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India MSW to Energy- Status,Opportunities and Bottlnecks
Oct 25, 2014
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www.eai.in
India MSW to Energy
A White Paper by EAI
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India MSW to Energy
A White Paper by EAI
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India MSW to Energy
A White Paper by EAI
Preface
With growing public awareness about sanitation, and with increasing pressure on the
government and urban local bodies to manage waste more efficiently, the Indian solid waste to
energy sector is poised to grow at a rapid pace in the years to come, opening up attractive
investment opportunities. As the industry is relatively new in India, a better understanding of
these opportunities in the Indian waste to energy sector is essential for investment decisions.
The objective of this white paper is to provide inputs on the potential and opportunities of the
Indian municipal solid waste to energy industry. The white paper has a special emphasis on
practical and actionable intelligence for Indian entrepreneurs and businesses.
This document has been prepared by Energy Alternatives India (EAI), a leading Indian research
and consulting firm with a focus on renewable energy and clean technology.
I hope you find this whitepaper useful in your efforts to venture into the Indian solid waste to
energy industry.
Narasimhan Santhanam
Cofounder and Director
Energy Alternatives India (EAI) – www.eai.in
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Contents
Preface .......................................................................................................................................................................... 1
Key Takeaways ........................................................................................................................................................... 5
1. Potential for Municipal Solid Waste to Energy ............................................................................................. 6
1.1 Introduction to Waste ........................................................................................................................................ 6
1.2 Municipal Solid Waste (MSW) ........................................................................................................................ 6
1.3 Municipal Solid Waste Generation and Management Scenario in India ........................................ 7
1.4 Potential for MSW to Energy in India .......................................................................................................... 7
1.5 Technological Routes for MSW to Energy .................................................................................................. 8
1.6 Prevalent Deficiencies in the MSW Management System in India ................................................ 10
1.7 Key Drivers Enhancing MSW Management and MSW to Energy .................................................. 12
1.8 Future Trends in MSW Generation, Management and Energy Recovery ................................... 13
2. What are the Opportunities in MSW to Energy for your Business? ..................................................... 14
2.1 MSW Value Chain .............................................................................................................................................. 14
2.2 Business Opportunities along the MSW Value Chain ......................................................................... 14
2.3 Owning and Operating Solid Waste Management Facilities ............................................................ 16
2.4 Strategic and Financial Benefits from Waste to Energy Business ................................................. 16
2.5 Potential Risks and Barriers in the MSW to Energy Business ........................................................ 18
3. Is Waste to Energy the Right Opportunity for Your Business? ............................................................. 19
3.1 Companies that Could Benefit from the Waste to Energy Sector .................................................. 19
3.2 Key Success Factors and Competencies for Waste to Energy Business ...................................... 20
3.3 Key Indian Players in the MSW to Energy Sector ................................................................................ 21
4. Summary ............................................................................................................................................................... 22
Waste to Energy Support from EAI ................................................................................................................... 23
EAI Services for the Waste to Energy Sector .................................................................................................. 24
Why EAI for Waste to Energy? ............................................................................................................................ 25
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Key Takeaways
About 115000 tons of solid waste is generated per day in the country. This
figure could be twice as much by 2020.
Municipal solid waste is a potential source for recyclable and inert materials
and can produce value added products, in addition to energy recovery.
Business opportunities in waste to energy exist in all three stages of waste to
energy – Waste Transportation, Waste Management Facilities, and Waste
Processing for Energy Recovery.
Indian government actively encourages private sector participation in MSW
value chain through a variety of business and operational models.
Currently, biomethanation and incineration are the most prevalent and
mature technologies for MSW to energy in India. Gasification and pyrolysis
are the emerging technologies.
Inadequate segregation at source, sub-optimal regulations and incentives,
inadequate treatment facilities and immature technologies are some of the
key challenges in this sector.
Key success factors in waste to energy include optimal technology, efficient
operations, focus on costs, and emphasis on environmental protection.
Some of the prominent companies working in the Indian waste to energy
sector include: Ramky Enviro Engineers, A2Z, Hanjer Biotech Energies and
SELCO International.
