Nanotechnology and the Built Environment
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December 13, 2012 Commissioned by Second Edition NANOTECHNOLOGY AND THE BUILT ENVIRONMENT: INVESTING IN GREEN INFRASTRUCTURE Green building is a growing priority amid global efforts to reduce energy consumption and use resources more efficiently. Innovative nanotechnology companies, such as those highlighted in this report, are likely to prove essential for growth in the built environment as their technologies enable more sustainable development in each of the following sectors: 3D Printing, Cementitious Materials, Insulation, Lighting/LEDs, Photovoltaics, Smart Grid Technologies, Steel, Water Treatment, and Windows. See inside for applicable disclosures. NANOTECHNOLOGY AND THE BUILT ENVIRONMENT: INVESTING IN GREEN INFRASTRUCTURE Table of Contents Introduction ................................................................................................................................................................................. 3 How Nanotechnology Enables Green Building ............................................................................................................................ 4 Large‐scale Green Building Profile: NYC’s World Trade Center Complex ............................................................................. 7 Building with “Smarter” Technologies Can Drive Energy Savings ........................................................................................ 8 Market Opportunities for Green Building ............................................................................................................................ 9 2012 Venture Capital Funding Targeted to Nanotechnology Companies ................................................................................. 11 Companies and Sectors to Watch .............................................................................................................................................. 16 3D Printing (Additive Manufacturing) ................................................................................................................................ 24 Cementitious Materials ...................................................................................................................................................... 29 Insulation ............................................................................................................................................................................ 35 Lighting/LEDs ...................................................................................................................................................................... 41 Photovoltaics ...................................................................................................................................................................... 47 Smart Grid Technologies..................................................................................................................................................... 52 Steel .................................................................................................................................................................................... 57 Water Treatment ................................................................................................................................................................ 62 Windows ............................................................................................................................................................................. 69 Glossary ..................................................................................................................................................................................... 73 Company Index .......................................................................................................................................................................... 76 Risks and Disclosures ................................................................................................................................................................. 77 Page 2 Crystal Research Associates, LLC and Livingston Securities LLC Introduction Construction projects today are increasingly required to meet stringent building codes and energy regulations, which is helping to fuel an industry transition to the use of next‐ generation nanomaterials† that offer enhanced performance, often with fewer negative environmental impacts. Further, consumers and governments alike are demanding more energy‐efficient and ecofriendly infrastructure, which is also driving adoption of sustainable This report examines a building materials. This report examines the future for U.S. infrastructure, specifically as it future for U.S. relates to the widespread green building movement, which has been characterized by the infrastructure as it use of energy‐efficient, recyclable, and sustainable building materials—initiatives greatly relates to advancements enabled through advancements in nanoscience. in green building being As of 2012, the global market for nanotechnology was estimated at over $20 billion, driven by nanoscience composed of nanomaterials, tools, and devices used in a number of industries worldwide investment. (Source: BCC Research’s Nanotechnology: A Realistic Market Assessment, September 2012). Driven by a rapid expansion of nanotechnologies in the energy storage/generation and construction sectors through 2016, the market for nanotechnology‐derived products and processes could exceed $48.9 billion as early as 2017 (Sources: Nanotechnology: A Realistic Market Assessment; and Freedonia Group Inc.’s World Nanomaterials, May 2012). Investments in nanotechnology across industries such as construction, electronics, chemicals, healthcare, and more have enabled its transition from a laboratory application into a proven science, which have created more efficient, better‐performing commercial products. Within the built environment, industry is increasingly turning to innovative nanomaterials to upgrade, expand, and rebuild crumbling infrastructure. Such innovations are particularly important, for example, as the northeastern U.S. rebuilds following the devastating effects of Super Storm Sandy in late October 2012, which caused up to an estimated $50 billion in property damage, lost business, and other costs in the region (Source: Forbes, November 5, 2012). While the resources needed for rebuilding affected areas are considerable and reconstruction may take years, there is an underlying opportunity to replace ruined infrastructure with higher‐quality, nano‐enabled structures that offer improved durability in the face of massive storms. To this end, in a November 2012 interview with CNN regarding Super Storm Sandy, New York Governor Andrew Cuomo stated that he was hopeful that not only would the city and metropolitan area be rebuilt, but that the U.S. would “use this as an opportunity to build it back smarter” (Source: CNN’s “Hurricane Sandy Strikes U.S. East Coast; Is Global Warming Bringing Stronger Storms?,” November 2, 2012). A number of organizations, such as Architecture for Humanity and Global Green USA, have presented plans for rebuilding that emphasize “smarter” designs, including replacing outdated building systems with smart grid technologies and employing green building principles that can often double as disaster preparedness measures. The ability to generate clean energy with solar panels, process waste and water, and maintain thermal insulation without relying on power for heating and cooling could have benefited people during Sandy and reduced disruption in the aftermath. As well, smart grid technology may have allowed power companies to detect and isolate problems faster, potentially reducing fires and other hazards, decreasing outages, and increasing response times. This report, Nanotechnology and the Built Environment: Investing in Green Infrastructure, is the second edition of Crystal Research Associates’ and Livingston Securities’ Nanotechnology and the Built Environment series. The first report, Nanotechnology and the Built Environment: The Transition to Green Infrastructure, was published on November 17, 2011, and is available at www.crystalra.com. †Bold words are defined in the Glossary on pages 73‐75. Page 3 NANOTECHNOLOGY AND THE BUILT ENVIRONMENT: INVESTING IN GREEN INFRASTRUCTURE How Nanotechnology Enables Green Building The term “nanotechnology” is often used as an all‐encompassing term for science, engineering, and technology conducted at the nanoscale level—which involves the understanding and control of matter at dimensions between approximately 1 and 100 The greatest nanometers (nm). For reference, a single nanometer is one millionth of a millimeter. It environmental impact would take roughly 50,000 nanometers to span the diameter of an average human hair. of nanotechnology on infrastructure in the As extraordinary advances take place in the field of nanoscience today, researchers are able near term will likely to individually manipulate minute pieces of material smaller than atoms, yielding the ability to study the world at an ever smaller and smaller scale. The outcomes of this research have occur in the areas of been revolutionary. energy savings and resource conservation. Creating Next‐generation Products At the nanometer scale, physics gives way to quantum mechanics, through which scientists can substantially change the physical, chemical, and biological properties of matter in ways not previously possible at the atomic or