Strategy for Development of Integrated Municipal Waste Management Project

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1 Presentation on Strategy for Development of Integrated Municipal Waste Management Project

2 Municipal Solid Waste Management

3 Present status of MSW Mgmt. Indian population exceeded the level of 100 Crore in 2001 and is growing at over 20 % per decade Urban India generates about 1.5 lakh MT/day of MSW (30 crore 0.5 kg/day) Requires more than 1500 Acres of land/year for land fill (1.0 density of compacted garbage and 5m fill) Commonly adopted option: Crude dumping of MSW The problem requires immediate attention & concerted action

4 Elements of MSW Management MSW Management consists of following activities: Primary Collection of waste Storage & Transportation Processing Disposal IL&FS CII assist developing projects covering all aspects of MSW Mgt. in PPP mode by suitably structuring them

5 MSW Processing & Disposal

6

7 COMPOSITION OF MUNICIPAL SOLID WASTE IN TYPICAL INDIAN CITY - INDIA Total Organic Fraction 40 % Combustible fraction - 37 % Inert - 15 % Recyclables - 8 % Source: CPHEEO Manual on MSW Plastics/Rubber 4% Inert 15% Metals 3% Glass & Ceramics 5% Textiles 6% Paper 27% Food & Garden Waste 40%

8 MSW Processing & Disposal The heterogeneous nature of waste requires a combination of technologies to : - process maximum quantity of waste and - leaving out minimum quantity for landfilling.

9 Factors Considered for Integrated Waste Processing Concept Technology options to have Proven success for Indian garbage Sustainability and Replicability Environmental safety Project Development

10 Integrated Technology-Mix Option Mixed Waste (Residential) RDF Plant Power Plant Electricity Green Waste (Hotels, Restaurants, etc.) Sewage Aerobic Composting Anaerobic Digestion Sewage Treatment Plant Sludge Methane Treated effluent Organic manure Treated effluent Inerts C&D Waste Inert Management Facility Fly ash Bricks

11 Benefit of Integration Technical Aspects Mixed waste processed efficiently Sewage Sludge and green waste together to produce methane Methane to act as a supplementary fuel Financial Viability: Cost Optimization Environmentally Desirable: Utilizes waste water Substantially reduces need for landfill

12 Project Development Approach and its Benefits

13 Project Development Activities Development of a bankable Project by carrying out Feasibility Studies Concession Agreement for land, and waste Techno-Economic Feasibility Report / DPR Formation of Special Purpose Vehicle (SPV) Soil / water investigations Statutory / Non-statutory Clearances : PCB, AAI Marketing tie ups Power Purchase Agreement Assessing funds availability JNNURM/UIDSSMT

14 Project Development Activities 2 Bid Process Management: Competitive Bidding Selection of Private Developer for taking over the SPV and implement the Project Project execution assistance and supervision including Debt funding arrangements

15 Delhi MSW Project Benefit of PD Approach IL&FS on behalf of Govt. of Delhi, MCD & NDMC has develop the project at Timarpur & Okhla site to process 2050 TPD of MSW and generate 16 MW of Electricity Project Bid out & Selected Private Developer (Jindal Urban Infrastructure Ltd.) at no cost to MCD/NDMC through tariff based bidding process. The lowest tariff for sale of electricity that was evolved through the bidding process was Rs.2.49/unit and levelised tariff rate as Rs. 2.83/unit for the concession period of 25 years.

16 Delhi MSW Project Benefit of PD Approach Reasons for competitive tariff in Delhi Project De-risking of Project through PD Approach (all clearances and tie-ups made) making it attractive to potential bidders improving competition Availability of CDM benefits (Project was registered for CDM before selection process) Availability of grants from Min of New & Renewable Energy ( max Rs. 10 Cr) Option for captive use allowed by Delhi Electricity Regulatory Commission

17 Project Time Frame Project Development : 3 months (from the date of approval of Concession Agreement) Selection of Developer : 3 months Execution of Project Process Plant : 6 months Power plant : + 12 months TOTAL PERIOD : 24 months

18 Mandates of IL&FS IDC Delhi 3 Projects Municipal Corporation of Delhi (Timarpur) New Delhi Municipal Council (Okhla) Municipal Corporation of Delhi (Ghazipur) (On-Going) (Completed) Rajasthan 3 Projects (Completed) Ajmer, Bikaner, & Udaipur Uttar Pradesh 1 Project Kanpur - (On-Going) Maharashtra 1 Project (Pune) - (On-Going) Tamilnadu 2 Projects Coimbatore & Madurai (Completed) Assam-1 Project (Guwahati) (LoA being issued) Bihar -1 Project (Patna) - (On-Going)

19 Project Benefits Complies with MSW Rules 2000 Most suitable approach Sustainable & addresses complete solution for MSW Mgt. Reduces land requirement for landfill & associated widespread air, water & land contamination No financial obligation to MB except of providing land on nominal lease Improvement of socio-economic conditions Generation of Green Electricity

20 THANK YOU

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