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1. Potential for Municipal Solid Waste to Energy
1.1 Introduction to Waste
Growth of population, increasing urbanization and rising standards of living have contributed to
an increase both in the quantity and variety of wastes generated by various activities. Broadly,
waste can be classified as urban waste, industrial waste, biomass waste and biomedical waste.
Urban
Waste
Wastes from households, commercial activities etc. (excluding waste arising from
mining, construction or demolition processes etc.). This includes Municipal Solid
Waste (MSW), Sewage and Fecal sludge.
Industrial
Waste
Solid, semi-solid, liquid, or gaseous or residual materials (excluding hazardous
or biodegradable wastes from industrial operations)
Biomass
Waste
Biomass waste is defined as biomass by-products, residues and waste streams
from agriculture, forestry, and related industries.
Medical
Waste
Waste generated at health care facilities, such as hospitals, blood banks as well as
medical research facilities and laboratories.
1.2 Municipal Solid Waste (MSW)
Municipal Solid Waste (MSW) includes commercial and residential wastes generated in
municipal or notified areas in either solid or semi-solid form. It consists of household waste,
construction and demolition debris, sanitation residue, waste from streets and so forth. Some of
the constituents of MSW are given in the figure below.
Biodegradable
50%Recycla-bles
20%
Inerts22%
Others8%
Composition of MSW in India
Kitchen
waste
Agro-waste
Vegetable
waste
Garden
waste
Recyclables Inerts
Plastic
Paper
Syringes
Tablets
Tin can
Metals
Glass
Sand Pebbles Gravels
Organics
Classification and Composition of MSW in India
Source: CPCB, NEERI
Municipal Solid Waste
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1.3 Municipal Solid Waste Generation and Management Scenario in India
Indian per capita waste generation is 0.2 – 0.6 kg/day, which is estimated to increase at 1.33%
annually. As per estimates, 115000 tons of solid waste is generated per day in the country.
Management of MSW remains one of the most neglected areas of urban development in India.
MSW management in India involves the interplay of six functional elements - generation of
waste, storage, collection, transfer and transport, processing and recovery and disposal.
Most of the MSW generated is dumped into land or in the outskirts of the city without any
treatment. Municipal agencies spend about 5-25% of their budget on MSW management. In
spite of such expenditure, the present level of service in many urban areas is so low that there is
a threat to public health and environmental quality.
1.4 Potential for MSW to Energy in India
MNRE estimates that there exists a potential for generating about 1500 MW of power from the
municipal solid wastes in the country. The potential is likely to increase further with economic
development. The state-wise break-up of the potential for power production from MSW, is
presented in the following table.
Potential for Recovery of Electrical Energy (MW) from Municipal Solid Wastes by Indian States
State/
Union Territory
Recovery Potential
(MW)
State/
Union Territory
Recovery Potential
(MW)
Andhra Pradesh 107.0 Maharashtra 250.0
Assam 6.0 Manipur 1.5
Bihar 67.0 Meghalaya 1.5
Chandigarh 5.0 Mizoram 1.0
Chhattisgarh 22.0 Orissa 19.0
Delhi 111.0 Pondicherry 2.0
Gujarat 98.0 Punjab 39.0
Haryana 18.0 Rajasthan 53.0
Himachal Pradesh 1.0 Tamil Nadu 137.0
Jharkhand 8.0 Tripura 1.0
Karnataka 125.0 Uttar Pradesh 154.0
Kerala 32.0 Uttaranchal 4.0
Madhya Pradesh 68.0 West Bengal 126.0
Source: TERI and MNRE
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Highlights from the Table
MNRE estimates that the energy recovery potential from MSW could go up to 5200 MW by
2017. Of the existing potential, only about 24 MW has been exploited, which is less than
1.5% of the total potential.
Andhra Pradesh, West Bengal, Tamil Nadu, Maharashtra, Karnataka and Uttar Pradesh with
heavy urban population and industrialized economy generate increased loads of MSW and
have significant power recovery potential - over 100 MW each.
Delhi, owing to its high population density, has an energy potential nearly equivalent to that
of Andhra Pradesh
Gujarat, being industrially advanced, holds significant promise for energy generation from
urban wastes.
