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Renewable Energy 103 (2017) 1e14

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Urban commercial biogas power plant model for Zambian towns

Agabu Shane a, b, Shabbir H. Gheewala a, b, *, Young Kafwembe c
The Joint Graduate School of Energy and Environment, King Mongkuts University of Technology Thonburi, 126 Prachauthit Road, Bangkok, 10140, Thailand
Centre of Excellence on Energy Technology and Environment, PERDO, Bangkok, Thailand
School of Business, Accounting and Finance Department, Copperbelt University, P.O. Box 21692, Kitwe, Zambia

a r t i c l e i n f o a b s t r a c t

Article history: The prospect of producing biogas from municipal solid waste (MSW) is high in urban towns of Zambia.
Received 1 April 2016 However, the feasibility of establishing biogas-based power plants needs to be assessed in relation to the
Received in revised form existing potentials, barriers and prospects. Technical potentials though available in urban towns, need to
7 October 2016
be modeled with a business view. The paper presents such an assessment of potential benets and
Accepted 8 November 2016
Available online 9 November 2016
suggests ways to overcome barriers such as nancing, regulatory framework, incentives and lack of
information and data. Once the barriers are overcome, biogas-based power plants could be established in
urban towns. These aspects are illustrated through a real case study of Kitwe town, which has the po-
Municipal solid waste
tential to install a 1.164 MW power plant. A simple payback period (PBP) calculation indicates that the
Biogas model power plant would have a 2 years payback period and the Net Present Values (NPV) at 18% interest base
Environmental, health, sanitation, social and rate would be 2,515,000 V and after performing a sensitivity analysis, the project becomes unviable at
economic benets 28% interest rate (250 V). Other benets that would come as a result of a biogas-based power plant in
Urban towns Kitwe are: 2.308 Gg CO2eq y1 avoided greenhouse gas (GHG) emissions, 1.235 Gg y1 nitrogen would be
Zambia conserved and 920 t y1 of organic fertilizer would be produced.
2016 Elsevier Ltd. All rights reserved.

1. Introduction methods has been hampered in many developing countries by

institutional, policy, technical, nancial, information and public
Biomass use as an energy source has been high and its impor- awareness barriers [8e10]. Biogas is one of the energy carriers
tance has been on the increase in many countries. Though solid derived from biomass such as municipal solid waste (MSW), agri-
biomass has been the major contributor to the energy mix of many cultural and forest residues, livestock manure and sludge from
countries, biogas production has quickly been gaining ground sewage treatment plants. It is a very versatile source of energy and
[1e3]. In the Sub-Saharan Africa (SAA) biomass contributes be- can be used for heating and electricity generation [11]. Biogas has
tween 70 and 95% of energy needs. If well implemented, biomass the potential to reduce a countrys high dependency on imported
energy technologies have the potential to replace fossil fuels; fossil fuels, reduce energy poverty and achieve sustainable man-
biogas can work very well as an alternative energy and the bio agement of waste resulting from human activities [12]. Biogas can
slurry can be used to improve soil fertility in rural areas [4,5]. be produced through anaerobic digestion of organic matter by
Compared to other biofuels 1 m3 of biogas at caloric value of microorganisms in the absence of oxygen [13]. A consortium of
20 MJ m3 at burning efciency of 34% can replace 3.78 kg of microorganisms that carries out anaerobic digestion depends on
rewood having a caloric value of 18 MJ kg1 at burning efciency the pH, temperature, Hydraulic Retention Time (HRT), C/N ratio etc.
10% or 10.30 kg of dung having a caloric value of 11 MJ kg1 The microbial processes that convert organic matter to methane
burning at 6% efciency or 1.65 kg charcoal having a caloric value (CH4) and carbon dioxide (CO2) take place under psychrophilic
of 8 kWh kg1 and burning at 25% efciency when cooking [6,7]. (<20  C), mesophilic (25e40  C) or thermophilic (50e65  C) con-
Utilization of modern, efcient and advanced biomass-to-energy ditions, although biodegradation under mesophilic conditions is
the most common [14e16]. Biogas mainly consists of methane and
carbon dioxide with traces of hydrogen (H2), nitrogen (N2) and
* Corresponding author. The Joint Graduate School of Energy and Environment, hydrogen sulphide (H2S) [17,18]. The production process involves
King Mongkuts University of Technology Thonburi, 126 Prachauthit Road, Bangkok, hydrolysis, acidogenesis, acetogenesis or dehydrogenation and
10140, Thailand. methanogenesis [19e24]. Typically, biogas has caloric values in
E-mail address: (S.H. Gheewala).
0960-1481/ 2016 Elsevier Ltd. All rights reserved.
2 A. Shane et al. / Renewable Energy 103 (2017) 1e14

Abbreviation JCTR Jesuit Center for Theological Reection

k Kilo
AfDB African Development Bank kWh Kilowatt hour
AD Anaerobic Digestion MSW Municipal Solid Waste
BOZ Bank of Zambia MW Megawatt
CEC Copperbelt Energy Corporation MWh Megawatt hour
CH4 Methane JICA Japanese International Corporation Agency
CHP Combined Heat and Power N2 Nitrogen
CI Cash Inow N 2O Nitrous oxide
CO2 Carbon dioxide NPV Net Present Value
CSO Central Statistics Ofce PBP Payback Period
CSWMC Copperbelt Solid Waste Management Company PPP Public Private Partnership
CSTR Continuous Stirred Tank Reactor PV Present Value
EF Emission Factor PVF Present Value Factor
EIA Environmental Impact Assessment SAA Sub-Saharan Africa
EPB Environmental Project Brief SADC Southern Africa Development Community
FC Fuel Combustion SNV Stichting Nederlands Vrijwilligers
GgCO2eq Giga Carbon dioxide equivalent TMO Thailand Greenhouse Gas Management Organization
GHG Greenhouse Gases VS Volatile Solids
HRT Hydraulic Retention Time WB World Bank
IFA International Fertilizer Industry Association WHO World Health Organization
IIC Initial Investment Cost ZDA Zambia Development Agency
IMF International Monetary Fund ZESCO Zambia Electricity Supply Company
IPCC Intergovernmental Panel on Climate Change ZRA Zambia Revenue Authority

