Caribbean Marine Biodiversity Program Cooperative Agreement No. AID-OAA-A14 -00064

Feasibility study and mini–business plan for a

community-led plastic collection/recycling project at

Three Bays National Park, Haiti

Submitted By: Jean Edy Theard and Phenel Delphonse. December 2016. This report is made possible by the generous support of the American people through the United States Agency for International Development (USAID). The contents are the responsibility of The Nature Conservancy and its partners (CEBSE, FOPROBIM, CCAM, and SusGren) and do not necessarily reflect the views of USAID or the United States Government.

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Table of Contents

Abbreviations ...... 4 I. Summary ...... 5 II. Background ...... 7 2.1 Caribbean Marine Biodiversity Program (CMBP) ...... 7 2.2 Brief Overview of the Three Bays National Park ...... 7 2.3 Beneficiaries, Stakeholders, and Their Roles ...... 7 2.4 Justification for Project ...... 8 2.5 Other Relevant Organizations in the Area ...... 8 2.6 Available Documentation on the Study Region ...... 9 III. Description of Products and Services ...... 10 3.1 Objectives...... 10 3.2 Project Results ...... 10 3.3 Project Activities ...... 10 IV. Product/Service Marketplace ...... 12 4.1 Market Description...... 12 Table 4.1. Key Enterprises Recycling Polyethylene Bottles in Haiti ...... 12 4.2 Target Market ...... 12 4.3 Competitors in the Recycling Sector ...... 13 4.4 Distribution Channels...... 13 Figure 4.1. Main Distribution Channel for PET Plastic Containers ...... 13 Figure 4.2. Alternative Distribution Channel for PET Plastic Containers ...... 13 V. Marketing Strategy ...... 14 5.1 Differentiation ...... 14 5.2 Marketing Strategy ...... 14 5.3 Target Group ...... 15 VI. Assumptions ...... 16 6.1 Assumptions at Different Levels ...... 16 6.2 Risks and a Flexible Approach...... 16 VII. Implementation ...... 18 7.1 Physical and Non-Physical Aspects of Implementation ...... 18 7.2 Organizational Procedures and Implementation ...... 18 Table 7.1. Participants and Responsibilities ...... 18 7.3 Duration of the Project and Programming ...... 19 7.4 Budget ...... 20 Table 7.3. Estimated Budget to Launch a Collection Unit in Each Community ...... 20 Table 7.4. Estimated Budget to Launch a Central Collection Unit at Limonade ...... 20 7.5 Special Conditions and Accompanying Measures ...... 21 VIII. Factors Ensuring Sustainability ...... 22 8.1 Legal Support for Sustainability Measures ...... 22 8.2 Appropriate Technology ...... 22 Figure 8.1. PET Plastic Container Recycling Process in Selected Communities ...... 22 8.3 Environmental Protection ...... 23 PPhoto 8.1. Model of plastic compression machine...... 23 8.4 Sociocultural Aspects and Gender ...... 23 8.5 Institutional and Management Capacity ...... 23 Figure 8.2. Organizational Model for Local Waste Management ...... 24 8.6 Economic and Financial Analysis ...... 24 8.6.1 Main costs related to plastic bottle collection and recycling activities ...... 24 8.6.2 Sales and cost estimates ...... 25 Table 8.2. Production of Plastic Bottles in Local Communities for the Next Five Years ...... 25 Table 8.3. Production of Plastic Bottles in Areas Supplying a Central Collection Unit in Limonade ...... 25 b) ...... 26 Table 8.4. Potential Sales and Costs of Local Collection Units (currency= Haitian Gourde) ...... 26

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Table 8.5. Potential Sales, Costs, and Financial Flows of a Central Collection Unit ...... 27 IX. Monitoring and Evaluation ...... 28 9.1 Monitoring Indicators...... 28 9.2 Review / Evaluation ...... 28 X. Conclusions and Recommendations ...... 29 XI. References ...... 30 XII. Appendices ...... 31 Appendix 1. Logical Framework ...... 31 Appendix 2. Map of the Project Area ...... 33 Appendix 3. Planning Activities ...... 34 Appendix 4a. Detailed Budget for Option 1 (a Collection Unit in Each Community) ...... 35 Appendix 4b. Detailed Budget for Option 2: a Central Collection Unit ...... 36 Appendix 5. Alternative Solutions for a Plastic Collection and Recycling Project ...... 37 Appendix 6a. Cash Flow Option 1: Installation of Collection Unit in Each Community ...... 39 Appendix 6b. Cash Flow Option 2: Establishment of a Central Collection Unit ...... 39

Tables Table 4.1. Key Enterprises Recycling Polyethylene Bottles in Haiti ...... 12 Table 7.1. Participants and Responsibilities ...... 18 Table 7.2. Indicative Programming, Over Three Years, for the Plastic Recycling Project ...... 20 Table 7.3. Estimated Budget to Launch a Collection Unit in Each Community ...... 20 Table 7.4. Estimated Budget to Launch a Cental Collection Unit at Limonade ...... 20 Table 8.2. Production of Plastic Bottles in Local Communities for the Next Five Years ...... 25 Table 8.3. Production of Plastic Bottles in Areas Supplying a Central Collection Unit in Limonade ...... 25 Table 8.4. Potential Sales and Costs of Local Collection Units ...... 26 Table 8.5. Potential Sales, Costs, and Financial Flows of a Central Collection Unit ...... 27

Figures Figure 4.1. Main Distribution Channel for PET Plastic Containers ...... 13 Figure 4.2. Alternative Distribution Channel of PET Plastic Containers ...... 13 Figure 8.1. PET Plastic Container Recycling Process in Selected Communities ...... 22 Figure 8.2. Organizational Model for Local Waste Management ...... 24

Pictures Photo 8.1. Model of plastic compression machine ...... Error! Bookmark not defined.

Chart Chart 8.2. Costs, Revenues, and Results of a Central Collection Unit ...... Error! Bookmark not defined.

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Abbreviations

3BNP Three Bays National Park ANAP National Agency for Protected Areas CASEC Board of Directors of the communal section CMBP Caribbean Marine Biodiversity Program EBA Ecosystem-Based Adaptation Project FoProBiM Foundation for the Protection of Marine Biodiversity IDB Inter-American Development Bank IHSI Statistics and Informatics Haitian Institute MARNDR Ministry of Agriculture, Natural Resources and Rural Development NGO non-governmental organization OCB community-based organization PET polyethylene terephthalate SOIL Sustainable Organic Integrated Livelihoods TNC The Nature Conservancy UEH Haiti State University UNDP United Nations Development Programme

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I. Summary

This study is part of The Nature Conservancy’s (TNC’s) efforts to support relevant stakeholders, the authorities, and local associations to conduct sustainable plastic waste management at the community level within the Three Bays National Park (3BNP). The park is strategically important for Haiti, given the natural resources it contains and the important ecosystem services it provides.

This work aims to analyze the feasibility of a plastic recycling business managed by the community. The end goal is to determine whether plastic collection/recycling could be a viable and sustainable alternative livelihood for the local communities, thus reducing the pressure on the biodiversity within the park boundaries.

To study this issue, visits and meetings were held in the various areas concerned (Bord de Mer de Limonade, Madras, Caracol, Garde Saline, Jacquesyl, Fort Liberté, and Derac), with local authorities (town halls and CASEC) and local associations. An in-depth survey was carried out in each of these zones to determine the zones’ waste generation and waste management.

Field observations and data collected showed that waste management initiatives in general are lacking, particularly for plastic. The waste is thrown in the streets, on the coast, on the beaches, and under the mangroves. The situation is particularly critical in the communities of Limonade, Caracol, Phaëton, and Fort Liberté. The waste is generated not only by the local residents but by the many visitors to these areas who come to the beach or to regional festivals.

Many types of plastic waste are found in these communities. For the proposed recycling project, we focused on recycling and collection of polyethylene terephthalate (PET) plastic containers (bottles of water, Fiesta, Coke, Seven Up, etc.), because they are abundant and because there is a market for PET plastic. There are four companies in Port-au-Prince that buy PET plastic, and one of them works with intermediary centers in major cities of the country, including Cap-Haïtien. The PET bottles generate, on average, 2 Haitian gourdes per pound.

Competent authorities have no data on the volume of waste generated in these communities. For the purpose of this work, we have estimated the volume of PET bottles on the basis of data collected from the focus group and survey. The data show that each resident or visitor/tourist discards two PET bottles, on average, per day.

In the nine target communities, the number of households is estimated at 7,764, with a total population of more than 35,000 (IHSI, 2015). Thus, the total annual production of PET in these communities is around 6 million PET units. If this collection project is extended to the nearest urban centers (towns of Limonade, Trou du Nord, and Terrier Rouge), the collection of PET units may reach 15 million units.

The goals of a PET plastic bottle recycling project would be to rid communities of solid waste deposit, which are scattered in nature and sometimes buried or incinerated, impacting the environment, and to create jobs. We expect that 5 to 10 people could work in this sector (collecting, sorting, packaging, bagging, and selling). Initially, it is expected that the PET plastic bottles collected will be sold through the intermediary center of GS Industries in Cap-Haïtien; in the future, when the amount collected is significant, they could be sold directly to Port-au-Prince.

To implement this PET collection initiative there are two options: installation of a unit at each community level, or establishment of a central unit at Limonade.

