Ahmedabad Municipal Corporation Solid Waste Management Department

Content Flow

Introduction of Ahmedabad 1

Overview of SWM of AMC2

MSW Processing on PPP Model3

Excel Ind Ltd & AMC: PPP4

Impediments & Solutions5555

Inferences6666

MSW Processing on PPP Model3

Introduction-Ahmedabad City

� Ahmedabad is located in the north of the state of

Gujarat in western India.

� The city of Ahmedabad was founded in 1411 AD

as a walled city .

� The seventh largest metropolis in India and the

largest in the state having growth rate 22.20%largest in the state having growth rate 22.20%

(1991-2001).

� The city is divided into 6 Zones & 57 Wards for

administration convenience.

Area 466 Sq. Km

Population (2010) 6 Millions (approx)

Density (Person/Sq. km) 11,802 (approx)

No. of Residential Properties 1.3 Million (approx)

No. of Commercial Properties 0.4 Million (approx)

MSW Composition

MSW Daily Collection Total Solid WasteCollected

1800 TPD

C&BD Waste Collected 800 TPD

Total Mix Waste Collected 2600 TPD

Vehicle Used/Trips Made

450 Vehicles/900 Trips

Sweeper Deployed 10,200 (APPROX)

Total PropertiesCovered

17,00,000 (APPROX)

Overview of SWM of AMC

20%

24%56%

Non Bio Degradable Waste (Non Recyclable)

Non Bio Degradable Waste (Recyclable)

Bio Degradable

� Door to Door Residential Garbage Collection System is in Place

(95% coverage) Supported by Roadside Sweeping & Secondary Storage System.

� 100% Gate/Door to Door collection (through Closed Body Vehicles) from all Residential & Commercial Units is planned & Tenders are floated recently.

� AMC has Reached to Agreements leading to 100% Process of CollectedMSWby Aug 2010 as per Guidelines of Honorable Supreme Court.

Contd…

Proposed Plant:

Existing Plants:

� Excel Industries Ltd has agreement to Processes 500 TPD

to make Organic Compost.

�UPL Djai Power Ltd has agreement to Process 500 TPD

to make Refuse Derive Fuel (RDF) by Palletization.

MSW Processing On PPP Model

�Creative Company Ltd, Japan has entered into agreement to

Disposal of Inert / Post ProcessWaste:

AMC has also developed Scientific Engineered Landfill site for disposal of inert waste.Landfill has a capacity of 11.5 Lacs MT of waste which may last for next 6 years.

�Creative Company Ltd, Japan has entered into agreement toProcess 800 TPD to make RPPWF {Refuse Derive Fuel (RDF)by Palletization} & other Bio Organic Soil Enricher to becommenced from Aug, 2010.

� Excel has entered into 15 Years agreement with AMC in 1997 to Process 500

Objective of Excel Industries Ltd – PPPMode:

Brief Details of AMC – Excel PPP Project:

Excel Industries Ltd & AMC: PPP for Processing MSW

To promote derivation of organic manure fromMSWthereby reducing quantity of waste going to landfillsite.

� Excel has entered into 15 Years agreement with AMC in 1997 to Process 500TPD of MSW into Organic Compost and started its operation from the year2000.

� Excel has agreed for intake of 500 TPD of MSW from AMC.

� AMC has given 10 Hectare of Land on token lease rent of Rs. 1 per Sq. Mt.per annum.

� Excel is paying 2.5% Royalty on sale of compost for entire lease period.

Note:

Excel Industries Ltd is the Oldest, Largest, Survived MSW treatment compostplant in India. Product name is CELRICH : “Bio Organic Soil Enricher”.

Process Flow

Contd…Contd…

(* on the basis of the information communicated by Excel Ind. Ltd.)

�Excel could not accept 500 TPD of MSW because of

mix nature of MSW.

� Low green waste content reduces quality of compost

produced.

�Cost of Producing Organic Manure is around Rs. 4,200

Impediments* to efficient Operations by Excel Ind. Ltd.

Area Excel Industry 25 Acres

per MT while Excel could not realize even Rs. 2,250

per MT.

�Excel demanded Tipping Fee of Rs. 220 per MT as

reimbursement for the cost of segregating MSW

which was not accepted by AMC on the basis of MOU.

�Additional maintenance/repairing cost of machineries

as rain water from nearby open dump site gushes

straight into the plant.

Dump Site84

Acres

�Organic manure has to compete with heavily subsidized

Chemical Fertilizer, majorly used by farmers.

� MixMSWproduces low quality compost.