the range of 15e24 MJ/m3 [25e27], a methane to carbon dioxide inefcient stoves causes loss of soil fertility, air pollution, and loss of
ratio of 60:40 [28], density of 0.67 kg/m3, average gross electricity opportunity by those who collect the biomass [6]. Power produc-
production of 2.07 kWh per m3 biogas (35% electrical efciency) tion using biogas in combined heat and power plants protects the
and an average heat production of 2.67 kWh (45% thermal ef- environment and avoids climate change, and can contribute
ciency). The methods for waste anaerobic digestion depend on type immensely towards a countrys energy mix [38]. Life cycle assess-
of digester, the working temperature and the number of stages. The ment studies conducted in Europe and Asia indicated that use of
two most common are complete mix and the plug ow. The rst biomass as feedstock to produce power had lower GHG emissions
one is typically used in a wet process having less than 10% dry compared to use of fossil fuels [39]. Substitution of mineral fertil-
matter in the interior of the digester and less than 20% total solids. izer with organic fertilizer resulting from biomass degradation
Using a mixer, the feedstock is fed continuously making the through anaerobic digestion would substantially reduce environ-
mixture homogeneous in all parts of the tank [29]. A continuous or mental impacts [40]. Most countries are promoting biogas due to its
semi continuous stirred tank reactor (CSTR) allows for efcient many benets such as it is a clean source of energy, and it has the
mixing and prevents solid accumulation thereby creating an ability to replace fossil fuels, reduce deforestation, improve soil
enabling environment for the microorganisms and the feedstock fertility, increase income, improve peoples living standards and
substrate [30]. The CSTR is the most common mixing method reduce greenhouse gas emissions [4,27and41].
mostly employed in anaerobic reactors and it achieves constant The objective of this study was to come up with a power plant
methane production when a steady state operation is established model that would use biogas from municipal solid waste that is
[31]. Each anaerobic digester reactor is normally equipped with an generated in urban towns of Zambia. Biogas power plants would
electric motor mixer held in place by a stainless steel stand [32]. supplement the electricity shortage that is currently mainly sup-
Excessive use of biomass in a traditional manner to meet energy plied by hydroelectricity [42]. The study used the business model
needs has not only resulted into soil and environmental degrada- canvas according to Osterwalder and Pigneur [43]. The study will
tion but also resulted into indoor air pollution, release of green- identify data gaps that have existed for a long time in this area in
house gas (GHG) emissions and loss of opportunities to carry out Zambia and it will serve as a model that could be implemented in
more productive activities [6,33]. The commonly known GHG all urban areas where municipal solid waste is generated in rela-
emissions released from traditional use of biomass are CH4 and tively large amounts. The study is unique as it is the rst one of its
nitrogen oxide (N2O) from management of livestock manure and kind in Zambia. In the study, Kitwe town has been used as a real
combustion of crop residues, rewood, charcoal and livestock case example to demonstrate how the model could work. The
manure in the quest for energy for cooking using inefcient stoves model would be replicable and sustainable to all other urban towns
[34e36]. Globally, nearly 2.5 billion people use traditional biomass where such biogas potential from municipal solid waste exists. The
to meet energy needs for cooking. By 2012, Stichting Nederlands study involved establishing the biogas potential from MSW,
Vrijwilligers or Netherlands Development Organization (SNV), a establishing the electrical and heat potential that could be gener-
non-governmental organization from the Netherlands, had ated by a combined heat and power (CHP) plant, determination and
disseminated biogas technology into about 18.5 million households or/discussing environmental, social, health and sanitation and
in African countries like Rwanda, Ethiopia, Tanzania, Uganda, economic benets. The justications for using a business model
Kenya, Burkina Faso, Senegal, Benin and Cameroon [28,37]. Despite canvas and Kitwe as a real case example are that the business
such progress in biogas dissemination in these SSA countries, model canvas is not only applicable to typical and common busi-
Zambia has lagged behind in this area [9]. Burning of biomass on ness whose markets have been established but it is also applicable
A. Shane et al. / Renewable Energy 103 (2017) 1e14 3

to unique business such as power generation from MSW and Kitwe The MSW generated per day per ward is a product of the pop-
has almost the same social settings and built environment like most ulation per ward, waste generation per capita and the collection
urban towns in Zambia respectively. The untapped biogas potential rate. The biogas potential is the product of the MSW generated per
[9,10] can be used to partly overcome the energy challenges. Biogas day per ward, organic matter content and the biogas potential of
may not be sufcient to power mines but it can be able to power per ton of MSW subtract the possible losses [10,50e54]. The power
residential homes and therefore help in solving the problem. For generated from municipal waste was calculated using Equations (1)
this reason, there is a justication that MSW can be used to produce and (2).
biogas and consequently electricity in Zambia urban towns.
PMSW (1)
2. Methodology 24  60  60
2.1. Data and information acquisition EMSW Ni  Qpc  Ceff  OMf  Bp  CVb (2)

Information and data on human population and municipal solid where: PMSW is the electrical or thermal power generated from
waste generation parameters were obtained from the Central Sta- municipal solid waste (MW), EMSW is the energy from municipal
tistics Ofce (CSO) [44], ofcial reports from local authorities, solid waste (MJ d1), hp is the electrical or thermal power efciency
agencies, non-governmental organizations and publications from of the conversion of biomethane into electrical or thermal power in
the sub-Saharan countries like Zimbabwe, Ghana, Nigeria, Uganda, the biogas power plant (%), Ni is the ith ward total human popu-
Tanzania, Kenya and Cameroon. Information and data on invest- lation, Qpc is the quantity of municipal solid waste generated per
ment costs of biogas power plants were obtained from European capita (kg p1 d1), Ceff is the municipal solid waste collection ef-
and Asian countries where such technology exists. Depending on ciency or rate of municipal solid waste collection (%), OMf is the
the subject matter, each specic section has cited the information organic matter fraction in the municipal solid waste (%), Bp is the
and data source. The information and data used in this study were biogas potential of the municipal solid waste (m3 kg1) and CVb is
acquired between the year 2007 and 2015. the caloric value of biogas (MJ m3). The electrical and thermal are
Kitwe is located in the center of the Copperbelt Province be- estimated separately using their respective efciencies.
tween latitudes 12 and 13 South and longitudes 27 and 29 East
at an altitude of about 1300 m [45] with minimum temperatures of 2.4. Organic fertilizer production
about 10e22  C during the cold season and maximum of be-
tween 27 and 35  C during the hot season [46]. The city of Kitwe is Improvement of the bio-slurry can add value to a biogas project
an economic center of the Copperbelt Province with large mining apart from the earnings realized from the sale of electricity and
operations, fast expanding informal sector comprising manufac- heat. The bio-slurry could contribute to the nancial feasibility of
turing, education, healthcare and trading. the biogas plant by substituting chemical fertilizers which are
costly and have adverse environmental impacts [55]. Organic fer-
2.2. Business model canvas tilizer as a co-product of biogas production can also lead into an
increase in fertilizer availability [56]. Organic fertilizer produced
The business model canvas could be dened as a rationale on from anaerobic digestion contains a high amount of nitrogen,
how an organization creates, delivers and captures value [43]. The phosphates, and other nutrients, which can be utilized as a natural
model identies key partners, resources and activities, value fertilizer for agricultural use [57e59]. The digestate from anaerobic
proposition, customer relationship, customer segments, channels digestion is rich in nutrients and can be spread directly into elds
of how the value proposition would be sold to the customers, cost [12] and crop yields increase by 6e30% [60,61]. Organic fertilizer
structure and the revenue stream as indicated in Table 1. This study from anaerobic digestion does not only replace the use of chemical
has modied the business model canvas to include key benets fertilizers but also leads into increased crop production yields,
such as environmental, social, health and sanitation and economics. reduced soil degradation and it could lead to saving of hard earned
These benets have either been quantied and or qualitatively foreign exchange through reduced chemical fertilizer importations
discussed. [5,62e64]. The amount of organic fertilizer that would be produced
from the anaerobic digestion was estimated according to Equation
2.3. Biogas potential from municipal solid waste (3) adopted from Tonkunya and Wongwuttanasatian [65].

