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ADB-KSP Join Consulting

Implementation of Waste-to-Fuel Technology in Korea


and Bangladesh : Lessons & Issues

Dr. Jinyoung Park

Chief Research Director


Global Academy
Korea Transport Institute

CONTENTS
I. Introduction of KSP Joint Consulting
II. Fuel-to-Waste Technology
III.Implementation in Korea
IV.Implementation in Bangladesh (Dhaka BRT)
V. Lessons and Issues
Support for the establishment of waste-to-fuel technology in the Transport sector in Bangladesh

Introduction of
KSP Joint Consulting

1. Overview of KSP

KSP is a knowledgebased Development &


Economic Cooperation
Program to share Koreas
development experience
and knowledge with
partner countries
Policy
Consultation
(Bilateral KSP)

Joint
Consulting
(Multilateral KSP)

KDI
300 projects with 34
countries since 2004

Korea EXIMbank
36 Joint Consulting
projects since 2011

System
Consulting
Korea EXIMbank
11 projects since
2013

Support for the establishment of waste-to-fuel technology in the Transport sector in Bangladesh

Modularization
KDI School
100 development
policy cases since 2010

2. Why Korea?
1. Koreas rapid and inclusive development offers invaluable insights,
lessons and knowledge that can be shared globally
2. High Applicability
: Colonial Rule, Civil War, Poverty

OECD
DAC

KOICA
EDCF

0.8bil

0.82bil

2008

2009

0.25% of
GNI

1995

1945
1987

1991

Received USD 12.6bil.(1945-95)


Graduated from the assistance
program in 1995

2010

2015

Became a member of OECD DAC


Donates about 0.1% of GNI
(13th among DAC members)
Heading to a goal of donating 0.25% of
GNI until 2015

Support for the establishment of waste-to-fuel technology in the Transport sector in Bangladesh

3. Overview of Joint Consulting

Joint Consulting with IOs supports technical assistance


projects of IOs by providing KSP expertise through separate
activities jointly implemented by KSP consultants and IOs.
1.Partnership
with IOs

KSP and IOs jointly conduct technical assistance


program.

2. Synergy
Effect

Joint consulting maximizes the comparative


advantages of each to generate synergy.

3. Mutual
Learning

Three-way cooperation system among IOs, Korea,


and partner countries provides opportunities for
mutual and continued learning.

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4. General Aspects of Project

Joint Consulting (Multilateral KSP)


Project Type
Budget
Project Period
Consultant Selection
Local Consultant

Technical Assistance or Knowledge Product


USD 200,000 400,000 for each project
1 year (annual budget)
Hired by the Korea EXIMbank

Possible

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5. Program Partners

Major IOs for Joint Consulting


: WB, IDB, AfDB, EBRD, ADB and CAF

CAF

(2012.9)

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6. KSP-ADB Joint Consulting Projects


2011

Comparative Infrastructure Development Assessment of the Kingdom of Thailand and


the Republic of Korea
Education and Skills for Inclusive Growth and Green Jobs (Phase1)
Intelligent Transportation System for Better Urban Transport (Phase1)

Education and Skills for Inclusive Growth and Green Jobs (Phase2)

2012

Intelligent Transportation System for Better Urban Transport (Phase2)


Policies to Meet Global Economic Challenges Asian Perspective
Supporting Public Management through e-Government Capacity Development
Knowledge Sharing on ICT for Development-Universal Broadband Access and Inclusive Growth

2013

Policies to Meet Global Economic Challenges-Asia's Perspective


Strengthening Support for the Asia-Pacific Economic cooperation Financial Regulators
Training Initiative (Phase1)
Bicycle Sharing Systems for the Asia and Pacific Region
Improving Public Administration and Services Delivery through E-Solutions

2014

Support for the establishment of waste-to-fuel technology in the transport sector in Bangladesh
Sri Lanka Support for the Establishment of ICT in Education Sector
Support for Improving Energy Efficiency for Low-Income Households in Tajikistan
Strengthening Support for the Asia-Pacific Economic cooperation Financial Regulators
Training Initiative (Phase2)
Enhancing Public Private Partnership in Punjab Province, Pakistan

Support for the establishment of waste-to-fuel technology in the Transport sector in Bangladesh

7. Waste-to-Fuel Project Overview


Name
Implemented by

Features

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in the transport sector in Bangladesh

The government of Republic of Korea and The ExportImport Bank of


Korea
A joint consulting project with Asian Development Bank (ADB) as a
part of the Knowledge Sharing Program (KSP)

Estimated Project
US$ 250,000
Budget

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8. Objective

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Fuel-to-Waste
Technology

1. Organic Waste Treatment Technology


Waste Treatment Process

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I.

