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Challenge Dialogue Paper

nanoCluster Alberta and All West Demolition Industrial Solid Waste Characterization Challenge

Prepared by: the CDS Network

June 2019

Industrial Solid Waste Characterization Challenge

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Table of Contents

Preamble 3

Challenge Purpose 3

The Problem We Are Solving 3

The Opportunity 4

Opportunity Snapshot - Background 5

The Technical Challenge to Overcome 6

The Challenge Dialogue Process 7

Expected Outcomes of This Dialogue 8

Assumptions Driving this Challenge Dialogue 9

Appendix A – The Challenge Dialogue System 10

Appendix B: Innovation Challenge Process 11

Appendix C: AWBIP Operational Overview and Future Challenges 12


Preamble

This Challenge Dialogue is being facilitated by nanoCluster Alberta and Tessellate Inc with support from the proven Challenge Dialogue System (CDS). The Challenge is being hosted and sponsored by All West Demolition at its Edmonton-based All West Bio Industrial Park (AWBIP).

This Challenge stems from the broader need to foster new initiatives that can help technology SMEs better commercialize their innovations. Challenges like these are driven by market pull, meaning there is specific end-user input to guide solution providers to develop needed products.

Your input to this Challenge Dialogue will help launch this exciting initiative, and will set the stage for future challenges and new opportunities for Alberta innovators.

Challenge Purpose

The purpose of this Challenge Paper is to quickly and effectively engage key industry stakeholders, academics, solution providers, and other subject-matter experts in a dialogue to address and refine the following challenge:

To provide an automated method that combines sensing hardware, imaging software and analytics to determine the composition and volumes of heavy construction waste material that is trucked in to a waste receiving facility.

This data will allow site operators to better divert these waste streams so that they can be more effectively recycled for bio-industrial applications.

Once industry stakeholders have been engaged, a Request for Proposals will be distributed to them and the broader technology community from which a selection will be asked to participate in the Challenge.

The Problem We Are Solving

In Canada, the construction, renovation and demolition (CRD) industry accounts for 25% of the waste present in the landfills and for 35% of all the greenhouse gases emitted

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(The Sheltair Group, 2008). This waste is often difficult to convert for reuse and therefore not profitable for haulers to recycle. This results in unnecessary waste streams sent to landfills.

Many international ports that have normally received these and other waste products from Canada are now more selective in what they accept or have closed their doors to Canadian waste streams all together. This places new demands for industry to better manage waste and recycling practices in ways that do not place increased demands on infrastructure and ecosystems.

Industrial wastes are not immune to this trend. The volume of construction waste generated worldwide every year will nearly double to 2.2 billion tonnes by 2025. On account of this and growing environmental concerns, governments of several countries are introducing stringent regulations to reduce and control the disposal of construction and demolition waste materials.

The Opportunity

Waste reduction efforts are sparking growing demand for new and emerging recycling processes that can divert these waste streams from the global CRD sector into bio-industrial and bioenergy technologies, and source materials for new bio-products. This will require the application of new waste characterization technology solutions to make commercial waste recycling more feasible and a more viable business opportunity.

Once these solutions are deployed, technology developers will be on the leading edge in driving more responsible and profitable waste management practices for industrial waste receiving facilities globally, thereby creating opportunities to commercialize their resulting innovations.

Closer to home, there are approximately 1,000 landfill, material recovery facilities, or transfer sites across Alberta that could be viable locations to deploy this technology. Canada has an estimated 10,000 landfill sites across the country, according to the Recycling Council of British Columbia. Canadians generate approximately 31 million tonnes of garbage per year and only recycle, at best, 30% of this material. Landfilled waste produces anthropogenic greenhouse gas emissions in the form of methane, which is approximately 21 times more potent than carbon dioxide.

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With the successful development, demonstration, and commercialization of this Industrial Solid Waste Characterization equipment at the AWBIP, the follow on opportunity to integrate this solution to waste management sites is very enticing. The AWBIP has pyrolysis equipment that utilizes clean biomass for biochar production, a combined heat and power gasification system that utilizes a variety of waste streams for thermal energy generation, and an evolving number of value added processes /technologies that produce bio-products from waste. It is this ecosystem of waste characterization, quantification, process handling and bio-industrial technologies that sets the AWBIP apart from other contemporary sites.

The successful solution selected by the AWBIP advisory board will become a fundamental piece of the overarching goal to revolutionize waste management

sites through the deployment of digital solutions that alignwith bio-industrial activities.

Opportunity Snapshot - Background

1. A gap has been identified in the bio-industrial sector in Alberta for field demonstrations. Companies need a location to trial late TRL stage technologies prior to full commercialization. The AWBIP helps fill that purpose.

2. There exists a need to validate bio-industrial SMEs and innovators so that engaged investors can make de-risked strategic investments into this burgeoning sector. This Innovation Challenge helps increase SME profile for this purpose.

3. There is an ever-growing volume of waste materials that necessitate innovation and interdisciplinary ingenuity in order to realize viable economic and environmental solutions.

4. Intentionally aligning waste management practices with bio-industrial development will augment the outcomes and benefits for both ends of the value chain.

5. Both Federal and Provincial government prerogatives and resulting funding programs are oriented towards manifesting solutions for greenhouse gas offsets, improved waste management operations, and the development of bio-industrial activities and the resulting bio-products.

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The Technical Challenge to Overcome

Although there are viable technologies (gasification, pyrolysis), products (bio-polymers, producer gas, activated carbon), and processes (combined heat and power, material recovery) that can be deployed to mitigate waste material build up, it is the upstream assessment and characterization of these waste streams that is limiting the effective adoption of many alternative solutions to traditional waste management practices.