Zambia is divided into provinces and districts. Each district is MCH4

Qf (3)
further divided into constituencies. Currently there are 150 con- rCH4  RCH4  VB  DP
stituencies in Zambia. Each constituency is subdivided into wards.
These divisions are not only important for political administration where; Qf is the production rate of fertilizer (kg d1), MCH4 is the
but also for provision of services to the locals. Kitwe has ve con- mass of methane generated within a year (kg y1), rCH4 is the
stituencies namely; Kamnsa, Wusakile, Nkana, Chimwemwe and density of methane (kg m3), RCH4 is the ratio of methane in the
Kwacha [47]. MSW management was poor in most local authorities biogas, VB is the biogas generated from a unit mass of fertilizer
despite the laws and regulations being in place. Enforcement and (m3 kg1 of fertilizer), Dp is the number of days of production per
monitoring by the Zambia Environmental Management Agency year.
(ZEMA) is inadequate. A lot of people complained about environ-
mental degradation in the country and frequent outbreaks of 2.5. Greenhouse gas emissions
cholera, diarrhea and dysentery have been linked to improper
disposal of municipal solid waste [48]. A study by Senkwe and 2.5.1. Greenhouse gas emissions from chemical fertilizer production
Mwale [49] concluded that waste from residential areas and mar- Fertilizer production currently accounts for about 2e3% of the
kets in Zambian towns were the most suitable for composting and total global energy consumption. Nitrogen fertilizers are respon-
biodegradation as the organic content was relatively higher sible for the majority of this consumption. Of the global greenhouse
compared to waste from other sources. gas emissions, 0.93% is from fertilizer production, 0.07% from
4 A. Shane et al. / Renewable Energy 103 (2017) 1e14

Table 1
The business model canvas.

Key partners Key Activities Value Proposition Customer Relationship Customer Segment
 Copperbelt Solid Waste  Conduct an Environmental  Electric power supply  Personal assistance  Zambia Electricity
Management Impact  Thermal power supply  Dedicated personal Supply Corporation
Company (CSWMC) Assessment (EIA)  Organic fertilizer supply assistance  Kitwe farmers
 Zambia Electricity Supply  Construct Anaerobic  Self service  Factories
Corporation (ZESCO) Digester (AD) reactors  Community
 Copperbelt Energy  Install biogas upgrading unit involvement
Corporation (CEC)  Install biogas storage unit
 Local Authorities  Install CHP unit
 Local communities  Produce biogas
 Produce electricity and
thermal heat
 Produce organic fertilizer
Key Resources Channels
 Municipal Solid Waste Purchase agreement
 Water In house sales
 Land Retailers
 Human Wholesalers
 Financial Web based
 Intellectual property Media (TV, radio and

Cost Structure: Cost driven Revenue Stream

Fixed costs  Electricity purchase agreement with ZESCO
 Capital costs (construction of AD reactors, electricity generators, land acquisition,  Sale of biogas to gas stations
accessory machinery, etc.)  Sale of biogas to Kitwe residents
 Car rentals  Sale of organic fertilizer to Kitwe farmers
Variable costs
 Buying MSW
 Packaging of organic fertilizer

Key benets
Environmental Social Health and sanitation Economic
 Greenhouse gas emissions  Employment  Typhoid  Earnings from electricity sales
Charcoal use  Opportunity cost  Cholera  Earnings from biogas sales
Firewood use  Poverty reduction  Diarrhea  Earnings from organic fertilizer sales
Fertilizer application  Development  Pets  Savings from traditional use of biomass
MSW burning  Household earnings  Bad odors
 Nitrogen conservation  Indoor air pollution
 Reduced deforestation

fertilizer distribution and 1.5% from fertilizer use [66]. In chemical greenhouse gas emissions per kilogram of fertilizer type i
fertilizer production greenhouse gas emissions are released from (kg CO2eq kg1 N-fertilizer). The values of GHG emissions per kg of
ammonia, phosphoric acid and nitric acid production processes. All N-fertilizer produced are given in Table 2.
nitrogen fertilizers are derived from ammonia. Natural gas is the
main feedstock used to obtain the hydrogen needed to synthesize
ammonia and the energy required for this process is obtained from 2.5.2. Greenhouse gas emissions from chemical and organic
fossil fuel or coal. Coal can also be used as a feedstock to obtain the fertilizer application
nitrogen required for ammonia production. Nitric acid (HNO3) is GHG emissions from organic and chemical fertilizer application
required as an intermediate in the production of nitrate fertilizers to managed soils was estimated according the 2006 Intergovern-
(and several other industrial chemicals) [67]. The GHG emissions mental Panel on Climate Change (IPCC) Guidelines for National
from fertilizer production were estimated according to Bellarby Greenhouse Gas Inventories, tier 1 [35] as given by Equations (5)
et al. [68], the International Fertilizer Industry Association (IFA) and (6). The avoided greenhouse gas emissions are estimated by
[69] Thailand Greenhouse Gas Management Organization (TMO) subtracting the GHG emissions of organic fertilizers application
[70] and Kool et al. [71]. The amount of GHG emission per kg of N- from the greenhouse gas emissions resulting from chemical fertil-
fertilizer produced is multiplied with the percentage of nitrogen in izer application.
the fertilizer and the quantity of fertilizer produced (kg y1) ac-
cording to Equation (4). N2 ODE N   EF1  106 (5)
GHGFP Qi  PN;i  EFi  106 (4) 44
N2 OIE NFVola  EF4 Fleach  F5   106 (6)
i1 28

where: GHGFP greenhouse gas emissions from fertilizer produc- where: N2ODE Direct N2O emissions from synthetic nitrogen
tion (Gg CO2eq y1), Qi quantitate of fertilizer type i (kg y1), addition to the managed soils (Gg N2O yr1), N Consumption in
Percentage of nitrogen in fertlizer type i (%) and EFi is the nutrients of nitrogen fertilizers (kg N input yr1), EF1 Emission
A. Shane et al. / Renewable Energy 103 (2017) 1e14 5

Table 2
Greenhouse gas emissions from fertilizer production.

Fertilizer type N P K Source

GHG Emissions (kg CO2eq kg1 fertilizer nutrient produced) 3.30 1.10 0.73 [68,69,72]
3.30 1.57 0.50 [70]
3.63 1.55 0.97 [71]