To manage this initiative, we propose to work with organizations that are active in the local communities. Members of associations interested in developing small enterprises will receive financial aid and capacity- building support to establish a plastic collection unit. In some areas, authorities who are already involved in waste management could be involved.

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To implement this project, it is necessary to build capacity, acquire equipment, and obtain working capital to purchase PET bottles from collectors. These investments are estimated to cost between 436,547.73 and 1,093,728.91 gourdes for local units and 3,860,500.00 gourdes (at the exchange rate of 1 US dollar = 70 gourdes) for the central unit. The approach will involve the mobilization of collectors who will collect and sell bottles at the Recycling and Collection Unit. These bottles will be sorted and compacted using a mechanical press, which will have to be purchased, and which will reduce the volume of bottles in a ratio of 3:1. Compaction will decrease the transportation costs.

The plastic collection unit will sell the bottles collected for 2 gourdes per pound. It will buy from the collectors at 1 gourde per bottle. At such a price, collectors will need to deliver about 6,900 bottles to earn the minimum wage of 300.00 gourdes. This price may not attract them.

This initiative is technically feasible and its socio-environmental benefits are significant, considering the positive impact it will have on local ecosystems and the quality of life for local residents. However, this activity is not profitable financially. Sales of PET plastic bottles will not even cover the direct investment (payment to collectors and workers and transportation). The prices paid by the recycling plants are too low and will not cover the production and operation costs of the collection unit. Thus, the recycling unit will remain dependent on subsidies for its operation.

However, waste management initiatives in general and collection of plastic bottles in particular are necessary in these communities. It is important to involve active players, associations, individuals, authorities, and environmental management programs in keeping the community clean.

At potential tourist sites such as Bord de Mer de Limonade, Caracol, Phaëton, and Fort Liberté (Bayama beach), where waste management structures already exist, we could educate these entities to manage the local environment for their own economic benefits. Specifically, we could help them to develop a waste management plan and to consider funding it through the admission fees they collect.

In other areas, such as Madras and Jacquesyl, we should work with CASECs and relevant associations to convince them of the consequences of having plastic scattered in nature. The idea would be to get them to organize their own waste management by establishing fixed collection points so that people do not scatter their waste in the zones.

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II. Background

2.1 Caribbean Marine Biodiversity Program (CMBP)

This feasibility study for the collection and recycling of plastic waste as an alternative/additional source of income was supported by the Caribbean Marine Biodiversity Program (CMBP). The overall objective of CMBP is to reduce anthropogenic threats to marine and coastal resources in priority areas of the Caribbean, including high-biodiversity ecosystems such as coral reefs, mangroves, and seagrass beds. The aim is to conserve biodiversity, maintain and enhance ecosystem services, and improve the living conditions of local communities in these priority areas that are exploiting natural resources for their survival. In Haiti, CMBP operates in the Three Bays National Park. The study is part of the efforts supported by TNC to identify income-generating opportunities for locals, as well as to contribute to the park’s sustainable management. TNC has already supported the development of an action plan for the fisheries sector, using community input. Some activities outlined in the action plan focus on economic alternatives that can help to meet the socio-economic needs of local communities while preserving the biodiversity of the park.

2.2 Brief Overview of the Three Bays National Park

The Three Bays National Park was created in December 2013 by presidential decree and includes Limonade Bay, Caracol Bay, Fort Liberté Bay, and Lagon-aux-Boeufs. The park is about 75,618 hectares and shelters some of the largest and healthiest coral reef mangrove forests and other coastal/marine habitats in the country. Many fish and other marine species found at the Three Bays National Park are a major source of protein for local communities. Marine habitats also provide some protection to local communities from storms and floods.

In 2012, Caracol Industrial Park, located on the border of the Three Bays National Park, was put into operation. This installation poses challenges and opportunities for the park management and local biodiversity conservation efforts. It creates jobs in the area, but it will also increase the pressure on natural resources. Its presence is likely to encourage villages to develop in the Park environment, which will increase waste production and demand for natural resources (land, wood, etc.).

The Three Bays National Park is managed by the National Agency for Protected Areas (ANAP), which establishes management mechanisms, with technical and financial partners.

2.3 Beneficiaries, Stakeholders, and Their Roles

The project beneficiaries are the local communities (Bord de Mer de Limonade, Madras, Caracol, Jacquesyl, Garde Saline, Phaëton, Fort Liberté, and Derac) found inside and near the Three Bays National Park.

Beneficiaries Roles Natural resource users (fishers, 1) Use local ecosystems (mangroves, sea) to improve their living charcoal producers, etc.) conditions 2) Adopt and implement environmental protection measures and sustainable economic alternatives Local associations Develop natural resource management activities and local economic alternatives to benefit their members

The main stakeholders involved in the Park, who are concerned with the CMBP program and with economic alternatives, are listed in the table that follows.

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Stakeholders Roles Town halls (Limonade, Caracol, and Regulate local resource management and to support conservation measures Fort Liberté) for the Three Bays National Park CASECs of concerned communal 1) Regulate local resource management and to support conservation sections measures 2) Facilitate community management of local natural resources ANAP / Ministry of Environment 1) Coordinate interventions of technical and financial participants 2) Establish management mechanisms for the Three Bays National Park Ministry of Agriculture Support regulated use of natural resources and provide technical assistance (Departmental Direction and to beneficiaries Regional Office) Technical partners (FoProBiM Support beneficiaries to sustainably manage local natural resources Planet Village, University of (mangroves, sea, etc.) Limonade, Caracol Industrial Park, Encourage the beneficiaries to adopt economic alternatives to exploitation etc.) of natural resources (plastic recycling, kayaking tours, beekeeping, etc.) Identify simple and appropriate techniques to better manage natural resources Share knowledge facilitating enlightened decision-making regarding the management and exploitation of local natural resources Financial partners (TNC, IDB, Support actions directed toward sustainable resource management of the UNDP, etc.) national park and improvement of the living conditions of the local population

2.4 Justification for Project

The measures proposed in the project respond to the need to promote economic alternatives in local communities and to improve waste management, including that of plastic containers. Households and visitors discard a lot of plastic waste that ends up on streets, in river beds, under mangroves, or on beaches. This constitutes a major threat to natural ecosystems and affects inhabitants’ quality of life.

Plastic management can represent an economic opportunity for members of local communities who could collect and sell bottles to recycling companies. This new source of employment can help reduce destructive practices such as overfishing and mangrove cutting by providing an alternative source of income.

2.5 Other Relevant Organizations in the Area

Many other organizations are involved in interventions in the Three Bays National Park (either the central area or buffer zone) as donors or technical participants.

Participants Ongoing Interventions AGRITANS Developing agricultural projects in the area. This could have a positive effect on the management of the Three Bays National Park, if job opportunities become available for locals. However, if there is no adequate monitoring and control system, the AGRITANS activities may have negative consequences on local environment, for example by increasing waste production and polluting groundwater. ANAP Organizing the management of the park and establishing a Technical Unit and a Local Committee to support the management of the Park. The Local Committee is composed of different categories of local participants.

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Caracol Industrial Park Employing people in outsourcing industries. However, as jobs attract more people to the area, the pressure on natural resources increases.

Food for The Poor Supporting local communities in social housing and sanitation projects FoProBim Foundation behind the creation of the Park. It works to restore mangroves, promote sustainable economic alternatives, and conduct research on marine and coastal resources. IDB Financing activities linked to the Three Bays National Park management, including the establishment of a baseline to guide the management of the park Planet Village Implementing educational measures on the ecology and restoration of mangroves. SOIL Developing experience in the production and use of compost and in sanitation

TNC Financing actions and developing partnerships to protect coastal and marine biodiversity and improve the living conditions of the local population

UNDP Through the EBA project, strengthening the protected areas to contribute to biodiversity conservation and sustainable development in marine and coastal areas

University of Limonade (UEH) Research center conducting studies on topics related to the management of Three Bays National Park, including identification of stakeholders USAID Financing actions that contribute to biodiversity conservation, the protection of ecosystems, and the improvement of the living conditions of local communities

2.6 Available Documentation on the Study Region

The literature reviewed for the study provides necessary information on the environmental components and social and economic aspects of local communities that are in or near the Park.

References 1 Identifying the Three Bays Park stakeholders. Limonade University / Haiti State University, 2015. Contribution to the development of a public participation, methodology for the development projects and 2 industrial environmental impact assessment. The case of the Caracol park in Haiti. Junior Rony, 2012. Environmental and Social Management Plan (ESMP) for the Industrial Park of the Haitian North Region, 3 2011. Decree creating the Three Bays National Park and Beef Lagoons. Monitor, 168th Year, No. 230. Social and Environmental Impact Study of the Industrial Park of the Haitian North Region. Koios 4 Associates LLC, 2011. Rapid Fisheries Sector Assessment Three Bays National Park, North East Haiti. Caribbean Marine 5 Biodiversity Program. The Nature Conservancy, August 2015. 6 Beekeeping Development Plan. Ministry of Agriculture, 2010. 7 Agricultural Development Plan 2010–2025. MARNDR, 2011. 8 North East Management Plan, Cap-Ouanaminthe corridor, CIAT, 2012.

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III. Description of Products and Services

3.1 Objectives

The overall objective is to improve management of plastic waste generated by the local communities living within and adjacent to the park, promoting a community approach and eco-entrepreneurship that contributes to a cleaner local environment while generating income for local residents. Specifically, the project aims to: 1) Increase the awareness of local stakeholders on the impact of plastic waste on the quality of their lives and local natural ecosystems, 2) Establish a collection unit for plastic waste generated in local communities, and 3) Create income from the plastic waste recycling project.

