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PII: S2772-4271(24)00004-4
DOI: https://doi.org/10.1016/j.nexus.2024.100273
Reference: NEXUS 100273
Please cite this article as: Toshihiko Otsuka , Riaru Ishizaki , Tofael Ahamed Associate Prof. ,
Ryozo Noguchi Prof. , Three-layer business model canvas of oil-water separation
equipment in restaurants and food processing factories, Energy Nexus (2024), doi:
https://doi.org/10.1016/j.nexus.2024.100273
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• Economic effect of introducing OWSE reduced the total initial cost and
maintenance.
• Iintroduction of OWSE would bring economic benefits to companies.
Three-layer business model canvas of oil-water separation
Author Information:
Toshihiko Otsukaa, 1-1-1 450 Kamikomachi, Oomiya-ku, Saitama-shi, Saitama-ken 330-0855, Japan.
Associate Prof. Tofael Ahamedc, 1-1-1 Tennodai, Tsukuba, Ibaraki, 305-8577, Japan.
Abstract: A three-layer business model canvas was applied to clarify the environmental,
economic, and social impacts of introducing oil-water separation equipment (OWSE) used in
Abbreviations: BOD: biochemical oxygen demand; EcoBMC: economic business model canvas;
EnvBMC: environmental business model canvas; ESG: environmental, social, and governance; GT:
grease trap; OWSE: oil-water separation equipment; SDG: sustainable development goal; SocBMC:
social business model canvas; SS: suspended solids; TLBMC: three-layer business model canvas
restaurants and food processing factories. Introducing high-performance OWSE can change the
social structure of manufacturers and residents of sewerage development areas and provide
economic benefits to companies. Based on the data of a ramen restaurant in Miyagi, Japan,
evaluated the economic effect of introducing OWSE resulted in the total initial cost and
maintenance was 1,032USD/year less than the cost of the sewage fee. Therefore, the proposed
Graphical Abstract:
performance of wastewater treatment facilities, causes sewage pipe blockage due to the
accumulation of oils, and causes many environmental problems worldwide [1–3]. The distance
between the starting point of the oil flow and the deposition points in a sewer pipe is
approximately 50-200 m, and oil deposits affect 25.0-37.5 % of wastewater overflow in sewage
[4]. In 2004, the U.S. Environmental Protection Agency reported that approximately 3–10
blockages were caused by oil deposits in sewer pipes [5]. Up to 70 % of the sanitary sewage
wastewater municipality in Malaysia received 22,184 blockage inquiries [6]. The concentration
of oil in wastewater from fast food restaurants in Thailand ranges from 730–1100 mg/L [7]. In
addition, oil has been identified as a major cause of beach pollution in Sydney and Cartagena de
Indias [8].
discharged from small restaurants and food-processing factories. For example, to manage the
sewage in the city of Kobe, restaurants and food processing factories are charged a fee
suspended solids (SS), and oil content [9]. To maintain the environment of the Kasumigaura
basin, Ibaraki Prefecture strengthened the wastewater regulations for all small-scale restaurants
to maintain the quality of BOD, SS, nitrogen, phosphorus, and oil [10].
is to use a grease trap (GT). The GT can separate oil and wastewater based on differences in
separate oil and wastewater effectively [11]. To improve this situation, oil-water separation
equipment (OWSE), such as Grease Eco (Daito-giken Co., Ltd., Japan) [12], Goslyn (Goslyn,
LLC., USA) [13], and Greaseguardian (FM Environmental Ltd., UK) [14], uses differences in
specific gravity or rotating discs. In addition, these OWSEs use technologies that absorb oil
Businesses targeting wastewater are conducted all over the world in this way, and are
expected to reach 263.07 billion USD in 2020 and 500 billion USD by 2028 [15]. The global
penetration rate of sewage systems that can stably treat wastewater is 25-80% [16]. In recent
years, the impact of urbanization on wastewater treatment has become a major concern for
developing countries, where wastewater volumes already exceed the capacity of sewage in
many cities [15]. These problems are also occurring in some developed countries, and in the
United States, 2,400 of the 16,000 functioning sewage have already exceeded their treatment
capacity [17]. In this way, improving sewage treatment capacity is important when considering
a sustainable urban environment. In particular, the inflow of oil has a significant impact on
understand the impact on the environment and society when OWSE is spread [18][19][20].
