Circular economy and the

business case of plastic waste

recycling
Speaker -
Reshma Chandra Khan (Senior Manager, EY)
 What is the circular economy?

A circular economy is a regenerative system in which resource input and waste, emission, and energy leakage are minimised by
slowing, closing, and narrowing energy and material loops. This can be achieved through long-lasting design, maintenance, repair,
reuse, remanufacturing, refurbishing, and closed recycling loops. Circular Economy seeks to eliminate any kind of waste in the market.

It includes:

Wasted resources Wasted capacities

Wasted embedded
Wasted life-cycles
values

page 2
Stakeholder expectations: Consumers are more sustainably aware

Sustainability will be one of the top 3 will pay more attention to

important purchase criteria for consumers 64% the environmental impact
by three year from now1 of their consumption1.

say the environment will

be a top priority in how
55%
they live and what they
buy1.

will pay premium for more

30% sustainable goods and
services1.

think brands have a

responsibility to make
73%
positive change in the
world1.
1. Source: EY Future Consumer Index, May 2021

page 3
Corporate ambition: Sustainability is also becoming a prominent
criteria for investors

Investors were surveyed and

said…
since the COVID-19 pandemic, they “Most stakeholders (…)
attach greater importance to
90 now expect companies to
corporates’ ESG performance when play a role in
% it comes to their investment decarbonizing the
strategy and decision-making2. global economy. Few
things will impact capital
a corporate having a strong ESG allocation decisions – and
program and performance would
86% have a significant and direct impact
thereby the long-term
value of your company –
on analyst recommendations today2. more than how effectively
you navigate the global
pressure from investors on supply energy transition in the
+8
chain sustainability increased by 8% years ahead.”
% between 2019 and 20203.
1. Source : EY Global Climate Risk Disclosure Barometer 2021 Larry Fink’s Annual 2022
2. Source: EY Global Institutional Investor Survey 2021
3. State of Supply Chain Sustainability, 2021
Letter to CEOs
page 4
Cost and compliance: Regulatory action is one global driver of the
circular economy

Canada Netherlands Germany

Strategy on zero plastic 2050 Circular Economy CE Act, sustainable
waste; provincial EPR Strategy consumption program

Finland
Government
roadmap

Japan
Pioneer in material flow
UK & Scotland management
Zero Waste Scotland;
WRAP promoting the CE

China
France CE in legislation; large
EPR leader scale pilots; restrictions
EU on waste imports
CE Package, including
directives related to waste India
and eco design EPR regulations; Waste
page 5
Management Rules,
2016
Evolution of waste management rules in India
Hazardous and other Wastes (Management
& Transboundary Movement) Rules Plastic Waste Management Rules

It was introduced to ensure safe EPR on plastic packaging waste was

handling, storage, disposal of introduced first time in India

hazardous waste
2016 2016 2016

Solid Waste Management Rules

It provides guidelines for setting up
solid waste processing and treatment
facilities in urban areas

2020 2016 2016

Bio Medical Waste Management Rules
Steel Scrap Construction & Demolition (C&D) Notified with the objectives to improve
Recycling Policy Waste Management Rules segregation, collection, processing,
It aims to The rule mandates for treatment and disposal of infectious
promote circular collection, transportation, bio-medical waste in an
economy in the storage and re-processing of environmentally sound and safe
steel sector C&D waste manner
2021 2022 2022
Ash Utilisation Notification
EPR Waste Tyre E-waste Management Rules
It aims to achieve 100% ash
EPR on waste tyre was introduced first EPR on e-waste was introduced
utilisation generated from
time in India first time in India
coal and lignite based thermal
power plants

2023 2022

EPR on Used Oil Battery Waste Management Rules

EPR on used oil was introduced EPR on battery waste was

page 6
introduced
 Circular Economy transition in India

NITI Aayog has set up 11 committees to expedite India’s transition from a linear to a
circular economy across the 11 focus areas. The focus areas include 11 end-of-life
products/recyclable materials/wastes that either continue to pose considerable challenges
or are emerging as new challenge areas that must be addressed in a holistic manner.

11 focus areas:

Municipal Scrap Metal Lithium Ion

solid and (ferrous and (Li-ion) E-waste Gypsum End of life
liquid waste non-ferrous) Batteries waste vehicle

Solar panel Hazardous Used oil

Agricultural
waste industrial waste Tyre and
page 7 waste
waste rubber
Which circular economy strategies should the industry leverage?

R-strategy Challenge Benefit Market examples

Higher efficiency in Optimize consumption impact of Sensors to

track data
manufacturing and end-consumer via data, build Eliminating
Reduce extended product use brand loyalty, smart and circular
on how waste, re-
lights are use of
by consumer design used resources
Strategy
Use of product which Platform to facilitate trustworthy Enabler
Best
is fulfilling all original marketplace for used products
Re-Use functions by
used
► Circular design
ones
another consumer for longer
product life
Repair and Provide “repair-sets” (e.g., from ► New business
Platform for
maintenance of a remanufacturing stream), models &
Repair defect product to keep digitalize service,
after-sales
revenue
market
it in use standardization parts streams
for repair ► Reverse cycles
Use of Build a market for 100% ► Eco-system
Remanufact remanufactured parts remanufacturing circular
in a “new” product business
► Channel
ure strategy
model

Process materials Stay the owner of your products Takeback

to obtain same or to guarantee cycling and upcycling schemes
Recycle lower quality of valuable materials, make and
recycling transparent efficient
cycling

page 8
Applying CE strategies leads to cost reductions, energy savings,
increased sales
and retention
HP Brazil
of resources Perpetual
Closed loop solution with 800 tons of Reverse consumer waste plastic into high quality
recycled resins ester
►25% less energy to produce than virgin ►Uses 75% less energy and 86% less water than
plastic, delivering cost savings of 15% conventional PET plants

Google C&A
Maintenance, remanufacturing, secondary market Cradle to Cradle Certified garment
sales and recycling in data centers ►Significant
increase in basket size and consumer
►Hundreds of millions USD in annual savings brand perception

Venlo (NL) Danone-Evian

Venlo City Hall from Cradle to Cradle Agricultural Methanization
►Attracting innovative businesses and updating ►Elimination of water contamination risk,
the city’s image while reducing costs and energy new revenue stream through biogas, better
relations with community

Schneider Electric
Product as a service as business model
►Circular activities account for 12% of revenue
and will save 100,000 metric tons of primary
resources from 2018 to 2020

page 9
Plastic waste management -
Overview
Global plastic waste scenario

High income countries Upper middle- income countries

2% Lower Middle-Income Countries Low-income countries

Food & Green 60%

Glass 50%
2%
12%
Metal
40%

44% Other
17% 30%
Paper & Cardboard

20% 13% 11% 11%

Plastic
14% 6%
4%5% 10%
Rubber & Leather

Wood 0%
Food & Glass Metal Other Paper & Plastic Rubber & Wood
Green Cardboard Leather

Global waste composition Waste composition by the level of

income

Single used plastic generated by countries Plastic waste emitted to the ocean by
per person (in kgs) countries per person (in kgs)

Australia – 59 Philippines – 3.30

United States – 53 Suriname – 2.89
South Korea – 44 Trinidad & Tobago – 2.55
United Kingdom – 44 Saint Lucia – 2.45
India - 4 India – 0.09
page 11
 India plastic waste scenario

States and UTs wise plastic waste gener- Polymer Demand in India
MSW & Plastic Waste Generation- India ation 20000 18450
18000
15500

Killo tonnes per annum

60.00 16000
3% Maharashtra Tamilnadu
(Million tonnes per year)

50.00 55.03 55.51 11% 13% 14000

3% Gujurat West Bengal
12000
40.00 4% Karnataka Telengana
10000
30.00 12% Delhi UP 6800
8000
4% Haryana Kerala
20.00 6000 4200
MP Punjab 2800
6% 4000
10.00 12% Others 1650
3.47 3.36 2000900
0.00 7%
2019-20 2018-19 0
7% 9% 1990 1995 2000 2005 2010 2015 2020

Plastic waste Linear (Plastic waste) 9% Year

MSW

India Percapita Plastic Consumption Yearwise trend Snapshot of Indian Polymer Industry
Plastic Consumption in India
16 15 (MMT/year)
Size of 7.1 lakh crores
13.6
Per capital consumption (kg)

14
% Industry
11.7 8 .9 20
12
GR
10
CA Employment 40 lakh
13
8
5.5 8.5
6 Processing 30,000
3.7 Unit
4 2.6
1.7
2 1 0.3 Recycling rate 60%
0 FY'2000 FY'2007 FY'2020 FY'2022 (post
1990 1995 2000 2005 2010 2016 2018 2021
consumed)
Years
India plastic waste recycling stats
Recyclable and Non-Recyclable forms of Plastic

40% of the Plastic 1.38 Million tonnes per annum of Plastic Waste Types of Plastic Application of Plastic
Waste goes is left uncollected or littered (9,400 tonnes of PET Drink bottles, detergent bottles, clear
uncollected. waste per day). film for packaging
PVC Packaging for food, textile, medical
Plastic Waste Recycling in India materials, plastic pipes, roof sheeting
60% of the Plastic
Waste is Recycled HDPE Détergent & shampoo bottles, mobile
components, toys, grocery bags

40% PP Compost bins, houseware, furniture,

automobile parts.
70% 20% 10%
60% PS Disposable cutlery, food takeaway
Recycled at Recycled at Recycled at containers
3.47 Million Registered Unorganized home
tonnes facilities sector LDPE Plastic bags, food wrapping
of Plastic Waste Others
is generated in (polylactic acid,
India ~ 4953 registered Manufacturing acrylonitrile
/ Recycling units butadiene Containers
styrene, nylon
Thermosets
and such as SMC, FRP, and Multi-layered
2.082 million tonnes per annum
Thermocol
polycarbonate) the Non-Recyclable category of Plastics that
are
Plastic Waste is recycled (i.e.
are either Co-processed, treated in Waste-to-energy plants
5,704 tonnes of Plastic Waste
to recover usable fuels or otherwise dumped in landfills.
per day)
Plastic waste management -
Regulations
 Evolution of plastic waste rules in India

Rules directed municipal authorities to Proposed prohibition on single-use

set up plastic waste collection centres plastic items on a pan India basis
with financial support from the producers
Draft
Plastic Waste
Notification to
(Management
make
and Handling)
Amendments in
Rules,
PWM Rules

199 201 201 202 202 202

9 1 6 1 2 3
Recycled Plastics Plastic
Plastic
Manufacture and Waste
Waste
Usage Rules Management
Management Plastic Waste
(Amendment
Rules Management
) Rules
(Amendment)
Rules for the manufacture and use Replaced 2011 law making producers, Classification of plastic packaging, Rules
of recycled plastics carry bags and brand owners and importers responsible centralized Web Portal developed by
containers. for managing plastic waste in the CPCB shall reflect the plastic packaging
country material released into the marketplace by
PIBOs in the FY.
Plastic Waste Management (Amendment) Rules, 2022

Reducing costs across the supply

Realising new market Stakeholder emphasis on
chain
opportunities supply chain sustainability &
circularity
To tackle the environmental impact due to EPR framework focusses on minimization Responsibility of the Waste generators/
unethical Plastic dumping MoEFCC notified of Plastic Waste by segregating Plastic producers/brand owner for efficient
Plastic Waste Management (PWM) rules in 2016 Waste at source and involving informal management of Plastic Waste
to improve Waste management system via sectors such as Waste pickers, recyclers
“Extended Producer Responsibility”(EPR) and Waste processors

