These Green Startups Show the Way to Oil-Free Circular Chemistry

The chemical industry is facing a massive transition. By 2050, companies are not allowed to emit CO2 and must be fully circular. This means they need to stop using oil and gas, necessitating the electrification of processes and the introduction of alternative raw materials for oil. Green start-ups are required for this purpose—entrepreneurs with the courage to innovate, the so-called game changers. They act as the catalyst for change.

Valley of Death

Five of these start-ups received support and guidance over the past months from the Green Chemistry Accelerator (GCA), an acceleration program from the Green Chemistry New Economy (GCNE) platform, Invest-NL, and Regional Development Agencies (ROMs). Experts and coaches assisted them with a tailored plan to shape their business, enhance their business plans, set goals, seek customers, and attract financing and investors so they can build pilot plants or enter the market. The focus is on acceleration. Otherwise, they risk getting stranded in the Valley of Death—those messy no man's lands between the start-up and scale-up phases, between testing and applying techniques, between the drawing board and customers, between first subsidies and necessary new investments. Many start-ups die prematurely in this phase, which is something the initiators of GCA aim to prevent.

Future of Chemistry

Five start-ups were selected for the program: Torwash, ETB Global, Paques Biomaterials, Relement, and Susphos. All are promising game changers in the greening of the chemical sector. “You are the companies that will define the future of the chemical industry. Not only in the Netherlands but across Europe. You represent the new economy needed for this transition. We are here to help you make this possible,” said Arnold Stokking, chairman of the Green Chemistry New Economy platform (GCNE), to the start-ups during the conclusion of the acceleration program at Change Inc. in Amsterdam.

Susphos Seeks Construction Locations

Susphos uses patented technology to extract phosphate from burnt sewage sludge (sludge ash) from wastewater, producing fertilizers and flame retardants. The latter represents the highest quality recycling. Flame retardants are found everywhere, from furniture to curtains, electronics to insulation materials. The company, founded and led by CEO Marissa de Boer, already operates a pilot plant in Friesland and employs fifteen people. It is currently scouting locations for its first large-scale plant to extract 50 million kilos of phosphate per year from sludge ash: Susphos 1. The start-up is seeking funding for this. Ideally, Susphos wants to build close to suppliers of sludge ash—sludge incinerators in Dordrecht and Moerdijk—and customers who will purchase the phosphate. This is proving challenging. “But we have found three locations in the Netherlands that meet our criteria. Now we are finalizing the details and assessing which location is the best fit,” says De Boer.

ETB Global is Alice in Wonderland

ETB Global produces bio-butadiene, a vital raw material for plastics and rubber in products such as Lego, tires, latex gloves, medical devices, computers, construction helmets, perfumes, and paints. However, it is not derived from oil but from bio-ethanol, which comes from plant waste. The start-up relocated from Moscow to Chemelot in 2020 and faced significant challenges until entrepreneur Ernest Lempers became a shareholder and CFO. By 2026, it aims to have its first demonstration plant operational in Geleen, for which nearly European funding has been secured. Lempers likens the start-up's journey to the story of Alice in Wonderland, where daring investors who only ask more questions function like the Mad Hatter, the advisor who is actually of no help. Oil companies seeking no green solutions and only looking to sell oil are represented by the malevolent Red Queen.

According to Lempers, ETB Global, like the other start-ups in the program, learned not to focus on the end goal immediately but rather on the next necessary steps. “We are starting to understand venture investors a bit better now,” he states. CEO Noah Trembovolsky adds, “We can now explain to our partners across the chain why they need to invest now and not wait three years. We are currently in discussions with five investors. Over the coming months, we aim for a definite yes or no from them.”

Relement Outsources Production to Solvay

The TNO spin-off Relement not only makes paint more sustainable but also improves its quality. The start-up creates a biobased alternative to the ingredient that enhances the scratch resistance of paint: an aromatic compound, in this case, bio-MPA. This is produced from agricultural residues such as corn cobs, grain husks, or sugar beets, as well as cellulose fibers from the paper and textile industries. “Our mission is to change the world, starting with fossil-free paint,” asserts CEO Roger Blokland. Relement does not invest in pilot plants or production but has outsourced these tasks to the chemical and paint company Solvay. Production commenced on February 20, and the first paint pots are expected to be delivered by the end of the year. “All tests so far have been very successful,” claims CTO Stefano Iannacone. The start-up is now on the hunt for customers. With assistance from the accelerator program, it also seeks clients outside the paint industry, as the bio-aromatics can be effectively used in adhesives or polyurethane foam. In this sector, it has already found two new customers. “We receive new insights every week. We've just received excellent results for adhesives,” says CCO Monique Wekking.

Torwash Quenches Heat Hunger with Waste

The start-up Torwash—another TNO spin-off—can create biofuels from the dirtiest and wettest waste, whether it be sewage sludge, agricultural remnants, or vegetable waste. Using a high-pressure reactor, Torwash converts this waste into combustible pellets or cakes. Since sludge incineration costs Dutch water authorities €150 million per year, the start-up aims to focus on this market first, where the most profit can be achieved. In terms of CO2 reduction and recycling, Torwash is collaborating with TNO and various water boards to build a demo plant at the wastewater treatment facility of Waterschap Aa en Maas in Land van Cuijk. This facility is expected to process 500 kilos of sludge per hour into fuel by the end of this year.

Eneco will be the first customer to burn the pellets in its biomass plant in Groningen. “By 2030, the world will need 500 petajoules of heat annually. This requires 33 million tons of our material. Currently, we only produce 1 percent of that. So the market is vast, but the question is: how do we get there? We need to scale up for that,” says CEO Levien de Legé. Ultimately, Torwash aims to license its technology. “Through this program, we learned how to generate revenue from different sources. We now have a clear picture of that,” explains project leader Pavlina Nanou from Torwash.

Paques Biomaterials Builds Factories

Paques Biomaterials produces nature-degradable bioplastic from wastewater: Caleyda. It offers the same advantages as conventional plastic without the disadvantages. It is not derived from oil and does not degrade into microplastics that pollute nature and oceans. The start-up allows bacteria to convert organic material in wastewater into fatty acids, which can then be turned into PHA, a natural building block for plastic. “We are essentially harnessing the power of nature. We let the bacteria do the work,” states CEO Joost Paques. The start-up opened its first demo plant for extracting PHA from bacteria in Dordrecht last year and plans to open a factory in Emmen next year that will produce Caleyda. A buyer for this plant is already identified and will decide on the investment later this year. Additionally, the start-up needs more buyers. While the contract for their first customer is ready, they are still seeking more clients for security. “Having just one customer is far too risky, so we are looking for additional customers on both supply and demand sides,” says Paques. During the accelerator program, his company managed to achieve 70 percent of all set goals.

Award for the Greatest Journey

During graduation day, all start-ups received a certificate, and the audience of entrepreneurs, investors, coaches, and other experts selected the start-up that had made the greatest journey during the accelerator program. The award went to Relement and Paques Biomaterials.

Over the hundred days, the five start-ups got to know each other better and realized that they all face the same challenges. Therefore, they are determined to form a network and continue collaborating. “Together, we form a circular strategic circle. Let's stay in touch,” suggests De Legé from Torwash.

This article was previously published by Change Inc as part of a campaign with Green Chemistry, New Economy, with André Oerlemans as the editor. Read the entire series on our site or at Change Inc.