Managing solid waste is one of biggest challenges facing cities across the globe. Between 30 to 60 percent of solid waste from cities in developing countries is uncollected and ends up on the streets or is being misused. This poses enormous problems for growing mega cities as well as small towns. It is a major public health and environment concern affecting rich and poor people alike.

Solid Waste Management in the World’s Cities, Water and Sanitation in the World’s Cities 2010 is a new book that looks at recent developments in solid waste management and presents innovative solutions by local communities. Based on research from 20 cities across six continents, the book identifies the rich diversity of waste management systems in use throughout the world, and draws out practical lessons for policymakers.

Nadine Dulac who wrote the chapter on carbon finance, Financial Sustainability: Solid Waste, Recycling and Carbon Financing: Fact or Fiction? is an environmental specialist in the World Bank Institute’s Climate Change practice. We asked her about the challenges and opportunities of carbon finance for solid waste management projects.
 

A new methodology for small-scale plastic recycling has recently been developed by the World Bank and was approved by the CDM Executive Board for Clean Development mechanisms. Nadine Dulac, Environmental Specialist, WBI's Climate Change practice

What are the main conclusions from the research in 20 cities?
ND:  The main conclusion is that if the local authority does not “own” the problem and the responsibility for finding solutions, the project will likely fail. There also have to be opportunities to work with the private sector and non-governmental organizations.

Why is it so difficult to ensure environmentally friendly solid waste disposal?
ND: Because there is widespread demand for waste removal, costs can be recovered by charging households between 0.7 percent and 2 percent of their monthly income for primary collection and removal. In contrast, there is little or no economic demand for environmentally sound and safe disposal. So cost recovery from sanitary land-filling is not feasible. It would be better to upgrade the dumpsite and gradually move to more controlled disposal. This is more realistic than building a state of the art sanitary landfill right away.

How important is recycling?
ND:  While “zero waste” is still a ways off, diverting 70 percent of waste to recycling and separate organics management is clearly feasible and advisable. Effective systems rely increasingly on public-private partnerships. In developing countries the involvement of the informal sector is essential to recycling. Without these efforts current recycling rates would drop and more waste would need to be disposed of. Revenues from the recycling activities are also the main source of income for many poor people. A big challenge is to encourage participation by the informal sector in sustainable recycling. Formalizing their role would help increase their profits and their safety.

How can carbon finance support better solid waste management?
ND: Currently, solid waste management strategies include such activities as landfill gas capture, incineration, and composting. Yet the positive impact of recycling on greenhouse gas abatement remains a relatively new area.  A new methodology for small-scale plastic recycling has recently been developed by the World Bank and was approved by the CDM Executive Board for Clean Development mechanisms. CDM is a market mechanism developed by the Kyoto protocol to reduce greenhouse gas emissions. This approval is sending a positive signal and will help expand the use of CDM methodologies to a broader range of recycling activities and systems.  It is also encouraging that waste management is on the UN’s agenda for the next two years.

The book was funded by the Water and Sanitation Trust Fund of UN-HABITAT, supported by the Governments of Spain, the Netherlands, and Norway.