A reader, Reviewer of Sanitary Board, sent me this email in reply to comments made in Making Money, Not Sense posting of 4th March.
Rather than putting it in the comment box, this comment deserves a posting in itself on this blog. The Reviewer’s comments are a commentary to issues raised by Annonymous and Shalom. Allow me to register my thanks to the Reviewer.
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Dear Sampahman,
I can’t help interjecting into this dialogue as the issue concerns the well being and the rights of every Malaysian when it comes to their right having clean and healthy environment as well as prudent public spending from the tax payers money and assessment fees collected by the authorities to spend and serve the public. I am with one of the agency and have the privilege of following the progress of the development of the RDF plant since its construction days. I am writing in the capacity of RAKYAT who wouldn’t want to be hood wink with all kind of gimmicks in the hand and gloves operation any more. I too have the opportunity to visit the plant several times during the progress. And during the visits, sometimes with ministers, authorities and technical consultants from state and federal, the operators has expressed and shared their experience as well as their concerns/request to make and to ensure the operation and services works well.
The operator can only improve things within the boundary, however, beyond the boundary it is the responsibility of other authorities, but the external factors are critical to the effectiveness of their plant. Their plant are not meant to process and keep waste, rather process to reduce waste and minimize waste going to the landfill. Going a bit into history, I was made to understand in their presentation to Minister of KPKT, Minister of Environment, and Minister of EPU and the State Authority that the Semenyih landfill will be closed once the operation of the RDF plant is commissioned and the very landfill will be upgraded to a sanitary landfill and the inerts from the RDF will be send into the inert sanitary landfill.
However, in April 2006, due to the leachate issue leaking into the rivers in some landfills, the Cabinet instructed 16 landfills to be closed, including the Semenyih landfill which the state is not ready with an alternative site, since the understanding is that the RDF upon completion will reduce 20% of the volume of MSW going to the landflll and the landfill will be upgraded into sanitary. The State made a plea to the operator to accept the MSW in order to assist the State to reduce the volume from going to the landfill. The operator only completed 2 of the 4 lines and even the RDF power plant is not even constructed at the point in time. However, due to the critical situation at the time, I was told that the operator agreed with 2 conditions: (1) that a nearby landfill site could be used for post process (60%) and (2) the access road to be build by state government.
GUESS WHAT, EVEN AT THIS TIME OF WRITING , AND THE PLANT IS FULLY COMMISSIONED, THE STATE HAS YET TO DELIVER THE NEARBY LANDFILL SITE (DUE TO ECONOMIC REASONS AS STIPULATED IN THE AGREEMENTS) AND THIS EXPLAINS WHY THERE ARE AT TIMES WASTE PILED UP AT SITE. I WONDER HOW THE MINISTERS FELT IF THEY DO NOT HAVE TOILETS IN THEIR OWN HOME, WHILE DEPENDING ON NEIGHBOURS, AND WORST HAVING OTORITIES TO TELL WHEN AND WHERE TO SHIT?
REGRETFULLY, A 2 KILOMETER ACCESS ROAD TO THE PLANT FROM THE MAIN ROAD FOR THE CONVENIENCE OF THE ALAM FLORA LORRIES AND CONTRACTORS IS NOT IN SIGHT. I WAS ALSO TOLD THAT THE OPERATOR IN ORDER TO ASSISTS, SPENDS ALMOST RM500K TO DO A BQ FOR THE ROAD, BUT AFTER PROVIDING IT TO THE RELEVANT AUTHORITIES, THE BQ IS STILL WITH ALICE IN THE WONDERLAND. I UNDERSTAND THAT THE INTERCHANGE TO BUKIT TAGA R LANDFILL COST AROUND RM38 MILLION. (LIKE THE MALAY PROVERB SAID, “ANTARA DUA DARJAT”
SORRY SELANGORIANS, I THINK WE ARE THE SECOND CLASS CITIZEN AS THE WILAYAH FOLKS ARE DUMPING 2100 TONS OF MSW A DAY IN OUR YARD, BUT THERE GOT ALL THE FACILITIES. LET’S SEE WHAT GREATER KL PLANS WILL PROVIDE US, SEE WHAT VALUE CHAIN THEY GAVE TO SELANGORIANS. I HOPE AND PRAY THAT THE CASTE SYSTEM OF (PARIAH VS BRAHMIN) REMAINS IN INDIA ONLY.