Highlights of Plastic Waste Management (Amendment) Rule, 2022

Mandating PIBO
Centralized Web
Classification to share recycling Carry
Portal
of Plastic certificates forward of
the web-based portal
Packaging PIBOs shall have to facilitate developed by CPCB shall
unfulfilled
Classified plastic
the details pertaining to the reflect the plastic packaging EPR
recycling certificates only from material released into the
packaging in four authorized recyclers along with marketplace by PIBOs in the
directions
primary categories i.e., the particulars of quantity FY. It will also manifest the
rigid, flexible, MLP and Stated that unfulfilled
channelled for end-of-life particulars relating to the
compostable EPR directions for a
disposal by June 30 of audit of the PIBOs and given year shall be
subsequent FY while filing recyclers or other waste carried forward to the
annual returns. processors subsequent year for
the duration of three
years.
Plastic Waste Management (Second Amendment) Rules, 2023

The Central Government of India has issued a draft notification proposing amendments to the Plastic
.Waste Management Rules, 2016. This Draft notification was issued on 16th October 2023

Key highlights

Biodegradable Plastics Inclusion of Guthka, Pan Exemption from Thickness Certification from Central
Masala, and Tobacco Provisions Pollution Control Board
Packaging (CPCB)
Manufacturers of
A new category (Category V) Compostable and The notification exempts
was being introduced for bio- carry bags and sachets for compostable and
biodegradable plastics are
degradable plastics by CPCB gutkha, tobacco, and pan biodegradable plastic carry
allowed only for producing
.for plastic EPR compliances masala from thickness bags and commodities must
carry bags, sachets for
regulations for both obtain a certificate from the
gutkha, tobacco, and pan
compostable and CPCB before marketing or
.masala
.biodegradable plastics .selling their products

Reporting Obligations for Deposit Return Schemes Color-Coded Scheme Regulated EPR Fees
Biodegradable Plastics BIS will assign distinct colours The Central Pollution Control
Manufacturers of commodities Importers, brand owners, and
or markings for packaging and Board (CPCB) will determine
made from biodegradable manufacturers of plastic commodities made from and adjust the highest and
plastics must report the products may operate biodegradable and compostable lowest EPR certificate fees
quantity of products deposit return schemes or plastics to distinguish their every six months or as
introduced into the market .buy-back systems .end-of-life scenarios .required
and pre-consumer waste
generated, starting April 1,
.2024
 EPR Regulations – Importers and Brand Owners

Producers, Importers and Brand Owners (PIBOs) to register themselves for the fulfilment of their EPR obligations. Registration of PIBOs (operating in one or two states) shall be
done by SPCB or Pollution Control Committee through the centralized EPR portal developed by CPCB

Coverage of EPR

1 EPR Target – Brand Owners 2 EPR Target – Importers

• Eligible Quantity in MT shall be the average weight of virgin plastic packaging • Eligible Quantity in MT shall be the average weight of all plastic
material (category-wise) purchased and introduced in market in the last two FYs plus packaging material and / or plastic packaging of imported products
average quantity of of pre-consumer plastic packaging in the last two FYs (category-wise) imported and sold in the last two FYs plus average
quantity of pre-consumer plastic packaging in the last two FYs minus
• The EPR target in MT category-wise, as applicable, shall be provided by Brand Owner the annual quantity supplied to the Brand Owners (BO) including online
as part of the Action Plan on the centralized portal developed by CPCB. platforms/marketplaces and supermarkets/retail chains in the previous
financial year.

Brand owners EPR target Importers EPR target

Year EPR target (%) – category wise Year Importers EPR Target
EPR target (%) – category wise

I 2021-22 25% I 2021-22 25%

II 2022-23 70% II 2022-23 70%

III 2023-24 100% III 2023-24 100%

The amendment has also emphasized on the obligations for reuse, recycling of waste and use of recycled plastic content in packaging which will be reviewed every five years
based upon available technologies for meeting the targets specified
Future plastic EPR obligations in India (1/2)
Future plastic EPR obligations in India (2/2)
State wise PWM developments

Ban on <50
Ban on Single Use
State microns Comments
Plastic Bags Plastic
Plastic
Ban on plastics <50 micron, single use plastics. Promote use of
Assam Y Y Y
sustainable alternatives like bamboo bottles
Ban on single use plastics, buy-back system of single use plastics and
Himanchal Pradesh Y Y Y
thermocol cutlery, use of waste in cement kilns, road making, recycling
No ban on thermocol. Complete ban on single use plastics, plastic carry
Punjab Y Y Y
bags and plastics less than 50 microns
Ban on single use plastics, bottles less than 300 ml, flex, PVC flex,
Kerala Y Y Y
packets, etc.
Ban on single use plastics, highly subsidize manufacture of
Madhya Pradesh Y Y Y
biodegradable packaging materials
Haryana Y Y Y Complete ban on plastic bags since 2013
Prohibition on use of plastic bags, littering, use of non-biodegradable
Goa Y - Y
packaging in Government offices, etc.
Ban on multilayered packaging, plastics less than 50 microns, single use
Chandigarh Y Y Y
plastic, etc.
Plastic waste proposed to be used for Roads & Co-Processing in Cement
Meghalaya Y Y -
kilns, recycling etc.
Manipur Y Y Y Ban on plastics <50 Microns
Ban on all single-use plastic, plastic bags, sheets – irresepctive of
Tamil Nadu Y Y Y
thickness
Ban on all single use plastics, plastics less than 50 microns, buy-back
Maharashtra Y Y Y
scheme for bottles and milk pouches, etc.
1 cr cash award for Municipality of they can become plastic free, ban on
Uttarakhand Y Y Y
single use plastics, carry bags, etc.
Gujarat Y Y Y -

Delhi Y Y Y -
West Bengal Y Y Y -
Case study : Unilever UK-FCDO
Approach

10 Cities – India and Bangladesh

Ahmedaba
Bangalore Chittagong Coimbatore Dhaka Gangtok Hyderabad Panaji Pune Puri
d

Through Secondary research and stakeholders consultation, evaluated 10 cities on the following parameters
Existing Potential for Initiatives
Overview of Overview of
Studies sustainable undertaken for Investment
Solid Waste Plastic Waste Regulations
Phase 1

pertaining to business managing Attractiveness

Management Management
Plastic Waste models plastic waste

Shortlisted five cities based on ‘City Maturity Assessment Framework. The cities were assessed on 18 parameters under the 7 heads mentioned above.
Coimbatore Panaji Puri Hyderabad Dhaka

Primary consultations were conducted with key stakeholders in each of the respective cities. A detailed plastic waste value chain was developed,
identifying the constraints, influences, and future options in each city. Based on the assessment, a scalable business case was formulated, along
Phase 2

with its envisaged impact

Private players in
State Pollution Municipal Material recovery Formal/ informal Formal/ informal End product
waste
Control Board Corporation facility (MRFs) Waste collectors recyclers manufacturers
management
Phase 3

A detailed report on the study titled 'Mapping Regenerative Plastic Waste' was prepared, incorporating the strengths, challenges, and
opportunities in the plastic waste management space. The report also identified high-level business opportunities to scale an integrated supply
chain for recycled plastics in each of the five identified cities
Phase 2 Study | Field Visit and Planning : Panaji
Methodology for field visits and data collection

Field visits were conducted by the EY team in the city of Panaji and other informal clusters across Goa state
Ahmedaba Key Highlights
Bangalore Chittagong Coimbatore Dhaka Gangtok Hyderabad Panaji Pune Puri
d
Data Collection Stakeholders
Brief Overview
Techniques Consulted
Primary consultation – • Administered in a Formal channel –
Semi structured survey for semi-structured • City Corporation of
stakeholder consultations. manner to understand Panaji (CCP)
Secondary research – the existing • Goa State Pollution
GWMC annual report, City mechanism of plastic Control Board (GSPCB)
Corporation of Panaji Website waste management by • Goa Waste Management
various stakeholders Corporation (GWMC)
Key Informant Interviews across the value chain • Feedback foundation
(KIIs) • Identify constraints, • The Shakti Plastic
- Mr. Dylan (CCP) influences and Industries
- Mr. Balaji (MRF, Feedback potential opportunities • IPCA
foundation) related to plastic Informal channel –
- Mr. Vivek Desai (GSUDA) waste management in • Waste aggregators at
- Mr Shashank (GSPCB) Panaji Colvale, Mapusa and
- Mr. Satyendra Vaidya Panaji
(Shakti Plastics)
- Mr. Ashish Jain (IPCA)

1 2 3 4
collected
Key data

Existing and
points

Plastic Waste Capital and

Policy and Management potential market
Operational
Regulatory operations at linkages for end-
Expenses for
Landscape ULB/Panaji level products
page 25 future options
Value Chain map of city
Assessment of city level value chain

Pre-processing & Market linkages for end-

Sourcing of waste
treatment product
► Panaji generates, on average, 7 ► Panaji has 12 disintegrated waste ► 100% of waste is going out of the
tonnes of plastic waste on a daily sorting stations, from which the state for treatment (rigid and
basis. sorted waste is sent to the city’s flexible) to Pan India and MLP
only MRF centre (St. Inez). cement plants in Karnataka.
► With the assistance of GIZ, TERI, and
Phase 1

Rigid/flexible mostly ends up in

UNDP, CCP has successfully ► Segregated wastes are baled or
granules and lumps, whereas MLP is
implemented a model of 16-way packed at the MRF and auctioned off
used as an alternate fuel for the
source segregation of wastes for bulk to out-of-state authorised recyclers.
cement industry.
waste generators (BWGs) and a 5- The RDF material, on the other
way source segregation model for the hand, is sent to the GWMC plant in ► Panaji is declared a "No Landfill
rest of the city. Saligao, Goa, from where it is City" by the Government of India
transferred to cement plants in (GoI), so no plastic waste ends up in
► Wastes collected by CCP through
Karnataka. landfills in the city.
door-to-door collection, street
sweeping, etc. get transferred to 12
waste sorting stations.
► Due to the tourism industry and ► The St. Inez MRF is owned by CCP ► Major buyers for the recycled
heavy floating population, around and run and managed by UNDP plastics are the automobile and
65% of plastic waste generated is of through an NGO that operates the construction industries (roughly 35–
the flexible type (i.e., LDPE, PP, MRF on a no-profit, no-loss model. 40%).
etc.). ► Waste aggregators segregate, ► Currently, there is no fixed buyer for
► 80% of the plastic waste generated shred, and bale the plastics and the waste plastics (all pre-processed
Phase 2

(mostly flexible) is managed send them to the neighbouring wastes are sold via auction only),
through informal channels. states for treatment. thereby making the exact volume of
the export market unknown.
► Under the Swachh Bharat Mission, ► Most of the recyclers are using
SUDA is carrying out many IEC Indian or in-house technology for
activities on waste management for waste recycling. i.e. extrusion for
the residents, schools, and ULBs granules, agglomeration for lumps,
and various drives for waste hot and cold pressing for upcycled
collection from public places. products, etc.
► The quality of segregated waste in
Panaji is high and can be utilised to
 Assessment of city level value chain

Pre-processing and treatment

Constraints Influences Future Option

► Overflow of waste at the existing ► No Development Zone: ► Expansion of existing MRF

MRF: facility:
• Panaji being in a coastal regulation
• Panaji has only 1 MRF centre with a zone has its own limitations related to • To efficiently pre-process the
maximum capacity of handling 15 land usage and development. collected dry wastes (including
TPD of dry waste. plastics), the existing MRF facility can
► Sole ownership of CCP for waste
• Currently, the influx of waste is be expanded by 10 TPD.
management:
around 17–20 TPD, thus creating • Formalizing the informal waste
space constraints in the existing • CCP has the sole proprietorship to
facility. collector and aggregator through
manage the waste in the city
incentivization and registration will
However, the City Corporation has (collection, segregation, baling, and
eventually increase the routing of
unutilized land of 5000 sq. ft. on the trading).
high-value plastic through a formal
same premise, which can be used to • The existing MRF is operating at more channel, making the operations more
expand the existing MRF. than 120% of its capacity. viable.
► High quantum of low-valued • CCP is looking for financial and • The latest technologies and
plastics: technical support to expand its MRF automation could lead to more waste
• The MRF receives a high quantum of by providing land and handling capacity in less space, as
low-value mixed plastic, which is infrastructure to establish the well as reduce labour dependency.
difficult to clean and requires more additional set-up.
labour to pre-process. ► Trading of waste via auction:
• In the absence of buyers, the residue
of low-value plastic waste and the • Segregated and baled wastes from
RDF stored in the MRFs create a MRF are sold via auction, so there is
space constraint. no fixed buyer for the pre-processed
waste.
► Opposition by locals:
• All the waste is going out of state for
• Panaji has previously dealt with locals' treatment.
opposition to the proposal of
Assessment of city level value chain
Market Linkages for end-products

