“analysis of enabling conditions to create supply and ... · municipal solid waste compost in...

“Analysis of enabling conditions to create supply and demand of

municipal solid waste compost in Peru”

Gladys Monge Talavera, Senior consultant Zila Muchari Sosa, Assistant engineer

The study was performed for Phase II of the “Programme for the Support of Up-scaled Mitigation Actions within the Solid Waste Management Sector in Peru” under the Nordic Partnership Initiative, established by the Nordic countries and managed by NEFCO as the fund manager (the “NPI”) and in collaboration with the Ministry of Environment of Peru (the “MINAM”). The main objective was to analyse and propose enabling conditions to create compost supply and demand in Peru, including a proposal of a compost standard. It started at the end of November 2016 and concluded at the beginning of April 2017. All coordination and products approval in Lima, Peru, were made mainly with the Directorate of Environmental Quality (DGCA) of the MINAM. First of all, a diagnosis was made, in order to identify the current situation which limits the production and commercialization of municipal solid waste compost, as well as the identification and analysis of current cases and relevant stakeholders. A feasibility study to develop enabling conditions that would allow the implementation of a municipal solid waste (MSW) compost market was also prepared, including the development of a Peruvian Technical Standard proposal, which incorporates sustenance and the way forward for its submission and approval by the corresponding authority. In concordance, laboratories that could be accredited by the competent entity to be certifiers of compost were also identified. Finally, a road map was also developed, which includes milestones so that each selected municipality can promote a possible large-scale compost market. The main characteristics of the process and products obtained are described below. 1. Diagnosis: Identification of the current situation which limits the commercialization of

municipal solid waste compost Four municipal initiatives of compost production at the national level were evaluated: Municipality of Independencia, in Huaraz; Municipality of Lambayeque, in Lambayeque, Municipality of Concepción, in Junin; and Municipality of José Crespo y Castillo, in Huanuco. In general, there is not yet a great interest in the execution of compost production projects on the part of the municipalities. Most of the experiences have a demonstrative small-scale approach. Also, both production and consumption of compost in the national scope are very limited. As an example of these experiences, figure 1 shows the Municipality of Independencia case (a poster informing the population the way to separate solid waste and a view of its waste segregation plant).

Analysis of enabling conditions to create supply and demand of municipal solid waste compost in Peru

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Figure 1. Poster promoting waste segregation at source and waste segregation plant at the

Municipality of Independencia.

Taking into account that organic waste represents more than 50% of the total solid waste at the country level, it would be convenient to establish strategies to promote compost production with municipal organic waste and implement State policies to develop compost supply and demand. One of the strategies would be setting up explicit goals to foster composting of municipal organic waste within the Incentive Program for Improvement of Municipal Management (PI). This program involves additional resources transfer to municipalities that have fulfilled certain goals (which are formulated by public entities of Central Government) in a given period, incentivizing them to the continuous and sustainable improvement of local management. On the other hand, given that waste segregation at source has not yet been extensively developed in the country, in a first stage market waste composting could be considered, where organic waste concentration is higher. With regard to private initiatives of composting equipment suppliers and compost producers, meetings were held with representatives of equipment suppliers, as Holding Ambiental S.A.C. (Holam) and Advantage Austria. Both of them offer validated technologies at national and international level, which could cover in the near future a possible demand for equipment, such as shredders, tumblers, screeners, sieves, among others. Figures 2 and 3 show part of the equipment offered by Holam and Advantage Austria (Komptech and Compost Systems enterprises).

Figure 2. Part of the equipment offered by Holding Ambiental S.A.C. (Holam).

http://serviciospublicos.munidi.gob.pe/2016/06/20/planta-de-tratamiento-de-residuos-solidos-pongor/


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Figure 3. Equipment offered by Komptech and Compost Systems (Advantage Austria).