September 2015 to integrate and solve global economic, social, and environmental issues [21].
The wastewater treatment could contribute to achieving 11 out of 17 SDGs [22]. The SDGs
concerned with OWSE were Goal 4 (Quality education), Goal 6 (Clean water and sanitation),
Goal 9 (Industry, innovation, and infrastructure), Goal 11 (Sustainable cities and communities),
emphasizes and selects companies that prioritize the environment, society, and corporate
governance. The investment balance at the end of 2015 was approximately $23 trillion and grew
to $31 trillion by the end of 2017. A company’s potential as an ESG investment can
Alexandre et al. (2016) suggest the three-layer business model canvas (TLBMC) as a
method for integrating economic, social, and environmental impacts with corporate activities
[24]. The TLBMC was developed from the economic business model canvas (EcoBMC)
environmental business model canvas (EnvBMC), and a social business model canvas
(SocBMC). The TLBMC is a practical tool that supports sustainable development, visualization,
and communication using the economic, environmental, and social campuses and defines the
impact of company action on the environment and society [26]. The TLBMC has often been
used to understand the cooperation and relationships between the economy, environment, and
Previous studies have evaluated the social and economic impacts of energy recovery
from wastewater [27][28]. This research examines the social and economic impact of oil
recovery from wastewater through the reuse of recovered oil and its contribution to building a
recycling-oriented society for achieving the SDGs. The novelty of this research lies in the fact
that these findings were clarified using actual oil-water separation equipment and actual
examples of businesses that have introduced OWSE. A comparison between previous studies
and this study is shown in Table 2. Therefore, this study aims to clarify the economic and social
benefits of OWSE for manufacturers and companies using the TLBMC. The economic
evaluation equation is proposed as a method for verifying the economic effect of introducing
OWSE.
2.1.1. EcoBMC
2.1.2. EnvBMC
EnvBMC is based on environmental impacts throughout a product’s life cycle to
assess the company’s ability to create numerous environmental benefits. EnvBMC is used to
understand the environmental factors resulting from the introduction of OWSE. EnvBMC
classifies environmental benefits into nine interrelated elements: functional value, production,
materials, supplies and outsourcing, distribution, use phase, end-of-life, environmental impacts,
and environmental benefits. The EnvBMC was developed based on the environmental impact of
CO2 emissions from production to the waste process [29]. The water environment, including
wastewater, was targeted to understand the impacts and benefits of OWSE on the water
2.1.3. SocBMC
SocBMC aims for companies to pursue maximum profits and to balance those profits
among their stakeholders. SocBMC is classified into nine interrelated elements: social value,
employees, governance, local communities, social culture, the scale of outreach, end users,
The TLBMC results were used to summarize the causal relationships between the
manufacturer and stakeholders to better understand the relationship between the manufacturer
and stakeholders following the introduction of the OWSE in areas with sewage. In the OWSE
end-user introduction, “customer segments at EcoBMC” was selected to understand how the
business company was perceived. Moreover, it was assumed that a GT was used in oil recovery
facilities before introducing the OWSE. An end user for material and energy recycling recovers
The authors have shown that the introduction of OWSE reduces the gray water
footprint [WFgray] of the n-hexane extract content discharged from restaurant wastewater by
88.8% [30]. The authors have shown that it was revealed that by using recovered oil as an
alternative fuel for biomass boilers, greenhouse gas emissions from food processing plants can
be reduced to virtually zero [31]. Therefore, Improvements in the water environment, such as
public water areas, measures against global warming using recovered oil as biomass energy, and
sustainable consumption by recycling recovered oil into foods and resources were suggested in
the “value proposition" for the OSWE manufacturer. Because OWSE decreases the oil
concentration in wastewater and the pollution load, including sewage, on wastewater treatment
facilities, it was selected as one of the value propositions for improving the water environment.