3.2 Project Results

Result 1: Local people (residents, fishermen, visitors, CASECs, and Administration des Sections Communales (ASECS) recognize the negative impacts of discarding plastic waste in the natural environment (mangroves, coastal areas, beach, etc.). Result 2: A plastic collection unit is functioning in local communities. Result 3: Members of local communities (Bord de Mer de Limonade, Madras, Caracol, Jacquesyl, Garde Saline, Phaëton, Fort Liberté, and Derac) are working in the plastic recovery chain and earning money.

3.3 Project Activities

Result 1/Activities: A1.1: Conduct an awareness and education campaign related to the environment in the local communities (Bord de Mer de Limonade, Madras, Jacquesyl, Garde Saline, Phaëton, Fort Liberté, and Derac).

A1.2: Implement a waste management training program to encourage the recovery of plastic bottles.

A1.3: Inform local stakeholders about different aspects of the project.

A1.4: Train the participants on the project’s operation and the proposed plastic management system involving collecting, sorting/selection, packing, bagging, transportation, and sale.

A1.5: Develop synergies with other organizations in the territory (CBOs, state institutions, NGOs) to improve local environmental conditions.

Result 2/Activities: A2.1: Conduct legal procedures to have local authorities (CASEC, Town Hall, DGI) launch the plastic waste collection unit.

A2.2: Acquire necessary equipment (compactors, wheelbarrows, bags, wire, etc.).

A2.3: Develop technical and organizational skills to manage the collecting and recycling plastic unit.

A2.4: Establish an initial investment to start the collection unit.

Result 3/Activities: A3.1: Develop a marketing strategy for the PET bottles, including the development of relationships with companies that buy plastic waste, especially plastic bottles, and mobilize local collectors.

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A3.2: Organize the collection, transport, and sale of plastic bottles.

A3.3: Establish a system of accounting/financial management to keep records of all transactions regarding the collection unit.

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IV. Product/Service Marketplace

The PET plastic bottles are the main product that will be sold to companies engaged in recycling operations or plastic waste recapture. At the regional level, particularly around Bord de Mer de Limonade, Caracol, Phaëton, and Fort Liberté, the consumption of beverages in PET plastic bottles is increasing. There are no official data, but focus groups and in-depth field surveys indicated that each resident discards, on average, two bottles per day (of beverages including Tampico, Fiesta, Red, Toro, water, and others). This waste contaminates the environment, including the soil, rivers, mangroves, beaches, and sea. Thus, bottle collection and recycling will improve these communities, providing environmental as well as economic benefits.

4.1 Market Description

In Haiti, the plastic recycling industry is relatively new. Even in large urban areas, there are no adequate systems of waste collection and recycling in general or plastic containers in particular. The small percentage of waste that is collected, usually by municipality public services, is stored or dumped without any prior treatment in landfill sites. There is a public landfill site near the Three Bays National Park, but very few municipalities (including municipal and local authorities) use it because of the lack of transportation. The amount of waste in the environment, especially plastic, is rising because of population growth and higher consumption of beverages in plastic containers. In the targeted communities, the number of households is estimated at 7,764, totaling more than 35,000 inhabitants (IHSI, 2015). If each household generates two PET bottles per day, with the addition of waste from visitors to the area, annual PET production in the affected communities could reach 6 million PET units (see Annex 4: Option 1). If this collection activity is extended to the nearest urban centers (Limonade, Trou du Nord, and Terrier Rouge), PET production may reach 15 million units (see Annex 5: Option 2).

There is no formal waste recycling market in Haiti. In some major cities in Haiti, such as Port-au-Prince and Cap-Haïtien, there are companies that recycle waste, including plastic. There are three companies involved in buying plastic, recycling and processing it, and exporting the material. These companies operate in Port-au- Prince and one or two have relationships with intermediary centers, based in the capitals of the departments.

Table 4.1. Key Enterprises Recycling Polyethylene Bottles in Haiti Purchase price per Destination of PET Enterprise Intervention zone pound of PET (HTG) purchased Environmental Between Port-au-Prince and Saint- 2 to 4 gourdes, depending PET bottles are pulverized Cleaning Solutions Marc on the type of PET bottles and exported to the USA S.A. (ECSSA) GS Industries and Port-au-Prince metropolitan area, with 1.50 to 3 gourdes, PET bottles are pulverized Tropical Recycling intermediaries in some big cities such depending on the type of and exported to the USA as Cap-Haïtien PET bottles E Recycling Port-au-Prince metropolitan area

In the region surrounding the 3BNP (from Limonade to Ouanaminthe), there are still no initiatives to collect and recycle plastic waste. At Cap-Haïtien, there is an intermediary that collects PET for Tropical Recycling and GS Industries. This activity remains informal and mainly involves marginalized people, who have no economic opportunities and who collect waste thrown into the streets, drainage channels, etc. for recycling

4.2 Target Market

PET plastic bottles will be collected at various local sites within and near the 3BNP. Seaside Limonade, Madras, Caracol, Jacquesyl, Phaëton, and Fort Liberté are the priority communities because of their relationship with the central zone of the 3BNP. These PET units will be sold to the collection unit set up under this project. Next, they will be sorted, compacted, and sold to the Tropical Recycling intermediary center and 12

GS Industries of Cap-Haïtien. When the company is consolidated, and can compile a significant amount of PET plastic bottles by multiplying its collectors or buying from other collection units in the region, it may be able to sell directly to Port-au-Prince.

4.3 Competitors in the Recycling Sector

Recycling of plastic waste is still a new practice in Haiti; accordingly, it is not seen as a business opportunity. Knowledge about opportunities to earn revenue from the collection and recycling of PET bottles is limited. Also, for cultural reasons, there are not many people who are interested in working with waste. However, in some major cities, such as Port-au-Prince and Cap-Haïtien, the waste collection and recycling sector is developing. It mainly mobilizes poor people who lack incomes and economic opportunities.

There are no data on the volume of material processed by the recycling companies, but interviews with officials suggested that the volume remains relatively low and is concentrated mainly in urban centers, where some collectors are working. At the local community level, there are no organizations involved in the collection and recycling of PET units. The bottles are seen as distasteful objects and are buried or incinerated in some areas, with negative consequences on the environment. Thus, a new plastic collection unit will be the only entity to operate in this sector.

4.4 Distribution Channels

PET plastic containers will be collected in the local community, from the streets, beaches, and bins that will be installed in the area. They will be sent to the collection unit, where they will be cleaned, separated, compacted, and bagged. Packaged PET will be sold per the following main circuit.

Figure 4.1. Main Distribution Channel for PET Plastic Containers

Local Collection and Collectors Recycling Unit Regional Intermediary Recycling Enterprise at PAP

Exportation

Another alternative, shorter distribution channel may be considered if the collection unit is able to increase the volume of bottles it processed. If it has a large enough output, it can negotiate directly with recycling companies in Port-au-Prince, without going through regional intermediaries.

Figure 4.2. Alternative Distribution Channel for PET Plastic Containers

Local Collection and Collectors Recycling Unit

Recycling Enterprise at PAP

Exportation

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V. Marketing Strategy

5.1 Differentiation

The collection unit will handle PET plastic bottles, charging its customers the same price as charged on the market. The local company will differentiate itself from competitors mainly in the presentation of products, which will be sorted, cleaned, compacted, and bagged.

The company will focus on collection from the area around the Three Bays National Park, where the main remaining mangrove and coral reef ecosystems are found in Haiti. This will lend the company’s products an “environmental responsibility” dimension that will be a value-added feature for companies that buy plastic.

5.2 Marketing Strategy

A four-level action marketing strategy is proposed:

1) Sale of products by the collection unit The collection unit will sell PET plastic bottles collected in local communities and urban centers in and near the Three Bays National Park. The bottles will be sorted, compacted, baled, and sold at recycling plants operating in Port-au-Prince. At the plant level, the bottles will be crushed for export from Haiti and will be used to manufacture new objects. The plastic is an existing product that will be sold on an existing, restricted, and informal market. The collection unit will try to convince nearby recycling plants to buy more plastic in the North and North-East region.

2) Prices charged by the collection unit The collection unit will apply the same prices as the existing market, selling PET plastic for around 2.25 gourdes per pound. This price will likely be adjusted during year 3 to match the market development and because of efforts to promote PET plastic collected in the 3BNP. At the local level, the collecting unit will buy a pound of PET plastic for 1.00 gourdes, a very low price compared with other economic opportunities that exist in the zone (fishing, agriculture). The local population must understand that the other objective of the project, to clean up communities and protect local ecosystems, is part of the reason for collecting the plastic.

3) Location of the collection unit The collection unit will be installed in the area where the PET plastic will be generated and collected. Bottles will be transported in garbage cans and, if a central unit is installed, by means of tricycles. To stimulate the collectors, the company may adjust the terms of payment, for example by establishing supply contracts that advance funds to collectors. The collection unit will sell compacted and baled PET to purchasing companies located in Cap-Haïtien and Port-au-Prince.

4) Promotion of the collection unit’s activities Local events will be organized to publicize the activities of the collection unit and the environmental and economic benefits it will bring to the local community. This will stimulate local participants to help collect PET bottles.