Also, field visits were performed to local experiences of compost production and promotion (LAMSAC and Lima Compost enterprises). Since 2014 the company LAMSAC has an agreement with the Santa Rosa flower market, to execute the project "Organic waste treatment plant and fertilizer production". This initiative shows the synergy of a private company and a social organization to contribute to the environmental pollution reduction in public roads. Organic waste treated in LAMSAC composting plant are remains of flowers, leaves, plants and stems, which are generated at the Santa Rosa flower market, located adjacent to the plant. These wastes are collected by the market operators four times a week and transferred to the plant, where they are crushed in a chopper machine and then transferred to the composting beds. The plant only processes 20 to 30% of the total organic waste generated at the Santa Rosa flower market. Figure 18 shows the project panel and the composting area.

Figure 4. Manual composting plant of Lamsac enterprise.

The main findings on the limiting conditions for large scale compost production and commercialization are:

a. Institutional aspects: In most cases, municipal programs of waste segregation and selective collection were implemented to meet goals established by the Incentive Program for Improvement of Municipal Management (PI), in order to get additional resources. In general, once targets had


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been reached, program was neglected and progress made is lost, including progress of few composting initiatives which mostly had a demonstrative approach at a pilot plant scale. The recognized institutional weakness of municipalities on solid waste management and the limited, insufficient and at a short-range in time institutional programs to raise awareness about the generator responsibilities on the solid waste management, are also a restriction to the sustainability of MSW composting projects. On the State side, the dissemination and promotion of compost benefits in agricultural crops are almost non-existent.

b. Legal aspects:

Peru has no standards for compost production and commercialization. Sometimes poor-quality compost is commercialized, generating distrust in potential users. Former legislation (before December 2017) did not encourage municipal composting ventures development because it did not allow solid waste commercialization by municipalities.

c. Economic and financial aspects:

Compost transportation costs are high, since the agricultural areas are generally far from the big cities, where most of raw material for compost production (municipal organic waste) is generated. Investment costs for large-scale composting equipment (shredders, compost turners) are also relatively high for municipalities. The availability of financial entities for investment in this field is limited.

d. Technical and operational aspects:

In the absence of proper waste segregation at the source, municipal organic waste may be contaminated with chemical agents (e.g. heavy metals), which will not to be eliminated by the composting process. There are also limitations to the availability of municipal personnel with technical-operative knowledge on composting processes.

e. Social aspects:

Municipal waste segregation at source is beginning to develop. Most of people are still not aware of their responsibilities as waste generators. The few experiences that have been carried out have shown that waste segregation is partial or incorrect. There is also farmer’s resistance to use a product that has been made from solid waste, thinking that may be contaminated.

f. Analysis of supply and demand:

There is not enough compost culture of use in agriculture, especially among small and medium farmers. Many of the potential users do not know the benefits of compost application. In addition, where there has been a demand for compost (mainly from big farmers), the available local supply has been too small to meet this demand.

2. Feasibility studies to develop enabling conditions to allow compost projects implementation Enabling conditions that allow production and commercialization of compost from municipal solid waste were identified, by means of a number of actions: interviews conducted with key stakeholders, a workshop held with relevant public and private institutions, analysis of composting experiences in Latin American and European countries, and review of national and international legislation on the subject. Below the main results are presented:


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2.1 SWOT workshop (Strengths, Weaknesses, Opportunities, Threats) with relevant stakeholders The workshop promoted inter-institutional and multidisciplinary discussion, seeking to identify conditions for the development of MSW compost supply and demand in Peru. Main results are: i. Participants expressed their agreement with MINAM's initiative regarding production and

commercialization of municipal solid waste compost.

ii. Internal and external factors for the production and commercialization of MSW compost were identified. Considering that organic waste percentage in Peru is more than 50%, its use as a soil improver, besides environmental advantages, brings the additional benefit of optimizing sanitary landfills lifespan. However, an important limitation for MSW compost market development is transportation costs: agricultural areas are located far from big waste generation places, where compost production plants could be installed.

iii. Based on the participants' contributions, strategies were proposed to reinforce the strengths and minimize the identified weaknesses. Below are the main strategies: - In a first stage, implementation of composting projects in cities near agricultural areas is

suggested to prioritize, in order to reduce transportation costs. - Promoting compost use mainly in agricultural areas of country emblematic projects, such

as Chavimochic, Olmos, Majes and in other regions of important agricultural activity such as Piura, Ica, Chincha, Chimbote, among others.

