by Green Chemistry Research & Dev. Act of 2005

Definition of Green Engineering:

Green Engineering is the development and commercialization of industrial

processes that are economically feasible and reduce the risk to human health &

environment.

Distinguishing Green Chemistry

Page 11: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

12 Principles of Green Chemistry

Prevent waste

Design safer chemicals and products

Design less hazardous chemical syntheses

Use renewable feedstocks

Use catalysts, not stoichiometric reagents

Avoid chemical derivatives

Maximize atom economy

Use safer solvents and reaction conditions

Increase energy efficiency

Design chemicals and products to degrade after use

Analyze in real time to prevent pollution

Minimize the potential for accidents

- Environmental Protection Agency, USA

12 Principles of Green Engineering

Inherent Rather Than Circumstantial

Prevention Instead of Treatment

Design for Separation

Maximize Efficiency

Output-Pulled Versus Input-Pushed

Conserve Complexity

Durability Rather Than Immortality

Meet Need, Minimize Excess

Minimize Material Diversity

Integrate Material and Energy Flows

Design for Commercial "Afterlife"

Renewable Rather Than Depleting

- Anastas P.T. & Zimmerman J. B., “Design through twelve principles of Green Engineering”, Env. Sci. Tech. 2003, 37 (5), 94A – 101A

Distinguishing Green Chemistry

Page 12: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Some common myths about Green Chemistry: Its expensive, not worth it

it is theory, doesn’t work in real life

it takes long time to develop & implement

it’s a cost center (biggest myth)

GreenChemistry

Performance

Safety & Environment Cost/Economics

Distinguishing Green Chemistry

Page 13: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Where to start from? Basis of selection?

Green Chemistry Metrices: may start with effluent stream with highest E-Factor, PMI, or any other matrices

Toxicity

Internal Competency

Cost pressures

Regulatory pressures

Demand from customer

Resources available

Management’s priority

Ready availability of a particular technology in market place

Strategies for implementation of Green Chemistry

Page 14: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Short term

e.g. Immediate, workable solution (reduce COD or reduce effluent load by recycling)

Medium term

e.g. Process Intensification of Unit Processes & Unit Operations (Greener catalyst, etc)

Long term

e.g. Paradigm shift in Engineering like micro reactors

Very Long term

e.g. designing new route of synthesis starting from renewable feedstock, using Biomimicry

Strategies for implementation of Green Chemistry

Page 15: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Short term

Time : 1 to 2 years Resources: very low Risk: very low

Medium term

Time: 2 to 4 years Resources : low to medium Risk: low to medium

Long term

Time: 4 to 8 years Resources: high Risk: high

Very Long term

Time : 8 to 16 years Resources: very high Risk: very high

Strategies for implementation of Green Chemistry

Page 16: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Case Study 1:

Developed & commercialized by Newreka Team

Running successfully as commercial scale at a Pharma Company – 3 years

Transformed the was chemistry done to a “Greener Way”

Also, used our concept of Recycle@SourceTM to recycle aqueous stream

Case Study 2:

Developed by Newreka Team, patented & under commercialization

Most polluting dye intermediate called H-Acid

Using the concept of Recycle@SourceTM

Increasing Profitability with Green Chemistry: Case Studies

Page 17: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Step 1 Step 2 Step 3 Step 4

Step 1

2 - 3 Raw Materials

Reaction Medium

Extraction Medium

Intermediate/Product

Effluents

Reaction & Extraction MediumIntermediate/ProductBy-productsOrganic ImpuritiesInorganic Impurities

Reality of our processes

Page 18: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Reality of our processes

Step 1 Step 2 Step 3 Step 4

4 - 5 different chemicals

4 - 5 different chemicals

4 - 5 different chemicals

4 - 5 different chemicals

No option except Effluent Treatment Plant or

Incineration

Cocktail of 15 - 25 different chemicals

Impossible to separate, recover or

recycle

Page 19: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Manufacturing Site

Reality of our plants

Mfg. Block for Campaign Products

Mfg. Block for Dedicated Products

Dedicated Product

Step 1 Step 2 Step 3

Product 1 Product 2 Product 3

Step 1 Step 2 Step 3

Step 1 Step 2 Step 3 Step 4

Step 1 Step 2

Page 20: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Each effluent stream has its own:

• Physical properties• colour, pH, temperature

• Chemical composition• organics, inorganics

• Volume

• Characteristics• COD, BOD, TDS, etc.

• Toxicity & hazard

What we have is:

• multiple effluent streams with widely differing quantities & characteristics

Reality of our effluent streams

Page 21: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Current industrial practice

Effluent stream from dedicated products

Effluent stream from product 1

Effluent stream from product 2

Effluent stream from product 2

Cocktail of 40 - 50 different chemicals

End-of-the-pipe Treatment (primary & secondary treatment, triple effect evaporator,

incineration, solid waste disposal sites, land fill, etc.)

