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Newsletter Φεβρουάριος 2010

REGIONAL GREECE

Implementing New Waste Management Systems
At the core of sustainable development is the reduction, recycling, and reuse of materials. Key to the success of sustainable practices is the implementation of effective waste management systems.


The subject of waste management is becoming central to EU policy, to the extent that the European Commission has suggested a waste agency be set up at the European level to address this topic comprehensively.

The Commission estimates that full implementation of EU waste law would reduce emissions of greenhouse gases, including methane from landfill, equivalent to nearly 200m tonnes of CO2 a year. This would save €2.5 billion annually at today’s carbon price of around €13/tonne. Other significant economic benefits from strengthening implementation would include a level playing field for European companies, better opportunities for innovation and increased access to valuable secondary raw materials. (European Commission, ENDs, Europolitics)

Greece has begun vigorous efforts to overhaul its waste management practices and is proceeding to establish a variety of new units within its highly successful PPP programme.

Currently, three major projects are proceeding: (1) an integrated waste management system in the Prefecture of Thessaloniki, (2) an Integrated waste management system in the Region of Western Macedonia, and (3) sewerage networks and a sewage treatment unit in the Municipality of Rafina.

(1) Integrated Waste Management System in the Prefecture of Thessaloniki
This PPP project involves the design, financing, construction, maintenance, facility management and operation of a new integrated waste management system in the Prefecture of Thessaloniki for a period of 29 years.

The private partner will undertake the design, construction, maintenance and operation of a plant that will treat solid waste of the northwestern unit of the Prefecture of Thessaloniki. The plant will be composed of a treatment and exploitation unit and a sanitary landfill. This unit will be constructed upon any proven technology that meets the targets set by Community Directives and the output specifications set by the Contracting Authority. The unit will have a capacity of 400.000 tonnes per year. Moreover the private partner will be given the right to commercially exploit the output of the unit, such as recyclable products, biogas, RDF, energy.

According to the international practice for tendering such projects, the indicative budget of a waste management PPP project is set at the lower end of the technological solution that, according to available data, fulfils National and Community Directives.

 Status of Project  Bidding for the selection of advisors in progress
 Indicative Budget    242 million Euro (+20% insurance cost and heavy maintenance cost)
 Project Duration  29 years
 Construction Period  4 years
 Operation Period  25 years


(2) Integrated Waste Management System in the Region of Western Macedonia
This PPP project involves the design, construction, financing, maintenance, facility management, and operation of a new infrastructure, aiming at covering the waste management requirements imposed by Community Directives. The Contracting Authority of this project is DIADYMA SA (Waste Management System of Western Macedonia SA).

The SPV that will be selected will undertake the following:
• The design, construction, maintenance and operation of the central integrated waste management installations, which will comprise a treatment and exploitation unit and a residues sanitary landfill. This unit will be constructed upon any proven technology that meets the targets set by Community Directives and the output specification set by the Contracting Authority. Moreover the SPV will be given the right to commercially exploit the output of the unit, such as recyclable products, biogas, RDF, SRF.
• The maintenance and operation of the existing network of waste transfer stations, when the treatment unit begins its operation. This network consists of ten transfer stations and their mobile equipment.
• The capacity of the above mentioned unit start from 120.000 tonnes per year, reaching 152.000 tonnes per year by the end of the partnership, the operational period of which is 25 years.
• This PPP project is a part of the strategic plan of the Region of Western Macedonia. The construction and operation of the treatment comes to integrate the existing waste management system of the Region, thus creating a waste management model, completely compatible with the environmental strategy of the European Union. The implementation of this project ensures that the amount of waste to landfill decreases, the environmental impact of treating biodegradable waste is minimised, and that commercially exploitable products are produced. Moreover, the construction and operation of the treatment unit results to doubling the life cycle of the existing landfill and maximising the impact of the investment made during the 2002-2004 period, financed by the Cohesion Fund.

 Status of Project  Completion of the procedure for the selection of Advisors
 Indicative Budget    97 million Euro (+20% insurance cost and heavy maintenance cost)
 Project Duration  27 years
 Construction Period  2 years
 Operation Period  25 years


(3) Sewerage Networks and Sewage Treatment Unit in the Municipality of Rafina
This PPP project involves the design, construction, financing, maintenance, facility management, and operation of a new infrastructure. Contracting Authority of this project is the Municipality of Rafina.

Via the implementation of this project, serious environmental issues will efficiently be dealt with, throughout the 25-year operational period of the partnership: on the one hand, absorbent cesspits, polluting the sea, because of overflows and leakages, and realising organic residues, will be no longer used; on the other hand, more effective control of outflows, recipient quality, illegal connections to the sewerage network and illegal absorbent cesspits will be achieved.

The sewerage networks and sewage treatment units must adapt to population changes, thus having a dynamic and not static character. The SPV will be responsible to integrally design the infrastructure and to make all necessary capital expenditure throughout the duration of the partnership.

 Status of Project  Completion of the procedure for the selection of Advisors
 Indicative Budget    40 million Euro (+20% insurance cost and heavy maintenance cost)
 Project Duration  27 years
 Construction Period  2 years
 Operation Period  25 years

Sources: European Commission, ENDs, Europolitics