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WASTENET. Trade Network for Secondary Raw Materials and Renewable Wastes An Idea by Belgium Building Research Institute BBRI. WASTENET. What are we going to talk about?. 1 – Background 2 – Which Sectors? 3 – Needs for Success 4 – Which Housing Partner? 5 – Phases of Implementation
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WASTENET Trade Network for Secondary Raw Materials and Renewable Wastes An Idea by Belgium Building Research Institute BBRI
WASTENET What are we going to talk about? 1 – Background 2 – Which Sectors? 3 – Needs for Success 4 – Which Housing Partner? 5 – Phases of Implementation 6 – Developments (Phase 1) 7 – Draft Concept 8 – Constructive Criticism 9 – Application to Portugal
WASTENET 1 - Background • 2 billion tons/year of waste are produced in the EU • About 80% of which are reusable / recyclable / recoverable • Pressure groups, public opinion and legal pressure • Business opportunity in waste management (B2B) • Previous examples with limited success
WASTENET 2 - Which sectors? • Initially: All Industrial Sectors • Startup: Building and Construction Sector • Limitations: All kinds of Unsorted Waste • Advantages: Short Use Cycle; Non-Hazardous
WASTENET 3 - Needs for Success • Supply of Standardized Information • Display Offer and Demand • Transmition encoding for safe transactions
WASTENET 4 - Which Housing Partner? • CoBoNet • Extranet • High speed “safe” communication • Ease of accessibility • Unlimited access with “firewall” protection • Sub-sector segmentation with login&passwd
WASTENET 5 - Phases of Implementation • Phase 1 - Pre-Study • Concept Definition and Survey • Phase 2 - Practical Study • Objectives, Financing, Partners for Pilot • Phase 3 - Future Implementation • Pilot Site, Tests, Optimization
WASTENET 6 - Developments (Phase 1) • Contact with 11 other similar Trade Networks • X-Ray of “competitors” or future “partners” • Innovation through acquired knowledge • Custom Made Solution = Best Fit
WASTENET 6 - Developments (Phase 1) RESULTS AND RECOMMENDATIONS a) Offer/Demand is not enough to keep the site alive! Need to create added value to keep customers coming back. HOW? With Competitive Solutions, Technical Advice, Alternatives, etc...
WASTENET 6 - Developments (Phase 1) b) SMEs don’t know their waste. Legal obligations, characterization, best available techniques. Need pampering and discipline. This reflects on the Trade Network. Trade solution should compromise between the “expert” and the “dummy”. Both should be satisfied with the service.
WASTENET 6 - Developments (Phase 1) c) Access Fee Almost for Free Encourage Return of Customers Income Source Only in the Long Run
WASTENET 6 - Developments (Phase 1) d) Income Sources Differentiated access fee according to service Payment for references resulting from searches Payment of specific services Subsidies, Sponsors and Others Advertising
WASTENET 6 - Developments (Phase 1) e) Hard-Copy Support Despite the e-commerce, there should be a paper version during the start-up period. f) Differentiate markets g) Allow for an “open-market”. All clients are equal.
WASTENET 6 - Developments (Phase 1) h) Generate confidence/trust among users Confidence in the service Confidence in the transaction Confidentiality i) Prevent information breaches
WASTENET 6 - Developments (Phase 1) j) No right for errors ! k) Keep a dynamic, up-to-date, site and service
WASTENET 7 - Draft Concept • English, French, Dutch and German • Allow for Identified and Anonymous Users • Be capable of processing offer and demand • Coded and Decoded relay of information • (comparisons)
WASTENET 7 - Draft Concept • Decoding through the consumption of “credits” • Minimum access fee • Different fees for different services • Free search of solution (given coded)
WASTENET 8 - Constructive Criticism (+) • Bold idea, showing vision and market opportunity • Environmental concerns • Everybody benefits from adequate technical advice • May help to solve difficult waste problems • Innovative application in B2B (in its own field)
WASTENET 8 - Constructive Criticism/Risks (-) • Experience shows that focused networks work better • Conservative users, with out of date technologies • Initial investment must include diffusion of concept • Advertising, interviews, press releases, statements • Reliability of encoding software
WASTENET 8 - Constructive Criticism/Risks (-) • Difficult prediction of initial cash-flow • Difficult prediction of break-even point • Hard to predict/evaluate waste market • Temptation to cheat system
WASTENET 9 - Application to Portugal Presentation • A Web-based Trade Network for All Kind of Wastes By HLC
WASTENET 9 - Application to Portugal Who and Why? • HLC a leading company in Engineering; • Maximize resource use: • Environment and Energy expertise • Development of B2B Platforms • Development of B2C Platforms • Initial Investment of 10.000.000$00
WASTENET 9 - Application to Portugal Characteristics • Offer and Demand Search • Services, Information, News • User friendly
WASTENET 9 - Application to Portugal Characteristics • Good Presentation • Codified transactions • Cost of Transaction: • 1% of Transition Value • 10.000$00 if 1% T.V.< 10.000$00