Constraints Influences Future Option

► No waste processing facilities ► High calorific value RDF ► Waste-to-Energy Model

within the state • The RDF generated in the MRFs has a • Goa is importing electricity from other
• The pre-processed high-value plastic high calorific value due to the states to meet its own demand.
gets exported or sold to the recyclers enhanced quality of source- • The waste-to-energy model will help
from the states of Karnataka, segregated wastes.
the state manage its own waste by
Maharashtra, Gujarat due to the ► Waste-to-Energy Model channelling the RDF to generate
absence of authorised
• The Goa government is interested in electricity within the state.
recyclers/processors in Panaji and rest
of Goa. exploring options for establishing a • However, existing available
waste-to-energy plant within the state technologies are not able to comply
► High logistics costs for RDF
using environmentally sound with the air emission standards set by
transfer
technology. the Goa State Pollution Control Board.
• Inconsistency in the acceptance of
• Due to the coastal regulation zone,
the RDF by the cement factories leads
the regulations on air, water, and
to storage constraints in the MRFs.
land-related emissions are stringent
• The RDF generated gets transported in the state.
to the cement factories in Karnataka,
which adds up to logistical costs for
the local body.
Assessment of city level value chain

• The city of Panaji comes under the ambit of

the Coastal Regulation Zone (CRZ) issued
by the Ministry of Environment and Forests
(MoEF) to protect and conserve the
environment and ecosystem on the
coastline of the country.
• As per consultation with CCP, Panaji
doesn't have a designated industrial zone
due to CRZ and No Development Zone
regulations. More than 60% of the land is
occupied by residential and commercial
establishments, and the rest is restricted
under the CRZ.
• Thus, setting up a recycling facility or other
processing facility is not allowed in the
CCP's jurisdiction.
Assessment of city level value chain

Problem statement 1: The dry waste collection mechanism in Panaji is inefficient and inadequate, with more than 80% of
the waste being collected through informal channels that are difficult to trace, creating an environmental impact and health
risks to the community.
Proposed Solution - Strengthening dry waste collection
mechanism

Improving waste Integrating informal waste pickers

collection from into the formal channel Digital
generator Interventions

• Tapping informal waste collectors for high • Waste collection through

• Increasing awareness building
value plastic waste collection by offering Technological Interventions by
among the residents by
them higher rates than the free market and using GPS technology to track
educating and engaging the
incentivizing them to collect and segregate such waste collection vehicles or using
community, to improve waste
waste. sensors to monitor waste levels in
segregation and collection
• Pilot intervention – collaborating with 100 bins.
efficiency, reducing contamination
and promoting a culture of ragpickers/ Kabadiwalas to divert high
• Installing pet bottle reverse
responsible waste management. valued plastics by providing them with the
vending machines at targeted
necessary equipment and training to segregate
tourist spots to encourage people
• Implementing a user charges and collect high value plastics.
to recycle their plastic bottles,
mechanism (affordable) for door- • Social Inclusion and formalization of while also reducing litter.
to-door waste collection services, informal waste collectors by supporting them Incentivizing them through
by doing this there is an in access to social services by engaging with discounts or coupons which can be
opportunity to improve the quality local authorities to provide identity cards, health redeemable at local enterprises
and consistency of waste benefits, and insurance. only.
collection, while also generating
revenue to sustain the services. • Inclusion of informal worker in decision
making, collaboration and partnership, this
would provide them with a voice and ensure that
Intervention required by key stakeholders

► TRANSFORM’s support of microfinance for informal waste workers, particularly women and PwDs, can empower
them to become self-sufficient and improve their waste collection services.
► TRANSFORM can provide an entrepreneurial model by partnering with local communities and organizations
to create sustainable waste management solutions that provide both environmental and social benefits. By doing so,
Unilever can create a positive impact on the environment and society, while also contributing to its business objectives.

► City Corporation of Panaji can implement the user charges mechanism by collaborating with waste management
service providers. Additionally, the TRANSFORM program can provide technical assistance in designing and implementing
user charges mechanisms that are equitable and affordable for all households, especially low-income households.
TRANSFORM can also assist CCP in developing systems for revenue collection, management, and utilization.

► Local NGOs, community groups, and educational institutions can conduct awareness programs in collaboration
with the Panaji City Corporation, TRANSFORM program, or other social support programs to develop targeted campaigns,
including workshops, training programs, and educational materials and promote sustainable source segregation. This
will leverage their expertise in socially and environmentally sustainable campaigns and help build awareness among the
public for better waste management practices.

► Entrepreneurs and start-ups can innovate the dry waste collection mechanism in Panaji by developing
digital solutions such as GPS tracking, data analysis, and mobile applications to optimize waste collection routes,
reduce collection time, and monitor the collection process in real-time. By leveraging technology and innovation,
entrepreneurs and start-ups can enhance the dry waste collection mechanism in Panaji and build a more sustainable
waste management system.
Envisaged Impact

Improved quality, Integration of informal Improved hygiene and

consistency of dry waste collectors sanitation
waste and economic 100+ informal ragpickers**
benefit due to (~12% integration of informal
technological players)
interventions

Social and Economic Promote gender Sustainable waste

empowerment of waste equality and inclusion management practices for
collectors improved environmental
outcome
Potential problem areas and solution

Problem statement 2: The material recovery facility (MRF) is faced with a high influx of waste exceeding its existing
capacity, leading to inefficient waste management practices and environmental concern.

Proposed Solution - Upgrading the existing infrastructure and

expanding the facility's capacity to accommodate the increased
waste influx.
Land and Digital Interventions
infrastructure support Strengthening waste collection and Technology
from the ULB mechanism upgradation
► Trained personnel are required ► Strengthening waste collection mechanism by ► Development of a digital
to operate and maintain the introducing mobile collection units to reach areas platform or mobile application
upgraded facility, generating that are difficult to access (i.e. marine wastes), and that connects small waste
employment. partnering with informal waste collectors to expand aggregators for high value plastic
► Financial Support for new purchase collection coverage, improving reporting and with MRF and MRF with the
traceability of waste empanelled recyclers and end
and upgradation. New and
advanced machinery is required ► Attract more recyclers by giving them better markets. This platform could
for efficient waste sorting. quality products with highest purity level and can provide real-time information on the
Shredding and bailing. Existing fetch more revenue. From sale of recovered goods, availability and demand of various
machinery may also need to be the model provides extra revenue and income that waste materials, as well as facilitate
upgraded. ensures the workers’ sustained interest in their job transactions and logistics
and enhanced self-esteem. arrangements.
► Establishing partnerships between the MRF ► Implementing Smart waste
and local businesses or organizations that management technologies such
generate large quantities of specific waste as sensors and data analytics to
materials, such as paper or plastic, to ensure a optimize waste collection routes
consistent supply of high-quality materials. and improve operational efficiency.
page 34
Proposed Option: St. Inez MRF expansion model

Collection and Pre-processing (15 TPD – Existing + 5 TPD –

Generation Point Products + Market
Transportation Additional)

Category Input Processi Output

Processin Potential Recycling Market
of Dry Quantity ng Loss Quantity
g
waste (tonnes) (%) (tonnes)
Segregatio Pre-processed plastic wastes:
Rigid and Flexible
Soft Plastic 1.23 n and 20% 0.99
Door-to-door waste collection packing Target recyclers: Medium to large
by City Corporation of Panaji players in Maharashtra, Karnataka
Household PET 1.23 Baling 15% 1.05 and Gujarat region (Shakti Plastics,
Segregatio IPCA etc.)
Authorised safai saathi (street Hard Plastic 2.47 n and 10% 2.22 Potential customers of the large
sweeping)of CCP packing recyclers: (Based on primary
Cardboard 3.8 Baling 10% 3.42 consultation)
Institutions
• Automobile: 15%
Newspaper 0.71 Baling 15% 0.61
Frequent collection drives in • Construction: 15-20%
White
the residential societies and 0.95 Baling 10% 0.85 • Consumer durables: 10-15%
Paper
commercial centers
Mixed • Packaging:10-15%
1.18 Baling 10% 1.069
Commercial Paper • Agricultural products: 20%
establishments Metals 0.019 Baling 5% 0.018 • Others: 15-25%
Dry waste procured from the Aluminium 0.95 Baling 10% 0.85
• Dry waste that has been pre-
informal waste Segregatio processed is auctioned off to
aggregators/collectors E-waste 0.02 n and 50% 0.01
Street Sweeping authorised recyclers.
packing • RDF: transferred to cement plants
Baling via GWMC at zero cost from MRF
MLP 0.28 0% 0.28
(RDF)
Tetra Pack 0.019 Baling 5% 0.018
Rejects (RDF) 6.11with CCP and UNDP
Partnership 0%to operate
6.11
at
page 35
*Apart from 1.35 TPD collected by CCP via door-
to-door collection rest of the plastics wastes are existing MRF and to setup and operate expanded
collected via partnering with informal channel facility
 Business Model – Scenario Analysis (1/2)

Parameters Scenario 1 Scenario 2

Partnership with CCP and UNDP to operate at existing MRF (15

Business model TPD) and to setup and operate expanded facility (5 TPD); Establishing 4.75 TPD recycling facility
another 5 TPD (Y3 onwards)

Nature of business Material recovery facility Recycling facility

Unilever-FCDO will do investment in setting up the expanded Unilever-FCDO to do their investment by their own and debt-
Funding mechanism
facility and operations of entire facility equity ratio is 70:30

Plant capacity 20 TPD (New facility in Y1) + 5TPD in (Y3) 4.75 TPD

Types of plastic
All type of Plastic LDPE + HDPE + PET
processing

• Panaji city only has 1 MRF centre with a maximum capacity of

15 TPD for dry waste pre-processing.
• Currently, the MRF is receiving more than 60% of their • There is currently no recycling facility in Panaji and Goa
maximum handling capacity, causing space constraints in the state.
existing facility. • The quality of waste is much better due to the 16-waste
Rationale • Going forward, Panaji has a great potential for high influx of segregation model adopted by the city.
plastic waste into the MRF facility due to tourism and fishing • Growing tourism and fishing industries have increased the
industries. At present, more than 80% of plastic wastes is likelihood of a large influx of plastic waste.
taken up by the informal sector in the city; further integrating
the informal sector could be the key to increase the volume of
high-quality, high-value plastics.

