Ayeyarwaddy Rice Husk Briquette

Development of at least 6 rice husk briquette plants across Ayeyarwaddy Region, representing a combined production scale of approximately, 120 tonnes per day with the construction of a pilot plant.

briqutte

CONTEXT

The Project will, for the first time in Myanmar, introduce a proven rice husk-based briquette while also bringing new manufacturing capacity to Myanmar.  The Project will aim to replace charcoal as a solid fuel across Yangon and Ayeyerwardy Region. The productive re-use of agricultural waste rice husk into briquettes will result in the reduction of wood harvesting/deforestation, and the increase of disposable incomes via offering a cheaper and better charcoal alternative. Currently much of the waste husk feedstock is illegally disposed/dumped or burned. The briquettes will be a sustainable, competitive, and locally-appropriate energy-source for the economically disadvantaged households that cannot afford cooking on electricity or propane

THE PROJECT

Infra Capital Myanmar, on behalf of InfraCo Asia, is developing this project in conjunction with Good Neighbours International (GNI), one of the biggest nongovernmental organisations in the Republic of Korea. The Project will provide a financially viable and highly additional solution to reduce charcoal consumption across Myanmar, while providing pro-poor energy products. Introduction of a new charcoal alternative created with waste rice husks.

The Project provides an investment opportunity to develop a portfolio of Project factories that will capture roughly 10% of the Yangon charcoal market share by 2025. The Pilot factory with average capacity of 17 tonnes per day, representing less than 1.5% of the total charcoal demand in Yangon, will test key assumptions. Having proven the techno-economic feasibility, the Project will scale-up with up to five other sites (including various plant size and feedstock options). There is a strong potential for scale-up, because over 95% of Myanmar households still use solid fuels as their primary cooking fuel.