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Friday, 19 January 2018 17:14

Ahmedabad Municipal Corporation sees power in waste, finally

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After four waste-to-energy projects failed to fructify over the last decade, the Ahmedabad Municipal Corporation (AMC) has clinched a deal to reduce the garbage mound at Pirana. The civic body has entered a tripartite agreement with energy producer Abellon Clean Energy Limited to set up a plant at the Pirana dumpsite to produce 14.9MW of power.

The third agency involved is the state power company, Gujarat Urja Vikas Nigam Ltd (GUVNL), which will purchase power Abellon produces from processing domestic waste at Rs 7.03 per unit. Abellon has formed an SPV called GoodWatts WTE Ltd for the project, which is expected to commission the power plant by March 2020. AMC will provide 1,000 tonnes, from the 4,000 tonnes of garbage Ahmedabad produces per day, to Abellon for processing.

Between 2009 and 2013, AMC entered agreements with various agencies for composting and preparation of Refused Derived Fuel (RDF) from waste. Back then companies like Selco, A 2 Z, Hanjer Biotech, Abellon Clean Energy and Creative had shut their RDF plant operations due to the costs involved and the low calorific value of Ahmedabad's mixed waste.

On January 1, 2018, AMC and Gujarat Vikas Nigam Ltd (GUVNL), signed a PPA (power purchase agreement) with Abellon Clean Energy Limited.

The SPV will set up a 14.9MW MSW-based power plant at Survey No. 337/P, at Shahwadi village in Ahmedabad, to generate power under the Gujarat Waste to Energy Policy 2016.

The electricity will be delivered to a point specified by GETCO, to the transmission system to be distributed.

The MSW-based power plant will be commissioned by March 2020.

The financial closure of the project with Power Finance Corporation is expected to occur with the signing of the PPA. AMC will provide 1,000 tons per day (TPD) to the SPV. The company will invest a total of Rs 220 crore. The AMC has awarded a power project for 11MW to JITF Jindal Power Infra, on similar terms. Jindal will invest around Rs 165 crore and use 1,000 tonnes per day.

AMC commissioner Mukesh Kumar said the city currently generates around 3,900 tonnes of waste a day. "Around 2,000 tons per day (TPD) will be taken care of by the launch of the two new waste-to-energy plants by 2020," Kumar said.

"Moreover, other projects that will consume the city's waste are waste-to-compost (1,000 TPD), construction & demolition waste (1,000 TPD), dry waste plastic process (100 TPD) and decentralised composting (50 TPD)."

Kumar further said the civic body will have the capacity to process and use 4,150 TPD of waste.

"With this strategy, AMC can achieve 'zero waste city status' for Ahmedabad by 2022 or at latest by 2025, much before the national goal of 2031."

AMC plans to start a bio-mining project at the Pirana dump site. Waste will be sanitised and processed into suitable filling material which can be used to fill defunct quarry sites within 50-100km of Ahmedabad city. It will also be used in road construction work for filling and side-shouldering. The cost of bio-mining per MT is Rs 600-700. This means the overall cost of biomining will be around Rs 550 crore. AMC aims to achieve this in 5 years time. Biomining will allow over 80 lakh MTs of legacy waste to be scientifically treated. The current 84-acre Pirana site can be monetised after this. Its will then be valued at Rs 700-800 crore.

Other municipal corporations in the state — Surat, Vadodara, Rajkot in particular — are also planning waste-to-energy projects. Surat, Vadodara, Rajkot and Bhavnagar have reportedly planned power plants that will consume 1800, 1300, 550 and 225 TPD of waste. This will help address the challenge of handling waste generated by cities.

Additional Info

  • News Section: Bio Energy News
  • Month: January
  • Year: 2018
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