Our Environment

Page 22: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Step 1 Step 2 Step 3 Step 4

2 - 3 Raw Materials

Reaction Medium

Extraction Medium

Finished Product

EffluentsStep 1

Reaction & Extraction MediumProduct/IntermediateOrganic ImpuritiesInorganic Impurities

Recycle@SourceTM

Recycle@SourceTM Solution: Concept

Page 23: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

AQUEOUS EFFLEUNT STREAMS SOLVENT STREAMS

(acidic, neutral, alkaline)

Raw Finished Organic Inorganic

Materials Product Impurities Impurities

Recycled back to process selectively removed

“RCatTM

” (customized proprietary catalytic formulation for Recycle @ Source)

selectively & effectively removes undesired org. & inorg. impurities such

that the streams can be recycled back in the process.

Recycle@SourceTM Solution: Concept

Page 24: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Conventional Technology: High pressure catalytic hydrogenation with Raney Ni

Chemistry: Nitro to Amine Reduction

Recycle@SourceTM Solution: Case Study 1

Page 25: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Feedback from customer: Recycling mother liquor for over 3 years now. Over 800 batches (at times on campaign basis) Just make-up for Water loss (saved millions of lit of fresh water) Amine Quality – 99%+ on HPLC, 10% Yield improvement

Recycle@SourceTM Solution: Case Study 1

Page 26: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Impact:

• Increase in profitability:

1. Yield improved by 10%

2. Batch Times reduced – 20% Higher productivity

3. Two solvents eliminated

4. Energy savings – distillation & purification avoided

5. Effluent treatment cost reduced (E-Factor down by 90%)

6. Safer process (H2, Ni, Chloroform, EDC, MeOH avoided)

• Customer got breakeven on their investment in < 3 months.

• Enhanced Quality is a Bonus.

26

Recycle@SourceTM Solution: Case Study 1

Page 27: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

H – Acid (1-Amino-3-Hydroxy Naphthalene 3,6 Disulphonic Acid):

One of the oldest & biggest volume Dye Intermediates (goes mainly in to Black Dyes)

High volume product (India alone makes over 20,000 TPA)

Known in the industry for it’s high E-Factor (over 50 kgs waste / kg H-Acid)

Uses mostly conventional technologies

Theoretical yield 2.4 kgs H-Acid/kg naphthalene, Industry yield is 1.28 (53%)

Last innovation happened 5 years back – solvent based Fusion, yield increased from

1.1 to 1.28

Lot of efforts put in by private companies, government bodies, academic & research

institution to change the process & reduce E-Factor

Recycle@SourceTM Solution: Case Study 2

Page 28: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Fusion & Evaporation

Isolation Vessel

CENTRIFUGE

AmineMethanolCaustic

Acidic Mother Liquor

H-Acid

Representative diagram of Conventional Process

Dilute Sulphuric Acid

CharacteristicsColour Deep RedpH 1.5 - 2.0COD 150,000TDS 15 - 20%Toxicity Not Known

Recycle@SourceTM Solution: Case Study 2

Page 29: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Fusion & Evaporation

Isolation Vessel

CENTRIFUGE

AmineMethanolCaustic

Acidic Mother Liquor

Storage Vessel

Mother Liquor Recycle

H-Acid

More than 25 recycles

E-Factor = 90% Patented TechnologyYield = 10%

RCat Treatment

Recyle CatTM

FilterFilter

Spent RCat

Representative diagram to explain the concept of Recycle@SourceTM solution as applied to H-Acid

Recycle@SourceTM Solution: Case Study 2

Page 30: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Batch No.Product Colour

Product Appearance

H-Acid Obtained (gm)

Product Purity

FreshOff white to Light Pink

Powder 59 > 80.0%

Recycle 1Off white to Light Pink

Powder 62 > 80.0%

Recycle 2 Off white to Light Pink

Powder 63 > 80.0%

Recycle 3Off white to Light Pink

Powder 65 > 80.0%

Recycle 4Off white to Light Pink

Powder 65 > 80.0%

Recycle 5Off white to Light Pink

Powder 65 > 80.0%

Product Characterization & Impact on Yield (Basis: 90 gm batch size)

Recycle@SourceTM Solution: Case Study 2

Page 31: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

In the face of challenges that chemical industries face today, like:

market competition, further shrinking of already “thin margins”, tighter environmental

regulations, lower level of permissible discharge, tough stance of government & regulatory

bodies, volatile market & fluctuating raw material & finished product prices

Benefits of Recycle@SourceTM Solutions:

Freedom from treatment of huge quantities of effluents

Lower effluent treatment cost

Enhanced yields & productivity

Lower cost of production

Saving of time & energy which otherwise goes in dealing with regulatory bodies

Wide applicability – diverse industry sectors, wide range of reactions

Benefits of Recycle@SourceTM Solutions

Page 32: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Impact of Recycle@SourceTM Solutions that are ready with Newreka:

Total Impact on environment : effluent discharge to environment & fresh

water consumption of industry reduced by over 50,000 MT per month.

