Displaying items by tag: GCW438
Building materials as a service
15 January 2020Here’s a fun idea: providing building materials as a service. Instead of the owner of a building possessing all the materials in it forever, they simply rent them. It would be like a music or television streaming service. A ‘Netflix’ or ‘Spotify’ for the construction industry. ‘Rentacrete’ if you will…
The Guardian Cities series has been discussing the idea this week in a feature on whether buildings should be demolished at the end of their lifetime. The feature largely looks at the ideas of Dutch architect and commentator Thomas Rau, the author of Material Matters. He talks about his ‘materials passport’ concept whereby all the materials in a building are logged with their properties to highlight their value when the structure is demolished. This is a refinement of the Building Information Modelling (BIM) system. Rau has put his passport premise into action for a couple of projects through his firm and the Madaster Foundation promotes its use.
The next steps that he envisages are buildings where the materials that constitute it are simply rented from the manufacturer. Since the material owners would now become companies they would have an interest in efficiency where the materials can be refitted, such as lighting, and/or recycled for when the building is torn down. In Rau’s view these companies would be in a better position to recoup the value of these materials when a building is demolished. He estimates that 18% of a building’s original construction cost can be preserved in this way. Suddenly, sustainability becomes much easier by changing one’s perspective on who owns what exactly in a building.
How this idea would work in practice raises all sorts of questions. For example, most buildings in the developed world last for as least as long as humans do. Which companies could be relied on to hang around this long? Building materials as a service might work for soft materials that are replaced more often, such as lighting and other interior fittings, but could this extend to a structure’s shell? One answer to this is that people invest in pension schemes and use banks quite happily over long periods time, so why not a building’s very fabric? Another issue is of liability and whether a manufacturer would want to take on additional responsibilities for its products decades later. This, and the idea in general, have similarities to the extended product responsibility strategy. Obviously someone needs to try out building materials as a service for real to tackle these questions and many more.
Building materials as a service is compelling but one reason that the construction industry has proved resistant to the digital revolution across the entire business, so far, is because it ultimately deals with physical products that people need permanently. Consumer digital renting services for media, like Netflix and Spotify, are ‘disposable’. Hence, the mindset is different. That’s not to say that building materials as a service is impossible just that it is a harder shift in thinking. A country with a high level of residential renting, for example, might find it easier to move to this model than one with high levels of home ownership.
One more thing to consider is that the media renting companies mentioned above are dependent on other companies producing the content. Due to this they have moved towards vertical integration as the producers themselves, notably Disney in 2019 which has started to set up its own online rental platform. The point here being that in a product rental environment, whoever produces the product, holds a large amount of influence. Building materials manufacturers take note. Building materials as a service might just be a talking point on the lecture circuit along the road towards sustainability in the construction industry. Yet if it did happen at any scale then the producers of concrete, mortar, bricks, steel and all the rest would be well placed to benefit from it.
Ivory Coast: LafargeHolcim Ivory Coast has appointed Serge Gbotta as its new managing director. He succeeds Xavier Saint-Martin-Tillet, who has become the head of the West Africa region of the group. Gbotta was previously the Commercial and Logistics Director at LafargeHolcim Ivory Coast since 2015. Prior to this he has worked at Maersk, Air Liquide, DHL and ADM. Gbotta trained as a civil engineer at the ENSTP Yamoussoukro in Abijan. He also holds an MBA from the China Europe International Business School (CEIBS).
China: West China Cement has appointed Chu Yufeng as its chief financial officer (CFO). He suceeds Chan King Sau, who has been appointed as a financial controller of the company and will continue to be the company secretary.
Chu Yufeng, aged 41 years, joined Yaobai Special Cement Group (Shaanxi Yaobai), a subsidiary of the West China Cement, as deputy chief financial officer in 2012. He was the deputy administration, finance and control director of Fuping Cement, another subsidiary of West China Cement, from 2010 to 2012. In 2014, Chu was appointed as the chief financial officer of Shannxi Yaobai and he has been responsible for financial management and audit matters of Shaanxi Yaobai and its subsidiaries for over five years. Prior to joining the group, Chu was a finance manager in a software company and an electric equipment manufacturer, both in China.
Chu holds a master’s degree in business administration from an international business program jointly organised by Maastricht School of Management (MSM) of Netherlands and Independent University of Bangladesh in 2005. He also graduated with a bachelor’s degree in commerce in international accounting from Xi’an JiaoTong University in 1999. He is a member of the Association of Chartered Certified Accountants.