- Carry out a sustained dissemination and awareness program about composting, especially among small and medium farmers, who often do not know compost benefits or have not considered the advantages of investing in agriculture modernization or professionalization. Sometimes they do not know that forming consortia by grouping small farmers brings them competitiveness. Hence, it is necessary to adopt new agricultural practices that contribute to ensure crops efficiency and yield. Tendency towards agriculture professionalization is an incentive for compost market growth.

- Promote urban agriculture in Metropolitan Lima and Callao, as part of food security in times of crisis and lack of food (due, for example, to strong and recurrent weather problems, like floods or landslides) was also discussed, using compost as a soil improver. Metropolitan Lima and Callao together generates one third of the total amount of waste in the country. An additional advantage of urban agriculture in these cities would be that nearby markets could sell fresh products at more competitive prices because they require less transportation and less refrigeration.

- Possibility of establishing limits for organic waste final disposal is also to be considered, to encourage its utilization.

Figures 5 and 6 show some views of the workshop with relevant stakeholders.


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Figure 5. Introducing the workshop and promoting participants interventions.

Figure 6. Participants brainstorming at working groups and presentation of their results

2.2 Optimal and efficient composting process

Systems in piles are suggested, with manual or mechanical aeration, depending on the amount of waste to be processed. Process description is presented below. i. Waste separation at source: It is the fundamental premise to obtain a prime quality

product. It minimizes the presence of pollutants and other improper or non-compostable wastes.

ii. Solid waste selective collection: It is recommended to design the new collection system based on existing equipment (to reduce investment costs). Selective collection system must be reliable, permanent and comply with established collection frequencies and schedules.

iii. Waste reception and segregation: To eliminate from the organic fraction the elements that cannot be biologically degraded and those that can contaminate the process.

iv. Size reduction: also known as shredding or grinding. It may not be included for household organic waste, but it is indispensable for large pruning waste, in order to facilitate its degradation. The appropriate size is 5 to 20 cm.

v. Waste preparation and degradation: Besides the size, it is necessary to verify that wastes comply with the required carbon-nitrogen and moisture characteristics.

vi. Aeration and moistening: To improve aeration solid waste turnings are recommended, during the first month twice a week; during the second month, once a week; the third month, every 15 days. The optimum range of moisture is from 45% to 60% by weight of base material.

vii. Maturation: This stage, depending on the system, begins at the third month and can last until the sixth month. Turns should be done once a month.


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viii. Screening or sieving: To reduce the presence of foreign objects in the final product. A common measure of the mesh to be used is 15 mm for fines and 50 mm for medium size.

ix. Drying: It is done in some cases, in order to reduce transport costs and increase compost biological stability.

x. Packing and storage: It is the compost final conditioning for its commercialization and transportation. Protects the product from excessive sun and moisture during transportation and storage.

xi. Safety system: In order to prevent accidents and occupational diseases (general standards, personal protective equipment and signalling).

2.3 Identification of potential compost market

Potential compost market at the national level is represented by: - Farmers, in particular organic producers and large emblematic projects with potential

compost demand (Chavimochic, Olmos, Majes Siguas). - Institutional clients (state entities, regional and local governments, non-profit organizations,

universities, hospitals, stadiums, recreational clubs, etc.). - Other customers (Private nurseries, flower and agricultural goods markets, department

stores with gardening section, general public). 2.4 Analysis of compost supply and demand in Peru

Potential supply of MSW compost from 165 selected districts in Peru is approximately 814 thousand tons/year (85.5% of which from household organic waste and 14.5% from market waste). Figure 7 shows that Metropolitan Lima and Callao (located at Peru coastline) represent 52% of the potential compost supply, followed by the rest of coastline districts, with 22%. Districts at the highlands and the jungle represent only 16% and 10% of the offer, respectively.

Figure 7. Potential compost supply in Peru from selected districts.

