This file is intended for the participants reference at the Wise City Symposium only, please do not copy, quote, circulate, disclose, use or publish

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1 This file is intended for the participants reference at the Wise City Symposium only, please do not copy, quote, circulate, disclose, use or publish any logo, data, text, image or information in this file without written consent of SITA Waste Services Limited. Thank you.

2 79,220 Employees worldwide Presence in 5 Continents 70 Countries 14.6BN Revenue in M invested in research, innovation & technological development in New patents were filed in 2013 Mr. K. K. CHAN SITA Waste Services Limited A subsidy of SUEZ ENVIRONNEMENT

3 Waste & Resources Management Challenges & Moving Forward A Hong Kong Perspective

4 Agenda Introduction Best Practices Sharing: o Collection o Sorting o Recovery o Treatment Existing Challenges Moving Forward Summary: Case Discussion

5 Introduction

6 Scare Resources among Competing Ends

7 Wise City Smart Cities >>> technology Sustainable Cities >>> formula Global Cities >>> economic development Asia World Cities... Eco Cities Low Carbon Cities Green Cities Hybrid Cities We promote a Holistic Approach & an Attitude

8 Issues at stake

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10 Circular Economy & Waste Management

11 Best Practices

12 Waste Collection

13 Best Practice: Electric RCV The first 100% electric domestic waste collection truck running in Courbevoie, Paris since 2011 Safer for teams as a result of a new design and improved communication with other drivers Helps to reduce fuel costs

14 Automated Collection System (Spain) Composed of waste collection points (indoor and outdoor), a transportation network via a hermstically sealed 500mm diameter pipeline and a collection plant where the waste is separated and compacted. Especially suitable for hospitals, airports, markets, unique buildings or sports stadiums

15 Vacuum waste technology to create selfemptying litterbins. Ideal for public areas such as parks and entertainment venues, the system eliminates the problems associated with overfull bins and litter, also reducing the risk of pests and bad smells.

16 A chute compactor that allows increased storage capacity, smaller pipe dimension and lower energy consumption. With a tilted container a second compaction takes place at the terminal. Developed for mid-high density, multi-family dwellings, and handling multiple waste streams.

17 RFID On-vehicle technology (UK & Ireland) Achieving full operations management - route planning, weighbridge control, material sales, customer & asset management, recycling data: Real time lift verification Accurate weight data P&L per customer Improve call centre support Apply stoplist for unpaid customers

18 55M People benefiting from waste-collection services in 2013 Best Practice: Collection A COLLECTION TECHNOLOGY PROCESS which analyzes the current routes and optimizes by geolocalisation software and real-time management of incidents. Real-time information allows instant communicate with other trucks and avoid incidents. The process also includes an assessment of the most appropriate collection methods, such as door to door rounds or roadside collection points.

19 Waste Sorting

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21 Cutting-edge glass sorting technology in Antwerp The first plant in the world to separate the incoming flows into 4 different grades : white, green, amber & russet, through a bank of latest-generation optical sorters. Capacity : 250,000 tons of coloured raw glass per year. The machines can also purify and extract residual crystal, porcelain & ceramics, which are detrimental to reusing the glass as a raw material.

22 Optibag optical sorting waste management system (Sweden) Users are provided with different coloured waste bags, which correspond to each different waste stream. The bags are collected then sorted automatically on the conveyor belt using camera technology that recognises the colour of the bag in the plant.

23 Waste Recycling & Recovery

24 Best Practice: Community Recycling 2 TONS of waste sent for recovery for every ton of waste to landfill in 2016 Assistance To Improve Inhabitant s Waste Sorting programme to encourage adopting new sorting habits The recovery networks, which are sources of revenue or economy, help to optimize government waste budget & increase recycling rate Educating your citizens proper way of sorting, with financial incentive rewards Continued

25 2 TONS of waste sent for recovery for every ton of waste to landfill in 2016 Best Practice: Incentive Scheme Individuals pay as per the amount of waste they dispose of Better sorting means lower costs. Businesses have dedicated facilities for sorting a wider range of materials, with adapted tariffs The invoice can balance out in certain cases when scrap metals are traded

26 Best Practice: Energy Recovery 14M+ TONS of waste recovered in 2013 by SITA SUEZ ENVIRONNEMENT offers a new technology to dry concentrated effluents, which is cost-effective and adapted to clients needs. The biogas produced at industrial / commercial facility is recovered and used to dry concentrated effluents. This process evaporates concentrated effluents, without any liquid discharge into the environment.