In “customer segments,” business people who are in charge of large amounts of oil,
such as restaurants and food processing factories, were suggested [32]. As a result, many
problems caused by wastewater, including the blockage of sewage pipes by oil and the increased
maintenance costs of wastewater treatment facilities, were solved. In addition, the reliability of
[6, 33–35]. There is a strong social need for OWSE because these countries have poor
technologies and regulations to solve these problems [36]. Therefore, in “channels,” reviews
from users and the needs of developing countries were suggested. In addition, know-how and
technical capabilities, the evaluation results of OWSE by the test body, and patents were
suggested as “resources.” They correspond to important factors for the OWSE manufacturer.
environment of OWSE or where water quality inflow will occur is indispensable. Because
performance tests for the OWSE by a third-party testing body increase the reliability of users, it
was suggested in “activities” [37, 38-42]. In “partners,” the OWSE factory, the OWSE test body,
the oil recovery and recycling company, and universities were suggested. In “costs,” the
activities of the OWSE manufacturer, performance test costs, preliminary investigation costs to
understand the OWSE installation environment, and OWSE manufacturing costs were
suggested. In “revenues,” the revenue generated from the sale and maintenance of OWSE was
suggested. These four items were suggested through interviews with OWSE manufacturer.
These results show that the OWSE manufacturer’s value proposition is an attractive
system for users because of its contribution to corporate social responsibility and ESG
investments. In the results of “resources,” “activities,” and “partners,” the OWSE manufacturer
can provide a high-value proposition with sustainability. This is based on reviews from users
who trusted the OWSE manufacturer because of increased sales and profits that exceeded the
cost structures.
food-processing factory or restaurant. The results for the EnvBMC are shown in Figure 3.
OWSE manufacturing was suggested under “production.” Stainless steel, motors, and
heaters were categorized as necessary materials for OWSE production in “materials” [38-42].
Energy and water used in OWSE production were suggested in “supplies and outsourcing.”
required electricity and water for operation [38-42], which was suggested as the “use phase.”
When the OWSE is scrapped, the motor and heater are discarded as industrial waste and were
“Environmental impacts” were CO2 emissions and wastewater from the production,
distribution, use, and waste processes of OWSE. The first effect was the reduction in CO2
emissions discharged from food-processing factories when the recovered oil was converted to
heavy oil A [31]. The second effect was a reduction in CO2 emissions when the GT was cleaned
in the ramen shop [30]. The third effect was the reduction inWFgray of the n-hexane extract
content by reducing the oil concentration in the wastewater [30]. The fourth effect was reducing
the amount of wastewater discharged from restaurants by reducing the water required for
washing dishes [30]. These effects were suggested as “environmental benefits” based on the
OWSE introduction.
Introducing OWSE results in environmental benefits if the reduced CO2 emissions and
EnvBMC suggests effective methods to reduce the environmental load through OWSE
manufacturing activities.