To promote PET plastic bottle collection, there will be an initial meeting of participants/intermediaries in Cap- Haitian and of purchasing companies in Port-au-Prince. Also, brochures and flyers will be published that explain the collection unit objectives and the importance of protecting the Three Bays National Park.

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5.3 Target Group

The project to collect and recycle plastic bottles will appeal to all groups who are concerned about the local environment pollution problem and individuals who are seeking to generate additional income for their families. The activity is open to all members of the local community who are willing to collect and sell plastic bottles. Downstream, all companies operating in the PET plastic recycling sector will be targeted. As the plastic bottles are primarily collected by marginalized people who have no other economic opportunities, they will be the first groups targeted by this activity.

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VI. Assumptions

6.1 Assumptions at Different Levels

The main hypothesis linked to the objectives and intended results are presented in the following table.

Objectives/Results/Activities Assumptions Overall Objective: The political, economic, and social conditions allow To ensure proper waste management of plastic by local communities the project to be completed. living within and adjacent to the Three Bays National Park, through a community approach and eco-entrepreneurship that contributes to a cleaner environment while generating income for local people. Specific Objective 1: The local population is in favor of implementing Strengthen the awareness of local stakeholders regarding the impact of measures to protect the local environment. plastic waste on their quality of life and on the health of the ecosystem. Specific Objective 2: Equipment and human resources needed for the basic Establish a plastic bottle collection unit in each of the local operation of the collection unit are available. communities (or establish a central unit). Specific Objective 3: The collectors can supply plastic waste to the Create sustainable income for people who work to collect the plastic collection unit, on time and in sufficient quantity. waste. Result 1: The local population is willing to collaborate on Local people (residents, fishermen, visitors, CASECs, and ASECS) plastic waste management efforts. recognize the negative impacts of plastic discarded in the environment (on residents’ quality of life and for the health of the mangroves, coastal areas, beaches, etc.). Result 2: A plastic bottle recycling market develops and A plastic waste collection unit operates in local communities. becomes formalized. The competent state authorities are in favor of creating institutions to handle waste collection and recycling. Result 3: There are enough polyethylene bottles for the industry Members of local communities (Bord de Mer de Limonade, Madras, to develop. Caracol, Jacquesyl, Phaëton, Fort Liberté, and Derac) work in the Local people agree to collect the bottles. plastic recycling industry and earn income.

6.2 Risks and a Flexible Approach

The main risks associated with the implementation of the recycling project are presented in the following table. They are linked to socio-cultural aspects of the community and to the PET supply.

Risk Measures to Consider Local people are not interested in collecting Training activities could be organized and awareness plastic waste because they see this activity as campaigns could be launched to inform people about degrading. the economic opportunities linked to the plastic recycling sector, presenting waste collection as a legitimate and respectable activity. The volume of PET plastic generated in the Collection activities could be extended to large urban targeted local communities does not allow the centers (Limonade, Trou du Nord, Terrier Rouge) in development of a profitable sector. the areas bordering the Park (Transitional Park Zone), which will allow larger volumes of plastic bottles to be 16

collected. Other plastic collection and recycling companies The collection unit adopts a strategy to increase the are growing and providing competition. loyalty of the collectors who supply it with plastic bottles and offers competitive prices. The prices offered by the collection unit do not Local residents are taught about the impact of the attract local collectors. project on the local environment. Improvement of residents’ quality of life, the health of local ecosystems, and the tourist and cultural sites is seen as its own reward, complemented by the small financial wage that is paid.

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VII. Implementation

7.1 Physical and Non-Physical Aspects of Implementation

To successfully implement the project, some physical equipment will be required. These items will be used in waste collection, processing, and storage and will be needed to start the operation. Here is the list of equipment and materials for each activity:

Activity Equipment Collection of plastic bottles Bin, wheelbarrow, ordinary bags Transport to storage unit Wheelbarrow and motorized tricycle Storage and sorting Space, containers Processing Protective equipment, compactor Bagging Bag, string Transport to the factory Vehicle

In terms of non-physical means, the enterprise will need human resources to ensure strengthening activities.

Technical supervision Needs Human resources: Plastic 1) Specific training on waste management and enterprise management collectors and enterprise and 2) General training on environmental management, as part of an financial managers environmental education program

To acquire the necessary resources for its start-up and operation, the company will mobilize financial resources. An initial investment will be essential.

7.2 Organizational Procedures and Implementation

The implementation of this initiative will involve a variety of participants:

Table 7.1. Participants and Responsibilities Participants Main responsibilities Community-Based Organization 1) Project management (CBO) 2) Developing relationships with the various stakeholders Active local authority (CASEC or 1) Regulatory/legal support mayor) 2) Regulation of the plastic collection 3) Equipment donation / storage space / field Appropriate departmental 1) Regulatory / legal support representative (MoE) 2) Non-physical support / capacity development 3) Normative procedures respect Private sector (plastic collectors, 1) Supply of raw materials (polyethylene plastic bottles) transporter) 2) Transportation of PET bottles to Port-au-Prince Technical participants Technical supervision NGO or donors (TNC) 1) Technical supervision 2) Financial support (initial investment, for starting the collection company) Recycling company Purchase of UV products

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7.3 Duration of the Project and Programming

The waste collection and recycling project will be supported for three years. Through capacity building measures, local participants will continue to manage the enterprise autonomously after that time.

Table 7.2. Indicative Programming, Over Three Years, for the Plastic Recycling Project Results/activities Year 1 Year 2 Year 3 Result 1: Local people (residents, fishermen, visitors, CASECs, and ASECS) recognize the negative impacts Q Q Q3 Q4 Q5 Q6 Q7 Q8 Q9 Q10 Q11 Q12 of discarding plastic waste in the natural environment 1 2 (mangroves, coastal areas, beach, etc.) 1.1: Conduct an awareness and education campaign related to the environment at the local level (in Bord de x Mer de Limonade, Madras, Jacquesyl, Garde Saline, Phaëton, Fort Liberté, and Derac). 1.2: Implement a waste management training program x aimed at the recovery of plastic bottles in general. 1.3: Inform local stakeholders about different aspects x x of the project. 1.4: Train participants on the project’s operation and the proposed plastic management system: collecting, sorting/selection, packing, bagging, transportation, and sale. 1.5: Develop synergies with other organizations in the territory (CBOs, state institutions, NGOs) to improve x x x x x x x x x x x x local environmental conditions. Result 2: A plastic collection unit is functioning in the Q Q Q3 Q4 Q5 Q6 Q7 Q8 Q9 Q10 Q11 Q12 local community. 1 2 2.1: Conduct legal procedures to have local authorities launch the plastic waste collection unit (CASEC, Town x x Hall, DGI) 2.2: Acquire necessary equipment (compactors, x x wheelbarrows, bags, wire) 2.3: Develop technical and organizational skills to x x manage the plastic collection unit. 2.4: Establish an initial investment to start the x collection unit. Result 3: Members of local communities (Bord de Mer de Limonade, Madras, Caracol, Jacquesyl, Garde Q Q Q3 Q4 Q5 Q6 Q7 Q8 Q9 Q10 Q11 Q12 Saline, Phaëton, Fort Liberté, and Derac) are working 1 2 in the plastic recovery chain and earning money. 3.1: Develop a marketing strategy for plastic bottle recycling; develop relationships with companies that x x buy plastic waste, especially plastic bottles; mobilize local collectors. 3.2: Organize the collection, transportation, and sale of x x x x x x x x x x plastic bottles. 3.3: Establish a system of accounting/financial management and stock control records and transactions x x x x x x x x x x to manage the unit.

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7.4 Budget

Two possible scenarios were considered for the calculation of the costs to implement the project.

Scenario 1: Set up a collection unit in each community involved.

Scenario 2: Set up a central unit to handle all the bottles collected in local communities and in nearby large urban centers (Limonade, Terrier Rouge, and Trou du Nord).

In both cases, expenses are grouped into two components:

Component 1: Strengthening local capacities and sensitizing communities to the environmental problems associated with poor waste management, as well as to the economic opportunities offered by their collection and recycling.

Component 2: Installing and operating the collection unit. These expenses are related to the acquisition of equipment and the payment of workers for the collection, sorting, and compaction of PET.

Scenario 1: The following table shows the estimated budget if a collection unit is set up in each community. The costs are calculated for the first year, during which the main investments will be made.

Table 7.3. Estimated Budget to Launch a Collection Unit in Each Community Limonade Garde Madras Caracol Jacquesyl Phaëton Fort Liberté Derac Meillac Seaside Saline

400,000 300,000 400,000 300,000 400,000 300,000 400,000 300,000 300,000 Component 1

369,684 136,548 409,077 362,722 400,088 148,688 693,729 366,247 358,094 Component 2 Total 769,684 436,548 809,077 662,722 800,088 448,688 1,093,729 666,247 658,094 N.B.: Amounts shown are in Haitian gourdes.

Details regarding the amounts shown in the table are presented in the Annex.

This budget does not include funds to pay for the site where the collection unit will be located. Space will be granted by the local authorities (Town Halls or CASECs) as one aspect of local participation. The amounts shown in the table are required to start the plastic bottles collection and recycling project.

Scenario 2: The following table shows the estimated budget to create a central collection unit. In this scenario, the unit will be installed at Limonade and will receive plastic bottles collected from purchase counters in communities and urban centers (Fort Liberté, Phaëton, Terrier Rouge, Jacquesyl, Caracol, Trou du Nord, Limonade Seaside, and Limonade).