1. Organic Waste Treatment Technology


Various ways of waste treatment
Making burnable
Material

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2. Global Cases

Various ways of waste treatment


Commercialization of waste-to-fuel (including local and overseas cases)

Overseas anaerobic digestion process


- Mostly wet digestion or dry digestion technologies are used for processing organic wastes in
other countries.
Process title
Dranco Process
(Belgium OWS)
Valorga Process
(France Gaz de France)

Application site
Salzburg in Austria
Brecht in Belgium
Amiens in France
Tilburg in Netherlands

Methane generation

Remarks

140 /ton

Organic urban waste

60 /ton

Vegger Process

Vegger and Herning in Demark

80 /ton

60% Combined waste


+ 40% Organic waste
75% Human waste
+ 25% Industrial waste

Mobius System
(Finland)

Various sites including the demonst


ration facility in Minamiashigara
Various sites including organic wast
e treatment facility in Nigata Prefec
ture
The demonstration facility in Aichi
Prefecture

Rem System
(Austria)
Lietson System
(Germany)

100-120/ton

Food waste

115/ton

Food waste

100-120/ton

Food waste

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2. Global Cases

Use of Various ways of waste treatment


Vehicle fuel

Sweden

50% of vehicles fueled by natural


gas

France

35% of the entire buses

Germany

8% of vehicles (estimation)

Support for the establishment of waste-to-fuel technology in the Transport sector in Bangladesh

Provision via natural gas lines


Gothenborg region 1,500/hr
(after quality improvement)
Laholm region 500/hr
(after quality improvement)

Substitution rate of natural gas


will be 6% by 2020.

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3. Waste-to-Fuel Process

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4. Use of Generated Bio-gas in Korea

Source: 2011 Facilities using organic waste resources, The Ministry of Environment, 2012

Generated amount
(N/year)

Sales amount
(S/year)

Revenue
(\1,000/year)

Customer

6,003,913

131,169

96,580

Public buses and cleanin


g vehicles

Seoanam water recycling center


in Seoul

27,052,087

1,060,528

Biomethane Seoul Co.,


Ltd.

Nambu Sewage treatment center


in Busan

3,390,902

91,254

2,281

City Gas

Facility
Leachate treatment plant in the
metropolitan area
Food waste leachate anaerobic
digestion treatment facility

Byucksan E&C

Riverside water treatment center


in Busan

4,225,566

Nanji water recycling center


in Seoul

13,320,101

4,878,840

926,979

Ietech

Combined food waste and sewage


treatment facility in Ulsan

10,279,793

7,742,560

1,935,640

SK Chemicals

1,459,382

42,322
(Fuel cell generation)

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Implementation in
Korea

1. Waste-to-fuel system in Korea


Mass bio-gas production facilities in Korea
Source: Eco Energy Holdings

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2. The Waste-to-fuel system in Wonju and Its Implications


Overview
Source: Eco Energy Holdings

Organic waste-to-resource project in Wonju


Supervising office: Gangwon Provincial Office
Ordered by: Gangwondo Bioenergy
Constructed by: Ecoenergy Holdings and Halla Energy & Environment
Title: Organic waste-to-resource project in Wonju

Construction period: 24 months from the beginning of construction


(including 6 months of test operation)
Period: 20 years from the date of operation (Dec. 2012~Nov. 2032)
Equipment and capacity
Capacity: 600Nm3/hour

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I.

2. The Waste-to-fuel system in Wonju and Its Implications


Project Background
The ban on the ocean dumping of organic waste called for countermeasures
Introduce the technology to convert waste resources to energy through new and
renewable energy technology
Secure alternative energy resources following the high value of a gas digester used in the
existing sewage treatment center and high gas prices

Project Objective
To lead the governments policy by converting biomethane to automotive fuel
Develop and distribute new and renewable energy
Boost the local economy by attracting private investment
Reduce greenhouse gas emissions in the transport sector

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I.

2. The Waste-to-fuel system in Wonju and Its Implications


Facilities

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I.

2. The Waste-to-fuel system in Wonju and Its Implications


Benefits

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I.

2. The Waste-to-fuel system in Wonju and Its Implications


Benefits analysis

Benefits from the on-site use of biogas

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I.

