Municipal Solid Waste Knowledge Platform

The general objective of this pre-feasibility analysis is to assess the feasibility of building a composting plant in Arequipa by analyzing the technical, economic and environmental aspects of the project. In particular, the analysis includes an evaluation of the project in terms of technology, capacity, capital, and operational costs, revenues and relevant financial indicators such as NPV and IRR.

The specific objectives of this study are:

1. Present a general overview of the solid waste management regulatory and institutional framework in Peru and Arequipa;
2. Present a general overview of the current situation of the solid waste management sector in Arequipa;
3. Present a general assessment of organic waste treatment alternatives and the rationale for selecting the composting option;
4. Develop a project concept design, including, an assessment of the potential organic waste available for the project, a definition of two possible composting scenarios based on the organic waste available, a description of the composting technology and processes for each scenario, and the location and outlay of the plant;
5. Conduct an analysis of the capital and operating and maintenance costs of the composting plant in each scenario;
6. Conduct a financial analysis for each composting scenario, including NPV and IRR calculation;
7. Assess the potential for greenhouse gas emissions reductions in each scenario and the sustainable development co-benefits of the project.