Table 7.4. Estimated Budget to Launch a Central Collection Unit at Limonade Unit Price (Gourdes) Quantity Total Price (Gourdes) Direct Cost Compactor 200,000 1 200,000 Motorized tricycle 122,500 2 245,000 Wheelbarrow 4,000 12 48,000 Containers 175,000 2 350,000

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Rent for land and area of operation development 175,000 1 175,000

Personal protective equipment 3,500 5 17,500 Start-up funds for the first year 1,600,000 1 1,600,000 Total direct cost 1,930,000 2,635,500 Indirect cost Awareness campaign in the community 1,750,000 1 1,750,000 Total indirect cost 1,750,000 1,750,000 Total 4,385,500

NB: The calculations assume an exchange rate of 1 US dollar = 67 gourdes.

7.5 Special Conditions and Accompanying Measures

Waste management in general is the responsibility of the state authorities, who must handle public sanitation and ensure that residents have a reasonable quality of life. In the communities studied, this function rests with the town halls and the Board of Communal Sections Administration. As with the other municipalities in Haiti, the local authorities do not have the necessary resources (human and financial) to perform sanitation activities.

As part of the implementation of the project, local authorities must take legal measures to regulate the activity. Even if the action is implemented by local associations or individuals, the support of mayors or CASECs will be important to apply some principles related to the plastic management, such as:

. The installation of garbage cans on public sites, such as the Limonade, Caracol, Phaëton, and Fort- Liberté seaside beaches. Plastic bottles can be collected at these sites. . The establishment of a fixed point at which to carry out the collection and recycling operations.

Some private organizations working on natural sites such as Limonade, Phaëton, and Caracol beaches are important groups that should be involved in the plastic waste management project. They should not only be involved in bringing awareness to the visitors who generate a lot of plastic waste on these sites, they also should participate in direct and concrete actions, such as waste collection and the funding of sanitation activities. These organizations generally collect a fee from visitors in exchange for granting access to the beaches.

The National Agency for Protected Areas (ANAP), which is responsible for coordinating the management of Three Bays National Park, can help to develop a framework for implementing the plastic recycling project. ANAP may facilitate the financing of these actions, which will help to protect the park resources, to maintain or to strengthen the environmentally beneficial effects of the work.

Organizations that provide financial (BID, TNC, etc.) and technical (FoProBim, Village Planète, etc.) support also have an important role to play by helping local associations involved in waste management to have access to appropriate technologies (recycling and waste treatment). Their support can also fund sanitation actions in the Park.

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VIII. Factors Ensuring Sustainability

8.1 Legal Support for Sustainability Measures

In articles 253 to 258, the Haitian Constitution calls for protection of the environment (i.e., the living environment of the population). The state authorities have the obligation to organize the enhancement of natural sites and protect them. Thus, the mother law is the first normative framework that supports sanitation activities and plastic waste management in the Three Bays National Park. More specific language referring to waste management is found in the 1982 Act that gives the responsibility of solid waste management to the town hall. Due to the lack of accompanying measures, this law is not applied, particularly in the municipalities with small budgets. In the three municipalities in this study, there is no waste management program and the municipalities conduct sporadic removal of waste, usually prior to traditional festivals. The support for a plastic containers recycling initiative could be an opportunity for the mayors and CASECS to take some of their legal responsibility in waste management.

With regard to the plastic waste management, two decrees on August 9, 2012, and July 18, 2013 ban the production, importation, marketing, and use of polyethylene bags and polystyrene objects (EPS, PS, or Styrofoam). However, these laws have not been applied and these products remain on the market and continue to pollute cities and rural communities.

As part of the plastic containers management, a public–private partnership for recycling and awareness activities for the population is essential. Therefore, the state should take measures to encourage the development of a recycling market, which will have positive impacts on the environment and the socioeconomic condition of the local population.

8.2 Appropriate Technology

The recycling plant that will be implemented is summarized in the following diagram.

Figure 8.1. PET Plastic Container Recycling Process in Selected Communities

Separation Cleaning

Collection Sales

Bagging / Compacting / packaging pressing

Local community Plastic bottles collection unit Company (Cap- Haïtien or Port au Prince)

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We propose to use a simple method to operate the collection unit. The bottles will be collected in bins or bags and transported in wheelbarrows or by motorized tricycles to the collection unit. There, they will be separated, cleaned, and compacted before being bagged (in balls) to be transported to the recycling plant (in Cap-Haïtien or Port-au-Prince). It is important to compact the bottles to reduce the volume and therefore the transportation cost. We propose to use a manual compactor, which will reduce the volume to a third of its original volume (Photo 8.1). This equipment can be made by local craftsmen and will be easy to handle. Other, more sophisticated compactors could be used, but would require electricity, which would increase the operation costs of the collection unit.

8.3 Environmental Protection

The collection and recycling project will have significant positive impacts on the environment by ridding the area of plastic waste. Without the project, the plastic bottles would remain exposed in the streets, on the coast and beaches, or in mangroves. This initiative will also help to protect the local environment and the population against the harmful effects of smoke emitted from incinerating waste.

Photo 8.1. Model of plastic compression machine.

This initiative will generate new opportunities for local community members who want to engage in plastic waste collection. This will have a positive indirect impact on natural resources, by providing the opportunity for community members to give up some destructive environmental practices, such as harvesting mangroves for charcoal production.

By launching this project, the local community will become part of the plastic waste processing chain and thus contribute to a reduction in the manufacture of virgin plastic, which is a large consumer of energy. Thus, the project will contribute to environmental protection.

8.4 Sociocultural Aspects and Gender

The project will create jobs in waste collection, sorting, compacting, and bagging. Efforts will be made, through awareness raising and quota setting, to enable women and youth in the local community to benefit from these employment opportunities. Effective plastic waste management will help to reduce contamination in communities and on the beaches, with positive effects for the local population and visitors. In addition, training to increase awareness regarding the proper disposal of waste will be provided for the local population and visitors. Information campaigns on the consequences of waste mismanagement in general, and the effects of plastic bottles on the environment, will be carried out. The local population and visitors will be informed of the system for plastic recycling (waste bins, collectors) to manage PET bottles. These measures will help to create awareness of plastic bottle recycling and the challenges in general of handling waste properly.

8.5 Institutional and Management Capacity

In terms of organizational management, the company will operate within a single organizational structure, grouping its different operations in three main functions: 1) purchase and sale; 2) storage and packaging; and 3) marketing. It is important to satisfy organizational, operational, and technical needs related to the various operations, in order to successfully manage this project.

The project activities will be implemented by local associations, but the support of local authorities (mayor and/or CASEC) will be required to apply certain principles related to waste management (collection sites,

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collection unit space, etc.). Similarly, technical and financial support from other partners (NGOs, ANAP) will be essential.

Figure 8.2. Organizational Model for Local Waste Management

Local Association

Town Hall / CASEC Technical and

Financial Partners

Collection Unit

Purchase and Storage and Marketing

Collection Packaging

8.6 Economic and Financial Analysis

8.6.1 Main costs related to plastic bottle collection and recycling activities There are four types of costs associated with the project.

a) Purchase of PET bottles from collectors The collecting unit will purchase PET bottles from people who collect them in local communities and in urban centers within or adjacent to the 3BNP. It would be economically more profitable for the company to buy PET plastic bottles from independent collectors, than to hire its own collectors as company employees who would draw a regular monthly salary. It is important for the company to find a way to stimulate the collectors to sell it the products. The collection unit will pay a certain price per collected pound of PET plastic. We assume that the price will increase from 1.0 gourde in year 1 to 1.5 gourdes in year 2. These price levels are set according to the prices offered by the recycling companies or plants to which the collecting unit will sell the collected plastic.

b) Workforce to sort and compact plastic The collection unit will hire two to three workers to clean, sort, compact, and bag the products. The collection unit will pay 0.75 gourde for the treatment (sorting, compacting, and packing) of each pound of plastic.

c) Compaction and marketing equipment and materials These costs are associated with the purchase of a compacting machine, PET storage containers, protective gear for workers (clothing and gloves), packing bags, and transport of compacted plastic to the factory. These costs are calculated for both scenarios: 1) establishment of a unit in each community, and 2) establishment of a single central unit in Limonade. Details are presented in Annex 5.

d) Other costs There are also costs associated with planning the collecting unit site and building. Local authorities are ready to assign a site to the project where the collection company can be installed, but funds are needed to construct a

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fence and a building. In addition, a training and awareness program on waste management will be implemented to reach association members and other local community members.

8.6.2 Sales and cost estimates a) Estimate of the quantity of plastic bottles We estimated the amount of waste generated in each of the nine communities. Waste is generated by residents and by visitors to popular tourist and cultural sites. As there are no official data on plastic products in these areas, we used the data collected in the focus groups and surveys, which suggested that a household or visitor discards, on average, two plastic bottles per day.

Scenario 1: Establishment of a collecting unit in each community

The following table shows the estimated generation of PET plastic bottles in the local communities for the next 5 years.