factor for N2O emissions from N inputs (kg N2OeN/kg N input), Nayono [81] during anaerobic digestion, methane is captured and
N2OIE Indirect N2O emissions produced from atmospheric used to produce energy, bad odors are captured and restricted to
deposition of N, volatilized from managed soils (Gg N2OeN yr1), the digester, waste water from solid waste and human waste is
Fvola Fraction of applied synthetic N fertilizer materials that vol- digested under anaerobic conditions and any other emission that
atilizes as NH3 and NOx (kg N volatilized/kg of N applied), was supposed to go in the environment is restricted to the digester.
EF4 Emission factor for N2O emissions from atmospheric depo- Eutrophication is prevented and the by-product the bio-slurry
sition of N on soils and water surfaces, kg NeN2O/kg NH3-N NOx-N could be used as an organic fertilizer which has more advantages.
volatilized, Fleach Fraction of applied synthetic N fertilizer mate- The traditional use of charcoal and rewood for cooking using
rials that leaches as NH3 and NOX (kg N leached/kg of N additions) inefcient stoves have also been discussed according to data and
and EF5 Emission factor for N2O emissions from N leaching and information from other studies conducted in Gambia, Zimbabwe,
runoff (kg N2OeN/kg N). Kenya, Malawi, Tanzania, Ethiopia, India, China, Mexico and Nepal
2.5.3. GHG emissions from municipal solid waste, charcoal and
rewood 2.7. Nitrogen conservation
Central Statistics Ofce [44] estimated that 51% of urban
households used charcoal, 43% used hydroelectricity and 6% on According to a study by Anderson [86], there is low nitrogen
average used rewood in urban towns of Zambia. In rural areas 81%, content in the sub-Saharan Africa soils and as such its conservation
16% and 3% of the households used rewood, charcoal and hydro- is vital. Due to soil degradation and high costs associated with
electricity respectively. Each household that uses charcoal needs chemical fertilizer production and application, conservation of ni-
two fty kilograms bags of charcoal per month [73] and 12.5 kg of trogen in the soils is relatively better than application of chemical
rewood per day [44,64e75]. The use of rewood and charcoal fertilizer [87]. Nitrogen fertilizer production and application
produces high levels of smoke and particulate matter which are consume a lot of energy and may lead to severe environmental
hazardous to human health. The collection of the rewood, wood impacts such as global warming, acidication and eutrophication
required for charcoal burning and cooking on inefcient stoves is [88,89]. Nitrogen is a major nutrient needed by crops. When
normally done by women and children. This does not only expose biomass residues are not recycled back into the soil, not only is
them to unhealthy conditions but also robs them of opportunities nitrogen lost but also soil erosion is intensied [90]. The benet of
to be involved in other income generating activities [76e78]. The nitrogen conservation as a result of biogas production is estimated
2006 IPCC Guidelines for National Greenhouse Gas Inventory, tier 1 as given in Equation (8) by Feng et al. [15]. The MSW generated has
under stationary energy sources was used to calculate CH4 and N2O not been used to estimate nitrogen conservation. Only the charcoal
emissions from rewood and charcoal. Though energy from the and rewood replaced by biogas used have been used to estimate
burning of MSW is not recovered and used, MSW emissions are nitrogen conserved. This is so because the MSW would not be
estimated in the same way as those from rewood and charcoal. available to be ploughed into the soil, while saving of the cutting of
This is so because the collected MSW is burnt in dump sites and in trees for charcoal and rewood entails conservation of the nitrogen
places where it is illegally dumped. Only about 40% of the MSW is in the soil.
collected [79]. The method uses data on energy consumption sta-
tistics and default emission factors according to Equation (7) X
adopted from the IPCC [35] and Niu et al. [34]. Nc Qi  li (8)
where; Nc is nitrogen conservation when traditional bioenergy
where: EGHG,F are emissions of a given GHG by type of fuel (kg GHG), replaced by biogas (t), Qi is the amount of traditional bioenergy
FCF is the amount of fuel combusted (TJ) and EFGHG,F is the default type i and li is the nitrogen ratio of traditional bioenergy type i.
emission factor of a given GHG by type of fuel (kg gas/TJ).
2.8. Economic benets
2.6. Health and sanitation benets
The economic benet of the biogas power plant model was
The health and sanitation benets were studied by analysis of estimated using the net present value (NPV) and the simple
ofcial reports and publications from Zambia and other countries payback period (PBP). The NPV is an indicator for protability of an
on health and sanitation issues resulting from municipal solid investment project. The NPV calculation converts expected future
waste management. These reports and publications have cited cash ows of a project into their present values. For this reason NPV
problems associated with MSW treatment and disposal and how is the sum of all the present values of a projects cash ows. If the
these problems can be reduced by the production of biogas using project NPV is greater than zero, the project is considered to be
MSW. Biogas production helps to better surrounding environment protable over that time period and the opposite is the true for an
as a result of the MSW being biodegraded in a controlled envi- NPV less than zero [91e95]. The higher the Net Present Value of a
ronment. Naturally decomposition of waste causes odor and water proposed project, the higher the protability [96]. Apart from the
pollution issues. The controlled process of anaerobic digestion re- NPV, the PBP was also computed according to Wresta et al. [97]. The
duces odor and liquid waste disposal problems [80]. According to actual economics of a facility is usually expressed as a payback
6 A. Shane et al. / Renewable Energy 103 (2017) 1e14

period. The payback period is dened as the time at which the NPV Equation (7) also used to estimate emissions from charcoal and
becomes zero [98,99]. Equations (8)e(11) were used to estimate the rewood. Using Equations (1) and (2) and taking the electric and
Net Present Values and the simple payback period. Social economic thermal efciencies to be 42% and 45% respectively
benets such as jobs created, household income, poverty reduction [13,94,109e112], the electric power would be 0.562 MW
and rural and urban development have not been quantied but (4923 MWh) and the thermal power 0.602 MW (5274 MWh). The
have been qualitatively discussed. This is so as there was insuf- business model canvas for this project identies the supply of
cient data for quantitative analysis, however it is a well-known fact 4,923,000 kWhel and 5,274,000 kWhtherm per annum as some of the
that with such a biogas power plant jobs will be created, there value propositions of the project. The composition of MSW for
would be poverty reduction, households will earn incomes and Kitwe District is indicated in Table 3 and the estimations for biogas
there will be rural and urban development. daily potentials are shown in Table 4.
The MSWs physical and chemical composition in Kitwe Town is
NPVn PV1 PV2 PVn  IIC (9) presented in Table 3. The model considered physical pre-treatment
of the MSW. Once the MSW is collected, it would require sorting out
PVn FVn  PVFn;i (10) the non-organic component mechanically. Pre-treatment would
also involve reduction of the MSW into the required smaller par-
1 ticle size, mixing with water and inoculation with the bacteria
PVFn;i (11) consortium. A careful review of the parameters indicates that they
1 in
are within the requirements for anaerobic digestion to proceed
successfully [21,49and113].
PBP (12)
CI 3.2. Organic fertilizer production
where: NPVn is the net present value of a project over n years, PV1
Using Equation (3), the amount of organic fertilizer produced
through PVn project cash ows from each project year1 through
per year was estimated to be almost 920 tonnes. The earnings from
n, IIC is the initial investment cost, FVn the known Future Value of
organic fertilizer sales were calculated by multiplying the quantity
the project cash ow in year n, PVFni a Present Value Factor for the
of organic fertilizer that would be produced with the average
year (n) and the project discount rate (i), PBP is the payback period
selling price of D-Compound and Urea fertilizers minus processing
in years and CI is the cash inow.
costs incurred during the fertilizer processing. The cost of a 50 kg
bag of Nitrogen Phosphorous Potassium (NPK) and or/urea fertilizer
3. Results and discussion in Zambia ranges between 35 and 42 V [114]. This translates to
about 0.70e0.84 Vkg1 of D-compound or Urea fertilizer. This cost
3.1. Biogas potential from municipal solid waste in Kitwe was used as a proxy for the cost of organic fertilizer that would
replace the chemical fertilizers. The processing costs were esti-
The waste generation per capita was taken to be 0.5 kg per mated at 50% of the gross earnings from organic fertilizer sales
person per day and the waste collection rate was at 40% [79]. The [115]. These included costs associated with labor, packaging, quality
waste generation per capita compares very well to other cities in assurance, marketing, storage, sales agents commissions and dis-
the Sub-Saharan Africa whose waste generation per capita ranges tribution. The net earnings from organic fertilizer sales would total
from 0.40 to 0.70 kg per person per day [50e55]. The lower waste 381,000 Vy1. In the modied business model canvas, organic
collection rates in Kitwe are as a result of the dumping of the waste fertilizer production is one of the valuable propositions of the
in undesignated areas such illegal pits, piles, road sides and even project and the farmers on the outskirts of Kitwe have been iden-
drainage systems [100] and perceived cheapness of dumping in tied as the would-be main customers of this organic fertilizer.
such areas [10]. This is relatively much lower compared to other
towns elsewhere. Zimbabwes town collection rates can be as high 3.3. Charcoal and rewood consumed for cooking energy
as 90% [53]. The organic waste content of the MSW was at 40%
[10,79]. This compares very well with other town in Zimbabwe at The modied business model canvas identies the replacement
45% [45] and MSW from other parts of the world at 40% [101]. To of traditional-used biomass due to of biogas production as a saving.
initiate the process of anaerobic digestion of the municipal solid Charcoal and rewood are the main biomass types consumed in a
waste, activated sludge and wastewater collected from a waste traditional manner for cooking in Zambia. Charcoal and rewood
water treatment plant could be used as an inoculant and added to consumption in Zambian urban towns stands at 51% and 6% on
the MSW in the reactors [89]. average of the total households respectively [44]. Taking 1 m3 of
The human population was obtained from the Central Statistics biogas to replace 1.65 and 3.78 kg of charcoal and rewood, 1544
Ofce [44] and the municipal solid waste biogas potential of and 416 tonnes of charcoal and rewood could be replaced in Kitwe
128 m3 t1 and 6% losses of biogas during anaerobic digestion were town respectively. The efciencies and caloric values of biogas,
used [50,102]. This value is from similar studies in Zimbabwe. In charcoal and rewood have been assumed as 34%, 25% and 10% and
Zambia, no such studies have been conducted before to determine 23 MJ m3, 27.6 MJ kg1 and 18 MJ kg1 when cooking [6,7,116].
this value. Other studies elsewhere indicate an average methane Firewood in urban areas of Zambia costs V11.71 per Oxcart load
yield of 120e150 m3 t1 of MSW, with 2500 MJt1 and 55% [75] and each load is a quarter tonne (250 kg). This translates into
methane content [103]. In terms of volatile solids, Khalid et al. [104] V0.05 per kg of rewood. Charcoal costs range from V4.60 to V6.44
in their study estimated methane yields from MSW of per 50 kg bag depending on whether one is in a rural or urban area
0.36e0.53 m3 per kg Volatile Solids (VS) while Kemausour et al. [73]. This translates into V0.09e0.13 per kg of charcoal. The price of
[105] estimated biogas potential 0.32 m3 of CH4 per kg TS of MSW. charcoal has been pegged at V0.13 per kg since the biogas power
The composition of methane in the biogas has been taken to be plant is an urban model. The savings as a result of biogas replacing
between 50 and 70% [106,107] and caloric value of the biogas as use of charcoal and rewood would be 199,000 and 19,000 Vy1
23 MJ/m3 [108]. Emissions from the MSW are estimated according respectively. The charcoal and rewood are not produced by urban
to the IPCC [67] Guidelines for National Greenhouse Gas Inventories households, but by rural households. For this reason rural
A. Shane et al. / Renewable Energy 103 (2017) 1e14 7