Amount of organic waste from selected districts that would be diverted for potential compost production represents approximately 36% of the total quantity of MSW generated in Peru.

Metropolitan Lima and Callao districts;

421 thousand t/year (52%)

Rest of coastline districts; 181

thousand t/year (22%)

[NOMBRE DE CATEGORÍA]

districts; [VALOR] thousand t/year

(16%)

Jungle districts; 79 thousand t/year

(10%)


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Considering demand of organic crops, agricultural areas of emblematic projects and green areas of Metropolitan Lima and Callao, offer only covers 8% of this demand. Figure 8 shows that greatest demand corresponds to organic crops (64.6%), followed by emblematic projects (33.6%). If use of compost only to organic crops is prioritized, supply covers 12.4% of demand.

Figure 8. Potential compost demand in Peru.

Organic crops producers represent an interesting part of the demand since, according to current regulations; they cannot use chemical or synthetic fertilizers. Thus, organic producers could take advantage of compost as a soil improver or as an amendment to correct salinity or alkalinity soil problems. In conclusion, there is a large potential market for compost in Peru; however, a limitation for its commercialization is transportation costs to agricultural areas.

2.5 Conditions required for a compost market creation based on municipal solid waste

Creation of a MSW compost market requires a strong promotion strategy, where the client is informed about the product properties and benefits and is encouraged to buy it, emphasizing it is a good quality natural product which does not represent a danger to health or the environment and it has beneficial effects on soil fertility. Besides, there is a direct relationship between increase of MSW selective collection and the compost quality. A correct waste separation at source is the most important step for a quality product and it also contributes to reduce investment costs of composting plants. In a first stage, prioritize implementation of composting projects in cities near agricultural areas is suggested, in order to reduce transportation costs. It is also essential to ensure a proper management of composting plants in order to minimize risks of social conflicts with nearby population. Proper development of composting biological processes must be guaranteed. Additionally, it is necessary to establish standards for compost production and commercialization, which specify quality parameters for organic agriculture, general agriculture, and green areas, among others. It is also suggested to initially establish a low price for compost, but avoid giving it away, to keep the concept of a market product (excepting promotional strategies in which compost is given away). Promoting strategic alliances with regional and local governments for compost commercialization is recommended as well. As an institutional strategy, it is suggested to expand the solid waste goals scope of the Municipal Management


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Improvement Incentives Program (PI) of the Ministry of Economy and Finance, to promote MSW compost production. This would help to get municipal officials awareness on the importance of organic waste utilization. As financial strategies, identifying credit facilities (soft loans or "green funds") are recommended, which would be fully justified as organic waste final disposal in a sanitary landfill would generate greenhouse gases (GHG), with well-known environmental costs. At the same time, promoting the interest of private investment in MSW composting plants and encourages projects under Public Private Association system for compost production and commercialization is suggested.

2.6 Comparative analysis on municipal solid waste compost quality in Latin America and national

and international standards for compost certification There are a number of composting experiences in Latin America. Data from Colombia, Brazil and Peru were reviewed; however, little information has been found about compost composition (physical chemical and bacteriological characteristics) in these experiences. Given the scarce information on this subject for Latin American countries, compost composition data for experiences in European and Asian countries were also examined. Regulations from five countries in Latin America (Mexico, Colombia, Chile, Ecuador and Brazil); and from Spain, the European Union and the United States of America have been also considered.

3. Proposal of a Peruvian Technical Standard for Organic Solid Waste Compost Production Consulted international regulations show that global trend with respect to organic waste management is its recycling, with composting being one of the main forms. Composting has been regulated in the world for 25 years. MINAM initiative in this regard is consistent with the global trend and with the commitments assumed as a country. Thus, a proposal of a Peruvian Technical Standard "Requirements for Organic Solid Waste Compost Production" was prepared, as well as the sustenance considerations and the route for its presentation and approval. Laboratories that could be accredited as compost certifiers before the National Quality Institute (INACAL), governing body and the highest technical-regulatory authority of the National System for Quality, have also been identified. 3.1 Proposal of a Peruvian Technical Standard "Requirements for Organic Solid Waste Compost