and were shown to place less strain on the lower back. In terms of operability, convenience, and
hygiene, OWSE was more effective than GT in reducing the subjective workload of workers
[37]. As a result, the introduction of OWSE had free employees from the heavy labor of GT
maintenance work and allowed them to work for long hours. In addition, managers of stores that
had introduced OWSE which was commented that the introduction of OWSE was improved the
environmental awareness of their employees as they have been able to experience using
recovered oil as a resource [37]. Therefore, using OWSE could provide “social value”, such as
improvement of the labor environment and management stability, by reducing the cost of
wastewater treatment facilities and energy. This is because the operation of wastewater
treatment facilities becomes stable and the cleaning frequency of the GT is reduced. These
social values construct mutually beneficial relationships between users and OWSE
possibility of constructing a system to manage OWSE functions was shown through regular
OWSE users increased their interest in the water environment, including wastewater,
by experiencing the improved effects of wastewater discharged from their business sites after
the introduction of OWSE [37]. The effects of conserving water quality in public water bodies
include improving the landscape of rivers and lakes and increasing recreational opportunities in
rivers and lakes [43]. OWSE reduces the oil concentration in wastewater and enables stable
improving water quality in public areas with stable water treatment facility operations. Users
and residents have improved their interest in and awareness of the aquatic environment,
The introduction of OWSE improves the working environment and working time of
the use of recovered oils as resources [37]. Moreover, The amount of oil recovered from
restaurants and food processing factories by OWSE is 0.6 kg/day to 170.4 kg/day [38-42], and
oil recovery companies collect these and recycle. Oil recovery companies will increase their
business volumes and create employment as the amount of recovered oil that can be recycled
Since the oil concentration in wastewater can be reduced with OWSE, three
possibilities were suggested for “social impacts”. The authors revealed that one of the effects of
introducing OWSE was that the number of times cleaning by cleaning companies at restaurants
was reduced [30]. The first possibility was to deprive cleaning companies of GT and drainpipes.
The construction cost of the wastewater treatment facility without the introduction of OWSE
was estimated to be 666,667 to 1,466,667 USD, but by introducing the OWSE, the
concentration of oil and fat in the wastewater decreased, and the construction cost was
ultimately reduced to 400,000USD. Since the introduction cost of OWSE was 66,667USD, the
1,000,000USD [44]. The second possibility was to decrease the income of wastewater treatment
wastewater treatment facilities. The third possibility was to decrease the income of wastewater
blockage, hydrophilicity would be improved by improving the water quality of public water
areas, and a cyclical society would be built to enable sustainable development. However, OWSE
OWSE can provide benefits such as new job creation, stable infrastructure, and improved
environmental awareness. Moreover, due to the social value provision, business activities by
3.2. Results of the relationship between the OWSE manufacturer and stakeholders
The relationship between the OWSE manufacturers and stakeholders in the sewage
area is shown in Figure 5. Before introducing the OWSE, wastewater was collected from the
sewage and then flowed to the wastewater treatment facility to be discharged into the public
water areas. The government operates sewage facilities and monitors the water quality in the
As obtained in the SocBMC results, under “after introducing OWSE,” the users were
free from the heavy cleaning of GT by collecting floating oil and experienced benefits such as
treatment costs. In addition, the amount of recovered oil increased due to the high efficiency of
the OWSE, and the recovered oil that oil recovery companies treated was increased.
The oil in the wastewater discharged by users was recovered as floating oil in the GT,
and the oil that the GT could not recover flowed into the sewage facilities. Oil recovery
companies recycle the recovered oil as biomass energy and fatty acid materials. However, the
inflow of oil has caused an increasing pollution load on sewage facilities and environmental
problems such as drain pipe blockage, foul odors. The complaints and requests from residents
However, by lowering the oil concentration in the wastewater, the load on sewage treatment
facilities was reduced, stable treated water was obtained, and the water quality in the public
water area of the discharge destination was stable. Stable water quality in the public water area
caused residents to experience an increase in hydrophilicity in the public water area and become
more interested in the environment. Through these effects, the government increased trust in the
and found that more than 60% of restaurants had problems with GT, such as low awareness of
wastewater on the part of restaurants, and problems with GT cleaning and management. [11, 45],
and OWSE has been developed to solve these problems. Therefore, before implementation,
there was no relationship established between the OWSE manufacturer and the grease trap
company. The authors' survey of restaurants showed that the amount of oil floating in GT was
reduced by 63% after introducing OWSE compared to before introducing OWSE [30].