Table 3
Composition of the municipal solid waste.

Classication of source Moisture content (%) Density (kg/m3) VS (%) Ash (%) Energy dry basis (MJ/kg) Energy ash-free dry basis (MJ/kg) C/N ratio

Town Center High Cost 79.03 260.0 80.4 19.56 25.96 49.62
Residential High Cost 51.23 116.3 92.4 5.84 15.02 17.06 8e19
Medium Cost 60.46 219.8 87.0 9.76 15.30 20.31
Low Cost 29.03 188.6 45.4 2.56 15.58 16.16
Peri - Urban 61.54 118.9 77.4 11.23 18.80 25.41

Table 4
Biogas potential for Kitwe Town.

Ward Population MSW generated (kg d1) Biogas potential (m3 d1) Biogas potential (MJ d1)

Itimpi 11,503 920.24 110.72 2546.64

Twatasha 23,838 1907.04 229.46 5277.47
Kawama 37,613 3009.04 362.05 8327.10
Buntungwa 17,172 1373.76 165.29 3801.69
Lubuto 11,938 955.04 114.91 2642.94
Chimwemwe 14,074 1125.92 135.47 3115.83
Bupe 16,997 1359.76 163.61 3762.95
Ndeke 49,029 3922.32 471.93 10,854.47
Kafue 6961 556.88 67.00 1541.09
Kamnsa 13,774 1101.92 132.58 3049.41
Kwacha 18,222 1457.76 175.40 4034.15
Bulangililo 27,630 2210.40 265.96 6116.97
Ipusukilo 43,037 3442.96 414.26 9527.91
Chantente 2987 238.96 28.75 661.29
Riverside 35,564 2845.12 342.32 7873.47
Lubwa 12,556 1004.48 120.86 2779.76
Rokana 11,585 926.80 111.51 2564.79
Parlands 7394 591.52 71.17 1636.95
Buchi 22,975 1838.00 221.15 5086.41
Mukuba 5742 459.36 55.27 1271.21
Miseshi 17,141 1371.28 164.99 3794.83
Mindolo 15,257 1220.56 146.86 3377.73
Kamakonde 3842 307.36 36.98 850.58
Limaposa 2151 172.08 20.70 476.21
Luangwa 30,065 2405.20 289.39 6656.05
Chamboli 21,845 1747.60 210.27 4836.24
Chibole 16,524 1321.92 159.05 3658.23
Wusakile 24,676 1974.08 237.52 5462.99
Total 522,092 41,767.36 5025.45 115,585.32

households would indirectly benet to some extent. Initially, they would be 460 tonnes each. The values for the GHG emissions per kg
would lose incomes from charcoal and rewood sales to urban of N-fertilizer produced were given in Table 2. The results are as
areas but eventually, they would have more time to spend in more presented in Table 5.
productive activities instead of cutting and collecting rewood and Using Equations (5) and (6) adopted from the IPCC [35] guide-
burning charcoal. The opportunity cost of spending time to collect lines for national greenhouse gas inventories and taking nitrogen
rewood and cooking on inefcient stoves in rural areas was esti- content to be 10%, 46% and 10% in D-compound, urea and organic
mated to be 1.56 Vd1 per rural household per day according to fertilizer respectively, the avoided greenhouse gas emissions from
Shane and Gheewala [117]. The reduction in the cutting of trees in fertilizer application were estimated as indicated in Table 6.
rural areas would result into reduced deforestation and conse- Municipal Solid Waste digestate has a nitrogen content of about
quently a reduction of all impacts associated with deforestation. 10e15% on average [118,119] and this was used in the estimation of
GHG emissions from organic fertilizer. The net CO2eq was esti-
mated as 0.89 GgCO2eqy1. The large part of this would come from
3.4. Greenhouse gas emissions greenhouse gas emissions from urea chemical fertilizer as it has the
highest percentage of nitrogen.
The greenhouse gas emissions from fertilizer production were Equation (7) adopted from the IPCC [35] guidelines for national
estimated according to Equation (4). The D-compound to Urea use is greenhouse gas inventories on energy use was used to calculate
one to one per hectare for maize which is the major crop grown in greenhouse gas emissions from charcoal, rewood and municipal
Zambia. For this reason, Urea and D-Compound fertilizer produced solid waste. Charcoal and rewood are used to provide energy for
cooking [44], while the municipal solid waste in most towns is
burned in dump sites and or other places where it is illegally
Table 5
Greenhouse gas emissions from fertilizer production.
dumped [49,79,96,120]. For this reason, the same method for
charcoal and rewood has used though the energy in MSW is all
Fertilizer type Quantity CO2eq (kg y1) CO2eq (Gg y1) lost. The total emissions per year have been presented in Table 7.
Urea 459,667 697,775 0.698 MSW contributes more than half of the total GHG emissions
D-Compound 459,667 151,690 0.152 compared to charcoal and rewood. This is so because the amount
849,465 0.849
of MSW generated and burnt per year in dump sites and other
8 A. Shane et al. / Renewable Energy 103 (2017) 1e14

Table 6
Avoided greenhouse gas emissions from chemical fertilizer application.