Production" A proposal of a Peruvian Technical Standard named "Requirements for Organic Solid Waste Compost Production" was prepared, based on a comparative analysis of international regulations on composting and compost, as well as Peruvian regulation characteristics. Regulations of Latin American countries (Mexico, Colombia, Chile, Ecuador), as well as regulations from United States of America and Europe (Spain, Australia, Austria, New Zealand, Germany, Holland and the European Union as a whole) have been considered. Proposal has been reviewed by an Environmental Law specialist attorney. Proposed technical standard establishes the quality requirements for three types of compost (class A, class B and class C), according to the recommended uses (substrate in nurseries, organic agriculture, agriculture in general, green areas, reforestation, degraded areas recovery, among others). General quality characteristics (organic matter, carbon / nitrogen ratio, grain size, electrical conductivity, pH,


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humidity, etc.) for the three types of compost have been defined. Also, maximum permissible values for microbiological parameters (faecal coliforms, salmonella spp, helminth eggs), for heavy metals (arsenic, cadmium, copper, chromium, chromium VI, mercury, nickel, lead, zinc) and for impurities have been specified. Bearing in mind that international regulations on compost and composting address municipal organic waste as well as organic waste from other activities (like forestry, agriculture, agroindustry, livestock, among others), non-hazardous organic waste from these activities were included in the scope of proposed technical standard. Consequently, the standard specifies that entrance of waste classified as hazardous by the Integrated Solid Waste Management Act (Legislative Decree No. 1278) and its regulatory and complementary standards will not be allowed. Types of compost established by the technical standard, based on its quality and recommended use, are shown in table 1.

Table 1. Classes of compost

Compost

Class A Class B Class C

Quality level: Very good.

Recommended uses: Substrate in nurseries,

organic agriculture.

Quality level: Good. Recommended uses: General agriculture.

Quality level: Regular. Recommended uses:

Landscape, green areas, reforestation, other uses.

Some general characteristics for the different types of compost are specified in Table 2.

Table 2. General characteristics of the three types of compost

Parameter Permissible value

Class A Class B Class C pH 5 – 8

Humidity (%) 25 – 40%

Organic matter ≥ 25%

Electric conductivity < 4 dS/m < 8 dS/m < 12 dS/m

Carbon Nitrogen Ratio (C/N) < 20 < 30 < 35

Nitrogen (% on dry basis) ≥ 0.5% Granulometry < 16 mm < 20 mm < 30 mm

Presence of weed seeds Maximum 2 weed propagules per liter of compost in growth chamber, 7 days.

All compost classes must comply with specifications established in Table 3 for microbiological parameters.


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Table 3. Maximum permissible values for microbiological parameters

Parameter Permissible value

Class A Class B Class C Faecal coliforms (MPN1 per gram of compost, on dry basis) < 1000

Salmonella spp (MPN in 4 g of compost, on a dry basis) < 3

Viable helminth eggs2 (in 4 g of compost, on a dry basis) 1

1 MPN: Most Probable Number. 2 Analysis will be required at the Competent Authority request.

Heavy metals maximum concentrations for the different types of compost are shown in table 4.


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Table 4. Maximum permissible values for heavy metals

Parameter Permissible value in mg/kg of

compost (dry basis) Class A Class B Class C

Arsenic 15 20 20 Cadmium 0.7 1 3 Copper 70 200 500 Chrome 70 100 200 Chrome VI 5 Mercury 0.4 1 4 Nickel 25 60 100 Lead 45 150 300 Zinc 200 500 1000

3.2 Sustenance of the proposed Peruvian Technical Standard "Requirements for Organic Solid

Waste Compost Production" Proposed Peruvian Technical Standard (PTS) "Requirements for the production of compost from organic waste" is based mainly on the following considerations:

- Inadequate disposal of organic solid waste, and its limited and inadequate recycling, in particular, leads to unnecessary losses of materials and energy, environmental damage and negative effects on the population’s health.

