Rajasthan priorities outdoor air pollution, bhattacharjya
- 1. Assessing social and private benefits and costs for improved brick production in Rajasthan Souvik Bhattacharjya, The Energy and Resources Institute, New Delhi Rajasthan Priorities Eminent Panel Meeting – 9th June, 2018
- 2. Brick production in India (1/2) • India is world’s second largest producer of bricks after China • With an average annual production of 200 bn bricks, India’s share is nearly 14 % of global brick production • Brick production has increased 8 times in last 40 years • More than 100000 units are present (no official estimates) • 65 % of India’s bricks are produced from the fertile alluvial soil from the Indo-Gangetic plain • 2nd largest consumer of coal in the industrial sector category, after iron and steel • Consumes more than 35 million tonnes of coal and emits more than 60 million tonnes of CO2 • Nearly 70% of infrastructure yet to come up in the next 10 - 15 years; it is estimated there would be 3 to 4 times increase in demand for bricks
- 3. Brick production in India (2/2) • The sector employs > 10 mn people, making it one of the largest informal employment creating sectors • Predominant technology is Fixed Chimney Bull’s Trench Kiln (FCBTK), accounting for 70 % • This is followed by clamp kilns (25%), available in central and south India • FCBTK and clamp kilns are traditional technologies and less energy efficient • Share of class 1 brick production low (around 40-50%) • Inadequate combustion leads to high CO concentration in flue gas, black smoke, and un-burnt coal deposition at the floor of the kiln. • The measured SPM emissions from FCBTK lie in the range of 250 – 1250 mg/Nm3 Issues
- 4. Air pollution and health impacts in India • Air pollution 2nd leading health risk factor in India (ICMR 2016) • Outdoor air pollution caused 6.4 percent of India’s total DALYs in 2016 • Pollution led to over 2,750 cases of deaths or severe illnesses per lakh people • 41 deaths per lakh population was estimated due to cardiovascular diseases arising from air pollution • 22 deaths due to chronic respiratory diseases • Lower respiratory diseases (14 deaths) from air pollution
- 5. Brick manufacturing in Rajasthan • Rajasthan, over the years, has emerged as a key brick manufacturing state. • MNRE estimates more than 3000 bricks manufacturing units • Most of the brick manufacturing units are situated in three districts • Sri Ganganagar • Hanumangarh • Jaipur • FCBTK is the key process technology used in manufacturing bricks in the state • The predominant fuel is coal although biomass is used particularly post harvest seasons • Brick production, being seasonal, takes place during winters and summers (total 8-9 months) • The average daily production may vary from 5000 bricks to nearly 20,000 bricks
- 6. Impact of brick manufacturing on pollution and health • Health impacts due to air pollution in Rajasthan is high compared to national average • Infant mortality is 41 compared to national average of 34 (NITI Aayog) • 15.3% of the total deaths are attributable to COPD in Rajasthan against 8.66% in India (ICMR 2018) • 3.2% of deaths are due to asthma against national average of 1.88% (ICMR 2018) • 7.2% of deaths are due to LRI against national average of 5% (ICMR, 2018) • Further, an estimated around 801 deaths have been attributed due to brick kilns in the state Name of Districts Population (2016) Mean concentration (PM10) Estimated deaths due to brick kilns* Jaipur 7301312 211 µgm/m3 (monitoring only in Alwar, Bharatpur, Jaipur, Jodhpur, Kota and Udaipur) 525 Hanumangarh 1672673 120 Sri Ganganagar 2212321 156 * Relative risks have been estimated based on Ostro (2004)
- 7. 1st analyzed solution Improved Zig-Zag Kiln Technology
- 8. The Zig-Zag technology • The Zigzag kiln is an improved version of the FCBTK where the bricks are arranged in such a way that the air is forced to follow a zigzag path • Lower energy consumption and savings on energy cost • On an average, in comparison to conventional FCBTK, Zigzag kilns require about 20% to 30% less coal • Better environment performance • PM emission can be reduced by 60 to 65 %; • Higher percentage of class-I bricks •A significant advantage of Zigzag kiln is the production of a higher percentage (around 80%) of class-I bricks, as compared to that of FCBTK (around 50%). •Increase proportion of higher quality product leads to increased revenue
