Plastic Pollution Challenge
- 0.73 million tons of plastic waste are released from Vietnam into the ocean each year;
- Plastics generated in the three districts of Ha Long Bay is estimated to be more than 28,000 tons a year and plastics entering the ocean more than 5,000 tons;
- Only 10-15% of collected waste in Vietnam is reused or recycled.
We use trawl-nets to collect plastics in bodies of water, then recycle these plastics into long lasting construction materials. This solution has an immediate impact and can be conducted in parallel with other actions focused on preventive measures with a longer term impact.
A comprehensive solution that, for the first time, combines collection and recycling of plastic waste, with quite some novelty. For collection, we use trawl-nets that have been continuously improved over more than 20 years. They are now manufactured in Indonesia and made of neoprene to be high resistance and long-lasting. For recycling, we use an open-source process from Precious Plastic. Our team has developed a formula to transform mixed plastic waste into durable plastic planks. Introducing recycled-plastic planks to the South East Asian market will expand the possibility of plastic recycling, and encourage more sorting and recycling in the future. It is worth noting that the cost of producing plastic waste will diminish as the production scale increases. Due to its durability, it is suitable for tropical climates.
SDG 8 – Decent Work and Economic Growth:
Operating one 2T trawl-net and recycling 200 kg of plastics will provide decent jobs to 10 local people
SDG 9 – Industry Innovation and Infrastructure:
We promote inclusive and sustainable industrialization and support domestic technology & industrial diversification.
SDG 11 – Sustainable Cities and Communities:
We contribute to inclusive and sustainable urbanization, protect natural heritage, reduce the adverse effect of natural disasters and environmental impacts for cities.
SDG 13 – Climate Action:
Prevent the harmful effects of plastic pollution; reduce CO2 emissions by reducing energy use, reusing and recycling different products.
SDG 14 – Life below Water:
Apply newly developed aerogel in cleaning up oil spills in the ocean, contributing to reduce marine pollution, protect marine ecosystems and conserve coastal areas.
SDG 17 – Partnerships for the Goals:
Local communities are the first beneficiaries of our actions. We also coordinate with national activities and internationally funded projects.
- The cost of plastic waste collection using trawl nets will be USD 28,000 per year. This cost will be covered by clients seeking clean up services (such as local governments, port authorities, local companies (for CSR)), with waste collected belonging to Oceankita and Bela Bumi Nityasa.
- Bela Bumi Nityasa will set up a recycling center, with production capacity of up to 9,600 plastic planks per year. The current market price for a similar plastic plank is USD 4.5. With the estimated production cost of USD 60,000 (in the first year) we can sell the planks for USD 4 per plank, making a potential revenue of USD 76,800 by year two, with a total profit per year (starting in 2nd year) of USD 8,255.
- Our potential market is local government, port authorities, hotels, resorts, public/private companies (for CSR), schools, etc.
- OceanKita already has a number of partnerships either confirmed or under final negotiation, including:
- To provide training and demonstration with the environmental department of Thousand Islands regency (Jakarta province), Steinberg Protocol, Exo Foundation (small rivers and lakes clean up in Bali with NPOs Green School Bali and Sungai Watch);
- Manufacturing of trawl nets with Boogie Advindo Indonesia, Waste Free Ocean (NGO), Life Project for Youth (project in Surabaya).
- BBN has secured several letters of interest from hotels and resort owners to purchase plastic recycled planks.
Traction and Key Metrics
- OceanKita has 3 sizes of trawl-net. They can collect 50kg, 1,000kg and 5,000kg of mixed marine litter per deployment, respectively. This means a potential of several tons per day, with plastics typically make up 10-40% of collected waste. With BBN’s technology, most of this plastic can be cleaned and recycled (PE, PP, PS). PET, with the highest value on the market, can be sold to be processed in bigger factories.
- OceanKita’s clean-up technology is between 10 and 30 times more cost efficient than the competition, whether collection is done manually (most cases) or by other equipment (only possible under specific conditions).
- By 2022 our target is to collect at least 70% of floating waste in Ha Long Bay and recycle at least 30% of it. In the following years, we aim to expand our operation to other Vietnamese coastal areas.
- Indonesia will remain our main market for the coming years, especially as Covid-19 related travel restrictions remain. Under negotiation with a number of cities with international funding, the kick-off of the first projects will enable us to accelerate growth thanks to related grants, interest of investors. By 2022, we expect to have at least three major projects and a number of minor projects with NPOs – the real start of our accelerated development.
- We are seeking USD 145,000 for:
- CAPEX to built trawl-nets and recycling machines (USD 82,150);
- 2 years of OPEX operating and maintenancing recycling machines (USD 62,850).
- Yearly revenue generated from plastic recycling will be USD 38,400, starting in the first year of operation.
- Yearly profit generated from clean-up service and plastic recycling will be around USD 13,000, starting in the first year of operation.