27 Waste Treatment

28 Best Practice: Waste-to-Energy > 2M TONS of CO 2 saved over the lifetime of the contract Beginning in 2016, 96% of waste from West London will not go to landfill. Whatever can be recycled will be processed at an energy recovery plant built and operated by SITA UK, the Severnside Energy Recovery Centre (SERC) at a rate of 300,000 tons per year Producing the equivalent of the electricity consumption of 50,000 homes and hot water supply to local businesses. The sale of electricity and the fees received for waste treatment from third parties will bring the total revenue to 1.7 billion over 25 years.

29 Best Practice: GHG Emission Evaluation Tool for Waste Management Enable sales teams to calculate emissions generated & prevented by proposed tenders or existing services Covers services from collection to treatment & recycling including transfer, sorting & pre-treatment Take into account the features of the flows & the facilities involved

30 Challenges

31 Do We Recognize the Challenges?

32 A Hong Kong Perspective: Do We Recognize the Challenges? Different set of challenges vs. other cities Limited land, densely populated, high rises Waste generation is among the highest relative to other cities Short of critical treatment facilities: centralized sorting centers waste-to-energy plants High cost of operation in the value chain / logistics: labor, rental, fuel Continued

33 A Hong Kong Perspective: Do We Recognize the Challenges? Deficient industrial market: Inadequate demand for secondary raw materials, weak downstream demand, recyclables are for export Lack of incentive: no charging scheme scarce space for sorting at source Life style & habits: efficient, convenient vs. balanced, eco-friendly Well-structured but lengthy system in public works It is NOT about Technology but

34 A Hong Kong Perspective Value Chain & Issues Waste generation: consumption lifestyle Collection: sorting is NOT promoted cross contaminated Messing up after sorting half-professional (efficient in terms of cost & speed vs. below specifications & track records) Sorting: small scale, below standard operation Recycling: no added value, lack of local outlet / demand, export oriented Recovery: very unique power business environment that hinders energy recovery Treatment: pilot projects rely on various types of government funding Disposal: landfill without a real levy Mainland: closely related

35 Moving Forward

36 Need a Breakthrough & be Creative Multi-dimensional: go beyond the 3Rs Centralized vs Satellite Public vs Private vs Social: go beyond PPP model Catching up on building the critical necessary facilities Public policies & schemes: speed up MSW charging scheme, PRS (case discussion) Cross border, cross departments, cross sectors, cross contracts: to adopt new ideas in collaboration, joint projects New set of measurement of success: Economic development / profit oriented vs Green GDP, green employment, social value Social engagement, political buy-in Education: change of mentality, change of lifestyle, priority

37 We have a Choice Change of our lifestyle Plan ahead Set Green Targets, Trace & Track, Measure Cross dimensions collaboration: departments, borders, sectors Policies + Market drivers

38 Case Discussion

39 Case Discussion A: A New Town Development Assume Population Size: 400,000 Waste Volume: tpd A Holistic Approach / Circular Economy Planning: Collection: Underground, fully enclosed pipeline; Electric RCT equipped by RFID Sorting plant next to WWTP: Pyrolysis: Waste to Fuel; RDF Satellite OWTF: AD; Energy & Material recovery Regional waste & recovery target vs Waste Charging Incentive Green labels across: government buildings, schools, housing, hospitals Green Employment: Public Private Social Partnership Building Materials: A minimum second raw materials %

40 Case Discussion B Policy driven waste & resources management Green Procurement: tender specifications & marking scheme call for eco products, secondary materials; eco services Green GDP: define, benchmark, measure, incentive Green Jobs / Employment MSW Charging Scheme Producer Responsibility Schemes Innovative PPP, PPSP, PSP models etc. Green technology financing scheme Green Certificates, Audits & Labels

41 For each percentage point reduction in natural resource consumption resulting from greater efficiency, EUR23 billion worth of business and between 100,000 and 200,000 jobs would be generated in Europe. European Commission

42 Green Employment Materials Job gain 1,000 tons recycled Plastics 15.6 Paper 3.5 Glass (mixed) 0.75 Glass (separated) 0.75 Green waste 1.3 WEEE 40 Furniture 13.6 Aluminum 11 Steel 5.4

43 Waste vs Environment

44 Let s Create a Wise City by Wisdom

45 Credits HKSAR Government HK In Brief 2014 Friends of the Earth: More jobs, less waste, potential for job creation through higher rates of recycling in the UK and EU Sep 2010 IfaS, Professor Dr. Peter Heck: Circular Economy related international practices & policy trends Suez Environnement: Innovation for environmental performance SITA UK: Driving Green Growth the role of waste management industry & the circular economy 3R International Kyoto Workshop on 3R and Waste Management, 2009 International comparative study of 3R and waste management China Council for International Cooperation on Environmental and Development Secretariat: Report on circular economy

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