- 9. Private costs and benefits • The cost of technology has been used based on literature review and discussion with subject matter experts (Rs 5 mn/kiln) • Using the estimated average production per kiln & capital cost per kiln, total capital cost of intervention for state estimated. • The adoption of Zig-Zag technology not only reduces variable cost of production but also leads to increase in share of class 1 bricks. • The total incremental financial benefits is Rs 89 bn till 2030, for 5% discount rate. • The incremental profit per kiln for this discount rate is Rs 18.6 mn
- 10. Assessing Social benefits • Social benefits of cleaner brick kilns assessed are •Health benefits of reduced PM10/PM2.5 emissions & • Global benefits of carbon dioxide (CO2) emission reduction due to higher energy efficiency of Zig-Zag technology • Zig-Zag technology is estimated to reduce CO2 by 1.2 million tonnes. •The present discounted value of carbon has been estimated at Rs 24 bn and Rs 7 bn respectively. • Health benefits estimated based on risk function for lower respiratory infection among children under 5 years, cardiopulmonary disease, lung cancer •4346 deaths can be avoided (between 2019 and 2030), thus saving 362 deaths per annum • Avoided deaths and associated illness valued based on VSL and DALY approach • NPV of incremental health benefits: • Rs 50 bn using 5% discount rates (VSL approach) • Rs 27 bn using 5% discount rate(DALY approach) • Benefit cost ratios for 5 discount rate are 9.4 (VSL) and 7.9 (DALY)
- 11. Benefit cost assessment summary Rs million Discount rates Zig-Zag (VSLApproach) Zig-Zag (DALYApproach) Cost 15600 15600 Financial benefits 3% 102024 102024 5% 89114 89114 8% 73665 73665 CO2 benefits 3% 24764 24764 5% 7439 7439 8% Health benefits 3% 58091 35998 5% 49724 27237 8% 39905 18610 Total benefits 3% 184879 162786 5% 146276 123789 8% 113570 92275 BCR 3% 11.9 10.4 5% 9.4 7.9 8% 7.3 5.9
- 12. 2nd analyzed solution Vertical Shaft Brick Kiln Technologies
- 13. The Vertical Vertical Shaft Brick Kiln (VSBK) Technology • The hot exhaust gases for the gradual preheating of the unfired bricks in a continuous process, thus reducing energy consumption and CO2 emissions • Lower energy consumption and savings on energy cost • On an average, in comparison to conventional FCBTK, VSBK technology requires about 45% to 50% less energy • Better environment performance • PM emission can be reduced by 75%; • Higher percentage of class-I bricks • Higher percentage (around 90%) of class-I bricks, as compared to that of FCBTK (around 50%). • Increase in the proportion of higher quality product results in an increase in the revenue for the brick-kiln owner and acts as a major incentive
- 14. Private costs and benefits • The cost of VSBK has been used based on literature review and discussion with subject matter experts (Rs 7.5 to 8 mn/kiln) • Using the estimated average production per kiln & capital cost per kiln, total capital cost of intervention for state estimated. • The adoption of VSBK not only reduces cost of production but also leads to increase in share of class 1 bricks. • The total incremental financial benefits are Rs 117 bn bn till 2030, for 5% discount rate. • The incremental profit per kiln Rs. 24 mn
- 15. Assessing Social benefits • Social benefits of VSBK assessed are •Health benefits of reduced PM10/PM2.5 emissions & • Global benefits of carbon dioxide (CO2) emission reduction due to higher energy efficiency of Zig-Zag technology • VSBK technology is estimated to reduce CO2 by 2.72 million tonnes/annum. •The present discounted value of carbon has been estimated at Rs 52 bn and Rs 15 bn respectively. • Health benefits estimated based on risk function for lower respiratory infection among children under 5 years, cardiopulmonary disease, lung cancer •6611 deaths can be avoided (between 2019 and 2030), thus saving 551deaths per annum • Avoided deaths and associated illness valued based on VSL and DALY approach •NPV of incremental health benefits: • Rs. 75 bn using 5% discount rate (VSL approach) • Rs. 41 bn using 5% discount rate (DALY approach) • Benefit cost ratio 8 (VSL) and 6 (DALY)
- 16. Benefit cost assessment summary Rs million Discount rates VSBK (VSLApproach) VSBK (DALY Approach) Cost 24000 24000 Financial benefits 3% 134640 134640 5% 117603 117603 8% 97215 97215 CO2 benefits 3% 52905 52905 5% 15892 15892 8% Health benefits 3% 88375 54765 5% 75645 41436 8% 60708 28311 Total benefits 3% 275920 242310 5% 209140 174931 8% 157923 125527 BCR 3% 11.5 10.1 5% 8.7 7.3 8% 6.6 5.2
- 17. Thank you