Punjab, Haryana, Kerala, Orissa and Jharkhand exhibit only moderate potential for energy
from MSW in spite of relatively dense population.
1.5 Technological Routes for MSW to Energy
Energy can be recovered from the organic fraction of waste (biodegradable as well as non-
biodegradable) through thermo-chemical and biochemical methods. Incineration of RDF pellets
for power generation and biomethanation are currently the preferred technologies for MSW to
energy in India.
Some emerging technologies such as fermentation, plasma pyrolysis, microwave waste
destruction and laser waste destruction exist and are at various stages of commercial uptake.
These merit a continuing review to assess their relevance for possible application to the
treatment of specific waste types under Indian conditions.
The pathways illustrating the primary MSW to energy technologies are highlighted below:
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Major MSW to Energy Technologies and Pathways
Municipal Solid Waste (MSW)
Collection and transportation from point of generation
Storage and segregation
Inerts (sand, stones, etc.)
Landfill
Recyclables
Broken glass-
containers,
bottles, cups etc
High moisture biodegradables (kitchen wastes
etc)
Low moisture organics (Polythene, rubber tyres etc)
Organics (Hydro-carbon
materials)
Anaerobic Digestion Gasification Pyrolysis Incineration/Combustion
Producer Gas Syngas Biogas
(Methane)
Syn-diesel &
Gasoline
Electricity Transport Fuel
Organic
compounds
(methanol,
acetic acid
etc)
Pyrolytic gas Biochar
Heat/Cold Applications
Ceramics, concrete
aggregates, recycled
glass countertops
Ferrous and non-ferrous metals, plastics
Cans, tins, pipes etc
Digestate
Fertilizer
FT Process Fermentation
Ethanol
Ash
Construction
material
mix
Chemical
feedstock
(flavors,
adhesives etc)
Bio-oil
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1.5.1 Comparative Evaluation between various MSW to Energy Technologies
Parameters Gasification Pyrolysis Incineration Biomethanation Method Thermochemical Thermochemical Thermal Biochemical
End-Products Producer gas Syngas, Biochar
Biooil, Biochar, Pyrolytic gas
Heat , Ash Methane, Compost
Process principle Partial oxidative Conversion
Reductive transformation
Complete oxidative
conversion
Anoxygenic microbial
transformation Feedstock
Requirements Dry wastes of synthetic and
biological origin
Dry wastes of synthetic and
biological origin
Dry wastes of synthetic and
biological origin
Fluid rich biodegradable
wastes.
Temperature Requirements (°C)
500-1300 380-530 700-1400 35-70
Cost (Capital & O&M) High High Medium-high Medium-High Prominence in India Emerging Not proven Prominent Most prominent
Future Potential High Potential Moderate Moderate High Potential Efficiency (%) 70-80 70-80 50-60 50-70
Role for catalysts Non-catalytic Non-catalytic Non-catalytic Catalytic
Environmental issues
Concerns with toxic gases, organic
compounds emissions and char
generation.
Constraints remain as tar depositions, char and volatile
organics emissions.
Ash discharges and evolution of toxic gases from
partial combustion as
limitations.
Probability for liberation of
irresistible, pungent odor from wastes.
Feedstock Preprocessing Method
Shredding and drying Drying Drying and pelletization
Sedimentation of organic sludge
Permitted moisture content of feedstock
<15% <15% 25-30% 50-60%
Sub-types of process
Fixed bed, Fluidized bed and entrained
flow gasifiers
Fast and slow pyrolysis
Mass burn, Modular and RDF
incineration systems
Single and multi-stage digestions
Scope for downstream
processing
Syngas fermentation and Fischer-Tropsch’ reduction of syngas
Hydro-treating and hydro-processing of bio-oil to high value organic derivatives
NA Catalytic decomposition of methane to yield
syngas
Application of fuel
products
Heat and power applications.
Transport fuels.
Electricity and heat generation.