Marketing Related Issues:

Logistic Related Issues:

Contd…

� Sale of organic manure happen only 2 to 3 months in a year against dailysupply of MSWwhich adds to logistics & storage cost to company.

� Considering bulk volume & low price realization organic manure has to be

Issues from AMC’s Point of View:

� Agreement between Excel & AMC doesn’t have any clause for Tipping Fees.� Successful marketing of product was onus of Excel & not of AMC.� If company close the plant for certain duration, AMC has to bear additional

cost / loss of Rs. 150 per MT for further transportation & disposal.� AMC can help Excel by providing waste which has mainly contains bio

degradable waste.

� Considering bulk volume & low price realization organic manure has to besold within 200 KM distance.

� Waste, more of a green nature, generated from residential properties iscollected in morning hours as a part of Door to Door collection systemdeveloped recently.

� Waste from Vegetable Market, Fish & Meat Market, Slaughter Houses isgiven straight to the Excel. On certain occasions like Bakri Idd generatedwaste is also collected in dedicated vehicles & given to Excel.

� GreenWaste from 200 gardens owned by AMC is also delivered to Excel.

Initiatives Taken by AMC

GreenWaste from 200 gardens owned by AMC is also delivered to Excel.

� AMC has supported Excel as a special case by providing Dumpers fortransportation of InertWaste to landfill site for short period of time althoughit was not a part of agreement.

OneMore Step Forward:

� In January, 2008 AMC has taken one more step forward and came out withtender procedure (two bid) to collect Green Waste from Hotel &Restaurants – Kitchens.

� Consequently, Work order was issued to 2 agencies, Sahara Public HealthOrg & Abhishek Sanitation Mart.

� Waste Collection Points:

Hotels, Restaurants, Canteen, Food Streets/Markets, Marriage Halls Party Plots,Malls etc....

� Total no of Units expected to be covered: 1613 Units

� All the Rules of Environment Protection Act, 1986 & MSW (M & H) Rules. 2000 areto be complied strongly.

� Closed body vehicles must be used for Collection & Transportation of HKWaste.

Salient Features of HK Waste Collection Tender

Closed body vehicles must be used for Collection & Transportation of HKWaste.

� 100 Ltr or 200 Ltr Bins are to be utilized inside the collection trucks.

� All the staff members are to be provided uniform and all the safety equipments likeGum boots, Gloves, Mask, Cap etc...

� On finding upon that the collected Waste is disposed at unauthorized place then thecontractor will be levied Rs.500/- as penalty for each instance OR he can be bannedfrom executing the contract.

� Contractor has to deliver such waste at the site indicated by AMC.

Main Conditions of Tender:

1. Contract of Hotel Kitchen waste collection has been given to two Contractors.Critical details of performance has been tabulated below.

� Date of Contract : 11/09/2009& 11/09/2010 respectively.

Fact Files

SrNo

Name of AgencyNo of Zones Allotted

HK Units Covered

Charge per Kg.

Approx Monthly Collection in MT

No of Vehicles

1Sahara PublicHealth Org.

2 Zone 456 0.27 Paisa 1531 8

2. Improved Operations of Excel Industries Ltd.:

Health Org.

2Abhishek SanitationMart Sahakari Mandali

2 Zone 222 0.49 Paisa

491 4

2 Zone 58 Rs. 1/-

PeriodAnnual Qty in MT of MSW

accepted by Excel Ind.Avg. Daily Qty Accepted by

Excel Ind. (MT)No of Days Plant Remain Closed

2008-09 11,035 30 183 Days

2009-10 24,270 67 31 Days

DurationTotal Sales in MT

Amount of Sales Rs.

2.5% Royalty on Sales Rs.

Yearly Lease Rent

Rs.

Total Revenue to AMC

Rs.

YoY Performance Improvement

(%)

Apr 07 to March - 08 2,378 47,56,600 1,18,930 1,00,000 2,18,930 NA

Apr -08 to March - 09 2,340 38,94,000 97,355 1,00,000 1,97,355 -10%

Apr -09 to March - 10 6,324 1,11,14,900 2,77,881 1,00,000 3,77,881 91%

Improvement

Resulting Improvements

Notes: Benefits to Excel from Hotel Kitchen Waste & Other Such Initiatives of AMC.

�During 2008 – 09 plant has remain closed for 183 Days, resulted into 10% Losson YoY return to AMC.

�During 2009 – 10 plant has remained closed for 30 Days only, resulted in to 91%Gain on YoY benefit to AMC.

�During 2009 – 10 Company’s sales has grown by 185%, thus earning 1.80 Lacsmore in Royalty to AMC than Last year.