Estimated Capex (GBP) GBP 37,140 (excluding land cost) GBP 4,58,435

Estimated Opex (GBP) in

GBP 8,89,624 (including material sourcing cost) GBP 5,56,550 (including material sourcing cost)
1st year
Business Model – Scenario Analysis (22)

Parameters Scenario 1 (Proposed business model) Scenario 2

Partnership with CCP and UNDP to operate at existing MRF (15 TPD)
Independent model – Establishing 4.75 TPD
Business model and to setup and operate expanded facility (5 TPD); another 5 TPD (Y3
recycling facility
onwards)

Technology Mechanical Processing (Baling, Sorting) Mechanical recycling

Viability of Business
Viable Not viable
model

• Evidence of former opposition by locals to the

proposal of establishing a waste processing
• CCP is the sole authority managing municipal waste in the city and is facility in their neighbourhood (the "Not in My
actively exploring the facility expansion model due to the growing Backyard (NIMBY)" Concept).
influx of waste. • Panaji being in a
• Due to Panaji's 16-way source segregation model, the MRF facility Coastal Regulation Zone (CRZ) has its own
receives a high quality of clean and segregated waste, resulting in limitations related to land usage and
Reasons for the processing of a larger quantity with maximum efficiency. development.
viability/non-viability • Because of the high quality of segregated waste, it commands a • As per consultation with CCP, Panaji doesn't
higher price. have a designated industrial zone due to CRZ
• High-quality plastic waste attracts prospective buyers for recycling and No Development Zone regulations.
from the neighbouring state. • Thus, setting up a recycling facility or other
processing facility is not allowed in the CCP's
jurisdiction due to strict environmental laws,
land constraints, and CRZ regulation.
The model could be replicated, given the
Scalability of the Currently, processes in the MRF facility are limited to sorting and
condition of land availability and supportive
Proposed model Baling; shredding of wastes can be explored in future.
regulations.
 Business Model Canvas

Key Partner (s) Key suppliers of plastic waste (including Technology options Cost structure and
• City corporation of Panaji sourcing volume, type of plastic) (including average costs) revenue streams
• UNDP • Authorised safai saathi of CCP
• Baler 30 ton – GBP 2250
The current MRF is being managed • Network of formal ragpickers registered with Estimated Capital
• Conveyor Belt (2) – GBP
by the Feedback Foundation with a 1 the city corporation of Panaji Expenditure (Land
• Informal waste collector/aggregator 3000
year concession period with funding Ownership Model):
• Fork lift (1) – GBP 6500
from HDFC CSR program, UNDP as a • Through collection drives at nursing GBP 37,140 (Land,
• Auto tipper – GBP 4500
knowledge partner, and CCP as the homes/hotels/beaches etc. shed, and logistics to be
provider of land, infrastructure, and provided by CCP)
The processing unit will
logistics.
function on an AI-based
Estimated Operating
technological platform for
In the expansion model, additional Expenditure:
efficient waste processing.
technology will be provided by GBP 8,89,624
Unilever-FCDO and the MRF will be
managed by the third party Details of facility operations capacity of Human resources required Estimated Revenue:
appointed by UNDP with funding proposed facility and operational details • 73 semi-skilled workers and GBP 9,13,289
from Unilever-FCDO. The role of • The proposed facility is an extension of an 12 skilled workers
UNDP and CCP will be same as existing facility with an additional waste • Periodic capacity building
current model. handling capacity of 10 TPD. The current and training for operating
facility can handle 15 TPD. machinery and awareness
Rationale for the business • Proposed Shed: 5,000 sq. ft. • Includes O&M of existing
model • Initial operating capacity: 5 TPD (additional for facilities and proposed
• Panaji city only has 1 MRF centre Y1-Y2), another 5 TPD (Y3 onwards) facilities.
with a maximum capacity of 15 • Depreciation rate: 15%
TPD for dry waste pre-processing. • Existing equipment includes an air-blower, a
• Currently, the MRF is receiving baler, a conveyor belt, a weighing bridge, a
more than 60% of their maximum water line, a fork lift, and an auto tipper.
handling capacity, causing space
constraints in the existing facility.
• Going forward, Panaji has a great
potential for an influx of plastic
waste into the MRF facility. At
Marketability of end products Key support required
present, more than 80% of plastic • Rigid/Flexible baled plastic and other pre- • Collection of Source-Segregated Waste
wastes is taken up by the informal • Dry waste collection drives
processed dry wastes: Sell to authorised
sector in the city; further • Registering informal waste aggregators
recyclers for further processing via
integrating the informal sector • IEC and ICT activities
auction/trade mode
could be the key to increase the • Rejects including MLP: Transferred to GWMC • Sorting of dry wastes at the MRF to obtain valuable
volume of high-quality, high-value
for RDF making for cement plants plastics
Intervention required by key stakeholders

► TRANSFORM’s can support by providing technical assistance and capacity building to the ULB to strengthen
waste collection, sorting mechanisms, including training for personnel on the operation and maintenance of new and
advanced machinery.
► TRANSFORM could also leverage its strong networks and partnerships to connect waste management facilities
with technology providers and support the development of innovative solutions for waste management. Smart waste
management technologies, such as sensors and data analytics, can help optimize waste collection routes, improve
operational efficiency, and reduce costs.
► TRANSFORM could provide technical and financial support to entrepreneurs and start-ups that are developing
digital platforms or mobile applications that connect small waste aggregators with Material Recovery Facility (MRF), and
MRF with empanelled recyclers and end markets. This could involve providing mentorship, incubation services, and
► support the development
City Corporation andcan
of Panaji scaling of these
provide platforms.
basic infrastructure like land, building and logistics services for
expansion and upgradation of existing facility.
► CCP can onboard the required semi-skilled and skilled workforce to pre-processes the dry wastes at the Material
Recovery Facility (MRF). CCP can ensure that all workers are covered under social security and insurance schemes as
well as to provide a safe working environment for staff, working personnel and other visitors at the MRF.
► UNDP can involve a non-profit organization for day-to-day operations and management of the Material Recovery
Facility.
► UNDP can support the City Corporation of Panaji and TRANSFORM in awareness building efforts to conduct
waste management awareness programs. The program can leverage its expertise in sustainability and environmental
education to develop health and safety workshops, skill building and material handling training programs, and
educational materials.
► Start-ups or social entrepreneurs could develop digital platforms or mobile applications that connect waste
aggregators, MRFs, recyclers, and end markets. They could also work toward implementing smart waste management
technologies such as sensors and data analytics to optimize waste collection routes and improve operational efficiency.
This could revolutionize the industry by providing real-time information, facilitating transactions, and improving
sustainability.
Envisaged Impact

Tangible Impact: Social and environmental impact by trading recyclable plastic material to the recyclers

Direct job creation Social and Economic Fairly sourced recycled

100+ skilled and semi-skilled empowerment of waste products for local and
workers during construction and
collectors international markets
1900+ tonnes per
85+ in O&M annum of plastic waste pre-
processed

GHG emissions Energy recovery

avoided 29,000+ GJ of energy
3,650+ tCO2e per recovered and utilized by cement
plants annually
annum emissions avoided
► ** As per UNDP survey, 800+ informal waste collectors ( registered + unregistered) are there in Panaji city
► Calorific value of RDF generated from Goa is around 3000 Kcal/kg as per consultation with cement plants in
Karnataka
Snapshots from our visit to Panaji
GWMC Waste management facility

MRF Facility in Panaji

Phase 2 Study | Field Visit and Planning : Puri
 Methodology for field visits and data collection

Field visits were conducted by the EY team in the city of Puri, Bhubaneshwar and Cuttack
Key Highlights
Data Collection Stakeholders
Brief Overview
Techniques Consulted
Primary - Questionnaire-based • Study was Formal - Puri Municipality,
survey for stakeholder administered in a semi- MRFs, Odisha development
consultations structured manner management program
Secondary – Odisha Govt. SOP • Conducted open ended (ODMP) NGO, SPCB-Odisha,
for waste management, UNDP interview with UNDP etc.
handbook on PWM, City respective
sanitation plan - Puri stakeholders to Informal - Waste
understand the existing aggregator and plastic
constraints, influences recyclers
Key Informant Interviews and opportunities
(KIIs) pertaining to plastic
Mr. Saroj Ku. Sahoo (Executive waste management.
Officer, Puri Municipality) • Conducted closed
Mr. Simanchala Das (SPCB- ended interviews to
Odisha) understand the
Mr. Debi Prasad Rath (UNDP) quantitative dynamics.
Policy
Mr. Susanta and(ODMP)
Tripathy PWM operations at Capex & Opex for Existing and potential
Regulatory ULB level future option market linkages for
1 Landscape 2 3 4 end-products
• Currently, no authorised
collected
Key data

• Ban on single use plastic • The city has a formal

• Capex—Puri Municipality plastic waste recyclers exist
points

operating system at the ULB

• Ban on plastic inside and HUD Department, in Puri, whereas only 3–4 big
level, where Puri Municipality aggregators are operating in
Lord Jagannath temple’s Government of Odisha
premises executes all PWM-related the city. There is a huge
(GoO)
works and the Housing and potential for setting up a
• SOPs on SWM and MRF • Opex—Puri Municipality
Urban Development plastic recycling facility
maintenance and Centre for considering the current
department (HUD) department
Environment Education, market demand for granules
of the GoO oversees and
Ahmedabad (CEE) through and lumps.
monitors implementation.
 Plastic waste value chain in Puri

Pre processing and

Sourcing of waste plastic Processing + Market
Treatment

Sourcing Point Collection Point Pre-processing Processing Market for Product

Input
Plastic waste 10.5 3 Formal Channel
generated 3 TPD 6 MRF owned by ULB : 5 TPD capacity each 1.8 TPD
TPD TPD All fig. in
Output
SE&MP Pvt. Ltd. (Empanelled
Formal Channel MTs
agency)

Operation at MRFs
54 27 19 PET HDPE PVC LDPE Uttarakhand for flex
PET 0.21 T
% % Type of 0.21 1.47 Baling making
% 0.18 0.06 1.8 TPD

Processing loss of LDPE – 19%

Plastic Kolkata and Cuttack to
Rigid Flexible MLP PP PS Other HDPE
PET 0.21 T toy making and
7% Street Sweeping 0.27 0.03 0.78 0.45 T household equipment
Granul
PP es industry
Manual segregation > sorting HDPE 0.18 T
Jagruti NGO Segregati
plastic waste into 10-15 Cuttack to sanitary pipe
Institutions on categories PVC 0.06 T
5% Baling making
PVC 0.06 T
Processin
Baling for PET Ray Scrap (Empanelled agency)
Hotels, g LDPE 1.08 T
30
Restaurants
% Cuttack for wiring pipe
0.81 T of input materials going to landfill PP 0.27 T LDPE 1.08 T
Air-blower & making
Puri Municipality
Market/ Public baling
25 places Output
% Input 5.2 Recyclers at Puri and Cuttack
Scrap dealers–26 nos.. & Aggregators–3 nos. Informal Channel
TPD

Processing loss – 5% (0.300MT)

33 5.5 TPD 5.5 TPD 5.2 TPD
Households PET HDPE PVC LDPE PP PET 0.84T
Baling
New Delhi for flex making
% 0.88T 1.82T 0.49T 1.10T 1.21T PET 0.84T
Informal Channel HDPE
Types R( F( M(% Type Segregation Processin Cuttack to toy making
Operation process

%) %) ) g HDPE1.72T 2.87 T and household

PET Green, white and ring PET Granul equipment industry
PET 90 10 0 PP es
Baling
HDPE White, colour and juice PVC 0.49T PVC 0.49T Cuttack to sanitary pipe
HDPE 100 0 0
HDPE Shredding Baling making
PVC 100 0 0
Waste Picker LDPE 1.00T
PP
Mix, white and natural PP Shredding LDPE 1.15T Cuttack to wiring pipe
LDPE 0 10 0 Lump making
2 TPD LDPE PP 1.15T
0
White, black and colour Baling
PP 80 20 0 LDPE 2.81 Landfill & Open dumping
Uncollected due
to lack of 0.81 TPD Formal and Informal
PS 100 0 0 logistics and HR MLP &
 Overview of plastic waste value chain in Puri

Pre-processing & Market linkages for end-

Sourcing of waste
treatment product

► Puri generates around 10.5 ► There are six MRFs (owned by the ► Through the tender process, the
tonnes of plastic waste on a daily ULB) in the city for processing dry ULBs selected two agencies for
basis. waste, including plastic waste.
Phase 1

forward linkages of plastic waste:

► The government has a structured ► 1 Self-Help Group (SHG) consists SE & MP Pvt. Ltd. (PET, HDPE, and
mechanism for waste collection. of 6 workers named Swachha PP) and Ray Scrap (LDPE).
Women from underprivileged Karmi (responsible for segregation
communities are encouraged to and processing) and 4 workers
operate the BOVs, whereas Jagruti named Swachha Sathis
NGO is deployed by the ULB, to (responsible for door-to-door
do the street sweeping of the awareness) who are deployed by
grand road of Lord Jagannath and the ULB at each MRF.
nearby places.
► The city's formal plastic collection ► The operational expense of each ► Puri Municipality earns
rate is very low (30%) due to the MRF is approx. INR 1,40,000 per approximately INR 1.5–2 lakhs per
month by selling dry and plastic
non-coverage of 100% of wards in month. waste.
door-to-door collection. The ULB ► Plastic waste are segregated into ► Currently, MLPs are not Recyclers at Puri and Cuttack
lacks logistical resources and
10-15 categories at the MRFs. channelled to any cement factory
Phase 2

arrangements (i.e., vehicles, etc.) for co-processing due to high

to cover all the wards. ► Average daily segregation rate is transportation and logistics costs.
350 kg per MRF.
► The city municipality has ► Organizations like UNDP, Urban
introduced a programme named ► Inert and non-recyclables waste Management Centre (UMC), and
as "express cleaning service" for are further sent to landfill while Janagraha have partnered with
BWGs to collect the wet and dry MLPs are segregated and stored state government to provide
at the MRFs. assistance to ULBs in market
waste from their premises. linkages, digital data recording,
However, due to a lack of ► Baling machine is installed at the and capacity building
enforcement, hotels are selling MRFs to bale and pack the programmes.
their high-value plastic to local segregated waste especially PET ► Waste aggregators in Puri depend
aggregators and depositing low- bottles. on other cities' recycling markets
 Assessment of city level value chain

Sourcing of plastic waste

Constraints Influences Future Option

► High presence of informal sector ► Continuous IEC initiatives by ► Intensify 100% door-to-door
: ULB: collection initiative
• Only 30% of the total waste
generated in Puri gets collected • The ULB is conducting many IEC • More light commercial vehicles
through the formal channel due to a activity programmes to promote (LCVs) are required to cater to the
lack of logistics resources (i.e., source segregation at the household need for 100% door-to-door
vehicles, collection equipment, etc.). level. collection coverage.
► Leakage of high value plastic
from formal channel: • Women from underprivileged ► Comprehensive IEC programme
• The high-value plastic waste communities, i.e., waste pickers, rag on plastic waste littering for
collected through formal channels pickers, etc., are encouraged to floating population
gets further leaked during the transit operate the battery-operated
between sources and MRFs. One of
► Incentivize waste workers to
vehicles and light commercial
the reasons stated by the formal plug leakages through formal
waste collectors was low wages and vehicles as the state government
channel
compensation aims to uplift the livelihood of waste Recyclers at Puri and Cuttack
pickers by engaging them in various • Introduction of an incentive system
► Poor waste segregation at for sweepers and waste collectors at
source: sanitation-related activities.
MRFs to plug leakages in the formal
• Bulk waste generators such as ► Lack of specific regulation and
hotels and restaurants are less collection process.
enforcement for bulk waste
concerned about waste segregation generators
due to the absence of strict
monitoring and enforcement by ULB.
► High fluctuation in waste
generation:
• Puri being a pilgrimage centre, there
is a huge influx of tourists in the city
every day, which increases the
 Assessment of city level value chain

Pre-processing and treatment

Constraints Influences Future Option

► Weak forward linkages ► Local and state government ► Setting up the recycling facility in
• Puri generates 2 TPD of MLP, which initiatives to strengthen forward PPP mode
linkage • Develop a recycling facility in
has zero market value in the Odisha
recycling market. The nearby cement • Puri Municipality has onboarded two collaboration with Puri Municipality or
factory that can consume these aggregators for plastic waste forward through a joint venture with local
wastes is 400 kms away, making it linkages. recyclers for recycling plastic waste.
financially unviable to transport, and • The government of Odisha has signed ► Modern technological
thus these wastes ends up in landfills.
a letter of intent with UNDP to link interventions
► No authorised recycler in Puri suitable recyclers with all the ULBs of • Provide technological intervention by
• Puri doesn't have any authorised the state for the smooth flow of
developing an e-platform to attract
processed materials.
recycling facility, and thus there is a recyclers from across India and obtain
dependency on recyclers from higher sale prices for processed or at Puri and Cuttack
Recyclers
Cuttack, Bhubaneshwar, and Kolkata. recycled products.
Assessment of city level value chain

Pre-processing and treatment

Recyclers at Puri and Cuttack

Assessment of city level value chain

Market Linkages for end-products

Constraints Influences Future Option

► Weak forward linkages ► Local and state government ► Setting up the recycling facility
• Puri generates 2 TPD of MLP, which initiatives to strengthen forward in PPP mode
linkage • Develop a recycling facility in
has zero market value in the Odisha
recycling market. The nearby cement • Puri Municipality has onboarded two collaboration with Puri Municipality
factory that can consume these aggregators for plastic waste forward or through a joint venture with local
wastes is 400 kms away, making it linkages. recyclers for recycling plastic waste.
financially unviable to transport, and • The government of Odisha has signed ► Modern technological
thus these wastes ends up in landfills. interventions
a letter of intent with UNDP to link
► No authorised recycler in Puri suitable recyclers with all the ULBs of • Provide technological intervention by
• Puri doesn't have any authorised the state for the smooth flow of developing an e-platform to attract
processed materials. recyclers from across India and
recycling facility, and thus there is a
Recyclers at Puri and Cuttack
dependency on recyclers from obtain higher sale prices for
Cuttack, Bhubaneshwar, and Kolkata. processed or recycled products.
 Potential problem areas and solution

Problem statement 1: Puri city faces significant challenges with plastic waste recycling, as both formal and informal sectors lack proper
recycling infrastructure. The Material Recovery Facilities (MRFs) are only partially operational due to the low input quantity of plastic waste and
limited skills among workers in terms of segregation and machine operation. Moreover, the absence of authorized recyclers operating within the
city limits has led to a dependence on external markets for plastic waste recycling.

Proposed Solution – Establishment of material recycling centre (MRC)

Strengthening the material flow Improving plastic waste recycling

mechanism

• Rural-urban convergence – The proposed intervention includes • Improve recycling rate – Establishing state-of-art facility in the
the collection of plastic waste from rural and semi-urban areas of city by installing advanced machineries for plastic waste recycling,
Puri district which is aligned with the SBM (Grameen) and Odisha engaging women SHGs for MRC operation and management and
state MRF management SOP. This will improve the plastic waste upgrading their skill through continuous skill upgradation
collection rate in rural areas. programmes and developing marketing strategies for the recycled
materials to attract authorized recyclers to the city.
• Engagement with the informal sector - Purchasing plastic
• Less waste to landfill – Reducing the quantity of waste sent to at Puri and Cuttack
Recyclers
waste from informal sectors such as waste pickers and local
landfills can be achieved by processing, recycling, or recovering the
aggregators who are handling around 52% of plastic waste in the
majority of the waste that is received at the MRC. This can be
city. This will give them a regular flow of income and reduce their
accomplished by installing advanced machinery to reduce the
financial vulnerabilities.
processing loss and implementing proper inventory management.
• Improving the efficiency rate of MRFs – Providing skill-based • Processing the low value plastic– The majority of waste received
training and conducting capacity-building programmes such as at the MRFs in Puri consists of low-value plastics such as LDPE and
training on segregation, inventory management, machine MLP, which are currently not being processed by any recycling
operation etc. to women-SHGs working at the MRFs in facilities in the area. To address this issue, the proposed intervention
collaboration with local NGOs. involves installing machinery, such as an agglomeration and
extruder system, to process LDPE and create lumps that are in high
• Intensifying 100% door-to-door collection – Provide funding demand in the local pipe market of the state.
support to Puri Municipality to purchase LCVs to cover all wards for
 Potential problem areas and solution

Problem statement 1: Puri city faces significant challenges with plastic waste recycling, as both formal and informal sectors lack proper
recycling infrastructure. The Material Recovery Facilities (MRFs) are only partially operational due to the low input quantity of plastic waste and
limited skills among workers in terms of segregation and machine operation. Moreover, the absence of authorized recyclers operating within the
city limits has led to a dependence on external markets for plastic waste recycling.

Proposed Solution – Establishment of material recycling centre (MRC)

Strengthening the material flow Improving plastic waste recycling

mechanism

• Rural-urban convergence – The proposed intervention includes • Improve recycling rate – Establishing state-of-art facility in the
the collection of plastic waste from rural and semi-urban areas of city by installing advanced machineries for plastic waste recycling,
Puri district which is aligned with the SBM (Grameen) and Odisha engaging women SHGs for MRC operation and management and
state MRF management SOP. This will improve the plastic waste upgrading their skill through continuous skill upgradation
collection rate in rural areas. programmes and developing marketing strategies for the recycled
materials to attract authorized recyclers to the city.
• Engagement with the informal sector - Purchasing plastic
• Less waste to landfill – Reducing the quantity of waste sent to at Puri and Cuttack
Recyclers
waste from informal sectors such as waste pickers and local
landfills can be achieved by processing, recycling, or recovering the
aggregators who are handling around 52% of plastic waste in the
majority of the waste that is received at the MRC. This can be
city. This will give them a regular flow of income and reduce their
accomplished by installing advanced machinery to reduce the
financial vulnerabilities.
processing loss and implementing proper inventory management.
• Improving the efficiency rate of MRFs – Providing skill-based • Processing the low value plastic– The majority of waste received
training and conducting capacity-building programmes such as at the MRFs in Puri consists of low-value plastics such as LDPE and
training on segregation, inventory management, machine MLP, which are currently not being processed by any recycling
operation etc. to women-SHGs working at the MRFs in facilities in the area. To address this issue, the proposed intervention
collaboration with local NGOs. involves installing machinery, such as an agglomeration and
extruder system, to process LDPE and create lumps that are in high
• Intensifying 100% door-to-door collection – Provide funding demand in the local pipe market of the state.
support to Puri Municipality to purchase LCVs to cover all wards for
Proposed Option - CEE Proposed Model to Puri Municipality

Collection and
Generation Point Transportatio Pre-processing Recycling
n

Decentralised Centralised MRFs Material Recycling Centre

MRFs (MRC)
Household Govt. will CEE through it
service Government will provide the
provide land, land, building and electricity
building and provider ODMP
Household will install connection
5 MRFs (Owned electricity machineries
connections and bear the
by Govt.)
Residential Welfare Opex for 4
operated by Improving
yearsplastic waste recycling
Association (RWA) women SHG mechanism MRC -12000 Sq. ft.
1 MRF to be operated by Pellet will be made out of the
Primary and ODMP Pre-processed waste
Secondary Baling, air blower and A agency will be selected by
Market/ Public Segregation shredding machine to be CEE to operate the MRC
Place installed
Puri Municipality Recyclers at Puri and Cuttack

• Role of ODMP
Monitoring of Inflow of Material Role of selected agency
MRF Puri Municipality ODMP will • The selected agency will
Street operations purchase ODMP will purchase pre-processed
Sweeping • Training and all types of purchase plastic waste from ODMP and
saleable high value
Capacity dry and nearby areas
building to plastic plastic from • The selected agency will pay
SHGs waste from local WP, monthly rent to PM
Hotels, • Social 5 MRF’s Kabadiwala • The selected agency will bear
Restaurants, and and BWGs
Ceremonial Hall inclusion the Opex and machinery cost
activities Panchayats
 Potential Business Model Option for Unilever-FCDO