Feedstock for chemical derivatives
synthesis
Heat and power applications
Fuel for heat, electricity, transport
fuel, syn gas generation
1.6 Prevalent Deficiencies in the MSW Management System in India
There is a lack of proper MSWM services in the country primarily due to financial constraints of
ULBs, institutional problems within the departments, fragile links with other concerned
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agencies, lack of suitable staff, and other allied problems. Some of the deficiencies in the MSWM
system in India include the following:
No Storage and Segregation of Waste at Source
Source storage and segregation of waste based on degradability and hazards and recyclables
separation is rarely done in India. Most households, shops, and establishments throw their
waste just outside their premises, on streets, in drains, in open spaces, in water bodies, and in
other inappropriate places. Insufficient segregation at source results in suboptimal
performance of MSW to energy activities.
Operational Inefficiencies in Primary Collection of Waste
Authorities consider themselves responsible only for waste collection at street collection
points and fail to provide doorstep collection service. Even though such service is now
mandated in the rules, lack of standardized procedures and irregularity in sweeping
accumulates the waste to remain in streets. Such operational deficiencies will result in high
costs for energy recovery.
Inappropriate System of Secondary Storage of Waste
Transfer station infrastructures (waste depot sites) are not spacious and are constructed with
a fore vision to store increasing loads of solid waste. They are often very poorly designed and
are not synchronized with the primary collection system.
Irregular Transport of Waste in Open Vehicles
Open trucks and tractors used to transport waste are loaded manually. This time-consuming
activity results in loss of labor productivity and increases the occupational health risk to
workers.
Lack of Waste Treatment and Inappropriate Disposal at Open Dumping Grounds
The MSW generated in Indian cities is, by and large, not treated but is directly taken to the
open dumpsites. Indiscriminate mixing of concrete debris with MSW makes landfill sites
irreversibly unsuitable for any energy recovery activity. Although India is known for its age-
old technology of composting agricultural waste, composting of municipal organic waste has
been a rarity.
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1.7 Key Drivers Enhancing MSW Management and MSW to Energy
Stringent legislative procedures and environmental consciousness drive the effective
management of MSW to rescue the large socio-economic mass in the nation from hazardous
effects of municipal waste. Some of the key drivers for enhancing municipal solid waste
management in India are provided below:
Legal
Technological
Environmental
The laws and regulations in
India at the municipal and
city levels are becoming
stringent than ever before.
The consequent threat of
penalties could act as an
important driver for MSW
management (MSWM)
Though the ability of
technology to support MSWM is
still limited, development of
new and more effective
technologies will act as a key
driver to shape the progress of
MSW management industry.
The increasing awareness and
concern among public and
government for protection of
environment is one of the key
drivers for MSWM.
Socio Economic
Developmental and Competitive
Incentives
The poorer sections of the
society get affected most by
the harmful consequences of
unmanaged waste. With
Indian cities comprising
large populations under
poverty level, significant
health problems and societal
trauma are encountered.
Competition between cities to
provide a ‘clean city’ with good
municipal environmental
infrastructure, in order to
attract investment can be a key
driver. This appears to be
particularly important in India
where competition for foreign
information technology
investment is strong.
A number of current and emerging
incentives – CDM or carbon
credits, capital subsidies, high feed
in tariffs and other fiscal
incentives such as tax holidays-
can accelerate adoption of waste
to energy
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1.8 Future Trends in MSW Generation, Management and Energy Recovery
Now Future
MSW Generation
Amount of MSW Generated in India
55 million tonnes / Year 300 - 400 million tonnes/year by 2030
Waste Composition
Organic fraction of MSW constitute the highest percentage followed by inerts
Organic fraction of MSW will increase slightly. While inert materials will decrease considerably, the recyclable fraction, consisting of plastic, paper, and glass, will increase.
MSW Management
MSW Management
The institutional constraints within the state government and urban local bodies’ machinery, such as lack of technical experts to identify bankable public-private partnerships (PPP) projects, have resulted in poorly conceived PPP framework and projects.
New trends will emerge as Public Private Partnerships (PPP) models gain pace with municipalities desiring to bring in outside expertise, technology, and project management skills to improve service and delivery efficiency.
MSW to Energy
Energy Recovery Potential
1500 MW 5200 MW by 2017
Energy Recovery Options from MSW
Biomethanation and incineration of RDF Pellets
Plasma arc gasification and ash melting technology, thermal decomposition technology for dioxins.