Table 8.2. Production of Plastic Bottles in Local Communities for the Next Five Years Year 1 Year 2 Year 3 Year 4 Year 5 Community Production Production Production Production Production Production (lbs) (units) (lbs) (lbs) (lbs) (lbs) Bord de Mer de Limonade 274,320 12,469 13,093 13,747 14,435 15,156 Madras 80,800 3,672 3,856 4,049 4,252 4,464 Caracol 590,440 26,838 28,180 29,589 31,069 32,622 Jacquesyl 428,200 19,464 20,437 21,458 22,532 23,658 Phaëton 498,460 22,657 23,790 24,979 26,229 27,540 Garde Saline 115,760 5,261 5,525 5,801 6,091 6,396 Fort Liberté 3,278,040 149,001 156,452 164,274 172,488 181,113 Derac 300,550 13,661 14,344 15,061 15,815 16,605 Meillac 380,850 17,311 18,177 19,085 20,041 21,042 N.B. 1 lb ~ 22 plastic bottles

Scenario 2: Establishment of a central unit for plastic collection at Limonade A central unit at Limonade would allow the plastic bottles from all the local communities and urban centers around the Three Bays National Park to be collected and recycled.

Table 8.3. Production of Plastic Bottles in Areas Supplying a Central Collection Unit in Limonade Collection areas Annual Production (units) Annual Production (lbs) 1 Limonade 2,814,500 127,932 2 Bord de Mer de Limonade 274,320 12,469 3 Caracol 604,440 27,475 4 Jacquesyl 406,610 18,482 5 Phaëton 498,460 22,657 6 Trou du Nord 4,082,890 185,586 7 Terrier Rouge 2,664,500 121,114 8 Fort Liberté 3,520,060 160,003 Total 14,865,780 675,717

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b) Estimate of sales and costs We estimated costs relating to the sale of PET plastic bottles and the establishment and operation of local collection units over a period of 5 years.

Scenario 1: Establishment of a collecting unit in each community

Our estimates of sales and costs related to PET bottles for this scenario are shown in the following table.

Table 8.4. Potential Sales and Costs of Local Collection Units (currency= Haitian Gourde) Year 1 Year 2 Year 3 Year 4 Year 5

Potential sales of PET bottles 28,055 29,458 34,368 36,086 45,469 Bord de Mer Potential costs of collection and recycling 96,184 100,872 109,343 111,364 121,114 de Limonade Results -68,128 -71,414 -74,975 -75,278 -75,645 Potential sales of PET bottles 8,264 8,677 10,123 10,629 13,393 Madras Potential costs of collection and recycling 35,706 37,139 39,678 40,319 43,250 Results -27,442 -28,462 -29,555 -29,690 -29,857 Potential sales of PET bottles 60,386 63,405 73,973 77,671 97,866 Caracol Potential costs of collection and recycling 129,177 139,220 157,435 161,767 182,701 Results -68,791 -75,815 -83,463 -84,096 -84,835 Potential sales of PET bottles 43,793 45,983 53,647 56,329 70,975 Jacquesyl Potential costs of collection and recycling 106,822 114,098 127,306 130,892 146,100 Results -63,029 -68,116 -73,660 -74,563 -75,126 Potential sales of PET bottles 50,979 53,528 62,449 65,572 82,620 Phaëton Potential costs of collection and recycling 120,188 128,684 144,068 147,731 165,423 Results -69,209 -75,156 -81,619 -82,160 -82,803 Potential sales of PET bottles 11,839 12,431 14,503 15,228 19,187 Garde Saline Potential costs of collection and recycling 39,188 41,172 44,749 45,604 49,725 Results -27,349 -28,741 -30,246 -30,376 -30,537 Potential sales of PET bottles 335,254 352,017 410,686 431,221 543,338 Fort Liberté Potential costs of collection and recycling 450,329 508,310 619,996 646,816 764,258 Results -115,075 -156,293 -209,310 -215,595 -220,920 Potential sales of PET bottles 30,738 32,275 37,654 39,537 49,816 Derac Potential costs of collection and recycling 97,547 102,677 111,955 114,167 124,841 Results -66,809 -70,402 -74,301 -74,630 -75,025 Potential sales of PET bottles 38,951 40,898 47,714 50,100 63,126 Meillac Potential costs of collection and recycling 102,194 108,675 120,425 123,391 136,906 Results -63,244 -67,777 -72,711 -73,291 -73,779

The data presented in the table show that the sale of PET plastic bottles will generate negative funds; in other words, it will cost more to run the operation than the project will make in sales. The amount of plastic bottles generated in these communities is not sufficient to operate a formal PET recycling channel at a profit. In addition, indirect costs are not included in the expenses presented. Therefore, the establishment of a PET plastic waste collection unit in each community will not be financially profitable and will always depend on external funding. 26

Scenario 2: Establishment of a central unit for plastic collection at Limonade

Our estimates of sales and costs related to PET bottles for this scenario are shown in the following table.

Table 8.5. Potential Sales, Costs, and Financial Flows of a Central Collection Unit

Year 1 Year 2 Year 3 Year 4 Year 5

Estimated income (gourdes) 1,520,364 1,596,382 1,862,446 1,955,568 2,464,016 Estimated cost (gourdes) 2,046,142 2,152,357 2,625,217 2,767,252 3,103,182

Net flow -525,778 -555,974 -762,771 -811,684 639,166

Cumulative flow -525,778 -1,081,753 -1,844,525 -2,656,209 -3,295,375

Setting up a central collecting unit will not be financially profitable because the prices paid for PET by recycling companies are too low and will not cover the production and operation costs of the collection unit. The projection of prices for the next 5 years ranges from 2.25 gourdes for year 1 to 3 gourdes for year 2. These prices consider the demand for PET, represented by the factories that buy this material for recycling in Cap- Haïtien or Port-au-Prince.

In both scenarios, the collectors will sell the bottles to the collection units at 1 gourde per pound, for years 1 and 2. At this price level, a collector would have to supply 6,600 PET plastic bottles to earn a minimum of 300 gourdes. A person recruited to sort and compact PET will earn 0.75 gourde per pound of processed PET. Thus, a worker would have to process 8,800 PET plastic bottles to earn a minimum wage of 300 gourdes. These salaries may not be high enough to attract local people.

Chart 8.2. Costs, Revenues, and Results of a Central Collection Unit

The chart illustrates the financial outlook for the central collection unit. The net results projected over the five years will always be negative. With fixed production and operating costs (see detailed costs in Annex 5), the collection unit will reach profitability thresholds only if it sells PET plastic at prices equal to or above 3.03 gourdes per pound for the first and second year, 3.52 gourdes per pound for the third year, 3.54 gourdes per pound for the fourth year, and 3.78 gourdes per pound for the fifth year.

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IX. Monitoring and Evaluation

9.1 Monitoring Indicators

The effects of the project on the area around the Three Bays National Park should be monitored. The following proposed monitoring system includes indicators that will measure the results achieved, in terms of people educated about the topic, the quantity of PET collected and recycled, and jobs created.

Results / Objectives Monitoring Indicators Specific Objective 1: Number of local people involved in waste collection and Strengthen the awareness of local people on the recycling at the end of the project impact of plastic waste on their lives and the health of local natural ecosystems. Specific Objective 2: Visual observation of fewer plastic bottles discarded in the Establish a plastic bottle collection unit. environment than during the first year of the project Specific Objective 3: At least 10 families have earned income from the PET plastic Create sustainable income for local people based on bottle collection and recycling effort at the end of the project. the recovery of plastic waste from the local community. Result 1: 1) An environmental education program has been created within Local people (residents, fishermen, visitors, six months of the project’s launch. CASECs, and ASECs) recognize the negative 2) Number of people benefiting from the environmental impact of plastic waste on the environment awareness activities at the end of the project (mangroves, coast, beach, etc.) 3) Percentage of plastic bottles encountered on the coast, beaches and under the mangroves has decreased by at least 75% by the end of the project. Result 2: At least 75% of PET plastic bottles generated in the area are Plastic waste collection units in the local collected and recycled at the end of the first year. communities (or a single central unit in one community) collect and sell the plastic to a recycling facility. Result 3: At least 5 to 10 people have signed labor contracts with the Members of local communities (Bord de Mer de collection unit at the end of the first year. Limonade, Madras, Caracol, Jacquesyl, Phaeton, Fort Liberté, and Derac) work in the plastic recovery chain and earn income.

9.2 Review / Evaluation

A mid-term evaluation should be conducted to analyze the initial results of the project and either confirm that the project is going well or suggest scope for readjustments (through strategy or actions). It will be conducted in a participatory manner, with the support of an external facilitator working with the local associations and the partners. At the end of the project, an external evaluation will be conducted to analyze the results and the effects of the project and to make recommendations that will guide future actions.

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X. Conclusions and Recommendations

Clearly, some measures for waste management in general, and handling of PET plastic containers in particular, must be implemented in the communities at the Three Bays National Park. The pollutants dumped into the environment greatly affect the quality of life of the local population and endanger natural ecosystems.

Supporting some associations and local authorities to manage plastic waste by installing a collection unit to gather bottles for recycling is a very relevant and technically feasible project. It will bring significant benefits, especially on the environmental front, as it will reduce the level of pollution and create jobs for members of the local community. The implementation will not require sophisticated equipment, only a compactor that is easily manipulated and that could be manufactured locally

However, from a financial point of view, the project is not recommended. In both options analyzed, it was not economically viable to develop a formal bottle collection and recycling system in the area studied. The prices offered by plants that buy PET remain too low and will not cover all the costs of production and operation. However, waste management measures in general, and management of plastic bottles in particular, are necessary. It is important to involve active participants, associations, individuals, and authorities in environmental management programs.

