Waste

Waste generates significant global economic, social and health-related costs and liabilities. Each year cities generate approximately 1.3 billion tonnes of solid waste and this is expected to grow to 2.2 billion tonnes per year by 2025 (World Bank, 2013). Waste releases methane gas when disposed of in an oxygen-limited environment such as a dump or a landfill and releases pollutants and particulate matter during inefficient transportation and burning. Methane, generated from decomposing organic waste, is the solid waste sector’s largest contributor to GHG emissions and is considered to be more potent than CO2 (World Bank, 2018).

Investing in greening the waste sector can generate multiple economic and environmental benefits. One example would be the use of economic instruments in the waste management sector. It can contribute to strengthen waste management systems like in the “polluter-pays-principle” by providing revenue – either through user charges or through taxes and charges on waste generation or disposal that can be earmarked for waste management services (GIZ, 2012). Greening the waste sector primarily involves the three 3Rs – reduce, reuse and recycle – with the long-term vision being to establish a “circular economy” in which the use of materials and subsequent waste is limited, most unavoidable waste is recycled or remanufactured, and any remaining waste is treated so as to minimize environmental damage or even create additional value through recovering energy embedded in material or products. 

Relevance to SDGs

The importance of integrated waste management is stressed as a part of Sustainable Development Goal (SDG) 12, describing sustainable consumption and production patterns as well as mentioned in SDG 11.6 urging special attention to municipal waste management to make our cities more resilient.

Explore green growth resources related to SDG 12: 

SDG 12.3
        Food Waste        
   SDG 12.4
    Chemical Waste    
    SDG 12.5
Waste Management

The financing of sustainable waste management systems must take into account both the initial capital expenditures, including infrastructure investments, and the subsequent operating costs, such as service provision and equipment maintenance.

Finance is required at all steps in the waste management value chain, including construction and operation of disposal sites and transfer stations, waste collection from homes and businesses, street cleaning and waste-to-energy projects. There are also investment opportunities in product design, especially with regard to plastics, to minimize use of non-renewable raw materials and to build in recycling capacity for new products in order to reduce their cost and environmental impact.

Local governments provide about 50 percent of investments for waste services, and the remainder is typically provided through national government subsidies and the private sector. Multilateral Development Banks (MDBs) have a role to play in leveraging more private sector investment, as they can provide suitable financing structures while introducing environmental and social requirements. Some initiatives, like the Sustainable Waste Systems Network, which partners with the Climate and Clean Air Coalition, support cities in improving their waste management operations to reduce carbon emissions by enabling them to access technical resources, financial expertise, and tools to accelerate project implementation.