Quantity (kg y1) Direct N2O (kg y1) Indirect N2O (kg y1) CO2eq (Gg y1)

Chemical fertilizer (D-Compound) 459,667 722 78 0.25

Chemical fertilizer (Urea) 459,667 3323 357 1.14
Organic fertilizer 919,334 1445 155 0.50
Total 2.600 280 0.89

Table 7
Greenhouse gas emissions from Charcoal, Firewood and MSW.

Biomass type Quantity (kg y1) Energy (TJ y1) EF (kg CH4TJ1) EF (kg N2OTJ1) CH4 (kg y1) N2O (kg y1) CO2eq (Gg y1)

Charcoal 1,543,723 42.61 200 1 8521.35 42.61 0.192

Firewood 416,062 7.49 300 4 2246.74 29.96 0.056
MSW 15,245,086 42.19 300 4 12656.59 168.75 0.318
Total 23,424.68 241.32 0.567

illegal dumping sites is relatively much higher. improperly treated and disposed due to lack of nancial support
Use of municipal solid waste to produce biogas for power gen- and technical knowhow. The improper treatment and disposal
eration could result into avoided greenhouse gas emissions. A total leads to several problems such as such as odor nuisance, turbid
of 2.308 GgCO2eq per annum could be avoided from charcoal and water, skin infection, diarrhea, breeding of pathogenic vectors,
rewood consumption for cooking, burning of municipal solid damage to surface or ground water, eutrophication, soil contami-
waste in dump sites and illegal dumping places, production nation and air pollution [81,122].
chemical fertilizer and application of chemical fertilizer to soils. Inadequate municipal solid waste management in Kitwe and
Chemical fertilizer application to soils contributes about a net of most Zambian towns has resulted in the accumulation of waste on
0.893 GgCO2eq per annum accounting for 39%, followed chemical open lands, in drains and in the living areas of many people, causing
fertilizer production at about 0.849 GgCO2eq representing a 37% a nuisance and stinking pools, environmental pollution through
contribution, followed by open air burning of municipal solid waste leachates from piles and burning of waste, clogging of drains, and
at about 0.318 GgCO2eq amounting to 14% of the total. Charcoal and the possible spread of diseases. Unattended piles of waste are a
rewood contribute the least at 8% and 2% respectively. The breeding place for insects and rats [97,123]. Proper management of
quantities and percent contributions of avoided greenhouse gas MSW can prevent environmental damage [124].
emissions from charcoal, rewood, municipal solid waste and The highly populated residential areas and unplanned settle-
chemical fertilizers are shown in Fig. 1. The net avoided greenhouse ments have huge problems of solid waste disposal and sewerage
gas emissions from fertilizer application to soils are the sum of management. Local authorities rarely collect garbage in these areas.
greenhouse gas emissions from D-compound and urea fertilizer During the rainy season cholera outbreaks are a norm as a result of
minus greenhouse gas emissions from the application of organic huge piles that has remained uncollected over a long period of time.
fertilizer. According to Senkwe et al. [100] most of the municipal solid waste
generated in Kitwe and most urban towns of Zambia is either burnt
or scattered around the town in illegal pits, piles, road sides and
3.5. Health and sanitation even drainage systems and the situation has contributed to envi-
ronmental degradation, poor public health conditions, high risks of
Millions of tonnes of municipal solid waste are generated every epidemics and a generally aesthetically unpleasant environment.
year worldwide [121]. In less developed countries this waste is Inadequate management of MSW and poor sanitation results into
health risks such as diarrhea, malaria, respiratory infections,
pneumonia and intestinal worms in Zambia [124]. This scenario is
Chemical Firewood; not only prevalent in Kitwe, but most urban towns in Zambia.
Fertilizer Charcoal;
0.056; 2% Degradation of solid waste and breakages of sewer lines has
application; 0.192; 8%
Municipal resulted into growing of grass and water ponds providing a habitat
0.893; 39%
Solid Waste; for mosquitoes and other germs that causes many diseases. Market
0.318; 14% places generate a lot of municipal solid waste which goes uncol-
lected for some time. Almost all wards and all sections have at least
one big market. The same problems faced in residential areas are
also faced at markets in terms of municipal solid waste disposal.
Use of this municipal solid waste and sewage could eliminate these
problems associated with solid waste disposal and sewage man-
agement environmentally as compared to chemical fertilizer [117].
Studies conducted in the SSA countries like Tanzania, Kenya,
Malawi, Zimbabwe, Mozambique, Gambia and Ethiopia have indi-
cated that the indoor 24-h exposure to particulate matter of PM10
Chemical and PM2.5 are usually much higher than the WHO guidelines for
indoor air quality at 50 mg m3 and 25 mg m3 respectively. These
0.849; 37% values can be as high as 100e2500 mg m3 [125e128]. The use of
biomass for daily energy needs using inefcient stoves has resulted
Fig. 1. Avoided greenhouse gas emissions (Gg CO2eq y1). in such indoor air pollution. In the SSA and indeed in Zambia,
A. Shane et al. / Renewable Energy 103 (2017) 1e14 9