At sites with natural beauty or cultural interest such as Limonade seaside, Caracol, Phaëton, and Fort Liberté (Bayama beach), where there are existing structures, we could educate the local officials and residents on environment management, for their own economic benefit. We recommend helping these residents to develop a waste management plan, perhaps funding the expenses of recycling through entry fees collected.

In other areas, such as Madras and Jacquesyl, we recommend working with CASECs and relevant associations to convince them of the environmental damage of discarded plastic. The idea would be to get them to establish fixed trash collection points so that people would not simply drop their trash on the ground.

In general, environmental education in the area is necessary. Local communities need to be educated about plastic and encouraged to make a behavioral change. This change would include reduced consumption of products packaged in plastic containers and adoption of reusable containers.

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XI. References

1. AL/HPN, Haïti-Environnement : Les matières plastiques, une vraie menace nationale. 2012.

2. CCI Haiti Groupe Thématique « Bidonvilles et Déchets Urbains » Rapport Final révision June 22, 2004.

3. CEFREPADE/Urgence Réhabilitation Développement (URD). La gestion des déchets des acteurs de l’aide. Étude de cas: Haïti, 2015.

4. Executives Without Borders. Pour créer des entreprises durables en Haïti : Recycler le plastique. Haiti, 2010

5. IADB/UTE, LGL S.A. Caracol, Haïti: Temporary PIC Solid Waste Management/Landfill and Sludge Disposal. Environnemental Assessment. 2012.

6. Mairie du Cap-Haïtien. Plan Stratégique de Gestion des Déchets Solides. June 2015.

7. Mairie du Cap-Haïtien / Agence Française de Développement/ LGL S.A./BURGEAP. Gestion Intégrée de déchets solides au Cap-Haïtien. Etude de conception et d’aménagement du site de stockage de déchets (CET) de Cap-Haïtien à Limonade - Lieu-dit Mouchinette – Roucou. 2015.

8. Ministère de l’Économie et des Finance de la République d’Haïti et KOIOS ASSOCIATES LLC. Associates LLC. Etude des Impacts Environnementaux et Sociaux (EIES) du Parc Industriel dans la Région du Nord d’Haïti. June 2011.

9. Ministère de l’Économie et des Finances (MEF)/ Institut Haïtien de Statistique et d’Informatique (IHSI). Population totale, de 18 ans et plus. Ménages et Densités estimés en 2015. March 2015.

10. Moniteur. 168ème Année No. 230. Arrêté créant un Parc National Marin dénommé: «Parc des Trois Baies et des Lagons aux Bœufs». 2013.

11. The Nature Conservancy. Caribbean Marine Biodiversity Program. Rapid Fisheries Sector Assessment, Three Bays National Park, North East Haiti. August 2015.

12. Parc Industriel de la Région du Nord d’Haïti (PIRN). Plan de Gestion Environnemental et Social (PGES). 2011.

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XII. Appendices

Appendix 1. Logical Framework

Objectives/results/activities Indicators Means of verification Assumptions Main goal: 1) Level of pollution in the 1) Field observations Political, economic, Ensure better management of plastic area has declined, from the and photos and social conditions waste in local communities in and near first year of the project. 2) Survey of local allow the project to be the 3BNP, by promoting a community- 2) 5–10 people are stakeholders (focus executed smoothly. based and eco-entrepreneurial employed by the project, group) approach to clean up the local diversifying their sources environment while generating income of income. for local people. Specific Objective 1: Number of local people List of participants in The local people Raise awareness of local people engaged in collecting and the environmental favor actions to regarding the consequences of plastic recycling waste at the end education events and protect the local waste on their quality of life, as well as of the project initiatives environment. on the health of local ecosystems. Result 1: 1) An environmental 1) Training program The local people are People (residents, fishermen, visitors, education program is document willing to collaborate CASECs, and ASECs) recognize the developed within six 2) List of persons or in the management of negative impacts of discarded plastic months of the project’s associations involved waste plastic. on their lives and in the environment launch. 3) Field observations (mangroves, coastal, beach, etc.). 2) Number of local people (coastline, beaches) reached through 4) Survey of the environmental awareness members of the activities, at the end of the community (focus project. group) 3) Amount of plastic bottles on the coast, beaches, and mangroves has declined by at least 75% at the end of the project. Specific Objective 2: Visual observation of Field observations The equipment and Establish a collection unit for PET discarded plastic bottles (coastline, beach, human resources plastic bottles in local communities. has declined from the first etc.) required for the basic year of the project. operations of the collection unit are available. Result 2: At least 75% of the plastic 1) Field observations 1) The market for A collection unit for plastic bottles is bottles in the area are (coastline, beach, recycling PET plastic operational in local communities. collected and recycled. etc.) and photos bottles grows and is 2) Records at the formalized. collection unit 2) The relevant state authorities favor the institutionalization of the collection and recycling of waste. Specific Objective 3: At least 5–10 families have 1) List of contracts Collectors can supply Create sustainable income sources earned income from the signed with the collection unit 31

Objectives/results/activities Indicators Means of verification Assumptions from the collection and processing of project, by the end of the collectors and with PET plastic plastic waste in the local community. project. workers waste, on time and in 2) Payroll sheet sufficient quantity. Result 3: At least 5–10 people have List of collectors and 1) There are plenty of Members of local communities (Bord signed contracts and been workers under discarded PET plastic de Mer de Limonade, Madras, Caracol, hired at the local collection contract with the bottles for the Jacquesyl, Phaëton, Fort Liberté, unit by the end of the first collection unit development of the Derac) earn a profit from plastic year of the project. sector. recycling. 2) Local communities are willing to collect plastic bottles.

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Appendix 2. Map of the Project Area

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Appendix 3. Planning Activities

Overall objective: Ensure better management of plastic waste in the local communities in and near the park, promoting a community approach and eco-entrepreneurship that contribute to a cleaner local environment while generating income for local residents. Specific objectives: 1. Raise the awareness of local people of the impact of plastic waste on their own quality of life and on local natural ecosystems. 2. Establish a collection unit for polyurethane plastic waste generated in local communities. 3. Create income sources for local people collecting and processing the plastic waste. Results/Activities Year 1 Year 2 Year 3 Result 1: Local people (residents, fishermen, visitors, CASECs, and ASECS1) recognize the negative impacts of discarding plastic Q1 Q2 Q3 Q4 Q5 Q6 Q7 Q8 Q9 Q10 Q11 Q12 waste in the natural environment (mangroves, coastal areas, beach, etc.) 1.1: Raise awareness of local people regarding the consequences of plastic waste on their quality of life, as well as on the health of local x ecosystems (Bord de Mer de Limonade, Madras, Jacquesyl, Phaëton, Fort Liberté, Derac). 1.2: Implement a waste management training program focusing on x the recovery of plastic bottles. 1.3: Inform local stakeholders about different activities of the project. x x 1.4: Train the participants on the project’s operation and the plastic management system: collecting, sorting/selection, packing, bagging, transportation, and sale. 1.5: Develop synergies with other organizations (CBOs, state x x x x x x x x x x x x institutions, NGOs) to improve local environmental conditions. Result 2: Q1 Q2 Q3 Q4 Q5 Q6 Q7 Q8 Q9 Q10 Q11 Q12 A plastic collection unit is functioning in local communities. 2.1: Conduct legal procedures to have local authorities (CASEC, x x Town Hall, DGI) launch the plastic waste collection unit. 2.2: Acquire necessary equipment (compactors, wheelbarrows, bags, x x wire, etc.) 2.3: Develop technical and organizational skills to manage the x x collection unit. 2.4: Establish an initial investment to start the collection unit. x Result 3: Members of local communities (Bord de Mer de Limonade, Q1 Q2 Q3 Q4 Q5 Q6 Q7 Q8 Q9 Q10 Q11 Q12 Madras, Caracol, Jacquesyl, Phaëton, Fort Liberté, Derac) are working in the plastic recovery chain and earning money. 3.1: Develop a marketing strategy for the PET bottles, including the development of relationships with companies that buy plastic waste, x x especially plastic bottles, and mobilize local collectors. 3.2: To organize the collection, transportation, and sale of the plastic x x x x x x x x x x bottles. 3.3: Establish a system of accounting / financial management and stock control records and transactions related to the management of x x x x x x x x x x the collection unit.

