FULL-FLEDGED PRE-FEASIBILITY ANALYSIS

Production of Solid Recovered Fuel (SRF) from Municipal Solid Waste (MSW)

Production of Solid Recovered Fuel (SRF) from Municipal Solid Waste (MSW)

Market

Targeted market Solid Recovered Fuel (SRF) for local cement factories. Local cement plants currently use RDF/SRF as partial replacement for conventional fossil fuel.
Project description A new Mechanical Biological Treatment (MBT) facility to produce Solid Recovered Fuel (SRF) from mixed Municipal Solid Waste (MSW) collected from the Greater Cairo Region. The facility is supposed to be located in 10th of Ramadan.
Competitive edge

Compared to traditional composting of MSW to produce Refused-Derived Fuel (RDF) and compost), this facility has 3 main advantages:

  • Production of larger amount of alternative fuel
  • Reducing the ‘dirty’ compost produced from traditional MBT facilities. This compost is called Compost-Like Output (CLO) and it negatively influences the soil microbial processes and plant growth

This project may be eligible for carbon credits

Market features Size 4.9 billion USD globally in 2022 - Growth 5.4% (between 2022 and 2028)

Financial Features

Calorific Value (CV) Scenario 1
10 MJ/kg
Scenario 2
10 MJ/kg
Scenario 3
10 MJ/kg
Scenario 4
12 MJ/kg
Scenario 5
12 MJ/kg
Scenario 6
12 MJ/kg
Selling price 1100 EGP/ton 1100 EGP/ton 1100 EGP/ton 1400 EGP/ton 1400 EGP/ton 1400 EGP/ton
Gate fees 100
EGP/ton
200
EGP/ton
300
EGP/ton
100
EGP/ton
200
EGP/ton
300
EGP/ton
Investment 365.4
million EGP
365.4
million EGP
365.4
million EGP
365.4
million EGP
365.4
million EGP
365.4
million EGP
IRR - 14% 31% 24% 35% 41%
Simple payback 5 years 4.3 years 3.9 years 4.1 years 3.7 years 3.4 years

Process

Required Input 320 ton/day of mixed MSW.

Suitable site with good access to main roads for raw material and product transport. Availability of water, electricity and diesel.
Process/Technology Mechanical Biological Treatment (MBT) with bio-drying, as follows: Reception and Pretreatment Area, Bio-drying stage, and Final treatment stage.
Equipment
  • Stationary equipment: bag opener shredder, belt conveyors, trommel screen, feeding hopper with de-compactor, magnet-separator, bio-drying membranes, SRF shredder, wind shifter, aeration system, truck scale
  • Mobile equipment: loaders, excavators, tractors, cover winding machine
Human Resources Technicians, Machines operators, and Drivers

Risks and Mitigation Measures

Risks and Mitigation Measures
  • The supply of raw material (MSW) is not continuous or less than 320 ton/day. This could be mitigated with the payment of penalties to the SRF facility by the government for supplying MSW less than the contracted amount
  • Difficulties in marketing the SRF to the cement factories. This could be mitigated by long-term contracts with the nearby cement factories.
  • Risk of producing SRF with an unaccepted quality that will be rejected by the cement factories. This could be mitigated by applying quality control measurements and the recommended operation procedures in the SRF facility. A quality lab in the facility is recommended.

Impacts

Environmental impact
  • Reducing greenhouse gases (GHG) emissions commensurate with the reduced use of conventional fossil fuels, and reducing depletion of non-renewable resources.
  • Providing a safe alternative to conventional disposal of waste in landfills.
  • Offering a safer product from the MSW compared to the CLO which may include heavy metals that will harm the land and plants.

Location

Location of Supply Greater Cairo Region
* Source of the information: The above figures were updated by Chemonics Egypt for UNIDO in 2023

Studies

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