FACTS DON’T LIE. A GOOD 5 YEARS HAS PASSED, WHAT HAPPEN TO THE AUTHORITIES, FEDERAL AND STATE FOR THE LAST 5 YEARS? SHOULD SOMEONE WAKE THEM UP? OR THE POLITICS OF SPY VS SPY CATCHING UP WITH THEM, SO MUCH SO THAT THE MAJLIS PERBANDARAN ARE CAUGHT IN THE WHIRLWIND AND THE OPERATOR ( WHO SPEND EVERY SINGLE CENT OF THEIR OWN FUND PLUS THE BANKS MONEY TO BUILD THE PLANT , WHO CARES, AND THE PUBLIC WHO IS SUPPOSE TO GET THE SERVICE, WHO CARES? AFTERALL, THE STATE PUBLIC LISTED COMPANY INCHARGE OF THE WASTE MANAGEMENT HAPPILLY ANNOUNCE TO THE WORLD THAT THEIR TURNOVER HAS INCREASED TO ALMOST RM100 MILLION. WHOSE MONEY? RAKYAT. FOR WHAT? TO BURY THE WASTE. BRAVO. RAKYAT DIDAHULUKAN, MALAYSIA BOLEH.
Now, I would like to attempt to address the comments made by the writer for the landfill. I have nothing against the landfill, BUT it must be the last resort (off course sanitary) and after the waste have gone through minimization and treatment and all the recycling extraction, not only the physical materials, but also the energy inherent in the waste ( which I understand that there is probably in excess of 80% in the volume). If we can reduce the waste to only 5% of the volume, the landfill operators should be happy as they could sign a contract to manage the landfill for the next 250 years, just like YTL did for their energy distribution contract in Australia. The public is so naïve, that’s why the long term contract is needed to ensure the facilities are run by professionals who knows the business well. Off course, assuming technology development hibernates. Like Mr. Friedman, the economist in US said, the model of public services now focus on PRIVATISING THE GAINS AND SOCIALIZE THE LOSS. Good recipe for DISASTER.
Back to the comment, my views in red:
“You mentioned the RDF is a more economic option as it's developed without CAPEX from the rakyat's money. This is a fallacy as any CAPEX is included in the life-cycle cost in determining the tipping fee. Who pays the tipping fee at the end of the day? The rakyat of course. “
I totally agree with you that the CAPEX is included in the life-cycle cost in determining the tipping fee (those who don’t do this should not be in the business). But I think what Shalom in his comment meant that the CAPEX for construction of the plant is paid via the operator’s own fund and loan from the bank. Unlike Bukit Tagar for example, the Federal Government pay for owners’s land ( I heard about RM200 million), than gave contract to build the cells ( I heard another RM200 million) and then build the interchange at Batang Berjutai another RM38 million. And for every ton of waste received in the cell, DBKL has to pay another RM49 per ton ( I stand to be corrected), that’s RM102,900 per day from a 2100 tons of DBKL’s waste. Please double check just in case my calculator is wrong. Now isn’t that rakyat’s fund as opposed to the plant.
In the RDF case, this is where the operator was too optimistic with their business model when they assumed a low tipping fee as they were confident the recycleables and renewable energy would sustain the project. It looked good on paper, but in reality the plan went awry due to the plant's shortcomings. As you said the RDF business model is sound, but,requires "support" from the power-that-be. "Support" from the power-that-be invariably means financial support that equals the rakyat's money.
Theres’s nothing wrong with the business model. ( as validated by professional consultants I was told ) However, the little I know about business model, if the numbers does not stack up as what predicted, than there would be a problem. And that’s what happens to the plant. Cost of post disposal was affected due to the none decision by the authorities till today (5 years has passed), and the proposed site given for disposal was 4 times more than what has been agreed, it will definitely affect whatever model any one could put. The support required by the operator is issues outside of the boundary as mentioned above, i.e. near landfill site and access road. Even if, they are any request , its only for fairness in comparing apple to apple.
The RDF (which is actually a technology from Bangalore, India, and not Malaysian) is not working well not because it's mismanaged as you mentioned, but simply because the plant is not sustainable. It's an open secret that a significant volume of untreated MSW from the plant is disposed to a nearby dumpsite, even from the early days due to the plant failing. It is also a fact that the Kajang Municipal Council is looking for alternative means to handle their MSW as the RDF is clearly not able to provide the solution.
Wrong again. Yes, the technology is from Bangalore, but it was only on lab scale. They bought the pattern, set up a pilot plant which cost millions with their own fund ( so many others are lucky enough to get time and time again grants and has yet to produce respectable results). And they work with local research house and universities to finally patent a process that can handle local waste and not Indian waste. So, if you are not aware, please be advised, ok. A technology is a technology. From what I understand, their technology is the process (the software) and the hardware is the machines that they want it to be locally manufactured as they believe in localizing the facilities construction using local expertise and knowhow for the construction.