2. The Waste-to-fuel system in Wonju and Its Implications


Benefits analysis
Benefits from the replacement of LNG with biomethane

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Implementation in
Bangladesh (Dhaka BRT)

1. Public Transport System in Dhaka


The main public transport modes in Dhaka include (automatic / cycle) rickshaws, tempos(three-

wheelers), truck buses, trains and taxes. Dhaka Metropolitan Regional Transport Committee
(DMRTC) is responsible for the management of the public transport. The following table presents
the operating status and fares of public transport modes in Dhaka
Heavy Traffic congestion on the roads
Bus (Large, Mini and Micro)

Large Bus(Automatic) : 1.45Tk/


Large Bus (Manual) : 1.2Tk/
Mini Bus : 1.1Tk/

Auto-rickshaw

Cycle-rickshaw

Basic fare : 18Tk


14Tk for the initial 2km and 6Tk per Km 10Tk per km
1Tk per minute while waiting
Note : 1Tk = 13.11 KRW(As of June, 2014)

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I.

1. Public Transport System in Dhaka

BRT construction plan


The government of Bangladesh is working on several projects including BRT, mass rapid
transit (MRT) and sky highway to resolve the public transport issues
Currently, the introduction of BRT, which was established by Asian Development Bank
(ADB) and World Bank (WB), is in progress in Dhaka.
This BRT project is closely related to this project. The starting point is to study the
possibility of using waste-to-fuel technology for new BRT vehicles

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I. Introduction

1. Public transport system in Dhaka

BRT construction plan

Source: Preparing the Greater Dhaka Sustainable Urban Transport Corridor, 2011, ADB
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1. Public transport system in Dhaka


BRT operation plan
BRT vehicle purchase plan by year and projected cost
- By 2043, 173 BRT bus will be in operation and the following table describes further details of the
BRT vehicle plan

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I.

1. Public transport system in Dhaka


BRT vehicles fuel consumption estimation
Estimation of fuel consumption by year
- Fuel consumption estimation for 173 vehicles in 2043 showed that when each bus makes 3.1 trips
- Distance travelled would be 7.8 million km/yr and the fuel consumed would be 2.5 million /yr

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2. Waste Management Status in Bangladesh

Dhaka Waste Collection and Disposal

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2. Waste Management Status in Bangladesh


Dhaka Waste Collection and Disposal
Waste expected in Bangladesh(2015) : 5,000 ton/day
Waste output in Bangladesh(2004) : 3,400 ton/day
With 150 million population the lack of living space and quality of it are major concerns.
80 percent of the waste is organic food waste, such as vegetable and fruit peels, meat

scraps, and spoiled fish.

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2. Waste Management Status in Bangladesh


Dhaka Waste Collection and Disposal

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2. Waste Management Status in Bangladesh


Dhaka Waste Collection and Disposal
Overall conditions in expected waste-to-fuel system facility site
- monitoring in Amin Bazar that currently used as landfill site in Dhaka
- wastes are discharged from anywhere in unsanitary conditions
- no social responsibilities for discharging and collecting wastes
- difficulties in collection and transport of the wastes, due to no regulations for waste capacity limit
of collection and landfill
- current landfills are operating without any environmental pollution prevention facilities
- potential natural and artificial danger for accidents
- tamping and soil coverage are crucial to enable recycling in the existing landfill sites
- considering the economic feasibility, governmental support to waste collection and transportation
are expected to be essential
- total data analysis is required for detailed feasibility review

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I.

2. Waste Management Status in Bangladesh


Comparison of waste treatment for bio-gas production

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I.

2. Waste Management Status in Bangladesh


Comparison the waste amount between Dhaka and Gazipur city

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I.

2. Waste Management Status in Bangladesh


Potential gas production estimation

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I.

2. Waste Management Status in Bangladesh


Output and financial status

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I.

2. Waste Management Status in Bangladesh


Feasibility
Construction cost : 18 million USD (estimated)
Annual sales from bio-gas : 0.6 million USD / year
Annual operation cost : 1.0~1.6 million USD / year

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Lessons and Issues

1. Project Issues

Waste collection system


>> How we create proper waste collection system in developing countries? (any
good cases?)

Financial feasibility of the project


- Cost for construction and operation
- Wonju project was conducted by PPP (20 years of operation by private partner),

because the project is feasible with waste treatment fee from government.

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2. Technological issues

Quality of gas
Maintenance
Way to consider social impact of project (new jobs, environment,

health, etc)
Building consensus for waste management
Fuel security
Any global funding?

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