Financing Options for Solid Waste Management Sanjay Srivastava, - - PowerPoint PPT Presentation

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Jun 08, 2023 34 likes •184 views

Financing Options for Solid Waste Management Sanjay Srivastava, Program Leader, The World Bank The World Bank Group Who We Are With 189 member countries, staff from more than 170 countries, and offices in over 130 locations, the World Bank

SLIDE 1

Financing Options for Solid Waste Management

Sanjay Srivastava, Program Leader, The World Bank

SLIDE 2

The World Bank Group

Who We Are

With 189 member countries, staff from more than 170 countries, and offices in over 130 locations, the World Bank Group is a unique global partnership: five institutions working for sustainable solutions that reduce poverty and build shared prosperity in developing countries.

Our Mission

To end extreme poverty by reducing the share of the global population that lives in extreme poverty to 3 percent by 2030. To promote shared prosperity by increasing the incomes of the poorest 40 percent of people in every country.

What We Do

Partner with Governments: The World Bank Group provides financing, policy advice, and technical assistance to governments of developing countries. Partner with the Private Sector: The World Bank Group helps strengthen the private sector in developing countries by providing financing, technical assistance, political risk insurance, and settlement of disputes to private enterprises, including financial institutions

SLIDE 3

World Bank’s complementary instruments to assist client countries

CPF

Country Partnership Framework

World Bank IFC MIGA WBG Twin Goals WBG Comparative Advantage Country Development Goals

Investment Policy Financing Development Policy Financing Program-for- Results Advisory Services & Analytics Guarantee Advisory Services Private Financing

SLIDE 4

The World Bank Group - Financing Instruments

The World Bank Group provides a variety of financing instruments to the public and private sector including most commonly: Investment Project Financing provides loans, credits, grants and guarantee financing to governments for activities that create the physical/social infrastructure necessary to reduce poverty and promote sustainable development. Development Policy Financing provides loans, credits, grants and guarantee budget support to governments or a political subdivision to implement policy and institutional actions to help achieve sustainable, shared growth and poverty reduction. Program-for-Results links disbursement of funds directly to the delivery of defined results to help countries improve the design and implementation of their own development programs, strengthen institutions and build capacity to achieve lasting results. Trust Funds and Grants allow for the scaling up of activities, notably in fragile and crisis-affected situations; enable the World Bank Group to provide support when our ability to lend is limited; provide immediate assistance in response to natural disasters and other emergencies; and pilot innovations that are later mainstreamed into our operations. Private Sector Financing, Direct Investment and Guarantees are provided to private sector entities

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Does the World Bank finance solid waste management?

Solid Waste Management Loan projects (Number of projects per region ) Approval Date July 1999-August 2017

East Asia and Pacific 18% Eastern Europe and Central Asia % 19 South Asia % 10 Latin America and the Caribbean % 18 Africa 22% Middle East and North Africa % 12 Other 1%

$83 $34 $29 $64 $66 $76 $233 $286 $289 $302 $381 $580 $135 $391 $162 $272 $476 $676

10 20 30 40 50 60 70 80 90 100 $0 $100 $200 $300 $400 $500 $600 $700

200020012002200320042005200620072008200920102011201220132014201520162017

Spending Number of projects

Commitments to Solid Waste Management Loan Projects Approval Date Fiscal Year 2000 – 2017

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South Asia generates the most waste after East Asia/Pacific

1.6 1.63 1.77 1.77 1.9 2.15 3.68 4.52 14.4 17.2

EGYPT INDONESIA TANZANIA THAILAND NIGERIA TURKEY BRAZIL PHILIPPINES INDIA CHINA

Top 10 countries generators of Mismanaged Plastic Waste (Mt/y for 2015)

Lebreton et al, 2019

Millions of tons per Year (source:)

MENA

SSA

SAR LAC ECA EAP

Current & Projected Waste Generation by Region in 2016, 2030 and 2050

World Bank, “What a waste 2.0” 2018

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Since 200 e 2000, t the he Worl

rld B

Bank h k has com

mmit

itted ov

r $4 $4.7 b billio llion to

more t

e tha han 3 340 40 so solid lid w was aste ma manag agement progr grams a around the g globe

With a focus on waste data, supporting countries to make critical solid waste management financing, policy, and planning decisions is key. Solutions include:

Providing financing to countries most in need,

especially the fastest growing countries, to develop state-of-the-art waste management systems.