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2. What are the Opportunities in MSW to Energy for your Business?
2.1 MSW Value Chain
In many Indian cities, the MSW collection, segregation, transportation, processing and disposal
are already being carried out by private companies under the operational control of the
respective municipal corporations, and the state governments enforce regulatory policies.
A typical waste handling system in a country like India includes the following elements: waste
generation and storage, segregation, reuse, and recycling at the household level, primary waste
collection and transport to a transfer station or community bin, management of the transfer
station or community bin, secondary collection and transport to the waste disposal site (or)
energy recovery facility, waste disposal in landfills (or) processing for energy recovery.
The schematic sketch below illustrates the steps carried out in managing the solid wastes in
India.
MSW Collection to Energy Value Chain
2.2 Business Opportunities along the MSW Value Chain
Business opportunities are present in every component mentioned above. The varied business opportunities that exist along the MSW value chain has been discussed below:
MSW Value Chain Business Opportunities
Collection and Transportation
Transfer station
Processing for Energy Recovery
Recyclable Materials Separated
Disposal to Landfills
Waste Transportation
Source Storage and Segregation
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Primary collection and segregation of inerts, dry organics and others.
Collection of reusable plastics and metals etc for sale in local market.
Waste Processing and sell RDF pellets to biomass power plants. Mobilizing construction debris to make tiles and bricks
Separation of wet organic wastes
Production and sale compost to bio fertilizer firms. Biogas based power generation from sludge for selling it to the
grid.
Secondary collection and storage
Maintenance of transfer stations High throughput screening of materials for recycling, energy
recovery and land fill disposals.
Recycling of wastes
Recyclable commodity transactions from transfer stations Sale of recycled plastic or metal granules Conversion of processed wastes to industrial commodities
Transportation and logistics
Transporting solid waste from the source to the landfill or to the processing centers for energy recovery.
Revenues from automobile manufacturing and sales to corporate bodies and contract holders etc
MSW to energy recovery
Production of machineries and equipments for energy recovery technologies
Decentralized technology installations. Power generation and sale of power Production and sale of processed organic feed stocks from
MSW Income from Certified Emission Reductions(CER’s)
Management of wastes at dumpsite
Design and construction of secured landfills Urban landscape development at abandoned landfills
Organization/financing for service and value chain enterprises
Debt and equity financing
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2.3 Owning and Operating Solid Waste Management Facilities
Indian government actively promotes the private sector participation in MSW value chain
through development of defined business models on contract term basis. The various business
opportunities and models for private sector participation in Indian MSW value chain are
summarized in the following table.
*BOOT – Build Own Operate Transfer; BOO- Build Own Operate; DBFOT- Design Build Finance Operate Transfer; MC- Management Contract; MRTS- Mechanized Refuse Transfer Station
The general PPP contract structure for an MSW to energy processing facility operating on BOT model is illustrated below
Nominal lease rentals Power Purchase Agreement
Min assured MSW quantity
Royalty/Tipping Fee per MT
Payments against
sale of power
Grants= % X of Project cost
Source: http://www.urbanindia.nic.in/programme/uwss/Term_Sheet_Processing.pdf
2.4 Strategic and Financial Benefits from Waste to Energy Business
Profitability - If the right technology is employed with optimal processes and all components
of waste are used to derive value, waste to energy could be a profitable business. When
government incentives are factored in, the attractiveness of the business increases further.
Operations in MSW Business Model Average tenure of the
project (years)
Collection, transportation and
cleaning
MC/Service
contract/BOOT*
3-8
Development of transfer station
and transportation
MRTS & BOOT/DBFOT 20
Waste processing facility to
derive energy
BOOT/DBFOT/BOO* 20-35
Development of sanitary landfills
and post closure maintenance
MC/DBFOT* 3-20
Integrated MSW Management Mostly on BOOT 20- 30 (Some project tenures are linked to the
life of the assets)
Municipality
/ULB/
State
Agency
State Electricity Board
(SEB)
Contractor for waste
processing
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Government Incentives - The government of India already provides significant incentives for
waste to energy projects, in the form of capital subsidies and feed in tariffs. With concerns
on climate change, waste management and sanitation on the increase (a result of this
increasing concern is the newly formed ministry exclusively for Drinking Water and
Sanitation), the government incentives for this sector is only set to increase in future.