Collection and
Raw Material Recycling End Market
Transportation

1.7 TPD Input – 4.7 TPD

Centralized MRF Potential Recycling Market
of Puri Material Recycling Centre (MRC)
1.96 Granules (HDPE and
Rural areas of TPD PP)
Puri 1.400 0.100 0.200
T T T Jagatpur, Cuttack – 80 kms
2.400 1.200 1.100
Collection by T
• Govt will provide T
the land, buildingTand electricity
Unilever-FCDO connection
• Unilever-FCDO to set-up machineries and bear the Opex
MRFs of 2 TPD
Bhubaneswar • Manpower – 38 nos. (3 SHGs as per state Govt. norms)
• Land - 12000 sq. ft. & built up area – 9600 sq. ft.
MRFs of Cuttack Image credit: Vaibhav Gupta

1.000 0.500 0.500

Processing of Material
T T T
LDPE Air Blower
1.68
Lump (LDPE)
Collection by Extrude TPD
Institutional set-up Grinder Recyclers at Puri and Cuttack
Unilever-FCDO r
with BMC & HDPE Washing Mancheswar, Bhubaneswar – 60
Shredde
CMC/empanelled
r
and kms
Drying Lump &
agencies PP
1 TPD Granules
Output – 3.63
TPD (Processing loss – 1.065 TPD)

0.600 0.400
Informal T T
Aggregator Collection by 1.680T 1.020 0.935T
aggregator T Image credit: Brototi Das

Partnership with CEE/Puri Municipality to operate

at MRC
Business Model – Scenario Analysis (1/2)

Parameters Scenario 1 Scenario 2 Scenario 3

PPP model - Unilever-FCDO to collaborate with Puri Independent model – Unilever- MRF model - To operate in the MRFs
Business model Municipality (PM) and CEE for operating the material FCDO to establish recycling facility by as an implementing agency in
recycling centre. its own without any govt. partnership partnership with Puri Municipality
Nature of business Recycling Recycling Pre-processing
Puri Municipality will provide land,
Puri Municipality to provide land, building and pre
building and preinstalled electricity
installed electricity for MRC. Unilever-FCDO to install
Funding mechanism Same as scenario 1 while Unilever-FCDO to set up
machinery and bear the operational expenses for the
machinery. Unilever-FCDO will carry
MRC.
O&M in partnership with third party
Initial capacity 4.7 TPD , and will be operating at
14.92 TPD in 10 years with 6.2% CAGR for the waste Initial capacity 5 TPD and will be
Plant capacity Same as scenario 1
generation in Puri and 10% escalation rate for selected operated at 12 MTs in 10 years
collection sources.
Types of plastic
LDPE, HDPE, PP LDPE, HDPE, PP All types of plastic
processing
• The existing MRFs in Puri are
unable to handle the volume of
• There are no big recyclers operating in the city, which enables easy market entry and zero waste that was being received due
competition. to fluctuations in the quantum of
• The majority of materials coming to the MRF are low-value plastics, i.e., LDPE and HM (49% of waste and inefficiency in
total incoming waste). processing.
• None of the aggregators in Puri process LDPE or HM due to their low weight, which requires • Due to a lack of systematic
Rationale
more efforts and additional labourers for collection. intervention, workers in MRFs lack
• There is a greater demand for high-quality lumps (LDPE and PP) and granules (HDPE) in the technical knowledge.
pipe-making industries and the toy and household equipment-making industries, • The government is continuing to
respectively, in the state. Currently around 18 registered granule and lump manufacturers explore the PPP model, exploring
are operating in the state at 213 TPD capacity. the provision of land, buildings,
and preinstalled electricity to the
service provider.
Estimated capex • GBP 1,04,553 (machinery and basic infrastructure) • GBP 3,31,160 GBP 43,160
page 54
Estimated opex in 1st
• GBP 4,10,359 (including material sourcing cost) • GBP 4,36,369 GBP 2,66,723
year
 Business Model – Scenario Analysis (2/2)

Parameters Scenario 1 Scenario 2 Scenario 3

PPP model - Unilever-FCDO to collaborate Independent model – Unilever-FCDO to MRF model - To operate in the MRFs as an
Business model with Puri Municipality and CEE for operating establish recycling facility by its own without implementing agency in partnership with Puri
the material recycling centre. any govt. partnership Municipality
Mechanical recycling (details are given in
Technology Same as scenario 1 Mechanical processing
business model canvas slide)
Viability of
Viable Not viable Not viable
Business model
• The government is ready to support • Material sourcing through the formal • CEE is in discussion on a similar model with
Unilever-FCDO in terms of capex, i.e., land, channel will be an issue as there is no Puri Municipality under HDFC CSR funds; thus,
buildings, and pre-installed electricity. commitment from the government. Puri Municipality is keen on exploring
• CEE-ODMP intervention at the MRF level • Private sector entry will increase peer alternative opportunities.
will streamline the material flow upstream. competition in the space, further resulting • Processing of MLP and polystyrene will be an
Reasons for • Competitive advantages in material in segregated market share. issue due to their zero market value.
viability/non- • Currently, the government operates MRFs with
sourcing due to government MRF linkages.
viability
a capacity of 5 TPD (3000-5000 sq. ft.);
establishing MRFs with greater capacity in the
future will require more space, which may be a
constraint for the government due to land
allocation.
• Huge upfront capex in this case, Similar
• A similar model can be replicated in other • Unilever-FCDO can explore collaborating with
Scalability of the model can be replicated given the
parts of the state in collaboration with ULB larger ULBs such as Bhubaneswar, Cuttack,
Business model condition of lower capex and consistency
and the state government. Berhumpur etc. for the MRF model
in quantum of waste.
Reasons for not opting for other types of plastic waste processing

MLP
PET
• There is no existing value chain for MLP processing in the city due to its
• Low quantity of PET collection in the formal channel.
zero commercial value and the added labour required for its low weight.
• Too many players are engaged in an informal channel to collect the PET
• The nearest cement factory is 400 kilometres away, resulting in high
bottles.
logistical costs for MLP channelization.
• Irfan Brothers & Co. (a registered recycler) is going to set up a recycling
• Requirement for additional space for MLP storage.
facility for PET bottles in Puri district soon, which will create an entry
barrier for Unilever-FCDO to set up PET recycling in such a small market.
page 55
Business Model Canvas

Key Partner (s) Key suppliers of plastic waste (including Technology options Cost structure and
• Puri Municipality sourcing volume, type of plastic) (including average costs) revenue streams
• Housing & Urban Development • Odisha Development Management Programme: Mechanical recycling with • Estimated Capital
Department CEE service provider; 1.2 TPD (75% LDPE, 25% following machines are to be Expenditure: GBP
• Centre for Environment HDPE, and PP). installed: 1,04,553 (land,
Education • Informal sector: waste pickers and aggregators: 1 1. Air blower – 300 kg per building, and electricity
TPD (HDPE and PP) hour output with 10 HP to be provided by ULB)
Rationale for the business • Rural areas – Puri district, 0.5 TPD (LDPE). motor
model • Ecokart and Ashima Bio earth – Empanelled 2. Shredder -250 kg per hour • Estimated Operation
• None of the aggregators in Puri agencies of Bhubaneswar and Cuttack for plastic output with 25 HP motor Expenditure:
process LDPE or HM. – waste- 2TPD (50% LDPE, 50% HDPE & PP) 3. Grinder – 200 kg per hour GBP 4,10,359
• There is no big recycler output with 15 HP motor
operating in the city, which 4. Extruder – 300 kg per hour • Estimated Revenue
enables easy market entry and output with 40 HP motor (per ton): GBP
zero competition. 5. Washing line – 500 kg per 4,39,604
• The majority of materials hour capacity with 60 HP
coming to MRF are low value motor
plastics, i.e., LDPE and HM.
• In the local pipe market, there Details of facility operations capacity of Human resources required
is a high demand for high- proposed facility and operational details • Site supervisor – 4 nos.
quality lump. • Building area: 12,000 sq. ft. • Worker for MRC – 30 nos.
• HDPE and PP granules are in • Built-up area: 9600 sq. ft. • Driver – 2 nos.
high demand in the household • Initial operating capacity: 4.7 TPD • Security guard – 2 nos.
equipment and toy making • Escalation rate: 10%
industries in the state. • Depreciation: 15%
• Machineries required: air blower, shredder, grinder
extruder, weighing bridge, water line

Marketability of end products Key support required

page 56 • Lump: nearby potential markets—Mancheswar, • Pre-processed material will be collected from a
Bhubaneswar (Lump can be used for pipe making). centralised MRF operated by OMDP (CEE service
Intervention required by Key
stakeholders
► TRANSFORM can provide the gap funding for the MRC establishment and operation i.e., machinery, raw
materials purchasing, LCV procurement etc.
► TRANSFORM can create a collaborative entrepreneur model by partnering with certain waste management
agencies (service providers) to operate and manage the MRC.
► TRANSFORM in collaboration with certain national or regional agencies can provide various skill upgradation
training related to plastic waste segregation and processing to the women SHGs and waste picker communities.

► Puri Municipality can provide the land and infrastructure with installed electricity and water connections for the MRC.
► Puri Municipality through its own resource can do the door to door collection of waste from households, institutions,
market places etc.
► Puri Municipality can create synergies between other Govt. departments and stakeholders.
► Puri Municipality will obtain consent to establishment (CTE), consent to operation (CTO) and other necessary approvals
from the State Pollution Control Board.
► Puri Municipality will establish a single point of contact by appointing a nodal officer to support the project
implementation in the city.

► Under its nationwide dry waste management program in partnership with HDFC bank, CEE has
submitted a proposal to Puri Municipality in which they intend to offer technical assistance for MRF operations,
and oversee the activities of the MRF.
► CEE can provide support to enhance the operational efficiency of MRFs and contribute to the empowerment of
MRF workers by providing trainings and capacity building programmes.

► ODMP is a local NGO and service provider of CEE in Puri. They’ll collect the plastic waste from decentralized MRFs
and segregate and pre-process the collected waste at centralized MRF. The pre-processed waste will serve as the
raw materials for MRC.
page 57
► ODMP through its network of NGOs can support in collection of plastic waste from rural areas and informal sector.
 Envisaged Impact

Improved material Improve the waste Sustainable means of

recycling and recovery collection rate in rural livelihood for waste
rate areas pickers
5000+ MTs 500+ MTs 30+ direct engagement
170+ indirect engagement

Environmental Create system thinking

sustainability by approach
processing low value
plastic
page 58
Potential problem areas and solution

page 59
Sustainable roadmap for SHGs

Long term
growth &
sustainability

• Engagement
of SHGs in
MRC for Internal
operational
work.
gearing
• Learning &
SHG
training
of
programmes c le
• Quarterly Stabilization cy
e
Lif
• Social protection programmes linkages
health checks
up • Knowledge enrichment and internal
development through trainings and
capacity building
Formation • Regular and fair wages
• Internal and external lending
• ULB/Govt. recognition
page 60
Intervention required by Key stakeholders

► TRANSFORM can provide initial funding for the proposed social protection programme.
► TRANSFORM can partner with any national or regional NGOs/CBOs/agencies to execute the social protection
programme on ground.
► An establishment of a facilitation centre near the Waste Picker (WP) community could be considered as a one-stop centre
for WPs to do the collection and documentation of applications for various Govt. schemes.
► TRANSFORM can create an entrepreneur model for plastic waste upcycling by engaging the women WP SHGs.
► Puri Municipality can provide land to establish the facilitation centre for social protection programme.
► Puri Municipality can play a facilitative role in linking waste pickers with various government schemes by collaborating
with other government departments.
► Puri Municipality can provide ULB identity cards to waste pickers who are engaged directly or indirectly with the MRFs
and MRC.
► Puri Municipality can create a working committee under the chairpersonship of district collector to monitor the
progress.

► UNDP has already implemented similar programme in Bhubaneswar, Odisha in 2021.