Therefore, the GT cleaning companies’ sales decreased due to a decrease in the number of GT
cleaners and the amount of floating oil. Thus, the OWSE manufacturer and GT cleaning
Based on the results of the OWSE's TLBMC and relationships and the information
about the actual site, a deeper economic effect of the introduction of the OWSE was evaluated.
Among the customers identified by EcoBMC, restaurants were evaluated using an economic
evaluation formula. The economic efficiency evaluation formula included the viewpoint of
reducing oil concentration in wastewater by OWSE, which was determined by EnvBMC and
SocBMC, as well as wastewater regulation measures and sewer usage charges. Since it is
expected that the number of local governments that will add sewage usage fees based on sewage
concentration will increase in the future, an economic evaluation formula for areas with sewage
facilities was studied using Kobe City as an example. The economic evaluation formula of this
study targets the wastewater costs for business establishments due to the introduction of oil-water
separators, the initial costs of oil-water separators, and maintenance costs, and does not include the
economic effects associated with achieving public health and the environment for residents. There
wasn't. In addition, testing institutes and universities are expected to receive benefits from testing
and development costs from OWSE manufacturers, however, such testing and research do not
always occur, and costs vary depending on the request, so this economic criteria was not included in
the evaluation formula. The stakeholders that affected the economic evaluation are shown in
Figure 6.
The GT was assumed to be an oil recovery facility before it flowed into the sewage
system. Therefore, the maintenance and cleaning frequency of the GT depended on the company.
These frequencies were measured under the same conditions before and after the introduction.
They were not added to the OWSE in the equation. The economic evaluation items for the areas
The costs to pay were collected as a sewage usage fee when a company used sewage,
Cp = Cs (Wwdc ), (1)
The city of Kobe adds overage charges according to wastewater concentrations, such
as BOD, SS, and n-hexane extract content, to the sewage fee for a businessperson to use over
500 m3 of wastewater/month. Because OWSE treats oil in wastewater, the wastewater quality
parameters that are effective in introducing OWSE are BOD and n-hexane extract content.
Consequently, to be paid by the business operator, sewerage was calculated using Equations (2)
and (3):
𝐶𝑝 = 𝐶𝑠 (𝑊𝑤𝑑𝑐 ) + [𝐶𝑤𝑤 {𝐷(𝑖)} × 𝑊𝑤𝑑𝑐 ], (2)
Considering the introduction and maintenance costs of the OWSE, annual benefits,
lifetime, and profit of the recovered oil as a valuable resource, the cost of introducing the
If C’p is smaller than Cp, there are economic benefits to the introduction of the OWSE.
Consequently, Equation (5) was suggested as the economic evaluation equation to show the
If the price minus the annual benefits of recovered oil from the introduction and
maintenance costs of the OWSE is less than the sewage cost of water quality items before and
after the introduction of the OWSE, the introduction of the OWSE would have economic
effects.
The economic effect of introducing OWSE was verified using Equation (5) for each
item when “Grease Eco (Daito-giken Co., Ltd., Japan)” was introduced to K Restaurant (Japan,
Miyagiken). At K Restaurant, the recovered oil was collected by an oil recovery company that
went directly to the restaurant and collected it, and K Restaurant did not have to pay for the
transportation costs of the recovered oil. In addition, the usage costs of recovered oil for fatty
acid feedstock or feed vary depending on the oil recovery company. Therefore, these items were
excluded from this economic evaluation formula. Table 7 shows the results of each item used in
the economic evaluation formula for K Restaurant. Table 8 shows Introducing and maintenance
cost of OWSE and annual benefit gained by recovered oil at K restaurant.
concentration range (88 to 490,000 mg/L), and wastewater volume (0.110 to 3.98 m3/day)
[38-42]. The amount of oil recovered by OWSE at the survey points was 2.5 to 4.5 L/day, the
purchase price of recovered oil was 0.067 USD/L, and the profit from recovered oil was in the
range of 61 to 110 USD/year. These values depend on the business type (restaurant, food
processing plant), production volume, and usage volume of the place where they are introduced,
and their values fluctuate according to the environment. As a result of the survey, the additional
sewerage charges based on water quality data at the survey points were between 2 USD/m3 and
3 USD/m3. BOD analyzes related to additional sewerage charges use analysis results when
40-70% of the original dissolved oxygen has been consumed, with an analysis error of 20% [46].