Carol Jackson begins presidency of World Refractory Association
15 January 2020Belgium: Carol Jackson, the chairman and chief executive officer (CEO) of HarbisonWalker International (HWI), has started a two-year term as president of the World Refractory Association (WRA). She suceeded Stefan Borgas, the CEO RHI Magnesita, who led the organisation since January 2018.
Jackson, aged 47 years, became CEO of HWI in 2017 following three years as its Senior Vice President and General Manager. She has spent over 20 years of her career in the paint, coatings, chemicals, glass, ceramic materials, and specialty steel industries, serving automotive, industrial, consumer, and construction markets. Before joining HWI in 2014, she served as Vice President of the bar, wire, and strip business units of Carpenter Technology Corporation. She also held various roles at PPG Industries, where she rose to became Director of Global Raw Materials Purchasing.
Jackson is a licensed attorney in Pennsylvania, US and she holds a Juris Doctorate from the University of Pittsburgh and a master’s degree from Carnegie Mellon University, Tepper School of Business. She earned her undergraduate degree from Duquesne University.
Uzbekistan: Chinese investors have announced the launch of a 0.9Mt/yr integrated cement plant in the Fergana region of Uzbekistan as a result of a total investment of US$113m. Trend News has reported that a second phase of work beginning in May 2020 will further increase the cement plant’s production capacity. This is one of five upcoming Chinese-owned integrated plants in Uzbekistan, with a shared capacity of 6.0Mt/yr.
Belgium: Cembureau, the European Cement Association, says it will undertake a review of the targets set out in its 2050 Low Carbon Roadmap (2013/2018) in order to align the industry’s efforts with the carbon neutrality objectives contained in the European Green Deal published in December 2019. Following this reassessment, the association says it publish a revised low-carbon roadmap setting out the key role of cement and concrete in the circular economy and a path to achieving carbon neutrality along its value chain in Europe by 2050. Cembureau expects the revised roadmap to be published in early spring 2020.
“As an industry we are determined to ensure that we play our part in helping Europe to meet its emissions reduction targets. With concrete, our industry has a sustainable building material that is uniquely positioned as an essential enabler of the transition to a carbon neutral society,” said Cembureau’s president Raoul de Parisot.
Value of Bangladeshi cement exports falls by 13% year-on-year
15 January 2020Bangladesh: Producers exported US$5.03m-worth of cement and clinker from Bangladesh in the six months to 31 December 2019 - down by 13 from US$5.75m in the corresponding period of 2018 and 1.6% below the government’s target of US$5.11m. Arab News has reported that the recipients of Bangladeshi cement and clinker included India, Myanmar, Nepal, the Maldives and Sri Lanka.
Construction information provider says that imports are crippling the South African cement industry
15 January 2020South Africa: Morag Evans, the chief executive officer (CEO) of Databuild, says that local cement manufacturers are being ‘severely’ undermined by cheap imports from countries such as China, Vietnam and Pakistan. She adds that the government’s failure to stem the influx of these products could have a severe detrimental impact on an already struggling industry.
“In an industry already in the grips of a severe downturn owing to the decline in infrastructure development, not only are these imports negatively impacting the competitiveness of our local manufacturers, but independent studies have shown the quality of these international products to be inferior,” said Evans.
She also cited quality concerns with imported cement mentioning a study conducted by local manufacturer PPC. It found that, from 14 products tested from 10 different producers, most were either over or underweight and were also of inconsistent quality.
Evans has supported the Concrete Institute’s lobbying for a 45% import tariff on cement imports. However, she acknowledges that such a move could raise the price of cement and increase inflation in the general economy.
Databuild provides information about the construction industry in South Africa.
Refratechnik acquires Queensland Magnesia
15 January 2020Australia: German refractory producer Refratechnik has acquired Queensland Magnesia (QMAG). The acquisition adds 300,000Mt/yr of magnesium oxide to Refratechnik’s supply of raw materials. The company said, “With a common focus on performance excellence, we will deliver greater value to our customers.”
Cementos Argos Newberry plant and Atlanta grinding plant win WHC Conservation Certificates
15 January 2020US: The Wildlife Habitat Council (WHC) has awarded Conservation Certificates to Cementos Argos’ 1.5Mt/yr integrated Newberry plant in Florida and 0.6Mt/yr Atlanta grinding plant in Georgia. Cementos Argos has installed a bat roost at the Newberry plant and planted bee and butterfly gardens with bird boxes for year-round resident bluebirds. The company said that the certification signals its ‘long-term commitment to managing quality habitats for wildlife.’