- The new Integrated Solid Waste Management Act (Legislative Decree No. 1278), establishes that integrated solid waste management must prioritize, with respect to generated waste, its valorization through various processes including composting, among others.

- Legislative Decree No. 1278 states that municipalities must prioritize green waste and municipal market waste valorization and, if feasible, municipal waste as a whole.

- National Integrated Solid Waste Management Plan 2016-2024 (Ministerial Resolution N° 191-2016-MINAM) establishes, as an objective, promoting solid waste recycling systems expansion and implementation.

- Peru is a party of United Nations Framework Convention on Climate Change (UNFCCC) and ratified its commitment joining the Kyoto Protocol in 2002. Doha amendment was also ratified, which ensures the continuity of Kyoto Protocol 2013-2020, to stabilize greenhouse gas (GHG) emissions.

- National Plan of Environmental Action (PLANAA - Peru: 2011 – 2021) indicates that 60% of reusable waste must be recycled by 2017, and 100% by 2021.

- "National Strategy for Climate Change 2015" (ENCC) considered as its second objective GHG emissions reduction, and one of its products consider solid waste management as a priority.

- National Environmental Performance Review (EPR. ECLAC, OECD, 2016) concludes the need to attract investments in infrastructure ... "which allow waste recovery and recycling, including organic waste composting".


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- Organic waste is a valuable resource for compost production, a soil improver that maintains soil productivity, reduces the use of artificial fertilizers and increases soil moisture retention capacity, among others.

- Organic waste compost production optimizes landfill lifespan, reducing social conflicts related to its implementation. It also reduces maintenance costs by reducing gas and leachate generation.

- There is a significant compost potential demand in Peru, for both organic agriculture and emblematic irrigation projects which include the incorporation of large agricultural areas.

- MSW compost production is an adequate answer to some of environmental, agricultural, social and economic challenges the country is facing. Commitment and political decision of authorities, as well as organized civil society support, are essential conditions to achieve targets.

3.3 Proposed route for the presentation and approval of Peruvian Technical Standard

"Requirements for Organic Solid Waste Compost Production" In Peru, the entity in charge of standardization is the National Quality Institute (INACAL), through the Standardization Directorate. The process is regulated by:

- Regulation of Technical Committees of Standardization (Resolution N° 048-2008 / CNB-INDECOPI).

- Regulations for the Elaboration and Approval of Peruvian Technical Standards (Resolution No. 048-2008 / CNB-INDECOPI).

INACAL's Technical Committees for Standardization (TCS) are in charge of the Peruvian Technical Standard (PTS) elaboration. INACAL guarantees the pluralist participation of involved parties (representatives of producers, consumers and academia). The General Directorate of Policies, Norms and Instruments of Environmental Management (DGPNIGA) of the Ministry of the Environment (MINAM) is in charge of the Technical Secretariat of the Technical Committee for Standardization of Environmental Management, which has six subcommittees (SC). One of these subcommittees, called "Waste Management", would be responsible for the proposed Peruvian Technical Standard "Requirements for Organic Solid Waste Compost Production". Elaboration of the PTS "Requirements for Organic Solid Waste Compost Production" should consider the following stages: - Proposal stage: it is MINAM’s responsibility to request the Standardization Directorate to include

elaboration of the PTS in the TCS’ Work Plan. - Formulation stage: it includes Technical Standard Draft preparation, which would be based on the

formerly presented proposal. - Committee stage: it includes discussion of Technical Standard Draft until its approval as Technical

Standard Project and its referral by CTN to the Commission for approval. - Public discussion stage: it includes the established deadline for Draft Technical Standard

comments submission by interested parties. - Approval stage: it includes the Peruvian Technical Standard approval through a Commission

Resolution, which is published at the official newspaper. - Edition Stage: it includes from Peruvian Technical Standard approval until its definitive publication

and diffusion.


