PPP: Public Private Partnershipor

PPP: Personalized Profits Partnershipin

Solid Waste Management

Dr Vivek S Agrawal

vivek.agrawal@cdcindia.org

www.cdcindia.org

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SWM costs going down?

• Chennai2000-2007 INR 760 to 1300 per MT

• Punjab

2011-2035 INR 250-350 per MT with annual increase

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Types of Models

Cluster of Cities Part of City

Area Based

Entire City

Competition between

Municipal Corporation

and Private entities.

Efficiency in work

Strengths

Part of City

Weaknesses

Saturation of

Manpower to a

limited Area

Philosophy : Optimum utilization of existing resources

Efficiency in Work

Employment

Generation

Strengths

Entire City

Weaknesses

Somewhere

duplication of

cost to Public

Sector

Philosophy : Synchronization in various activities

Small and Medium Local

Bodies are involved.

Small ULBs also get

benefit of Technology.

Economies of Scale

Strengths

Cluster of Cities

Weaknesses

Risk of Inefficiencies

The Cost of

Transportation is

very high.

Philosophy : The waste processing plant to get adequate quantity of waste for viability

Bhatinda Cluster S.No. Name of ULBs

Est. Tonnage (MT)

Distance (Km) upto Processing Site

Tipping rate per TPD

1 Abohar 24.20 109 8522 Malaut 35.13 51 6823 Giddarbaha 9.60 35 6074 Sangat 2.20 39 5575 Raman 27.16 16 627

6 Talwandi Sabo 9.40 65 7027 Maur 4.10 37 6078 Kotfateh 32.84 42 5129 Sardulgarh 4.20 32 777

10 Mansa 3.50 62 70211 Bareta 9.10 45 90712 Budhalada 27.88 8 83213 Bhikhi 4.40 76 74214 Bucho Mandi 2.00 81 48715 Tappa 6.20 78 667

16 Rampura Phul 69.10 58 587

17 Goniana 2.94 19 507

18 Bhatinda 112.33 5 437

•1

• Door to Door garbage collection

•2

•Door to Door garbage collection +Transportation

•3

•Street Sweeping +Transportation

•4

•Door to Door garbage collection + Transportation + Street Sweeping

•5

•Total Sanitation

•6

•Transfer Station Development

•7

•Transfer Station Operation and Maintenance

•8

•Integrated Solid Waste Management

Activity Based

Activity Based Merits & Demerits

Advantages

Efficiency in Particular Activity

Effective Monitoring

Disadvantages

Decentralization of Work

Rise in Expenditure

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Financial Models:

• Capex and Opex both by ULB

• Capex by ULB,

Opex by Private

Partner

• Capex by Private Partner,

Opex by ULB

• Capex and Opex both by

Private Partner

Many a times Community may also contribute.

Benefits envisaged:

• Potential benefits for both citizens and governments

• PPPs increase competition, and efficiency in service provision, expand coverage and reduce delivery costs, if used wisely

• PPPs allow government to extend services without increasing the number of public employees and without making large capital investments in facilities and equipment

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Access

OR

Nexus?13

Nagpur Jaipur Ulhasnagar Bangalore

Scope of work D2D C&T

10 years

Integrated SWM

20 years

D2D C&T of SW

8 years

D2D collection from bulk generators and transportation 10 years

Tender Qty 800 TPD 1200 TPD 250 TPD 500 TPD

Technical Experience Required

Quantum of waste handled

3-10 Yrs C&TScore Based

1–8 municipalities .O&M experience of 25-50 vehicles.

2Lac-6Lac MT p.a.Score Based

1 Year

D2D: 50000 householdsProcessing: 100 TPD

Complete storage, C&T for 3 years in India. O&M experience of 25 vehicles (RC/DP)for 3 years. Tie up with manufacturer with valid ISO 9001 manufacturer of RC 3T, 6T and 10T, GVW chasis vehicles of international standard.

300 TPD

Processing Experience 250 TPD, C&T, Construction, O&M, Logistics, based on project cost.

125 TPD

Financial Parameters

Turnover

Net Worth

Rs. 5 Crores to Rs. 14 Crores pa.a in last 2 years.

Rs. 50Lacs – Rs. 100 LacsScore based

Rs. 50 Crores p.a.

Rs. 10 Crores

Rs. 100 Crores p.a. in past 3 financial years

25% of estimated cost.

Others Solvency: Rs. 50Lacs – Rs. 100 Lacs. EMD : Rs. 25 Lacs.Score Based

EMD: Rs. 50 Lacs EMD Rs. 1 Crore Bank solvency of Rs. 10 Crores. Tipping rate is per day per vehicle , instead of per ton

EMD: Rs. 1 Crore

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8year 10 year 10 year 20 year0

200

400

600

800

1000

1200

1400

Scope of Work Vs. Experience

Scope of work

Ten

der

Qty

3 year exp

Processing Exp

3-10 year exp

1 year exp

Jaipur

Nagpur

Bangalore

Ulhasnagar

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Ulhasnagar Bangalore Nagpur Jaipur 0

100

200

300

400

500

600

700

800

900

1000

Quantum of Waste handled

TP

D

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Ulhasnagar Bangalore Nagpur Jaipur 0

10

20

30

40

50

60

70

80

90

100

Turnover Parameter

Ulhasnagar Bangalore Nagpur Jaipur

250TPD250TPD

500TPD

800 TPD

1200 TPD

INR Crores

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Ulhasnagar Bangalore Nagpur Jaipur 0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

1

EMDIN

R C

rore

Bhatinda Cluster S.No. Name of ULBs Est. Tonnage (MT) Distance (Km) upto Processing Site

1 Abohar 24.20 1092 Malaut 35.13 513 Giddarbaha 9.60 354 Sangat 2.20 395 Raman 27.16 16

6 Talwandi Sabo 9.40 657 Maur 4.10 378 Kotfateh 32.84 429 Sardulgarh 4.20 3210 Mansa 3.50 6211 Bareta 9.10 4512 Budhalada 27.88 813 Bhikhi 4.40 7614 Bucho Mandi 2.00 8115 Tappa 6.20 78

16 Rampura Phul 69.10 58

17 Goniana 2.94 19

18 Bhatinda 112.33 5

Total 386.28

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Way Ahead for ISWM

I

III

V

IV

II

PRIVATE SECTOR

GOVERNMENT

EDUCATIONAL INSTITUTE

NGOS

CORPORATE

• Training

• Capacity Building

• Financial Investor

• Setting up Industries

• Technology Provider

• Regulator

Social Security

Policy Intervention

• Infrastructure

• Technology

• Social Intervention

• Human Resource

• Community Development

Integration

Of various

stakeholder

“ the waste itself has a value and is the source of income for the municipalities……financial issues are not a problem, man power is not a problem, private sector availability is not a problem our problem is the management”

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