Supporting major waste producing countries to

reduce consumption of plastics and marine litter through comprehensive waste reduction and recycling programs.

Reducing food waste through consumer

education, organics management, and coordinated food waste management programs.

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What a Waste 2.0 – A Global Snapshot of Solid Waste Management to 2050

SLIDE 9

Examples - Waste Management Operations and Administration

SLIDE 10

SWM Financing

Basic solid waste management systems covering collection, transport,

and sanitary disposal in low-income countries cost $35 per tonne at a minimum and often much more.

Solid waste management is a large expenditure item for cities and

typically comprises nearly 20 percent of municipal budgets in low-income countries, more than 10 percent in middle-income countries, and 4 percent in high-income countries. Budgets can be much higher in certain cases.

Systems that include more advanced approaches for waste treatment and

recycling cost more, from $50 to $100 per tonne or more. The choice of waste management methodology and technology depends highly on the local context and capacity for investments and ongoing management.

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SWM Financing

User fees range from an average of $35 per year in low-income

countries to $170 per year in high-income countries. Full cost recovery from user fees is largely limited to high-income countries.

Almost all low-income countries, and a limited number of high-

income countries, such as the Republic of Korea and Japan, subsidize domestic waste management from national or local budgets.

Although public-private partnerships could potentially reduce

the burden on local government budgets, they could result in compromises in service quality when not structured and managed properly.

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SWM Financing

Local governments provide about 50 percent of investments for waste services,

and the remainder is typically provided through national government subsidies and the private sector.

When political support for increasing user fees for households to cost recovery

levels is limited, cross-subsidizing from payments by waste generators (for example, the commercial sector) can help reduce the burden on local government budgets. Commercial fees range from about $150 per year in low- income countries to $300 in high-income countries.

Volume-based waste fees have been successful in countries like Austria, Korea,

and the Netherlands but are still uncommon because they require coordinated planning and strong enforcement.

Households and commercial institutions in low-income countries are typically

charged a flat fee that is collected on a door-to-door basis

SLIDE 13

Financing Options for Solid Waste Management

The World Bank Group

Who We Are

With 189 member countries, staff from more than 170 countries, and offices in over 130 locations, the World Bank Group is a unique global partnership: five institutions working for sustainable solutions that reduce poverty and build shared prosperity in developing countries.

Our Mission

To end extreme poverty by reducing the share of the global population that lives in extreme poverty to 3 percent by 2030. To promote shared prosperity by increasing the incomes of the poorest 40 percent of people in every country.

What We Do

World Bank’s complementary instruments to assist client countries

Country Partnership Framework

The World Bank Group - Financing Instruments

Does the World Bank finance solid waste management?

South Asia generates the most waste after East Asia/Pacific

Since 200 e 2000, t the he Worl

Bank h k has com

itted ov

r $4 $4.7 b billio llion to

e tha han 3 340 40 so solid lid w was aste ma manag agement progr grams a around the g globe

With a focus on waste data, supporting countries to make critical solid waste management financing, policy, and planning decisions is key. Solutions include:

especially the fastest growing countries, to develop state-of-the-art waste management systems.

reduce consumption of plastics and marine litter through comprehensive waste reduction and recycling programs.

education, organics management, and coordinated food waste management programs.

What a Waste 2.0 – A Global Snapshot of Solid Waste Management to 2050

Examples - Waste Management Operations and Administration

SWM Financing

and sanitary disposal in low-income countries cost $35 per tonne at a minimum and often much more.

typically comprises nearly 20 percent of municipal budgets in low-income countries, more than 10 percent in middle-income countries, and 4 percent in high-income countries. Budgets can be much higher in certain cases.

recycling cost more, from $50 to $100 per tonne or more. The choice of waste management methodology and technology depends highly on the local context and capacity for investments and ongoing management.

SWM Financing

countries to $170 per year in high-income countries. Full cost recovery from user fees is largely limited to high-income countries.

income countries, such as the Republic of Korea and Japan, subsidize domestic waste management from national or local budgets.

the burden on local government budgets, they could result in compromises in service quality when not structured and managed properly.

SWM Financing

and the remainder is typically provided through national government subsidies and the private sector.

levels is limited, cross-subsidizing from payments by waste generators (for example, the commercial sector) can help reduce the burden on local government budgets. Commercial fees range from about $150 per year in low- income countries to $300 in high-income countries.

and the Netherlands but are still uncommon because they require coordinated planning and strong enforcement.

charged a flat fee that is collected on a door-to-door basis

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