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3.4 Identification of laboratories which could be accredited as compost certifiers before the

competent entity Up to date, no laboratories in Peru have accredited test methods for compost analysis. Because of their close relationship with compost, laboratories that have accredited test methods for soil and solid waste analysis have been considered. Sixteen laboratories that could be compost certifiers have been identified. The identified laboratories have accredited test methods for fourteen soil quality parameters. Since 23 parameters are required to analyse, nine are pending to accredit. In accordance with the compost quality requirements considered in the proposed Technical Standard, a proposal of test methods for all parameters to be analysed in compost has also been prepared. Laboratories that are interested in accrediting test methods for the mentioned parameters should follow the guidelines established in the Guideline for Accreditation of Test Laboratories and Calibration and in the standard NTP-ISO 17025: 2006, General Requirements for the Competence of Testing and Calibration Laboratories 4. Roadmap for promotion of a large-scale compost market The roadmap for promotion of a large-scale compost market corresponds to the fourth and last product of the consultancy "Analysis of enabling conditions to create supply and demand of municipal solid waste compost in Peru". It includes contributions of relevant institutions related to the environmental, agricultural, municipal and private areas in Peru. 4.1 Workshop with relevant actors On March 22, 2017, the workshop "The role of relevant actors in the promotion of a large-scale MSW compost market" was held, with the following objectives:

o Presenting the previously identified enabling conditions to create compost supply and demand in the country.

o Identifying the role of relevant actors in MSW compost production and commercialization. o Identifying the stages to boost a large-scale compost market.

Workshop was attended by representatives of the following public and private institutions:

- Ministry of the Environment - Ministry of Agriculture and Irrigation - Rural Agricultural Productive Development Program - AGRORURAL - General Directorate of Environmental Health - DIGESA - National Agrarian Health Service - SENASA - Municipality of San Borja - Municipality of Lurín - Municipality of Carabayllo - Municipality of La Molina - Municipality of San Isidro - Municipality of Lima - Park Services of Lima - SERPAR Lima - Holding Ambiental (HOLAM) - Grupo GEA


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- PWI SAC After event opening and participants welcome by a representative of MINAM, advances in the identification of enabling conditions to create compost supply and demand in the country were presented at the workshop, as an introduction to the subject. Following, participants were organized in working groups with the purpose of discussing and agreeing specific objectives of a previously prepared roadmap and develop strategic actions that should be addressed in the country for large-scale MSW compost market promotion. Each group validated one strategic objective and proposed actions that would contribute to its achievement. They also identified the role of relevant actors in MSW compost production and commercialization. Results were presented by representatives of each working group and discussed in plenary. Figures 9 to 11 show different moments of the workshop.

Figure 9. Presentation of identified actions to promote compost supply and demand in Peru

Figure 10. Participant’s interventions.


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Figure 11. Working groups and presentation of results.

At the end of workshop, specific objectives of the mentioned roadmap, which includes regulatory, educational, technical-operative, commercial and financial aspects to be considered in the promotion of a large-scale solid waste compost market have been validated –and improved– with the opinion and consensus of relevant institutional stakeholders of public and private sector. 4.2 Proposed Roadmap for large-scale compost market promotion The Roadmap for large-scale compost market promotion begins recognizing the following aspects:

- Peru has assumed national and international commitments related to climate change and waste valorization as a priority action for its management.

- The Municipal Management Improvement Incentive Program (PI) has been encouraging municipalities since 2011 to implement solid waste segregation and selective collection programs; however, the PI has been clearly focused on inorganic waste recovery. Recovery of organic waste for compost production has not been encouraged in the same way.

- There are some demonstrative composting experiences in Peru, developed mostly by local governments. There are also technology providers for large-scale composting.

- Potential supply of municipal organic waste compost in the country reaches the amount of 814 thousand tons per year. Potential demand is mainly represented by organic crops surface, emblematic projects' agricultural surface and green areas of Metropolitan Lima and Callao, and it reaches the amount of 10.12 million tons of compost per year. Potential supply would only cover 8% of potential compost demand.

Based on these identified aspects, the Roadmap proposes the following general objective and specific objectives: General objective Establish milestones to promote large-scale solid waste compost market development, involving the public and private sector, cooperating agencies and organized civil society. Specific objectives Specific objective 1: Establishing a regulatory framework that encourages compost

production and marketing. Specific objective 2: Developing an education and awareness program to promote compost

production and use.


