Market For Generating Value Of Waste Is Worth $1.5 Billion: Study

The market for generating value of municipal solid waste (MSW) is expected to be worth $1.5 billion (about Rs 10,000 crore) in the next 12-14 months, a comprehensive Assocham-cKinetics study pointed out.

"Assuming the base capital expenditure of $8750 /TPD for compositing plants and average capital expenditure of $1.4 million /TPD for setting up waste to energy plants, market for generating value of waste is expected to be worth $1.5 billion by 2017," the study said.

It said a large portion of this market for generating value of MSW remains untapped owing to several operational, policy and technological barriers.

Quoting the data of the erstwhile Planning Commission, the study said urban population in the country is expected to increase to 404 million in 2017 (from the level of 365 million in 2012).

"It is imperative to move towards constructive waste management which involves public-private partnerships focused on eventual waste minimisation, driven at the community level, using low energy and low technology resources," Assocham President Sunil Kanoria said.

There is a four- level value chain for potential business opportunities across the MSW management. First, the value lies at the level of service contract for waste collection at source (Both residential and commercial customers) and collection of recyclable materials for sale in local market.

Secondly, the value lies at the level of setting up and maintenance of transfer stations for transfer of waste from collection centres to processing centres for energy and material recovery. Then, there is also a value proposition for waste processing (waste to energy plants, RDF generation, composting systems and recycling plants). Finally, the opportunity for value creation is also available at the level of design and construction of sanitary landfills.

The study found that almost 80 per cent of the total urban municipal waste generated is collected. But, only about 23 per cent of the total MSW is treated.

So, the further flip side is that majority of the waste ends up being untreated and dumped in unsanitary landfills or local dumpsites, the study said.

During the last decade, India’s urban population grew by 31.8 per cent to 377 million, which is larger than the entire population of the US, thereby underlining a tremendous need for waste management services, the study noted.

Additionally, rapid economic growth, urbanization and industrialization have generated significant waste, adversely impacting environment.