biomass use for daily cooking needs using inefcient stoves stands interest rates were obtained from within Zambia from the Envi-
at 70e95% [9,10]. In Zambian towns, the 51% and 6% of the total ronmental Management Agency (ZEMA), Zambia Revenue Au-
households that use charcoal and rewood respectively [44] use thority (ZRA), and the Japanese International Development Agency
inefcient stoves and it is likely that these households would get (JICA) in Zambia, the Bank of Zambia (BOZ), Zambia Development
exposed to similar levels of particulate matter which are above Agency (ZDA), commercial banks and international nancial
world health organization (WHO) guidelines. Studies from other consulting companies. These costs are given in Table 6 with their
developing countries like China, India, Nepal and Mexico, have respective references cited. A proposed project for electricity gen-
shown similar results [129e132]. eration requires that an EIA is done according to the Environmental
Management Act of 2011, read together with the Environmental
3.6. Nitrogen conservation Impact Assessment Regulations of 1997 and Statutory Instrument
No. 41 of 2015. The power generation of about 1 MW from biogas
Nitrogen conservation in the soil was estimated using Equation would require an EIA called an Environmental Project Brief (EPB).
(8). The quantities of charcoal and rewood used were those that The cost of such an EPB would be about 2.37 V per unit fee and the
would be replaced with biogas and the nitrogen ratio in both total cost would be 1000 V. The Environmental Project Brief should
charcoal and rewood was taken as 0.63 [15,133,134]. Municipal briey give details of the investor, amount of investment, the
solid waste was not included in the calculation because it would not project description, identify potential impacts, suggest mitigation
contribute towards nitrogen conservation in the soils. Normally the measures to such impacts, resettlement action plan where appli-
MSW is disposed of in the dump sites located in towns and with cable and give a decommission plan that consists of costs and years
biogas production it would be used to produce biogas as such required for the whole plant decommissioning.
cannot be recycled back into soils. A total of 1.235 Ggy1 of nitrogen The construction of the power plant will also have positive so-
would be conserved from avoided cutting of trees used for rewood cial impacts on urban and rural households. Installation of the CHP
and charcoal boring. Charcoal contributes almost 80% of this unit, anaerobic digesters, biogas upgrading and storage units and
conserved nitrogen. This is so because charcoal consumption is production of organic fertilizer will create direct and indirect jobs.
almost four times higher than rewood in towns. The avoided ni- Rural households will reduce tree cutting for rewood and charcoal
trogen losses are indicated in Table 8. burning. Even though initially there would be loss of income for the
rural households involved in these activities, the households will
benet in the long run as they will be able to engage in more
3.7. Economic benets productive activities. Deforestation will be reduced as a result of the
reduction in tree cutting. Income from direct and indirect jobs will
3.7.1. Important parameters used in the economic analysis improve living standards for households and create a ripple effect
The cash ow analysis started with the estimation of the initial on the economy of the city and the country as a whole. Households
investment cost associated with construction of the biogas anaer- would no longer spend a lot of time using inefcient stoves that use
obic digesters, installation of the combined heat power plant, traditional biomass for energy needs.
biogas upgrading unit, biogas storage unit, environmental impact The base interest rates were about 17e23% [136,137] though in
assessment, planning and authorization, operational and mainte- some commercial banks, interest could be as high as 28% [138].
nance, insurance, depreciation and tax. Benets from avoided use of charcoal and rewood are estimated
The lifespan of the plant is assumed to be between 20 and 25 according to how much charcoal and rewood be replaced by the
years [93,94,110,115] Table 5 gives different parameters and their use of electricity generated from biogas. The cost of rewood is
associated costs in a biogas plant installation. The costs for CHP from Chiwama et al. [80] and the cost of charcoal from CSO [44] and
unit, Anaerobic Digester and biogas upgrading unit have been Jesuit Center for Theological Reection (JCTR) [73].
adopted from the Budzianowski & Budzianowska [95] study. These The operation and maintenance (2%), and the processing costs
costs are similar or almost the same as those given by other studies (50%) cover labor, maintenance and repairs, transportation, sorting
by the European Biomass Association [13] and the International and storage of the MSW and processing, packaging, advertising and
Energy Agency [109,135]. Other costs for the biogas storage storage of the organic fertilizers. Costs associated with the disposal
equipment, planning and authorization, operation and mainte- of the excess bio-slurry are also part of the 50% processing costs.
nance, and depreciation were obtained from other studies con- Electricity tariffs have been the lowest in Zambia compared to
ducted in European and Asian countries where such technology is other Southern Africa Development Community (SADC) region
readily available and currently being used like Germany, Italy, countries. By 2008, domestic tariffs were as low as
Poland, Kenya and China. There is currently no such biogas pro- 0.01e0.03 VkWh1, while commercial were about 0.03e0.04
duction technology and equipment in Zambia and most of its VkWh1 ( [139,140]. By 2010, the domestic tariffs had increased to
neighboring countries as such; this technology and or equipment about 0.05e0.06 VkWh1 [75]. The domestic tariffs were later
will be imported from Europe and or Asia where such technology is increased in 2013 to 0.06e0.07 VkWh1. The commercial tariffs
readily available. These costs are relatively reasonable compared to were adjusted to about 0.05e0.08 VkWh1 [141]. In Kenya the feed
costs of the same equipment in other countries. in tariffs for power from biogas power plants are about
Costs associated with conducting the Environmental Impact 0.09e0.10 VkWh1 [142]. Taking the tariff of electricity to be
Assessment (EIA), commercial insurance, tax and prevailing 0.08 VkWh1 and thermal heat to be 0.05 VkWh1 [141,143], the
earnings from electricity and thermal heat production were esti-
Table 8 mated. The total earnings from sale of electric power and thermal
Avoided nitrogen losses. heat would amount to 394,000 and 264,000 Vy1 respectively.
In order to add more value to the bio-slurry, it should be well
Quantity Avoided nitrogen losses
kg y1 processed to a nished product; well dried, granulated, packaged,
kg y1 Gg y1
branded and labeled. Benets of this organic fertilizer must be
Charcoal 1,543,723 972,546 0.973 inculcated into the farmers by conducting workshops and dem-
Firewood 416,062 262,119 0.262 onstrations. Advertisements should be placed on both electronic
Total 1,959,786 1,234,665 1.235
and print media as regards to the benets and access to this organic
10 A. Shane et al. / Renewable Energy 103 (2017) 1e14

Table 9
Important parameters of the biogas power plant model.

Unit Unit cost Source Quantity Total cost (V)

CHP unit VMW1el 600,000 [94] 0.562 MW 337,000

Anaerobic digester Vm3 100 [94] 5025 m3 503,000
Biogas upgrading unit VMW1f 230,000 [109,135] 1.164 MW 268,000
Biogas storage VMW1f 13,250 [110] 1.164 MW 16,000
EIA V/Unit 2.37 [144e146] 433 Units 1000
Planning and authorization % 5 [111] 56,000
Initial Investment Costs 1,180,000

Operational and maintenance % 2 [142] 23,000

Commercial insurance % 5 [147] 56,000
Depreciation % 5.5 [148] 62,000
Operating expenses 141,000

Savings: Charcoal use This study 199,000

Savings: Firewood use This study 19,000
Net income: Organic fertilizer sales This study 381,000
Earnings: Electric power sales VkWh1 0.08 [141] 4,923,120 kWh 394,000
Earnings: Thermal heat sales VkWh1 0.05 [143] 5,273,520 kWh 264,000
Total earnings 1,257,000