Improvement 09-10 against 08-09

3,984 72,20,900 1,80,526 -

1,80,526

� Better Technologies for Screening & further segregating ofMSW into Wet waste and Dry waste is the need of the hourfor better quality output like Compost, Refuse Derived Fuel(RDF), Pallets, Electricity etc…

� Dedicated Wet / Green waste collection channel can run

Inferences

� Dedicated Wet / Green waste collection channel can runsuccessfully in bigger cities.

� For successful implementation of PPP model specifically forMSW treatment, any Corporation has to create tailor madeWin – Win Situation. (As AMC has done by creating HKwaste Mgt system& similar other initiatives).

�Whether required / committed segregated MSW is availablewith Municipal Corporation or not?

If Yes,

Inferences

Contd…

If Yes,

(1) Whether Muni. Corp. has ability / facility to Collect &Transport such waste separately to the Compost Plant ?

(2) The such quantity available is sufficient / viable for running acompost Plant or not?

( 300 TPD or more)

� Care should be taken while preparing Memorandum OfAgreement under PPP mode for Treatment Plant:

(1) Financial Capacity and Experience of a Company

(2) Period of Agreement and Annual Lease Rent

Inferences

Contd…

(2) Period of Agreement and Annual Lease Rent

(3) Processing of Daily MSW – TPD

(4) Amount of Bank Guarantee for Entire Lease Period

(5) Period for Commencement of Operations after LandAllotment / Lease Deed

(6) Tipping Fee payment

(7) Carbon Credit getting procedure done by whom andwhat is Sharing criteria?

(8) Royalty on Sale Revenue / Quantity Production

(9)Transportation of Inert Waste / Post Process Waste to

Landfill Site byWhom?

(10)If support of Viability Gap Funding or any other assistance

Inferences

Contd…

(10)If support of Viability Gap Funding or any other assistance

is available or not?

(11)If Grants / Aid / any assistance is available from Govt. or

any other Agencies than who will get it?

(12)In the case of failure of any clause of the MOA than clear

indications of actions should be mention in MOA.

Achievement of AMC in MSW processing

By Niyati Rana / DNA / Monday, May 10, 2010 10:08

(http://www.dnaindia.com/india/report_ahmedabad-municipal-

corporation-s-solid-waste-in-great-demand_1381276)

Going green seems to be the buzzword for the Ahmedabad Municipal

Corporation (AMC). Being a major producer of solid waste as also a leader in

Ahmedabad Municipal Corporation’s solid waste in

great demand

Corporation (AMC). Being a major producer of solid waste as also a leader in

solid waste disposal practices, the AMC is flooded with climate-friendly

proposals from companies across the country to use the city's solid waste to

generate power or manufacture fertilisers.

Officials at the AMC's solid waste management department say they have

never seen offers for setting up plants to generate eco-friendly energy

pouring in at such a pace. If the civic body's claims are anything to go by, the

solid waste management department receives one offer every month for

setting up a plant to either generate energy or to make eco-friendly

fertilisers from the city's dumps.

Contd…

Achievement of AMC in MSW processing

"The latest company to come up with a proposal is Hanjer Bio-tech. Like all the

others, they have proposed that the AMC give them land where they would set up a

plant for manufacturing fertilisers or generating energy in an environment-friendly

way. We receive at least one offer every month of this kind," said IK Patel, deputy

municipal commissioner for solid waste department. Patel said the city generates

Ahmedabad Municipal Corporation’s solid

waste in great demand

municipal commissioner for solid waste department. Patel said the city generates

around 2,300 tons of solid waste daily, of which around 600 to 700 tons of waste is

construction debris which cannot be used to generate energy or to manufacture

fertilisers. He said most companies demand around 300 to 500 tons of waste,

depending on their capacities. "If we leave out the construction debris, we are left

with 1800 tons of solid waste. And so, we have to be careful to choose the best

companies as we have don't have enough to allot to several companies," he said.

However, the AMC has made the norms more stringent. The civic body's priority is

to check if the company is using the best technology in the plant so that maximum

benefit can be availed of. "We have also made it compulsory to deposit Rs50 lakh as

bank guarantee, so as to be on the safer side," said Patel.

Thank You

PRASHANT A PANDYA, M.Com., AICWAI.Dy. Director, Solid Waste Management & Conservancy Services, Ahmedabad Municipal Corporation,Municipal Central Workshop, Opp. Sahakari Lati Bazar,Jagannathji Road, Ahmedabad- 380022, Gujarat, IndiaTelephone No. 079-32982385, Fax No. 079-25321484Mobile No. 09327038822e-mail - prashantpandya@egovamc.com, swm@egovamc.com