Overview of Construction Waste Recycling Business

Construction and Demolition waste, or C&D Waste, is generated by the construction, repair, re-modelling and demolition of any civil structure of an individual, authority or organisation. Other than new construction, renovation or repair of buildings, demolition of an existing building/structure is the leading cause of waste generation in the construction industry. In India, private contractors play an essential role in construction waste management. The rules related to the disposal of construction waste require that the waste generators dispose off such wastes only at Construction and Demolition Waste Disposal Facilities, and the waste generators have to bear the cost. Popular business around construction waste can be in the trade of salvaged and reusable construction materials, providing soil and concrete debris to construction sites, and recycling other materials like plastic waste, electrical wirings, used bricks, iron bars, and metal scrap materials to local vendors and processors. Recycling or construction waste is usually done away from the job site. The Construction and Demolition Waste Management Rules 2016 apply to the construction waste recycling business. A construction site can't operate without producing any waste, but limiting the amount that ends up in a landfill is possible. All construction companies are legally required to reduce, reuse and recycle before disposal. The stakeholders in the C&D waste recycling business are

• Urban Local Body (ULB) representatives
• Builders/Building Contractors
• Demolition Contractors
• Entrepreneurs/Contractors involved in demolition waste handling/ processing
• Construction raw material manufacturers
•  Building Material manufacturers

Scope of Construction and Demolition Waste Business

According to official estimates of the Building Material Promotion Council (BMPTC), India generates 150 million tonnes of C&D waste annually while some unofficial estimates put the number at three to five times more. The C&D waste which is to be processed is collected from various construction sites. This waste mainly consists of broken bricks, concrete rubble in variable sizes, and other materials, including silt, stone rubble, and ceramics. Every component of the waste has different values, and this is the main source of profit in the construction waste recycling business. The respective State governments also take many initiatives to ensure adherence to regulations to manage and recycle construction waste. Some of the examples of such businesses involving the management of construction waste are as follow.

Construction and Demolition Waste Crushing Business

Inert materials such as bricks, concrete, soil, stones etc., can be crushed to make aggregate material such as concrete or asphalt. Aggregates of specific sieve sizes need to be crushed in crushing units similar to crushing stones. Apart from some specific hazardous waste, like asbestos, most of this waste is non-hazardous.In this type of business, stone crushing machines are used for crushing RCC waste since the process remains the same for rocks or concrete blocks. Many private firms and businesses work jointly with Municipal corporations in the city. Such businesses collect C&D waste from designated points and sites across the cities and towns. The waste can also be collected directly from construction waste generators. The processed waste is used to manufacture secondary raw materials like Paver blocks, Kerb stones and other pre-cast structures.

Recycling of metal and plastic waste from C&D Waste

The waste consists of metal waste like iron bars, water-pipe fitting, aluminium and steel scrap from staircase railings, etc. These items can fetch decent value as metal scrap after sorting, cleaning and aligning them. Usable metal items can be recycled directly in new construction too. A significant proportion of metal waste can be recycled, reused, and brought back to construction to substitute naturally sourced material. Plastic waste also forms a significant component of C&D waste. Used plastic pipes, switches, water tanks, and plastic fitting in wiring can be sold to plastic waste processing facilities after sorting. 

Collection and transport of C&D waste

CollectingC&D waste and transporting it to waste disposal sites or transferring it to sites where it can be utilised is a profitable business with less investment. The responsibility of transporting waste to the site is usually given to waste generators. But in some cases, the ULB performs this function too. For instance, the responsibility of transporting waste in Delhi lies with the waste generator, while in some cases, the ULB provides an on-call facility to pick up the waste. In any case, the generator must deliver C&D waste at its own expense to the designated collection points. Private and informal transporters can work to transport this waste to collection points.

Legal Requirements to start Construction Waste Recycling Business

The Construction waste generated must be disposed of as per the C&D Waste Management Rules, 2016. C&D Waste Management Rules of 2016 also lays down the Standard Operating Procedure for setting up a construction waste recycling business. For instance, a construction Waste crushing business will need a Pollution NOC from SPCB under the Red Category. Authorisation under Solid Waste Management Rules will be required in the case. Permission and tender to handle waste from Urban Local Bodies will also be needed. The Ministry of Environment and Forest and Climate Change (MoEF&CC) recognises Environmental Impact Assessment (EIA)as an essential tool for managing construction waste. A construction waste management facility must adhere to pollution control norms set up by the SPCB and obtain proper authorisation under all applicable rules on their mode of business from the respective SPCB. All these legalities can be confusing and time-consuming and, in many cases, can result in businesses losing the opportunity to get the required permissions and tenders at the correct time. Assistance from experts can, however, make this whole process hassle-free and swift.

Documents required for Construction Waste Recycling Business

• PAN Card of the Authorized Signatory
• GST Certificate
• Layout plan
• Process flow chart
• Details of the machinery installed
• Proof of ownership of site or rent/lease agreement
• Factory license/trade license

Steps involved in Registering C&D Waste Management Facility

The procedure to obtain authorisation is as follows.

Demand and Market Analysis of Construction Waste Recycling Business

India is seeing a rapid growth of infrastructure, which is not limited to just cities. The government and private developers have construction projects in line for the foreseeable future. Though the C&D waste management Rules came in 2016, there is a shortage of waste management facilities specialising in construction and demolition waste disposal. As per official data, the recycling capacity for C&D waste in India is a meagre 6,500 tonnes per day (TPD) -- just about 1 per cent of the entire waste generated. New Road projects, housing projects and other developmental projects are coming up in every corner of the country and therefore authorised construction waste recycling businesses are in huge demand presently.

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