Related Opportunities - Success in municipal solid waste management could lead to
opportunities in other waste such as sewage waste, industrial waste and hazardous waste.
Depending on the technology/route used for energy recovery, eco-friendly and “green” co-
products such as charcoal, compost, nutrient rich digestate (a fertilizer) or bio-oil can be
obtained. These co-product opportunities will enable the enterprise to expand into these
related products, demand for which are increasing all the time.
Emerging Opportunities - With distributed waste management and waste to energy
becoming important priorities, opportunities exist for companies to provide support
services like turnkey solutions. In addition, waste to energy opportunities exist not just in
India but all over the world. Thus, there could be significant international expansion
possibilities for Indian companies, especially expansion into other Asian countries.
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2.5 Potential Risks and Barriers in the MSW to Energy Business
Policy & Regulatory Barriers
Lack of clarity of government policies and incentives – While MSW management is an important aim for every state government and municipal body in India, this goal has not translated itself into clear policies on contracts, feed-in-tariffs and other incentives.
Lack of initiatives from key stakeholders – While the roles of the various stakeholders – ULBs, pollution control boards etc – are clear on paper, there is lack of proactive measures and initiatives from many of these stakeholders. This is a bottleneck for MSW projects that depend so much on governmental approvals for many aspects.
Environmental & legal – Some MSW to energy plants in India, as well as worldwide, have been the subject of litigation from environmentalists, society activists and NIMBY neighborhood residents. This has been especially true for incineration-based projects, which are still the dominant technology for MSW-based power plants.
Financial Barriers
Most solid waste to energy projects are capital intensive. Raising significant capital for an emerging sector is often difficult.
Poor financial standing of the state utilities along, with lack of proper policy back up from the government has resulted in uncertainties over timely revenues from sale of power. Debt instruments don’t usually work when the revenue stream is unattractive.
Availability of waste at zero or near-zero cost which is a vital part of the revenue model, but this is not achievable on a consistent basis
Waste to energy projects are considered as an unsafe investment by some due to lack of short term returns
Technological Barriers
Some of the emerging technology options – large scale gasification for instance - are yet to be proven on a commercial scale.
The characteristics of waste vary with region, source and scale, resulting in uncertainties over optimal designs and processes.
Lack of indigenously developed technology and skilled manpower for emerging process routes such as gasification and pyrolysis.
Other Barriers
Long lead time for completing all the formalities/ documentation and getting all the approvals. Lack of expertise to understand, develop, appraise and put in place a structured and viable
business model for these projects. Shifting priorities of the urban local bodies – from waste-to-energy to other issues resulting in
diversion of funds and other support. Lack of clarity for investors in the roles and responsibilities of Urban Local Bodies (ULBs)
(Public Health and Engineering Departments (PHEDs), Boards, Municipalities, etc).
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3. Is Waste to Energy the Right Opportunity for Your Business?
3.1 Companies that Could Benefit from the Waste to Energy Sector
Companies in domains such as renewable energy (solar, wind, biomass etc.), Engineering,
Procurement and Construction (EPC), transportation and logistics, sanitation and environment,
small and large scale power plants, facilities management etc will be ideally suited for the waste
to energy business. The table below outlines the type of companies that will be benefitted in
each part of the waste to energy value chain.
Segregation of dry waste, re-usable, inerts etc
Segregation of wet wastes and processing
Transport and logistics
Storage & secondary collection
Recycling of wastes
MSW waste to energy recovery
Management of wastes at landfills
EPCs Locomotive manufacturing companies (Heavy and Light) Private vehicle service stations, Transport agencies Part time workers under contract
Farmers Fertilizer companies, Agro-market enterprises Other informal sector participants
Recycling companies Rag pickers Other informal sector participants
EPCs Construction companies MSW junk shop owners Logistic services
EPCs Material Recovery Facility (MRF) operators Intermediate material processing cottage units Environmental engineering companies Small and medium junk shop owners
Technology providers and fabricators IPPs and CPPs Service technicians Producers and dealers of MSW derived RDF pellets.
