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AkzoNobel chemical leasing powder coatings

Challenge

Provide coatings as a chemical leasing business model.

Problem

Powder coatings are a sustainable way to apply colour and a protective covering to finished objects. The method is more sustainable than coating in situ and does not involve solvents or volatile organic compounds (VOCs). The powder is sprayed onto the substrate surface (sometimes pre-treated) with virtually all the excess powder recycled. The coating is electrically charged as it is sprayed onto the surface to be coated and then baked in an oven, where the powder particles melt and fuse into a smooth coating. The result is a uniform, durable, high quality, environmentally safe and attractive finish.

Solution

Given the efficiency of the approach, powder coating lends itself well to chemical leasing. This is a business model where the customer pays for the benefits obtained from the chemical, not for the substance itself. Supplier success is not linked with product turnover and chemical consumption becomes a cost rather than a revenue factor, thus requiring the use of chemicals to be optimised.

With a chemical leasing business model, AkzoNobel Egypt is providing the coating powder, managing and supervising the powder coating process of domestic appliances at ABB’s ARAB plant in Egypt. Furthermore, AkzoNobel Egypt is providing a certain number of coated square metres per month against a fixed price. The offered service includes capacity building of the ABB ARAB technical staff.

Benefits

Saving in raw material by reduction in powder loss from 12% to 5%
Cost reduction of coating process per m3 from 3.8 per m3 to 3.2 per m3
Forecast direct savings are around US$68,000 per year
Process optimisation and more efficient process (1 kg powder makes more than 6m3 rather than 5m3)
Less maintenance cost (one time instead of two times per month)
Less energy consumption by reduction of pressure of the powder guns
Long-term business relationship based on a regularly monitored contract
Recycling of powder waste at AkzoNobel
Compliance with environmental regulations related to waste management and workplace environment
Enhancement of supply chain management and other environmental management systems
Reduction of chemicals, raw materials, energy, emissions and waste
Capacity building of operation staff by sharing know-how

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