Corporate tax % 35 [147,149e151] 440,000

Net prot/loss V 504,000

fertilizer. Important parameters used in the economic analysis are 3.7.3. Payback period
given in Table 9. The payback period is the length of time that is required for a
stream of cash proceeds from an investment to recover the original
cash outlay required by the investment (Drury, 2001). Using
3.7.2. Net present value Equation (11), the PBP is calculated by dividing the total initial cash
The initial investment cost was estimated at 1,180,000 V. This outlay by the amount of the expected annual cash proceeds. This
consisted of the cost of the CHP unit, anaerobic digesters, a biogas project requires an initial cash outlay of 1,180,000 V and is expected
upgrading and storage unit. It also had a component of one-off costs to produce annual cash inows of 676,000 Vy1 for 25 years, the
such as the cost of conducting an environmental impact assessment payback period is 1,180,000 V divided by 676,000 V or 1.75 years.
and planning and authorization associated with the project. The This indicates that the investment would take a maximum of two
annual recurring costs amounted to 141,000 V and consisted of years to pay for itself. This implies that the project will only be
costs such as operation and maintenance, insurance and depreci- making prot after 1.75 years. Projects with quick payback periods
ation. The total earning from electricity and thermal power sales, are highly preferable.
organic fertilizer sales and savings from charcoal and rewood use
amounted to 1,257, 000 Vy1. The corporate annual tax was at 35%
and the annual cash ow was about 676,000 V except for year 1 4. Recommendations
which had 504,000 V and year 2 with 172,000 V. At a base dis-
count rate of 18% over a period of 25 years, a positive NPV of There is need for a clear legal and policy framework enshrining
2,515,000 V was estimated according to Equations (9)e(12). The solid waste management in all Zambian towns. It should dene
positive NPV indicates that the project is viable and protable, responsibilities and functions of all administrative structures and
hence worth undertaking. This means that the income from the stakeholders. The legal framework must be multifaceted incorpo-
project is sufcient to ensure economic viability of the project. rating all issues of municipal solid waste management and associ-
According to Drury [152], the NPV method also indicates the po- ated issues such as health, sanitation, water and air pollution,
tential increase in present consumption to the ordinary share- nancing and community involvement. The responsibilities, roles
holders, after any funds used have been repaid with interest. In this and functions of local authorities, the environmental management
case, it is assumed that the investment in the project (1,180,000 V) agency, local communities, line ministries and solid waste man-
is nanced by borrowing 3,696,000 V (the present value of cash agement companies should be clearly spelt out. A participatory
ows from the project) at 18% and repays the loan and interest out approach in municipal solid waste management must be encour-
of the projects proceeds as they occur. The 2,515,000 V aged. Local authorities and line ministries must spearhead the
(3,696,000e1,180,000 V) would be available for current con- enacting of these laws and regulations, while the environmental
sumption and the remaining 1,180,000 V can be invested in the management agency must be actively involved in regulating and
project. Therefore acceptance of this project enables shareholders monitoring the activities of local authorities, solid waste manage-
value to be increased by the present value of 2,515,000 V. Hence, ment companies, the private business sector and the local com-
since the NPV is positive, the acceptance of this project should lead munities in municipal solid waste management. There is a need to
to the maximization of shareholders wealth. educate and sensitize the local households on the segregation of
A sensitivity analysis was carried out to determine the limit at solid waste at source. There is a wrong perception that illegal
which the investment would be no longer viable. The interest rate dumping is cheaper. Trading and industrial companies must also be
was increased at each time by 1% and at 28%, the NPV was negative educated and sensitized. There is need to let people know that
at about 250 V. The net present values at different interest rates there is a cost to waste disposal. The problem of managing solid
are indicated in Fig. 2. Therefore the project would be viable up to waste must be tackled with an all-inclusive approach. Waste
the interest rate of 27% giving an NPV of 76,000 V. collection zones must be clearly dened. Dropping and collection
A. Shane et al. / Renewable Energy 103 (2017) 1e14 11



NPV (1000) 750




18 20 22 24 26 28
Interest rates (%)
Fig. 2. NPV sensitivity analysis.

points must be clearly dened in residential areas, central business and any other components associated with energy production from
areas, industrial areas and markets. Once the solid waste has been biogas. The government through the Energy Regulation Board
properly segregated and dumped at designated collection points, it could also set tariffs that favor power production from municipal
will be easier and cheaper for the solid waste management com- solid waste.
panies to collect the waste and transport it to the power plant to be The way the laws and regulations and power transmission and
used for power production. distribution infrastructure are at present, the proposed project
Currently solid waste generated in residential homes, markets, could sign an agreement with the Zambia Electricity Supply Cor-
restaurants, hotels, lodges, central business and industrial areas is poration. This agreement would enable the biogas power plant
not weighted and recorded. Solid waste management companies project holding company to sell the electricity to ZESCO and feed it
and local authorities in each district must create registers in which directly into established transmission lines. The transmission and
solid waste generated per day in each area must be recorded. There distribution would remain the sole responsibility of ZESCO. The
records must be kept both in hard copy and on a server. Each dis- biogas power plant would directly sell the thermal heat to factories
trict must create a database in which these daily records should be and companies that use heat in their processing and production
recorded. The provincial and national ofces for local authorities activities. Each district in Zambia has the light and heavy industrial
should also create similar databases at their levels. This will enable areas in which companies that use heat in their manufacturing
stakeholders to properly plan and take appropriate measures as processes are located. Such companies and or factories that need
regards to solid waste management. Solid waste management heat in their daily processes include but are not limited to milk
companies should transport the municipal solid waste and sell it to processing factories, plastic and polyethylene forming companies,
the companies operating the anaerobic reactors and the biogas beverage processing and canning, grocery production, bakeries and
power plant. As the solid waste would be properly segregated, only breweries.
the municipal solid waste should be taken to the power plant and There is need to further conduct research on biogas power plant
the other waste can be transported and dumped to designated models using other feedstock resources available both in urban and
dumping sites according to the laws and regulations. rural areas. For instance, the districts in the Copperbelt province
Funding biogas power plants in urban areas of Zambia could be have large quantities forest residues such as timber offcuts and saw
through Public Private Partnership (PPP). The public and the busi- dust, while most rural districts of Southern, Eastern, Central,
ness community could be invited to come on board and become Northern and Muchinga provinces have high potential from agri-
partners by buying shares in the company. Private companies such cultural residues. Urban towns also have the potential to use
as the Copperbelt Energy Corporation, solid waste management wastewater from sewer treatment plants. These could all be
companies and other companies engaged in energy supply could explored and could contribute immensely towards job creation,
also be invited to become shareholders. With a well-written busi- alleviation from energy poverty, rural and urban development,
ness proposal, established shareholders could seek for funding in greenhouse gas emissions reduction, reduction of tree cutting for
the form of a loan from local commercial banks and lending in- charcoal and rewood, replacement of chemical fertilizer with
stitutions. The World Bank (WB), International Monetary Fund organic fertilizer, health and sanitation and conservation of nitro-
(IMF) and the African Development Bank (AfDB) could be gen in soils.
approached with such a viable proposal for funding as they have
funded energy projects in Zambia and in other countries before. 5. Conclusion
The Government Republic of Zambia should encourage biogas -
power production from municipal solid waste by introducing in- The business model canvas show for the power production and
centives such as: tax exemption on components of CHP units, supply from biogas generated from municipal solid waste indicated
anaerobic digestion reactors, biogas upgrading and storage units that urban districts in Zambia have potential to produce electrical
12 A. Shane et al. / Renewable Energy 103 (2017) 1e14

and thermal power which could complement the shortfall in en- [10] A. Shane, S.H. Gheewala, B. Fungtammasan, S. Bonnet, T. Silaletruksa, S. Phiri,
Bioenergy resource assessment for Zambia, Renew. Sustain. Energy Rev. 53
ergy needs in the country. The benets of power production from
(2016) 93e104.
power plants using municipal solid waste generated in urban towns [11] A. Sanches-Pereira, T. Lonnqvist, M.F. Gomez, S.T. Coelho, L.G. Tudeschini, Is
would not be limited to urban areas alone but would spread to rural natural gas a backup fuel against shortages of biogas or a threat to the
areas. This is so because charcoal and rewood consumed in urban Swedish vision of pursuing a vehicle eet independent of fossil fuels?
Renew. Energy 83 (2015) 1187e1199.
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