EPCs Civil infrastructure developers
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3.2 Key Success Factors and Competencies for Waste to Energy Business
Optimal technology – The most appropriate technology depends on multiple aspects such as
amount of waste generated, degree of segregation and ultimate end product. It is critical for the
users of technology to consider all these aspects intensively before investing in a specific
technology.
Efficiency in every aspect of logistics and transportation – Even in developed countries,
significant efficiencies can be incorporated into the logistics/transportation stage of the waste
management value chain. In developing countries such as India, the scope for improvement in
efficiencies is significant, and such improvements could have a significant impact on the
financial sustainability of the entire project
Ensuring benefits for all the stakeholders – In India, waste management has diverse
stakeholders, some of them in the informal sector. Rag pickers represent one prominent
category in this context; another is the society in the vicinity of dump yards, landfills or waste to
energy power plants. Unless the business model is so structured as to provide benefits to all the
stakeholders, a number of operational and legal problems could arise.
Ensuring reliable supply of feedstock at low or no cost – It is critical for the waste to energy
project developer to ensure that the generator of the waste or the municipal corporation
provides the waste at no cost, and in addition provides a tipping fee. The processes for
treatment of waste and subsequent energy generation are costly, and these costs need to be
offset through zero cost feedstock and availability of additional monetizations such as tipping
fees.
Emphasis on environmentally sound practices along the entire operational value chain– Some
incineration-based waste to energy plants in India as well as worldwide have faced significant
opposition from environmental regulators and civil society, owing to allegations of pollutants
being released to the environment. Such social and legal concerns could severely affect the
sustainability of waste to energy power plants. Power project owners need to undertake
extensive analysis of all the aspects along the value chain that could have adverse
environmental impacts, and devise suitable remediation plants.
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3.3 Key Indian Players in the MSW to Energy Sector
Company Headquarters Highlights Biomethanation
M/S Asia Bio- energy Pvt Ltd (ABIL)
Chennai Follows “Biogas induced mixing arrangement-(BIMA)” technology for a 5.1 MW MSW to energy project
Cicon Environment Technologies
Bhopal Upflow Anaerobic Sludge Blanket (UASB) technology and activated sludge process are followed in installations
Bermaco/WM Power Ltd Navi Mumbai Completed 11 MW biogas plant in Mumbai using WABIO process.
Sound craft Industries Mumbai Installing 12.8 MW plant at Mumbai with technology from Ericsons, USA
Hydroair Tectonics Limited
Navi Mumbai Adopting aerated and UASB technologies for the treatment of waste sludge and biogas generation respectively.
Ramky Enviro Engineers Ltd
Hyderabad Undertaking comprehensive biomethanation projects coupled to secure composting and landfills. Also involved in incineration and presently operating India's largest waste incinerator at Taloja, Maharashtra.
Combustion /Incineration A2Z Group of Companies Gurgaon RDF based combustion technology with scope for
cogeneration of heat and power.
Hanjer Biotech Energies Mumbai Developing 15 MW combustion power plant in Surat District with MSW based RDF pellets as fuel.
SELCO International Limited
Hyderabad SELCO setup the first commercial Municipal Solid Waste-processing unit in India in 1999. Have installed 6.6 MW using RDF pellets as energy source.
East Delhi Waste Processing Company Pvt
Ltd
New Delhi Implementing 10 MW incineration power plant with MSW derived RDF pellets as fuel.
Gasification Zanders Engineers Limited Mohali Has a collaborative gasification technology to
process multiple feedstocks including MSW for power
UPL Environmental Engineers Pvt Ltd
Vadodara Advanced gasification technology with destruction efficiency of 99.9% and emissions well below thresholds.
*The above companies could in future be using multiple technologies and process routes
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India MSW to Energy
A White Paper by EAI
4. Summary
The business of generating energy from solid waste (especially municipal solid waste from
urban areas) is entering a period of rapid growth in India. The dual pressing needs of waste
management and reliable renewable energy source are creating attractive opportunities for
investors and project developers. Early movers who have identified the right technologies are
poised to grow in this promising industry.