This mean savings the outflow and at the same time increase the multiplier effect to the domestic economy and provide more jobs locally. Malaysian contractors are very well advance in civil works, so are the process plants in petrol chemical, gas processing plant, chemical plants, rubber productions, palm oil refineries, aviation, shipyards and the list goes on.
Hardware are not rocket science, but not having a proper managing of it, can be disastrous. Don’t have to look far :Sport centers, stadiums, court complexs, schools, low cost house, Istana Rakyat (oops.. Istana Negara) and lots more. Talk about those related to waste, brogan, how much compensation the rakyat has to pay, the 7 island incinerators that fail to operate till today, the 5 incinerators that has yet to perform, and one incinerator that produce I megawatt at USD25 million (USD TWENTY FIVE MILLION) and resolving 100 tons of waste (others cost USD 1 Million per megawatt, and other renewable cost about USD6 million, and this cost the public USD25 million. ( As rakyat, I think some people should call MACC to verify).
Now, latest we have some party with no proven track record awarded project so call to save the world and provide light to people. I am an ardent National Geographic watcher. They remind me of animals that went around peeing and marking their territories but with no apparent results. Just take a look at how our Ministry of housing has evolve. It take them 10 years to come up with a bright idea. Tell the government that we must have paradigm shift, integrate our approach to managing waste. But alas, in their RMK10 commitment, build this through landfill and that’s why we have 9 new landfill that cost the rakyat another RM290 million. We can go on and on but its no use.
So, if the federal or the state is really interested to see the difference, .I challenge them to address the issue above, i.e. by providing the access road and also provide the budget for upgrading the semenyih landfill. Don’t just play with sentiments of the rakyat.
I also heard that they got 7 awards, 2 locally, and 5 internationally. Now, I wonder if the guys in the International bodies has not done their homework. What kind of Kiasu people la…. But at least, the award is not related to bodies or agencies that requires “table donations” for dinner, otherwise the award will be revoked. That’s what happen to one of the proposed award to them from a “Big Event” with every VIP’s in town for the Laurrette. No pay, no award. Some recognition.
I really don't know where you come out with the idea that a sanitary landfill runs on RM100,000 OPEX a day. This is definitely wrong. Based on your assertion, and assuming the landfill handles 1,000 tons of MSW a day, the cost per ton on OPEX alone (without CAPEX) is RM100, and we are not even talking about the tipping fee, merely cost. I shudder to think the tipping fee with CAPEX and profit margin. Do you seriously think the government would approve any sanitary landfill project with that type of cost/tipping fee?
I believe what Shalom is trying to say that at 2100 tons per day and at RM49 per ton tipping fee, that works out to RM102 ,000 per day, not the cost. But the revenue. I think I can easily calculate the cost to operate, and minus it from the RM102,000 is the margin. And for that, some RE of about 2 MW can be achieve. Others I heard could harvest about 25 MW from the same volume. I wonder how much carbon emission that would be. I will get back to the operators and ask them for their operating results if it might be of interest.
If the MCA/BN lot wants contribution to their campaign funds as you put it, it can come from any source. Why point at sanitary landfill? Wasn't the RDF developed during the MCA/BN time in Selangor as well?
I am not a politician and will leave to the people concern to answer that. But what little I know is that the operator also went through a tremendous pressure with the change of government. The new government thinks that the operator belongs to Barisan team, while the State executives want to protect their rights in the waste management under the federalization pressure ( there’s a half billion ringgit a year at stake),thus elephant fight elephant, the mouse deer is squashed in between. Who is the mousedeer? RAKYAT……YES, RAKYAT my fellow landfill writer. And Our future -generation, OUR KIDS AND THEIR KIDS AND THEIR KIDS ………..
Reviewer of Sanitary Board
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“It’s good to recycle to help the environment instead of throwing them into landfills. They will never go away there.”
Scott Berry.
I knew that the ordinary discards of residential life were hardly inert, that burying things under several feet of dirt didn’t bring their influence on the environment to a screeching halt. When organic matter decomposes, it creates methane and carbon dioxide, both greenhouse gases. As it filters up through layers of buried garbage, methane can pick up carcinogens like acetone, benzene and ethyl benzene, xylenes, trichloroethylene, and vinyl chloride. These compounds are borne on the breeze into nearby homes and offices.
-Elizabeth Royte, Garbage Land,