Potential Impact of a Green Chemistry Solution

No. ProductTotal

Production in (TPM)

E-Factor * (kgs

waste/kg product)

Effluent QualityMinimum No. of Recycles

Effluent quantity before & after implementing NRS (litres per month)

before after

1 Nevirapine 20 4 Mixture of solvents 500+ 80,000 0

2 Sildenafil Citrate 25 14 Neutral effluent 25 3,50,000 14,000

3 Omeprazole 50 8 Highly alkaline effluent 10 4,00,000 40,000

4 Albendazole 100 8 Highly alkaline effluent 25 8,00,000 32,000

5 Quietiapine 20 6 Neutral effluent 10 1,20,000 12,000

6 H-Acid 2000 26 Acidic effluent 15 5,20,00,000 35,00,000

7 OAPSA 75 13 Acidic effluent 15 9,75,000 65,000

8 FC Acid 50 10 Acidic effluent 15 5,00,000 33,000

9 4-ADAPSA 40 10 Acidic effluent 15 4,00,000 26,000

10m-Phenylene Diamine Sulphonic Acid (MPDSA)

100 5 Acidic effluent 15 5,00,000 33,000

Page 33: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Inertia to New Paradigm against the gravity of existing paradigm

Technical Barriers: no ecosystem for knowledge-based entrepreneurship

Seed capital & funding barriers

IP Barriers: protecting IP

Market Barriers: awareness, business model

Human Barriers: Inertia to change, culture, language

Scale-up Barriers: same result in lab as in plant, availability of plant, risk

Barriers created by “Old Nexus”

Regulatory Barriers: changes in DMF, FDA & Customer approvals

Financial Barriers: working capital for growth

Barriers to implementation of Green Chemistry

Page 34: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Human Barriers inertia to change from old paradigm to New Paradigm

decades of shop-floor experience becomes barrier instead of resource

Scale-up Barriers want to see same result in lab as that expected in plant availability of plant to take trials with new technology risk of scale-up – who will bear?

Market Barriers Lack of awareness about potential of Green Chemistry tool box

Some myths like it’s expensive, it will increase cost, etc

IP Barriers challenge to protect IP

little respect for IP in the industry – no hesitation in copying idea

Key Barriers to implementation of Green Chemistry

Page 35: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

The question now, is no longer – Whether Green Chemistry or not? The question now is – How can we develop & implement Green Chemistry?

Each of us have a role to play here – Academic & research institutes, Students, Industry, Government & Regulatory bodies, Financial Institutions, etc

Academic & Research Institutes – working on real, relevant & critical environmental challenges faced by the Industry

Industry: Start wherever you want to or can. But let’s START. Create short term & long term strategy to implement Green Chemistry & Green Engineering in to operations.

Government & Regulatory Bodies – Facilitate, incentives to those taking risk

Shift from a cost centre approach to a profit-centric approach.

Environmental challenges are opportunities to make PROFITS

Conclusions

Page 36: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Magnitude of Environment Challenges

Magnitude of Environment Challenges

ScaleScale

UrgencyUrgency

? ??

?? ?

Green Chemistry : Our key challenge

Page 37: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Universities:1. Limitations to

Customize, Scale-up & Commercialize

2. Limitations to Market their Innovations

Industry:1. Profit Driven Approach2. Limitation to approach

& define their problems3. Mindset of not investing

on Green R&D

Common Man & Society:

1. Lack of Awareness2. Mindset of not investing

on Education & Research

Govt. Bodies & NGO’s:1. Formulations of practical

policies.2. Carrot & Stick Approach3. Limitations of paperwork

& bureaucracy

Key Roadblock in Implementation of GC

Page 38: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Universities:1. Limitations to

Customize, Scale-up & Commercialize

2. Limitations to Market their Innovations

Industry:1. Profit Driven Approach2. Limitation to approach

& define their problems3. Mindset of not investing

on Green R&D

Common Man & Society:

1. Lack of Awareness2. Mindset of not investing

on Education & Research

Govt. Bodies & NGO’s:1. Limitations of paperwork

& bureaucracy2. Carrot & Stick Approach

Industrial Green

Chemistry World

(IGCW)

Attempt to bridge the gap

Page 39: Increasing profitability with green chemistry (chemspec asia'14, bangkok)
Page 40: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

MNC or Large or Small Organization: Partner with us & express your commitment to Sustainability by being a Sponsor & share your initiatives

Working on Green Chemistry: Present your case study & be a speaker

Exhibit your “Green” Products & Services: Exhibit your Green Chemistry or Green Engineering based product, technology or services

Apply for an Award: Apply for an award under various categories

Participate in IGCW’2013 Symposium: Opportunity to meet pioneers and senior scientists from the field of Green Chemistry & Engineering

IGCW2013: Invite you to be a stakeholder

www.industrialgreenchem.com

Event: IGCW2013 – Convention & Ecosystem

Date: 6, 7 & 8 December’13

Venue: Hotel Renaissance & Conventional Center, Powai, Mumbai

For more details and to participate, please contact: [email protected]

Page 41: Increasing profitability with green chemistry (chemspec asia'14, bangkok)

Thank you

For resources on Green Chemistry Please visit

& Green Engineering: www.industrialgreenchem.com