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Specific objective 3: Promoting formalization of organic waste compost production and use. Specific objective 4: Establishing commercial strategies for compost market development. Specific objective 5: Managing financing options for composting projects.

• First objective addresses, among others, issuance of technical standards for compost production;

development of guidelines for composting plants; definition of mechanisms to allow compost commercialization by municipalities; and establishment of limits for organic waste final disposal.

• Second objective includes implementation of programs to promote and disseminate compost benefits among farmers and general population; development of local capacities for compost production; and strengthening of municipal program on waste segregation at source and selective collection.

• Third objective proposes implementation of municipal composting pilot projects through the Incentive Plan (PI); accreditation of test methods to analyse compost; promotion of urban agriculture projects with compost application; improvement of regulations control by the Agrarian Sector; and promotion of home and school composting programs.

• Fourth objective promotes implementation of large-scale composting plants in cities located close to agricultural areas, as well as establishment of compost marketing mechanisms and strategies in agreement with strategic allies such as AGRORURAL and others.

• Finally, fifth objective seeks promoting public and private investment interest in MSW composting plants and identifying possible financing options that allow its implementation; such as Public Private Partnership (PPP) mechanisms, Tax Works, FONIPREL resources, soft loans and 'green funds'. At the same time, establishing mechanisms to reduce municipal composting projects vulnerability when facing changes in municipal management has been considered.

5. Conclusions and Recommendations 5.1 Ministry of the Environment (MINAM) strategy of promoting large-scale compost market is

consistent with the country’s international commitments for the reduction of greenhouse gases (GHG) and will contribute to meet the established goals. Accordingly, enabling conditions to create compost supply and demand in Peru were identified; and a proposal of a compost standard was prepared.

5.2 There is a great potential for composting in the country, since more than 50% of solid waste –in average–, is organic matter. Moreover, a latent high demand for compost as a soil improver, especially among organic crops producers in big agricultural areas, has been identified. Municipal solid waste composting experiences in different parts of the country have also been analysed.

5.3 Nowadays there is no big interest of the municipalities to carry out large-scale composting

projects. The few implemented projects are at pilot level and have a demonstrative approach. Thus, they have not been able to meet a large demand, when it came up. It is therefore necessary to adopt strategies to address identified constraints and implement State policies to promote supply and demand development for this product.

5.4 There is also access to equipment providers for large-scale composting at the local level.

Interviews with representatives of Holding Ambiental – HOLAM (Ménart technology) and


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Advantage Austria (Komptech and Compost Systems enterprises) have been performed. Both of them offer validated technologies for composting, such as shredders, tumblers, screeners, among others.

5.5 Lack of standards for compost production would favour commercialization of a poor-quality

product, generating distrust among potential users. Thus, a technical standard for organic waste compost production is highly required, where compost quality parameters according to their different uses (organic agriculture, general agriculture, green areas, and afforestation, among others) should be established.

5.6 A radical change in the view of composting is perceived in the country. The agro-industrial

sector is increasingly convinced on the advantages of its utilization. Potential demand for compost is high. Therefore, offer should answer with a quality product which complies with the standards to be established in the near future. It is also important to explore mechanisms to provide credit facilities to promote private investment in composting plants and develop a massive and sustained education and awareness program on MSW compost production and commercialization.

5.7 A roadmap for large-scale compost market promotion has been prepared, which contains

strategic actions, indicators, and responsible institutions for each action. Specific objectives of the roadmap include regulatory, educational, technical-operative, commercial and financial aspects to be considered for a large-scale solid waste compost market promotion. Roadmap has been validated with the opinion of relevant institutional actors of public and private sector.

5.8 It is recommended to start the formal process of the Peruvian Technical Standard

"Requirements for the production of compost from organic waste" preparation. It is suggested to consider compost test methods that have been accredited in other countries.

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“analysis of enabling conditions to create supply and ... · municipal solid waste compost in...

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