FULL-FLEDGED PRE-FEASIBILITY ANALYSIS

Construction & Demolition Waste

Construction & Demolition Waste

Market

Targeted market

Production of various construction material inputs such as metals, wood, gypsum, sand as input to construction material manufacturing from construction and demolition waste

Project description

Egypt has about 35-40 million tons construction and demolition waste. Waste is either currently accumulated in certain dump sites from older operations or newly accumulated from new construction activities. The investment focuses on recovery of various material from demolition waste including metals, aggregates such as concrete, brick, as well as metals, woods, plastics and gypsum. The material can be sold to recyclers who can produce aggregates, road base, interlock and other material.

Competitive edge

Access to supply that can be cost competitive with the right incentive in addition to high demand on construction material inputs. Increasing supply due to numerous national construction projects and real estate development.

Market features

Total investment required exceeds 5.7 billion EGP assuming similar 35-40 facilities

Financial Features

Facility capacity

3,000 tons per day

Investment required

93 million EGP per facility

IRR

32%

Simple payback

3 years

Process

Required Input

Construction and demolition waste either in accumulated dump sites or newly produced

Technology

Mechanical processing

Equipment

Crusher, loader, jackhammer, trucks

Human Resources

Engineers, Technicians, Machines operators, and Drivers

Policy interventions

Recommendations

The opportunity is not feasible unless there is a gate fee of at least 30 EGP per ton, local authorities enforce generators to dispose CDW in designated recycling area and develop a monitoring frame to ensure implementation. Gate fees can be financed from generators of construction waste following the spirit of the waste management law of 2021

Impacts

Environmental impact

Reduction of construction and demolition waste reduces pollution and particulate matter. This will improve health conditions.

Social impact

Provides direct and indirect job opportunities. Avail land used for dumpsites for productive activities.

* Source of the information: The above figures were updated by Chemonics Egypt for UNIDO in 2023

Studies

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