Solid waste would increase by 6 percent per annum

Director of the HCMC Department of Natural Resources and the Environment Nguyen Toan Thang said at a conference calling for investment in WTE that with the annual growth rate of 5 percent per annum, total domestic garbage in the city would reach 13,000 tons a day by 2025. 

Solid industrial waste would increase by 6 percent per annum, hazardous waste 8 percent and medical solid waste 10 percent.

In the face of increased amount of waste, the city needs to call for more investment in waste treatment projects and change treatment technology. 

Burning waste to generate electricity is now the focus because of its great advantages: it reduces the need for land for burying waste and mitigates negative impact on the environment.

In the immediate time, the city needs 2-3 more plants which burn domestic garbage to generate electricity, one plant to burn hazardous waste and one to treat medical waste.

The municipal authorities have also asked owners of existing waste treatment plants to shift to WTE technology, hoping that the city will achieve 200 MW from the WTE plants by 2030.

In reply to the call for investment, investors said they want the city to offer favorable conditions so they can feel secure about pouring money into the projects.

The investors want assurances from the local authorities to provide enough waste to treat; to raise the electricity purchase price related to WTE projects; long-term land use rights for up to 49 years; and incentives in corporate income tax and exemption from tax on equipment imports. 

They have also have proposed including a commitment to buy electricity for more than 20 years.

Thang said investors would be able to enjoy the land leasing fee exemption for 11 years or a 70 percent rent reduction. 

City authorities have pledged to allocate land in Tay Bac Cu Chi Complex and infrastructure items including roads, electricity and water.

Regarding the electricity purchase price, Thang said the city would apply the price stipulated by the government. 

The electricity to be generated directly from burning solid waste would be purchased at VND2,114 per kwh (10.05 cent per kwh), while the projects using gas to collect from dumping grounds would apply VND1,532 per kwh (7.28 cent).

Dinh Ngoc Ninh, chair of Nang Luong Xanh Investment JSC, which plans to develop a WTE plant with German Martin technology, said he was satisfied about the incentives offered by local authorities.

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Chi Mai