Waste to Energy Development in Emerging Countries Presentation of results from case studies based on international projects experiences

Bob Boudewijn MSc 8 September 2015

Waste to Energy Development in Emerging Countries | 8 September 2015

Presentation content

! Solid Waste Management in emerging economies ! Problem description ! Waste to Energy as a feasible solution

! Case study Royal HaskoningDHV WtE in emerging economies ! Technically and financially feasible concepts ! Gate fee affecting factors ! Recommendations

! Business outlook and conclusions

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Waste to Energy Development in Emerging Countries | 8 September 2015

Solid Waste Management in Emerging Economies

3

!  South and Central America !  South and North Africa !  Asia

Waste to Energy Development in Emerging Countries | 8 September 2015

Solid Waste Management in Emerging Economies

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TreatmentFailure composting plants

Increase anaerobic digestion

LandfillSome controlled landfillsFinancially attractiveOpen dumping commonLimited remaining capacity

WtEStrategic option missing business case and expertiseHigh CAPEX & OPEX Air pollution control not advanced or by-passedSubsidized by finance institutes Promoted by equipment suppliers

Other socio-economicPower/water shortageLegal and institutional inconsistencies Low public awareness

CollectionCoverage up to 50-80%

50-80% of MSWM budgetInvolvement of informal sector

Relatively regulated markets

High price fluctuations

SWM$in$emerging$economies

Waste generationHigh organic content

Limited separation at source

Waste to Energy Development in Emerging Countries | 8 September 2015

Solid Waste Management in Emerging Economies

CHALLENGE

Move away from landfilling to alternative waste treatment technology which is better for health, environment and economic development

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Waste to Energy Development in Emerging Countries | 8 September 2015

Benefits and challenges of WtE

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WtE Economic

CON Information

SocialNIMBY effect

Expertise and know-how

High CAPEXNeed for continuous income, OPEXMinimum calorific value of wasteCheaper alternatives (e.g. landfill)

Economic

Environmental

Social

Better living environment for locals

Reduce waste to landfill

Reduce cost for waste transportation

Generate power/heat/desal. water

Use residues

Stimulate economic development

PRO

Waste to Energy Development in Emerging Countries | 8 September 2015

Study setup

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ObjectiveInvestigate technical and

financial feasibility of WtEin emerging countries

Gate fee affecting parameters

System changes for affordable WtE

Metropolis scenario

TechnologiesProven & State of the art

Thermal treatmentEnergy recovery

Large cityNo space near centerPlentiful waste

Island scenarioScarce spaceNo export possibleHigh content recyclables

Studystartingpoints

Waste to Energy Development in Emerging Countries | 8 September 2015

Further criteria

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Avg LHV

Operation hrs/year

Target max. gate fee

Environmental conditions

MSW/year €30/ton

6.9 MJ/kg (metropolis), 13,4 MJ/kg (island)

7,500-8,500

500 kton (metropolis), 100 kton (Island)

Compliant to EU provisionsDemands of finan. institutions

Further'criteria

Waste to Energy Development in Emerging Countries | 8 September 2015

Parameters that affect the Gate Fee

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LocalAcces to power grid

Availability cooling waterIndustries

Market

WasteVolume

Heat valueComposition

Energy pricesCold/heatDesalinated waterResidues

FinancialCAPEXOPEXSubsidiesCost of alternatives

Gate%feeparameters

Waste to Energy Development in Emerging Countries | 8 September 2015

Waste treatment and recovery variants

Variant Conversion Recovery Product Gate fee (€/ton)

Base Case Most appropriate

Production Power and Cold Not feasible

Production Heat - Hardly applicable

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Large metropolis

C

C

C

T

T

E

C E

50

44 H

Waste to Energy Development in Emerging Countries | 8 September 2015

Waste treatment and recovery variants

Variant Conversion Recovery Product Gate fee (€/ton) Base Case

Production Power Steam Engine

Production Power and Cold

- Not feasible

Production Potable Water

-

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Island (combustion)

C

C

C

T E

E

87

36 C

T

S

C E

P

112

Waste to Energy Development in Emerging Countries | 8 September 2015

Waste treatment and recovery variants

Variant Conversion Recovery Product Gate fee (€/ton) Base Case

Production Power Gas engine

Production Syngas

- - Hardly applicable

Production Potable Water

-

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Island (gasification)

T E

E

75

39 P

47

G

G

G

G

G

G

16

Waste to Energy Development in Emerging Countries | 8 September 2015

Waste treatment and recovery variants

Variant Conversion Recovery Product Gate fee (€/ton) Base Case

Production Potable Water

- To sensitive

Base Case

-

Production Power Gas Engine

Most appropriate

13

Best variants Island

C T E 87

36 C P

T E

E

75

47

G

G G

Waste to Energy Development in Emerging Countries | 8 September 2015 14

Factors to make WtE financial affordable

Simplification of the flue gas treatment

Execution of biological pre-treatment/drying

process by nature

Reduction of capital cost

Changing (improve-ments in) waste policy

Scarcity of electricity and water

Application of subsidies

High efficiencyTaxes on landfilling

Affordable*WtE

Waste to Energy Development in Emerging Countries | 8 September 2015

Conclusions

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WtE is becoming increasingly an attractive investment especially in Latin America, Asia, South Africa

Environmental and socio-economic benefits on multiple levels

Selection of the feasible technical concept requires tailor made approach

Clean solutionHigh level workBetter health and safety

Better livingMore wasteNeed for power and clean water

Business case approachPractical (local) experienceIndependent advise