ADB supports China Everbright’s clean waste-to-energy PPP in Vietnam
ADB signs US$100 million loan facility with China Everbright International Limited
THE Asian Development Bank (ADB) on February 2 signed a US$100 million loan facility agreement with China Everbright International Limited (CEIL) to help a series of municipal waste-to-energy (WTE) plants in primary and secondary cities in the Mekong Delta. This initiative will be the first municipal WTE public-private partnership (PPP) project in the country.
Vietnam generates more than 27.8 million tonnes of waste annually. Most of the waste collected is disposed in landfills in an unhygienic manner. This poses a significant health threat to nearby communities, mostly urban poor. One of the most effective ways to treat and manage this increasing quantity of municipal solid waste is through WTE, which can reduce waste volume by 90% and eliminate greenhouse gas emissions, while also producing energy from the heat of the waste during incineration.
ADB deputy director general of the private sector operations department Christopher Thieme, describes the agreement as a new model to improve solid waste management in cities, and also mitigate climate change by reducing methane and increasing energy generation from renewable sources.
ADB’s assistance will support the construction and operation of a series of WTE plants with advanced clean technologies in multiple municipalities in Vietnam. Each WTE plant will treat municipal solid waste and supply electricity to the local electricity grid. CEIL will develop and invest in WTE sub-projects in Vietnam to facilitate the harmless treatment, reduction and reuse of household waste in the cities and produce clean electricity.
CEIL is one of the world’s leading integrated environmental protection companies with environmental protection projects spanning 18 provinces and municipalities in China. As of end of 2017, CEIL had 43 WTE projects in operation with a combined processing capacity of 39,100 tonnes per day and generation capacity of about 4,300 gigawatt-hours per year.
Photo: ADB Photo / Tran Viet Tuan