The ideal solution would be to deploy a fully automated in-line waste characterization system that operates in real time. For this to have practical application, waste material type and volumes in each on-truck disposal bin must be quantified as the trucks move across the scale at the All West Demolition receiving facility. This characterization can be completed in any way that is suitable and cost effective – spectrometer analysis, imaging, at location photos, chemical analysis, etc.

The successful technologies will be able to meet the Minimum Viable Product requirements of the challenge including:

• Atmospheric temperature range in Edmonton, Alberta (-40°C to 40°C)

• Full range of weather conditions

• Range of materials:

o Wood

o Drywall

o Plastic(s)

o Metal

o Concrete

o Construction and demolition debris (mixed)

o Insulation

o Shingles – asphalt

o General garbage

o Soil or dirt

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• Accuracy of 80-90% for characterization of material as it passes over the scale

• No additional infrastructure beyond what can be setup at the scale site

• No additional process for sorting or separating material at the site

• Ability to associate composition of each load of waste to the net weight determined by the scale

• Interoperability with current equipment at the All West facility.

The Challenge Dialogue Process

With the distribution of this Challenge Paper, the conversation is launched. This Challenge Paper is not meant to serve as a definitive or complete document on identifying our key challenge. Rather it is to serve as a catalyst for initiating a dialogue and testing assumptions. We understand the solution we would like to see, but we require your input to ensure that this Solution is achievable and informed on all potential variables.

Think of this Challenge Paper as the opening volley in a conversation with like-minded innovators. We are not looking for a simple "yes" or "no" to these ideas and questions. We are looking for responses that lead to rich conversation and learning – a response like:

• “That makes me think about…”

• “That raises three questions I think we need to explore….”

• “I think there’s a key point missing…”

• “I don’t agree with these assumptions because…”

• “That gives me an idea…”

• “I am in alignment with that idea…”

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Expected Outcomes of this Dialogue

This Challenge Dialogue Paper will gather feedback on a series of assumptions and critical questions that will inform the definition of the NanoCluster Alberta and All West Demolition Industrial Solid Waste Characterization Challenge. More specifically, it will identify:

1. An optimum participant list from both the demand and supply side of the Challenge to help define it, potentially including academics, researchers, technology vendors, entrepreneurs, industry experts, government and others.

2. A well-defined Request for Proposals that can be distributed to potential solution providers.

3. The key evaluation criteria, specifications, and components that will formulate the basis of the selection process.

4. A cohort or cohorts of solution providers that have the ability to both meet nanoCluster Alberta’s performance requirements and the requirements of All West Demolition.

5. The foundation for a dynamic ecosystem in Alberta of bio-industrial stakeholders that can work collaboratively together to actualize viable, commercial opportunities in the sector.

6. A process to developed and test new technologies, processes, and products that steward the environment, generate revenue, and promote follow on investment.

7. Opportunities to integrate and align diverse activities in the waste management and demolition sectors to ensure that waste materials are made available to the bio-industrial and bio-energy sectors.

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Assumptions Driving this Challenge Dialogue

This paper is meant to test a set of key assumptions critical to advancing a productive dialogue on this subject. These assumptions include:

1. Industrial solid waste characterization in real time at waste management sites is an achievable challenge.

2. The ability to characterize waste streams will drive the development of bio-industrial, bio-energy and bio-product commercialization.

3. The proposed solution to this challenge can be achieved in a cost effective way.

4. That there is a cohort or cohorts of solution providers available to address this challenge.

5. That the innovative solution that is the outcome of this Challenge may utilize a combination of companies working in collaboration.

6. That nanoCluster Alberta will support a proof of concept solution with the intent to support efforts to secure additional resources for a follow on field demonstration at the AWBIP.

7. That the industry partners are willing to consider piloting/testing at least one of the chosen Solutions provided that the solution meets all necessary requirements set out in this Challenge Paper.

8. That the partner companies supporting this Challenge will have a right of first refusal for any solution developed during this process.

9. That the solution realized through this Challenge should be scalable and lend itself to interoperability.

10. That the global paradigm shift in the recycling and waste management spaces warrants this Challenge.

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Appendix A – The Challenge Dialogue System (CDS)

Tessellate Inc. is an affiliate of the Innovation Expedition, a virtual global network organization, engaged in linking and supporting influential innovators to build high performing organizations and to help create sustainable prosperity in their communities.

The CDS is the flagship program of the Innovation Expedition. It is a flexible but comprehensive organizational performance improvement system with a proven capacity to help diverse stakeholders collaborate and innovate to accomplish complex tasks.

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Appendix B: Innovation Challenge Process

Phase 1: Industry ConsultationThis phase requires interested SME innovators to submit and Expression of Interest. The EOI will be used to assess the SMEs against specific criteria, upon which time up to five SMEs who have demonstrated ability to align with Challenge outcomes.

Phase 2: Innovators SelectedSMEs will be shortlisted based on their EOI submission and will provide an in person presentation to the Organizing Team. From these presentations 1-2 prototype solutions will be moved forward.

Phase 3: Innovation SprintThe selected SMEs will engage in a 4-month process to develop new or apply their existing technologies that serve Challenge objectives. Some SMEs may be dropped from the Challenge at this point.

Phase 4: Field TrialsRemaining SMEs who have provided demonstrated ability to address Challenge objectives will implement their prototype solution in collaboration with All West Demolition.

Phase 5: Commercial Launch All West Demolition will incorporate the prototype into their working infrastructure. All West Demolition, in support of potential public and private funders, may work with the Innovation Challenge winner to market the technology into new markets.

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Appendix C: AWBIP Operational Overview and Future Challenges

The Challenge identified in this Challenge Paper is Challenge #1 in the image below. Three additional potential challenges are highlighted in red.

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