Feasibility Study of an Integrated Waste Management Technology System for a Circular Economy in the Philippines

Abstract

Increasing population and rapid economic growth result in waste management problems in the Municipality of Bay, Laguna. In response, the municipality is planning to invest in an Integrated Waste Management Technology System (IWMTS) that aims to generate public revenue. Key informant interviews, surveys, and focus group discussions were utilized for data collection. Results showed that respondents lack knowledge about IWMTS but perceive positive impacts on waste volume reduction and municipal waste management and little to no negative impacts on health, livelihood, and accessibility. Meanwhile, economic analysis showed that it is estimated to generate an annual revenue of PHP 11.986 million (USD 214,036) with yearly expenses of PHP 3.7 million (USD 66,071). These cash flows are expected to recover the overall capital outlay of PHP 48.14 million (USD 859,642). A net present value (NPV) of PHP 3.164 million (USD 56,500) and a 5.77-year payback period (PBP) were calculated through cost-benefit analysis. The environmental analysis revealed positive impacts on reducing the volume of wastes, water resources, and quality, odor and air quality, and soil and nutrients. Considering these, the study provided recommendations on project implementation to achieve sustainable waste management and circular economy in the municipality.

Keywords: circular economy, composting, municipal solid waste, recycling, waste management

JEL Classification: Q53, D61, Q56