► UNDP can be a knowledge partner for the social protection programme.
► UNDP can develop various knowledge products like posters, handouts, leaflets, brochure etc. for the social protection
programme.
► UNDP can develop the training modules and conduct training programmes for waste pickers.
page 61
Intervention required by Key stakeholders

Skill upgradation Integration of informal Women Empowerment &

200+ informal waste waste pickers Quality Health to all
pickers 200+ 20+ SHG groups

Enable most Recognition and Support for governments

marginalized to register, acknowledgment of in coverage of national
access and avail the waste pickers’ strategies, policies and
benefits from SPP contribution in waste laws pertaining to social
page 62 management sector protection.
Potential problem areas and solution

page 63
Intervention required by Key stakeholders

► TRANSFORM can provide the funding to run the IEC campaign in the city.
► TRANSFORM through its service provider can collect back the deposited plastic at Aahar centre to the MRC.
► TRANSFORM can partner with certain digital service providers to implement the QR code-based segregation tracking on
a pilot basis.
► TRANSFORM can develop the prototype for the various IEC materials required for the programme.
► TRANSFORM can engage with local NGOs to conduct IEC activities on the ground
► Puri Municipality can obtain necessary approvals from other Govt. departments to run the Meal for Plastic programme
in Puri.
► Puri Municipality can link all the IEC activities performed by TRANSFORM to its Swachh activities under the Swachh
Survekshan to improve the overall city ranking.
► Puri Municipality can bear the printing cost of various IEC materials.
► Puri Municipality can coordinate with other relevant stakeholders to implement the IEC activities in the city.

► Local NGOs can execute the IEC programmes on ground, conduct trainings programmes for BWGs workers, raise
awareness among floating population on effective waste management practices.

page 64
Envisaged Impact

Improved awareness Better participation Improved segregation rate at

level among citizens and adaptation BWGs level
and floating population towards effective
waste management

page 65
E-waste management
E-Waste Global Perspective

Global E-Waste Generation (MnT) and Recycling E-waste

Recycling Rate Kg per
Rates (%) Country Generation
(%) capita
(MnT)

13 MnT 12 MnT 25 MnT China 10.1 20% 7.2

09
42 USA 6.9 15% 21
% % 12
% India 2.9 7%1 2.4

1
Japan 2.6 75% 20.4
3 MnT %
Brazil 2.1 0.7% 10.2
0.7 MnT
9
Germany 1.6 65% 19.4
%
Russia 1.6 23% 11.3

Indonesia 1.6 0.1% 6.1

UK 1.6 59% 23.9

Total World’s E-Waste Generation (2022) –
53.6 MnT France 1.4 54% 21
1
Due to dominant informal sector and low collection and recycling rate
x Annual Generation (MnT) Recycling Rate (%) among formal players, India’s formal recycling rate is low

India has a high growth rate with a CAGR of 10% till 2030

Asia with a CAGR of 7.6% generates 47% of the world’s total E-Waste, however its recycling
rate (12%) is far less than that of Europe (43%). India has one of the lowest kg per capita
page 67
generation and recycling rates amongst top 10 countries
Global Players in the business of E-waste Recycling

Umicore, Belgium Boliden, Sweden

Aurus, Russia
350,000 TPA 26,000 TPA
R1
R2 • Total capacity: 900,000 TPA
R1
• E-scrap feed: 120,000 TPA
Mitsubishi Materials,
SIMS Recycling, USA Japan
2 Facilities
26 facilities R1
R1 • Total capacity: 558,000 TPA
globally
• E-scrap feed: 160,000 TPA
430,000 TPA

Shan Poornam, Malaysia

Aurubis, Germany

450,000 TPA R1 24,000 TPA

R1 Route-1
R1

India R2 Route-2
• 10,000 recyclers mostly unregistered, and till L2
• Crude & fragmented L3 recycling 1
PM: Precious Metals
• Low yields and low-quality assets configs

E-waste/ PCB recyclers: Integrated smelters: majorly E-waste/ PCB recyclers: E-waste/ PCB recyclers:
dedicated recyclers focused on copper smelters, with 10-15% e- R1 Pyrometallurgy + Electrowinning R2 Pyrometallurgy + Electrorefining
e-waste/ PCB waste input feed + PM1 refining route + PM refining route
page 68
E-waste recycling is a globally proven profitable & scalable business. Large scale opportunity to pioneer
ITEW & CEEW - Recoverable value distribution (Base Metals & Precious
Metals)
Break Up (By Weight in KT) Break Up (By Value in Cr)
I ITEW 1400 8800
(3%) (22
310
(39% %)
800 KT ) 40,200 Cr
489 3000
(60.9 0
%) 0.3 Base Metals (75
(0.1 (Cu, Al, Fe) %)
%) • Cu recoverable value: 6,700
Precious Metals Cr
• Au recoverable value:
CEEW 20,000 Cr
Plastics
II & Others 2600
(16%
1200
200)
(57%
(1%)
2100 KT 0.00 ) 16,300 Cr
3
1350
900 (Neg
0
(43% ligi-
(83%
) ble
• ) 7,500
Cu recoverable value:
%) Cr
CEEW constitutes 73% of the Total E-Waste by volume, however, 70% of the overall value lies in
page 69 ITEW
 Shortlist of Equipment based on Business potential screen
• Total recoverable value of Equipment of
600,000
interest: 45,000 Cr Interest are classified
• Total volume: 1.4 MnT by the recoverable
value from Metals (Cu,
Refrigerator
500,000 Al, Fe and PMs) and
Rs 3,100 Cr
respective availability
of the same
Generation (MT) of interest

400,000

Small Kitchen Equip Mobile

Rs 20,000 Cr
TV Laptop &
300,000 Computers
Small HH Equip

WM Computers
AC
Rs 8,600 Cr
200,000 Rs 3,100 Cr
Mobile & Telecom
Others
Towers
(light, toy, etc.)
CEEW
100,000 Small IT Equip. Laptop
Rs 4,500Cr
Microwave Telecom Tower
Rs 5,000 Cr
0 Refrigerator & ACs
0 200 400 600 800 1000 1200 1400

Recoverable Value of interest (Rs./Kg)

Mobile Phone: Constituents
Mobile Phone Constituents Break-up
(By Weight)
Avg. Wt – 150 gm

A4 IC Fe 28% Others
9%
Small IC 14%
Al
15% Plastics
10% 28%
Cu 10%

Apple iPhone 6S PCB Body Metals PCB Body (Plastics +

Others)

Recoverable Material across constituents

Enclosures
(By Recoverable value)
IC’s
of iphone-Al, Rs 93/kg Rs 512/kg
Recoverable Value–Rs.
Cu, steel
25%
617/kg
PGM
Rs 12/kg
Camera and face 3%
ID- Cu, Au, Steel Ag

Gold Plating Au 50%

Fe
Al 2% Others 2%
3% Cu
Cu 10% Plastics
5%
Nokia feature phone PCB Body Metals PCB Body (Plastics +
Others)
PCB contributes to >80% of the total recoverable value. Body (Metals) contribute to around
15%
Source: EY Analysis, E-waste monitor, IDC, Canlys, report on extraction of precious metals from e-waste and Metallic Materials, qamp data. Detailed HSN level equipment data analysis is
Mobile Phone: Market Size
Body (Metals) Body (Metals)
Body (Metals)
Recoverable (By Weight in
Current Market Size & Projections (Rs. Cr) Recoverable(By
Recoverable Value
(By in
Value
Tons)
Total – 1,56,000 90000
inCr.)
Cr.)
Total – 3,000
T Cr.
GR
CA % 35,000
7 .2
2,100

20,000 600
33,000 33,000 300

Cu Al Fe Cu Al Fe
FY22 FY30 (P)
PCB PCB
PCB
Market Size (FY22) Total Recoverable (By Weight in Recoverable(By
Recoverable Value
(By in
Value
Tons) 32000
Total –49,000 T inCr.)
Cr.)
Total Volume (in Tonnes) 3,26,000 Total – 16,500
15,500
Cr.
Total Value (Rs. Cr) 20,000
Body (Metals), Rs. Cr 3,000
17,000
PCB (Value), Rs. Cr 16,500 950
50
Body (Plastics & Others), 130
500
Rs. Cr
Al,Cu,Fe PM Others Al, Cu, Fe PM Plastic+Others

PCBs of Mobiles has a current market size of ~16,500 Cr and Base Metals have a size of ~ 3,000 Cr (65%
Copper)
Overall Market size of Mobiles is projected to Increase at 7.2% CAGR
Source: EY Analysis, E-waste monitor, IDC, Canlys, report on extraction of precious metals from e-waste and Metallic Materials, qamp data. Detailed HSN level equipment data analysis is
 Sourcing Model for E-waste recycling in India
Sourcing Model
PAN India
• Initial Phase:
Initial NCR cluster* CEEW
• Expansion ITEW
Phas
e Phase: Pan India PCB
Chandigarh
Infra Model
Delhi, NCR
Expansion Jaipur
Phase NCR cluster
Ahmedabad Owned/Self Dismantling Pre- Base Metal/ Collection
Jamshedpur Managed Operations processing PM Extraction Centre
(L1) (L2) (L3)
Kolkata
PAN India
Outsourced/ Dismantling Pre-processing Collection
Mumbai
3rd Party Operations (L1) (L2) Centre
Pune
Channel Selection
Expansion
Hyderabad Phase
• Samsung Takeback and Recycling (STAR) program
Bengaluru
Formal
Chennai Channel • Bulk • Large
• PROs Long
Consumers Dismantlers
Contracts
Kochi Informal • Small, Medium, & Large Aggregators
App. based (Spot
Channel Contracts)

Radius of 500 kms

*Delhi NCR is the major cluster for aggregation of E-waste
*E-waste flows from other regions to NCR due to large presence of informal
recyclers
 E-waste: Recycling Process Overview
Dismantling Shredding and Processing Recycling

Collection, Aggregation and Dismantling Depopulation and pre-processing of PCB’s Base Metal and Precious Metal Recovery
L1 L2 L3.1 L3.2
PCB Recycling  Depopulated PCB Concentrate
Populated PCBs (-) Fe (-Al) Anode Slime
PCBs

Shredding and Pyrometallurgy +

Depopulation of PCBs Mechanical Electrorefining/ Hydrometallurgy
Separation Electrowinning
Diodes Ferrous metals Copper • Gold
PCB sourced directly Capacitors • Silver
Non Ferrous
from the market • Platinum
Heat Sink metals (Al)
group metals
Non-metals
• Value
spread Rs. X Rs. 1.5X Rs. 2X Rs.3X Rs.4.5X Rs.6X
(Laptop)
Collection Aggregation Dismantling Shredding + BM extraction PM extraction
Whole good E-waste Separation
recycling 
Manual dismantling Separation Ferrous and Non Ferrous metals
Shredder
of E-Waste
Compressor removal
from CEEW
PCB removal from
ITEW Demand of Precious metal in Indian
Whole good Screen, glass, battery market
ITEW/CEEW removal from ITEW

Maximum realizable value is through precious metal recovery at L3 stage only

Tyre waste management
Overview of India tyre market
India 3rd largest producer of natural rubber 4th largest consumer of natural rubber

₹ 75,000 Cr 189 million tyres

Overall revenue of India’s India’s overall tyre volume
tyre industry as of FY22 as of FY22
India Tyre
Market
Outlook 3 million tyres
₹ 3,500 Cr, 1.5mn
India imports ~3 mn tyres
tons Estimated size of for recycling over and
rubber and tyre recycling above the domestic waste
industry in India as of FY23 tyres available

Tyre Market 2022 (in million tyre

units)
11 8 189
21
44
Market 105
Segments

*ELT: End of life Tyres

Data source: Statista and EY research
 Waste tyre recycling value chain in India
Tyre waste recycling value chain Description of Key Value Chain Stages
1 Waste tyre collection Procurement 1 Collection: Consumers and businesses dispose of
cost: waste including waste tyres. Some of the plastics
Post
consumer/ Uncollected collected by curb side & non-curb-side routes go
post industrial wastes • INR 8-10/kg
Consumers/ wastes Scrap dealers/ (Domestic) through scrap merchants while rest collected as
Landfill general waste goes directly to landfill
Industrial end uses Importers 1
• INR 5-7/kg
(Import)2
2
Recycling: The tyre is extensively designed with
2 several complex processes which makes it
Predominantly
Waste tyre For civil
indestructible in nature and creates difficulty in the
informal recycling engineering Selling cost: recycling of tires. However, advanced techniques
players applications
1 2 3
such as pyrolysis, cryogenic grinding, mechanical
4 5 6
Tyre Tyre • Pyrolytic shredding, chemical recycling can help in recycling
Tyre Crumb oil: INR 40 -
recycling Tyre Re- Tyre derived Mechanical derived the tires for various application and protect the
rubber 50/litre
processes treading Pyrolysis fuel shredding aggregat environment.
production • Shredded Notable players
(TDF) e (TDA)
tyres: INR
15-20/ kg
Primary
• TDF – INR
Pyrolytic Carbon Steel Crumb Shredde Rubberize 20-25/ kg
outputs/ TDF
Rubber d Rubber d asphalt TDA
Oil Black Wires
By-products 4 1 4 1 4 1 4 4
35-50% 35% 15%
3
Recycled Product Market: By-products from
3 Key Applications different recycling processes are used for various
• Cement commercial and industrial applications. The typical
• Fuel oil for • Tire Manufacturin •
output of recycled products in Indian scenario4 are:
Sports surfaces
industrial or production g • automotive industry
boiler heating • Industrial • Pulp & Paper Pyrolysis ~ 30% TDA ~ 10%
• construction
• DG Sets rubber • Electric
Utilities TDF ~ 20% Art & Decor ~ 5%
Crumb
~15% Manufacturing ~5%
Rubber
Construction ~ 10% Others ~ 15%

Source: 1: Connect2India, 2: Indiamart and 3: Volza 4: Data mentioned for % split by recycling methods illustrative and not validated
Source: Indian Tyres To Landfill Around 40 Million Per Annum | ... (environmental-expert.com), We expect to add another 6-8 re-treading plants in the next three years (equipmentindia.com),
 Waste tyre recycling scenario in India
~30% of the 1.5 mn tons of ELT* recycled by formal sector
Generation Treatment Key Takeaways
0.45 million • Expanding vehicle fleet, surging
tonnes new vehicle sales and booming
62 million tonnes construction industry are the
India generates around 62
30% of waste tyres are major factors expected to boost
million tonnes of wastes channelized to authorised demand for tires across India in
annually recyclers in India the coming years.
• Moreover, growing urbanization
0.15 million and rising disposable income are
tonnes likely to further steer growth in
the country’s tire market at the
10% of waste tyres are rate of 8.8%1
1.5 million tonnes recycled through informal • The country produces
channel approximately 650,000 tyres
Tyre waste contributes to
while simultaneously discarding
2.5% of total wastes
generated in India 0.9 million tonnes about 275,000 tyres every day
• India imports nearly 300,000
60% of total waste tyres tonnes of tyres annually for the
are getting dumped illegally purposes of recycling and
across the country disposal
• Re-treading market in India is
Consumers around Rs 5,000 crore per year
• However, this market is
0.03 million extremely fragmented. An
tonnes average re-treader does 200-300
tyres per month, or 2,500-3,500
2% accounts to re-treading
tyres per year
of tyres
Numbers are rounded up to two decimal places, subsequent tally differences may be ignored | ELT: End-of life Tyres | YoY: Year-on-Year
Source: https://mrai.org.in/theindustry/rubber.html
1 https://www.imarcgroup.com/india-tyre-market
Tyre Recycling – Technology Options

Typical composition of passenger and truck Technology options for tyre recycling / circular tyres
tyres by wt.%1
Truck Natural and synthetic rubbers Carbon black (CB) and silica
Material Car tyre
tyre
Natural and synthetic Shredding: Mechanical process that
47 45 reduces rubber or tyres into small Recovered CB: Solid carbon
rubbers
pieces that can then be used as filler residue obtained from tyre pyrolysis
in various products like asphalt
Carbon black and silica 22.5 21
Grinding: Mechanical process that
Methane pyrolysis: Plasma arc
can be used to reduce the size of
Metals (steel beads, belts) 14 23.5 process to convert methane into CB
used tyre waste, results in a finer
and hydrogen
powder called crumb rubber
Textiles (carcass) 5.5 1
Pyrolysis: Thermal decomposition
Renewable CB: Chemical process
process that involves heating scrap
Vulcanizing agents to convert bio-based feedstocks into
tyres in the absence of oxygen,
(sulphur peroxides and 2.5 3 generates fuel gases, oils, and char
CB
metal oxides)
Devulcanization: Chemical process
Additives (antioxidants, Circular CB: Using renewable
8.5 6.5 that uses solvents or enzymes to
antiozonants, extenders) carbon black and pyrolysis oil
break down the cross-links in
The recovered steel can be reprocessed into produced from waste tyres.
vulcanized rubber, generates tyre
stock material and textile components can be and other raw materials
re-incorporated into other composites.2
1
Devulcanisation Renewable rubber: Chemical
and reclaiming of tires and rubber by physical and chemical pr
ocesses: A review – ScienceDirect process to convert bio-based
2
Material recovery and recycling of waste tyres feedstocks into tyre raw materials
-A review - ScienceDirect
 Major tyre recycling companies | India

Gujarat Reclaim & Rubber Products Ltd ,

Mumbai 1
Re-treading process

Swani Rubber Industries, Mohali, Punjab 6

Distribution network spread across 22 2
countries worldwide, Capacity is 18k metric
tones. Re-treading and rubber crumbing
2
Tinna Rubber
Total 5 plants. 4 in India and 1 in Oman. Oman Plant 3
recycles 18k metric tons per year. Rubber crumbing
3
Gangamani Enterprise Private Limited,
Gujarat Prescence in 20+ countries. Have 4
12000 MT capacity 4
Follow Devulcanization 3
Elgi Rubber
7 wholly owned subsidiaries abroad spread into the United 5 Tyre recycling capacity (in Mn
States of America, Brazil, Sri Lanka, Kenya, Netherlands, and
Australia. Follow re-treading. 1 3 ton)*
7
Kohinoor Reclamations, Kathua(J&K) 0.18
Capable of producing 30,000 ton Rubber Reclaim Swani
6 0.18 Rubber
annually
0.41 Tinna
Industries
Follow Devulcanization process Rubber
5 Kohinoor
SSJ rubber recycling, Mumbai 3 Reclaimations
Follow rubber crumbing process 7 Gangamani
Enterprise
Others

0.12
* Major companies split for overall processed waste tyres in India 0.3
Source : Tinna – Caring for Environment, GRP - Impact Positive (grpweb.com), Swani Rubber Industries, About ELGI Rubber in India| Precured tread rubber,
Rubber Recycling Companies, Tyre and Rubber Recycling Company in India (ssjrubber.com)
 Major tyre recycling companies | Global
Genan Holding A/S, Denmark
Have a total capacity of more than 400,000 tonnes/year 1
spread across 6 plants worldwide

Scandinavian Envira sytems AB, Sweden

Process Synthetic rubber from natural rubber
using in-house produced recycled oil for the tyre
2
industry

Liberty Tyre Recycling LLC, USA

Recycle more than 195 million tyres annually 3
2

Reliable Tyre Recycling, Ireland 4

Integrated tire recycler, providing efficient and
4 65 7
consistent collection of tires, converting them into 3
value added products such as moulded goods
1
Lakin Tire West Inc, USA
Processes over 30 million tires each year, and approximately 1 out 5
of every
5 passenger tires in the United States is managed by Lakin Tire
Western Tyre recyclers, USA
Premier off-the-road tire recycling company in the
Western United States for construction, 6
agriculture, mining and recycled tires

Tyre Recycling Solutions SA.

Founded in 2013 in Switzerland with the aim of enabling
7
sustainable recycling of the materials contained in scrap tyres

Source: Genan | Read the story about Genan and who we are right here, Our History & Commitment to World Class Service | Lakin Tire, About (libertytire.com),
Company | TRS - Tyre Recycling Solutions (trs-ch.com), About Scandianvian Enviro Systems
Key challenges in tyre waste recycling (1/2)

1 2 3 4 5
Emissions and Technological Product Market Collection and
Air Quality Complexities Quality Demand Transportation

Pyrolysis, a common Tire recycling Producing high- Finding consistent Collecting and
tire recycling method, technologies can be quality recycled and profitable transporting large
can release emissions complex and costly to products that meet markets for recycled quantities of used
and pollutants if not implement, industry standards tire products can be tires to recycling
properly controlled. particularly for and consumer challenging. Demand facilities can be
Emissions may advanced methods expectations can be for these products logistically
include volatile like devulcanization difficult. For example, may vary by region challenging.
organic compounds or pyrolysis. producing recycled and depend on Establishing efficient
(VOCs), particulate rubber that matches factors like collection and
matter, and the performance infrastructure and transportation
greenhouse gases. characteristics of government systems is crucial.
virgin rubber in new regulations.
tire manufacturing is
a challenge.
Key challenges in tyre waste recycling (2/2)

6 7 8 9 10
Contaminants Regulatory Economic Public Long-Term
and Waste Compliance Viability Perception and Durability and
Streams Awareness Safety

Used tires can be Compliance with Making tire recycling Raising awareness Ensuring that
contaminated with environmental economically viable about the products made from
dirt, metals, and regulations and can be a challenge, environmental recycled tire
other materials, standards is essential as the cost of benefits of tire materials, such as
which can complicate in the tire recycling recycling processes, recycling and crumb rubber in
the recycling process. industry. Meeting especially advanced overcoming public sports surfaces or
these requirements ones, can be high. perception playgrounds,
can add complexity challenges, such as maintain their
and cost to recycling concerns about the durability and safety
operations. safety and quality of over time is a
recycled tire significant
products, is consideration.
important.
Regulations in India | Tyre recycling

Extended Producer Responsibility (EPR)

MoEF&CC notified ‘Extended Producer Responsibility (EPR) for Waste Tyre’ on 21st July, 2022 through amendment in Hazardous
and Other Wastes (Management and Transboundary Movement) Rules, 2016 to ensure environmentally sound management of
waste tyres Producers and recyclers who
Covers all types of Producers (including importers) of Promote setting up
Producers, do not comply with the

1
waste tyre including tyres are responsible for recycling/ of new industries
recyclers and provisions of this newly
tubes and flaps that re-treading of waste tyre and use of and
re-treaders added schedule liable to pay
is no longer recovered materials from wastes entrepreneurship
required to environmental
mounted on a into reclaim rubber, crumb rubber, in collection and
register on compensation determined in
vehicle and is no crumb rubber modified bitumen, recycling/ re-
the CPCB accordance with the
longer used for its recovered carbon black and treading of waste
portal guidelines laid down by
intended purpose pyrolysis oil & char tyres
CPCB

2
Guidelines for Environmentally Sound Management of End-of-Life Tires (ELTs):
The Ministry of Environment, Forest and Climate Change in India issued guidelines for the environmentally sound
management of end-of-life tires. These guidelines aim to ensure proper handling, recycling, and disposal of tires
to minimize environmental impact

3
Ban (Restrictions) imposed on the import of used tyres in India
Considering the drawbacks of importing tyres for pyrolysis, which leads to pollution, and
encouraging domestic companies under the mission like AatmaNirbhar Bharat, the Government of
India imposed a ban (restriction) on the import of tyres in June 2020.