completed · Health

Lightweight panels to enable eco-friendly prefab construction in Nepal

Brick production in Kathmandu Valley is a highly polluting activity. The local authorities have given the companies a five years period to stop their activities. This will result in a major shortage of building materials. Companies are looking for alternatives. This project concerns the establishment a fifty-fifty joint venture manufacturing plant for prefabricated construction panels. It brings an alternative for traditional construction materials and methods and allows for the development of low-cost housing projects. The plant will be located at Kurintar, which is approximately 50 km west of Kathmandu.The applicant is from Bahrain where he (among others) operates a similar panel factory. He will provide the required technological and technical input and skills for the project. The Nepalese joint venture partner who runs (among others) a brick factory, is almost 20 years active on the construction market. This local partner will be responsible for developing the local market, the sourcing of raw materials, production planning, Quality Assurance and Human Resources management.Most of the sales will be B2B done through Nepalese contractors.The market for prefabricated construction materials is still in its infancy in Nepal. The factory will be the first of its kind in Nepal and will produce prefabricated lightweight concrete/polystyrene building panels. Building with prefab panels has advantages compared to traditional brick houses, both for the environment and for the quality of the buildings. Currently, this type of panels are being imported from China and India.Besides supplying the panels, the joint venture will develop low-cost housing solutions, using the same construction materials. Also, consulting services will be provided in order to boost the development of the market for prefab construction.Corporate Social Responsibility (CSR)The joint venture will develop a CSR policy, to be implemented in the daily operation. It shall deal with Employment standards; Workplace health and safety; Gender policy; Non-discrimination policy; Child labour; Employee participation; Chain responsibility; Measures to prevent corruption; Environmental management. This policy will be presented with the achievement of the first project result.At the start of the project, an Environmental Impact Assessment (EIA) will be done. Also, the joint venture will obtain ISO 9001:2000 certification which specifies requirements for a quality management system. (This standard has been revised by ISO 9001:2008, which certificate will be included as MoV in the fourth project result.)Impact• Employment and working conditionsThe 51 full-time employees will have fixed labour contracts, according to the Labour Act of the Nepal Government (Nepal Labour Association Act, 2025). The company will comply with all ILO regulations. All wages will be well above the minimum and all will be customary living wages. Integral part of good working conditions will be working days of 8 hours, during 5.5 days per week, good salaries, education and professional training. The employees shall benefit from: transportation service; meals to the employees on working days; paid sick leaves; a health assurance programme; a retirement plan; a financial contribution for courses/studies.• Innovation / Transfer of knowledgeCurrently, these products need to be imported into the country (from China or India) and local production does not exist.• Chain effectsImpact on local suppliersThe company will involve at least 35 local suppliers for inputs to the plant. They are expected to provide the company with more than 35% of all supplies yearly when the project will be completed. Seminars and conferences will be organised, that are also open to suppliers. The project's demo site will be open for guided tours for knowledge dissemination.Impact on local customers or consumersConsumers/end users will benefit from significant energy savings (through enhanced thermal mass properties); enhanced living comfort; lower prices compared to traditional houses; fast construction completion; a sustainable product with a 100+ year building life span; enhanced security (resistant to earthquakes, wind, fire and water); mould resistance (because of the use of non-organic material). The product does not emits gases or harmful fumes.• Impact on the sectorThe project may boost modernisation of the Nepalese construction sector, which will lead to opportunities for others to replicate this project or to introduce other innovations in construction to Nepal. It could lead to a production potential for supplementary products. It is the aim and interest of the project partners to share knowledge, which should contribute to a fast market introduction and penetration of this technology in Nepal.• EnvironmentIt is an important motive to implement this project, as an environment friendly alternative for traditional construction materials like bricks: the production process of prefab panels is much less damaging to the environment: it is thought to reduce the usage of fertile soil and ground water dramatically.• Position of womenDue to the nature of the basic-level work (in a heavy duty production environment), most women to be hired will work on medium- and high-level. It is expected that 35% of the employees will be women.• Impact on waterWater consumption in prefab panel production is only 10% of that of brick production. In that way, when the project will be successful and prefab panels will replace bricks, the project contributes to the preservation of the natural ground water level.