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Small-scale decentralized and sustainable municipal solid waste management potential for Bangalore anchored around total recycle and biomethanation plants
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H.N. Chanakya1,*             Shwetmala1             T.V. Ramachandra1,2

Ultimate Sustainability – RMV-II with Anaerobic Digestion

The decentralized processing and recycling system based on compost and 100% recovery shows a small promise of profitability in an enterprise mode assuming this is carried out on a soft lease basis (no land costs).  It is obvious that it is economic only at 100% recovery and this may be difficult to achieve.  There is clearly a need for another source of revenue generation to make the enterprise profitable.  Thus instead of aerobic composting the organic fraction (leading to only one saleable product – compost), it is proposed to convert it to biogas and compost (two saleable products) by installing a biomethanation plant of the CST design – similar to the one successfully operated for over 5 years in Siraguppa (Rahman et al, 2009).  In this scenario, the extent of recyclables recovered and earnings accrued does not change from the previous scenario, the income from collection fees also remains the same.  The various costs and returns on investment are worked out for a decentralized waste management with a biomethanation plant as the as given in Table 6.   In this scenario, it is clear that under ideal situation of 100% recovery of recyclables, collection costs and biogas and compost revenues, the pay back period is only 2 years.  Even under an 80% recovery situation, the viability is good.

The costs are calculated at a labour cost of Rs100/head per day (Bangalore rates) and a compost sale at Rs3000/t.  In small towns these are different.  The labour costs are lower (Rs 60), the collection fee could only be about Rs20/HH, the compost revenues are lower at Rs 2000/t and biogas value would be 20% lower.  Similarly recyclables will also fetch a lower value.  Thus when all the incomes from this system is lowered by 20% and compost value chosen at Rs2000/t and daily wage at Rs60/d, the biomethanation option is still viable (Table 7).  This suggests that in a practical scenario biomethanation plant option is more economic and less sensitive to risks in comparison to aerobic compost plant.  Along with economic sustainability, biomethanation options have many other livelihood options (Chanakya et al, 2009; not discussed here).  Composting process also requires continuous use of water of around 200-300 litres per ton of waste (Patel, 2003), which limited its use in dry area or in water scarce city like Bangalore.  Daily collection of fermentables and its rapid feeding into the biomethanation plant overcomes and avoids the smell and insects, rat and dog problems.  Biogas plant and composting bed give same quantity of compost, while compost beds take two to three months whereas in biomethanation plant it takes shorter period of 30d to decompose.  The footprint would then be smaller.  The enterprise could also claim C-credits (CERs) which become yet another source of revenues.  Finally, it may be seen that the operation costs are high due to high involvement of labour.  A major part of the labour is involved in segregation.  As residents become aware and stakeholders the segregation needs would be low and labour deployment could be reduced by about 40% making the system even more profitable.  In Bangalore, where demand of anaerobic compost is high, biomethanation would be a viable process with a pay back period as short as 2 years under ideal conditions and as much as 5 years under less ideal conditions.   The advantage of biomethanation is even more pronounced in small towns where revenue streams from compost and recycling will be thinner.  We thus show that biomethanation based decentralized system is ideal for Indian conditions for making decentralized MSW processing and treatment economically viable and sustainable in the long run.


Table 5: Decentralized Waste Management with compost plant
Decentralized Waste Management with compost
Categories Rs/year Optimum Scenario
Capital Investment 206500.00  
Cap costs Rs/yr@10.00% 20650.00  
Depreciation 38225.00  
Maintenance 30975.00  
Operation cost (Rs/yr) 493946.00  
Total expenditure per year 583796.00 583796.00
Income from collection fee@Rs.30/HH 115200.00 92160.00
Income from recyclables 239319.11 191455.29
Compost sale 229950.00 183960.00
Total net income per year 584469.11 467575.29
Surplus of income over expenditure 673.11 -116220.71
Capital Recovery Period 306.8  


Table 6: Decentralized Waste Management with biogas plant
Decentralized optimum Waste Management with biogas plant
Categories Rs/year Optimum Scenario
Capital Investment 586500.00  
Cap costs Rs/yr@10.00% 58650.00  
Depreciation 35425.00  
Maintenance 39975.00  
Operation cost 493946.00  
Total expenditure per year 627996.00 627996.00
Income from collection fee@Rs.30/HH 115200.00 92160.00
Income from recyclables 239319.11 191455.29
Income from biogas 325215 260172.00
Compost sale 229950.00 183960.00
Total net income per year 909684.11 727747.29
Surplus of income over expenditure 281688.11 99751.29
Capital Recovery Period 2.1 5.9


Table 7: Composting and Biomethanation option for a small town scenario
A. Decentralized Waste Management with compost
Categories Rs/year Optimum Scenario
Capital Investment 206500.00  
Cap costs Rs/yr@10.00% 20650.00  
Depreciation 38225.00  
Maintenance 30975.00  
Operation cost (Rs/yr) 321146.00  
Total expenditure per year 410996.00 410996.00
Income from collection fee@Rs.20/HH 76800.00 61440.00
Income from recyclables 167523.38 134018.70
Compost sale 153300.00 122640.00
Total net income per year 397623.38 318098.70
     
Surplus of income over expenditure -13372.62 -92897.30
Capital Recovery Period -15.4  
     
     
Assumptions of costs for a small town  
Value of compost Rs/t 2000  
Value of Biogas (Rs/m3) 12  
Cost of Labour (Rs/person/d) 60  
Collection Fee (Rs/HH/month) 20  
Value of recyclables (less by 30%) 167523.38  
     
B. Decentralized optimum Waste Management with biogas plant
Categories Rs/year Optimum Scenario
Capital Investment 586500.00  
Cap costs Rs/yr@10.00% 58650.00  
Depreciation 35425.00  
Maintenance 39975.00  
Operation cost 321146.00  
Total expenditure per year 455196.00 455196.00
Income from collection fee@Rs.20/HH 76800.00 61440.00
Income from recyclables 167523.38 134018.70
Income from biogas 260172 208137.60
Compost sale 153300.00 122640.00
Total Gross income per year 657795.38 526236.30
Total net income per year 202599.38 71040.30
Capital Recovery Period 2.9 8.3
*Corresponding Author :
Dr. H N Chanakya,
Centre for Sustainable Technologies, Indian Institute of Science,
Bangalore, India.
(chanakya@astra.iisc.ernet.in)
Ph: +91-080-22933046
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