Therefore, analysis values may vary due to analysis errors, and additional sewerage charges
may vary. These are uncertainties in this study. Table 9 shows the results of verifying the
Substituting these items into the proposed evaluation Equation (5), the price (Cows –
Bo) is 826 USD/year, the price ((Cww{D(i)}–Cww{D’(i)})×WWdc) is 1,858 USD/year, and the
difference between them is 1,032 USD/year. Therefore, the annual cost of introducing and
maintaining the OWSE is less than the sewerage fee reduced by the introduction of the OWSE.
Moreover, if Grease Eco with OWSE introduction and maintenance annual costs (Cows) of 1,937
4. Conclusions
A TLBMC for OWSE manufacturers was developed to clarify the economic and social
1) There is a case in which the introduction of OWSE has cleared drain pipe
blockages and reduced drain cleaning costs by 20,000 USD/year [32]. In this way,
the value propositions provided by the OWSE were attractive to users and highly
environmental impact is that CO2 emissions from the manufacturing, use, and
operations. 81.5% of OWSE users were satisfied with the use of OWSE, which
showed the effect of reducing workload [37]. The introduction of OWSE has been
4) It has been shown that by implementing OWSE, the annual cost of treating
Author Contributions: Conceptualization, T.O. and R.N.; methodology, T.O. and R.N.;
validation, T.O. and R.I.; formal analysis, T.O. and R.N.; writing original draft preparation, T.O.;
writing review and editing, R.I., T.A., and R.N.; visualization, T.O. and R.N.; supervision, R.N.;
project administration, R.N. All authors have read and agreed to the published version of the
manuscript
Acknowledgments: This work was supported by the Japan Society for the Promotion of Science
Funding: This work was supported by the Japan Society for the Promotion of Science (JSPS)
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List of tables:
GT - Grease Trap
desalination brine
values Perceptions,
impact Environment
Evaluation item Social impact
impact, Social
impact
Table 3. Specific classification perspectives of the economic business model canvas
(EcoBMC)
Customer When OWSE was sold and used, were relationships constructed
Resources Management resources that target the condition of OWSE and the
Main method to gain profits and continuous profits gained from the
Revenue
sale of OWSE
Table 4. Specific classification perspectives of the environment business model canvas
(EnvBMC)
Functional shop). For perceiving the environmental impact of the inventory, we used the
value value per meal [21] already reported by the authors multiplied by the
Supplies and
Energy required to manufacture OWSE
outsourcing
Use phase Environmental impact occurs when the end user uses OWSE
Environmental
The impacts on the environment occur throughout the life cycle of OWSE
impacts
Environmental
Beneficial environmental impacts occur when the end users use OWSE
benefits
Table 5. Specific classification perspectives of the social business model canvas (SocBMC)
End users Final impact and effect that OWSE brought to end users
Social impacts Social impacts that occur through the introduction of OWSE
Social benefits Social benefits that occur through the introduction of OWSE
Table 6. Economic evaluation items in the areas with sewage
Cww (D(i)), Cww (D’(i)) [USD/m3] Sewage cost of water quality item; i
** The recovered oil is purchased directly from K Restaurant by an oil recovery company and is not
transported.
Table 7. Items used for economic evaluation by Grease Eco in the sewage area
* Unit price according to the water quality concentration in the city of Kobe (2 USD/m3 for Cww{D(i)} of
USD.
stakeholders
[Area with sewage: Before OWSE introduction]
☒ The authors declare that they have no known competing financial interests or personal
relationships that could have appeared to influence the work reported in this paper.
☐The authors declare the following financial interests/personal relationships which may
be considered as potential competing interests: