Ready, set, hyperscale
Why hyperscale is the game changer we need
Today, less than 1 percent of the global textile fiber market comes from recycled textiles. In fact, the majority of all end-of-life textiles are incinerated or end up in landfills. Implementing textile-to-textile recycling at hyperscale is our part of the solution to this problem. There is however no such thing as setting up shop and calling it hyperscale. Since day one, we have been searching the globe to find ideal locations to host our gigascale plants. Scale equals impact, and only then can we reshape the industry for the better and make sustainable options more accessible and affordable.
Why we focus on polyester
Polyester is the most widely used and fastest-growing textile fiber in the world, with 60 million tons produced annually. Being produced by crude oil, polyester significantly contributes to environmental degradation, representing more than 40 percent of the textile industry’s emissions. The current recycled polyester, bottle-to-fiber (rPET),disturbs a perfect circular system as you can never go back to food grade PET-bottles again. Textile-to-textile recycling enables a circular value chain and offers better quality than rPET. We simply need to let bottles be bottles and textiles be textiles.
What we look for
1. Low-cost & low-carbon energy
One of the first things we consider is the availability of reliable low-carbon energy. Our recycling process is energy-intensive, involving the chemical breakdown and reformation of polyester fibers. Using fossil-free energy sources is essential for minimizing our carbon footprint. Locations with access to renewable energy sources like wind, solar, or hydroelectric power are highly preferred. However, securing a consistent and reliable low-carbon energy supply can be challenging, especially in regions where renewable infrastructure is still developing.
2. Existing infrastructure
The presence of existing infrastructure, including transportation networks, utilities, and industrial facilities, is another critical factor. This reduces the initial capital investment required for setting up the plant and ensures smooth logistics for transporting feedstock and finished products. Proximity to ports, railways, and highways is particularly important for efficient supply chain management. Yet, finding locations that offer all these infrastructure elements can be difficult, especially in areas where industrial development is limited.
3. Access to feedstock
Securing a consistent and reliable supply of feedstock (textile waste to be recycled) is crucial for the success of hyperscale operations. We look for locations with robust systems for feedstock collection and sorting, as well as proximity to large sources of textile waste. This ensures a continuous supply of raw materials for our recycling process. Nevertheless, establishing and maintaining these robust feedstock systems involves significant logistical challenges.
4. Supportive regulatory environment
Navigating the regulatory landscape is complex, so we prioritize locations with comprehensive and supportive policies. Key aspects include policies like Extended Producer Responsibility (EPR) schemes and streamlined processes for importing waste, which are crucial for facilitating large-scale recycling operations. While financial incentives, grants, and subsidies can be beneficial, aligning with these regulatory frameworks ensures that our initiatives fit within broader sustainability goals. A favorable regulatory environment helps us overcome barriers of scaling up and accelerates the transition to a circular economy. However, regulatory landscapes can vary widely and aligning our operations with local regulations while ensuring compliance is a demanding and time-consuming process.
5. Proximity to talent pool
Operating a hyperscale plant requires a skilled workforce, particularly in engineering, technology, and operations. We look for locations with access to a talent pool that can meet our staffing needs. Investing in training and development programs is also a priority to ensure our employees are equipped with the necessary skills. Attracting and retaining talent in a competitive market, especially for specialized roles, adds another layer of complexity to our location selection process.
Finding locations that meet all these criteria pose a significant challenge, but no one said it was going to be easy to change an industry…