At the same time, significant barriers exist. The ‘yet to be commercialized’ technologies, high
capital requirements, predominant dependence on government machineries for many parts of
the business value chain and a sub-optimal regulatory environment present significant industry
challenges. These challenges have resulted in many critical questions regarding waste to
energy/value project viability remaining unanswered.
The complexity of navigating through these challenges calls for a clear understanding of the
stakeholders and their roles, business models, and technologies behind the waste-to-energy
solutions. Given the need for critical knowledge on the viability of waste to energy projects
before venturing into this niche sector, assistance from an advisory and research firm is
imperative.
EAI has been researching the waste to energy sector in India for the past few years, and we have
developed an exhaustive understanding of the various technology options for waste to energy.
We have worked with prestigious clients such as Bill & Melinda Gates Foundation and Pepsi Co.
for waste to energy projects, and can offer actionable market intelligence and support for those
keen on exploring this sector.
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India MSW to Energy
A White Paper by EAI
Waste to Energy Support from EAI
If you are looking for business and technology support for waste to energy,
look no further than EAI.
Areas of Expertise in Waste Management
EAI’s waste to energy division can provide extensive research and consulting assistance for
energy recovery from the following types of waste:
Municipal Solid Waste Industrial Solid and Liquid Waste Agro Residues and Crop Waste Sewage Waste and Fecal Sludge Hazardous Waste
Our team has excellent exposure to energy recovery using the following types of processes:
Anaerobic Digestion / Composting Gasification Pyrolysis / Thermal Depolymerization Fermentation Combustion / Incineration
Clients
EAI consulting team has been assisting several organizations in diverse renewable energy domains. The fact that a major percentage of our business comes from client referrals bears ample testimony to the quality of our research and consulting. EAI has undertaken Waste to Energy research projects for many clients including global clients such as Pepsico and Bill and Melinda Gates Foundation. Some of our other esteemed consulting clients include
Reliance Industries Bhavik India Group
Vedanta Resources Green Concretex Global World Bank Agarwal Group Minda Group Jivanlal and Sons Group
iPLON GmbH Indo-Italian Chamber of Commerce
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India MSW to Energy
A White Paper by EAI
EAI Services for the Waste to Energy Sector
Market Intelligence
Techno Commercial Feasibility Consulting
Financial and Business Advisory Services
Market and region specific
potential analysis and
forecasting for waste to
energy sector in India.
Intelligence on all the current
and emerging technology or
process routes for waste to
energy
Inputs on all the government
regulations or incentives
and approvals relating to
waste management and
waste to energy projects
Intelligence on current
incumbents and stakeholders
in the Indian waste
management and waste to
energy projects
Key success factors and
bottlenecks that critically
influence the waste to energy
industry in India.
Feasibility analysis for
different process or
technology routes
Identification of technology
transfer or joint venture
partners for
implementation
Financial modeling and
techno economic valuations
to assess the viability of
different waste to energy
technologies
Development of unique
business plans to
attract sources of
finance.
Development of
differentiated waste to
energy business
models with highest
value to all the
stakeholders
Investment structuring
and financing support
for waste to energy
projects
Leveraging CDM, REC
and other benefits to
increase the
attractiveness of waste
to energy projects
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India MSW to Energy
A White Paper by EAI
Why EAI for Waste to Energy?
EAI is one of the few companies in India who have in depth knowledge of the market,
technology and business aspects of waste to energy industry across its entire value chain.
We have an exceptional understanding of the technology options and process routes for
waste management for diverse types and scale of waste.
Our past work on diverse assignments in waste to energy for global companies such as Pepsi
Co., Bill & Melinda Gates Foundation etc., and our current assignments in this field have
provided our team with unique perspectives and insights on all the key challenges and
bottlenecks in the entire value chain.
Our large network of technical contacts for waste to energy in India and globally will assist
our clients get easier access to latest technological solutions.
Our multi-disciplinary team with chemical and biochemical technology professionals
ensures that our recommendations will always come with a seal of scientific approval.
Our management team comprising professionals from IIT’s and IIM’s ensure that our
recommendations, blue prints and business models are powerful and state- of- the - art.
To know more on how EAI can assist you, contact
Badri Narayanan
Mob: +91-90435 39679
Email: [email protected]
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