1 Administration des Sections Communales

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Appendix 4a. Detailed Budget for Option 1 (a Collection Unit in Each Community)

Year 1 Year 2 Year 3 Year 4 Year 5 PET production (units) 3,278,040.00 3,441,942.00 3,614,039.10 3,794,741.06 3,984,478.11 PET production (lbs) 149,001.82 156,451.91 164,274.50 172,488.23 181,112.64

Potential sales (gourdes) 335,254.09 352,016.80 410,686.26 431,220.57 543,337.92 Plastic purchase 149,001.82 156,451.91 205,343.13 215,610.29 271,668.96 Compactor 24,375.00 24,375.00 24,375.00 24,375.00 24,375.00 Container, 40' 35,000.00 35,000.00 35,000.00 35,000.00 35,000.00 Wheelbarrow 4,800.00 4,800.00 4,800.00 4,800.00 4,800.00 Motorized tricycle 24,500.00 24,500.00 24,500.00 24,500.00 24,500.00 Packing bag 3,500.00 3,850.00 4,125.00 4,125.00 4,500.00 Protective equipment 2,800.00 2,800.00 2,800.00 2,800.00 2,800.00 Salaries to workers for sorting, compacting, and bagging 111,751.36 156,451.91 205,343.13 215,610.29 271,668.96 Salary for motorized tricycle driver 14,000.00 15,000.00 24,000.00 25,500.00 27,000.00 Fuel and motor tricycle maintenance 21,000.00 22,500.00 24,000.00 25,500.00 25,500.00 Collection unit responsable 59,600.73 62,580.76 65,709.80 68,995.29 72,445.06 Total estimated cost (gourdes) 450,328.91 508,309.58 619,996.06 646,815.87 764,257.98 Net flow -115,074.82 -156,292.79 -209,309.80 -215,595.29 -220,920.06 Cumulative net flows -115,074.82 -271,367.60 -480,677.41 -696,272.70 -917,192.75 N.B.: 1 US dollar = 67 gourdes

Unit Price Total amount Quantity (gourdes) (gourdes) Direct cost

Compactor 121,875.00 1.00 121,875.00

Container, 40' 175,000.00 1.00 175,000.00

Motorized tricycle 122,500.00 0.00 0.00

Wheelbarrow 4,000.00 6.00 24,000.00

Bins 10,000.00 0.00 0.00

Protective gear 14,000.00 1.00 14,000.00

Working capital 358,853.91 1.00 358,853.91

Total indirect cost 693,728.91

Indirect cost Capacity building (training and awareness campaign on waste management) 400,000.00 1.00 400,000.00

Total indirect cost 400,000.00

Total 1,093,728.91

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Appendix 4b. Detailed Budget for Option 2: a Central Collection Unit

Option 2 involves the establishment of a central collection unit that will accept PET plastic bottles from all the nearby communities (Fort Liberté, Phaëton, Terrier Rouge, Jacquesyl, Caracol, Limonade seaside and Limonade). These are large urban communities near the 3BNP, with a total population of 91,501 in 20,211 households. An estimated 14,865,780 bottles of PET plastic can be collected annually in these communities, or 675,717 pounds.

Year 1 Year 2 Year 3 Year 4 Year 5 PET production (units) 14,865,780.00 15,609,069.00 16,389,522.45 17,208,998.57 18,069,448.50 PET production (lbs) 675,717.27 709,503.14 744,978.29 782,227.21 821,338.57

Potential sales (gourdes) 1,520,363.86 1,596,382.06 1,862,445.73 1,955,568.02 2,464,015.70 PET purchase from collectors 675,717.27 709,503.14 931,222.87 977,784.01 1,232,007.85 Salaries to workers for sorting, compacting, and bagging 506,787.95 532,127.35 744,978.29 782,227.21 821,338.57 Packing bag 15,000.00 17,325.00 18,425.00 19,250.00 22,200.00 Compactor 40,000.00 40,000.00 40,000.00 40,000.00 40,000.00 Motorized tricycles (2) 49,000.00 49,000.00 49,000.00 49,000.00 49,000.00 Protective gear for five people 3,500.00 3,500.00 3,500.00 3,500.00 3,500.00 Pre-collection wheelbarrow used in the community 9,600.00 9,600.00 9,600.00 9,600.00 9,600.00 Containers, 40’ (2) 70,000.00 70,000.00 70,000.00 70,000.00 70,000.00 Rental site and operation area development 35,000.00 35,000.00 35,000.00 35,000.00 35,000.00 Drivers (2) 101,250.00 122,500.00 129,500.00 156,000.00 164,000.00 Fuel 270,000.00 280,000.00 296,000.00 312,000.00 328,000.00 Workforce collection unit management (2 people) 270,286.91 283,801.25 297,991.32 312,890.88 328,535.43 Total estimated cost 2,046,142.14 2,152,356.74 2,625,217.48 2,767,252.10 3,103,181.85 Net flows -525,778.27 -555,974.69 -762,771.74 -811,684.08 -639,166.14 Cumulative net flows -525,778.27 -1,081,752.96 -1,844,524.70 -2,656,208.78 -3,295,374.93

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Appendix 5. Alternative Solutions for a Plastic Collection and Recycling Project

Understanding and first analysis of the problem Waste management in the local communities in and near the Three Bays National Park is a major concern for the local ecology. In all the coastal communities, people throw their plastic waste in the streets, drainage channels, riverbeds, mangrove areas, and beaches. This situation is much more serious in areas such as Bord de Mer de Limonade, Phaëton, and Fort Liberté (Bayama), which receive large numbers of visitors and tourists for sociocultural reasons or leisure.

Large amounts of plastic waste in the environment directly and indirectly affects local business. At Jacquesyl, for example, waste obstructs the channels and rivers and increases the risk of flooding of agricultural plots located downstream. Fishermen recognize that the plastic waste thrown under the mangroves or on the coast threatens fishing, one of the main economic activities in coastal communities. Plastic waste is also a threat to tourism, affecting the attractions and the beauty of the beaches.

The problem of plastic waste is linked to the growing tendency of the population to consume products packaged in plastic, and to the fact that at the same time, no mechanism has been put in place to manage the disposal of the packaging and plastic containers. People are not sufficiently aware of the potential environmental damage that this waste can do. Local people are not aware that plastic waste can be recycled.

Local authorities (CASEC/ASEC, Town Hall) are weak and usually do not have a strategy or a plan for plastic waste management. In some communities, such as Bord de Mer de Limonade, the CASECs receive sporadic assistance from the municipal administration to carry out clean-up operations during the communal holiday celebrations (fetes champetres). In some communities, there are local organizations interested in waste management, but their interventions are very limited due to lack of financial and technical capacities.

In these communities, plastic waste management activities are not systematized or integrated but confined to sporadic interventions to collect and incinerate waste. Considering the importance of the Three Bays National Park, it is important to support the relevant local stakeholders so that they can address this problem.

Issues and potential Waste management in general, particularly plastic waste in and around the Three Bays National Park, will help reduce environmental pollution and the threat to the ecosystem services provided by the Park. Better control of plastic waste will have a positive impact on fishing, an important activity for local communities, as waste in the mangrove areas adversely affects the reproduction of fish. Similarly, the area’s attraction for visitors or tourists will be strengthened if the local environment is clean and free of plastic waste.

In summary, plastic management initiatives will help improve the quality of life in local communities and the conditions of local ecosystems.

Alternative technical options under consideration The identification of alternatives for managing plastic waste in the communities requires an analysis of the different sources of waste, as well as the local organizations (Town Hall, CASEC, community-based organizations, etc.) that are active in the area and could organize the plastic waste management process.

There are two scenarios for managing plastic waste: . A project in areas such as Bord de Mer de Limonade, Phaëton, Fort Liberté, and Caracol, which frequently receive visitors or tourists. In these areas, a relatively large amount of waste is generated by local people and by visitors/tourists. Thus, a plastic waste management project will have two objectives: environmental protection and jobs creation for local people involved in the project. In these specific areas, such a project could be self-financing, in the short to medium term, with an initial investment from external sources.

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. A project in areas such as Madras, Jacquesyl, and Derac, where waste is generated mainly by the local population. A plastic waste management project here will have the objective of protecting the environment by reducing the presence of plastic. In this case, the launch and maintenance of plastic waste management activities will require ongoing subsidy.

Based on the presence of local stakeholders and level of awareness on the issue of plastic waste, we identified several types of areas:

. Areas where the management of the plastic can be organized by local authorities. This is the case for Fort Liberté (Beach) and Caracol, where City Hall already has a service in place that could be strengthened, particularly regarding management of plastic waste. Similarly, at Bord de Mer de Limonade, the CASEC is very active and should be able to handle a plastic waste management unit.

. Areas where local authorities are virtually nonexistent and where local development initiatives are usually carried out by grassroots community organizations. These are the best places to implement a plastic waste management project. This is the case for Madras and Jacquesyl, where some of the CBOs could be trained to implement this type of activity (although some external support will be necessary).

. Areas where tourism activities are ongoing (e.g., Phaëton) and managed by private operators. Waste management of such sites could be entrusted to these managers with support from the local CBOs.

Alternatives and Potential Sites Goal of a plastic management project Alternative types of management Potential sites By the authorities (City Hall or Fort Liberté (Beach), Bor de Mer CASEC) de Limonade, Caracol Local environmental protection and job By individuals (private) Phaëton creation By one or several community- Madras, Jacquesyl, Derac based organizations

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Appendix 6a. Cash Flow Option 1: Installation of Collection Unit in Each Community Year 1 Year 2 Year 3 Year 4 Year 5 PET production (units) 3,278,040.00 3,441,942.00 3,614,039.10 3,794,741.06 3,984,478.11 PET production (lbs) 149,001.82 156,451.91 164,274.50 172,488.23 181,112.64 Potential sales (gourdes) 335,254.09 352,016.80 410,686.26 431,220.57 543,337.92 Plastic purchase from collectors 149,001.82 156,451.91 205,343.13 215,610.29 271,668.96 Compactor 24,375.00 24,375.00 24,375.00 24,375.00 24,375.00 Container, 40' 35,000.00 35,000.00 35,000.00 35,000.00 35,000.00 Wheelbarrow 4,800.00 4,800.00 4,800.00 4,800.00 4,800.00 Motorized tricycle 24,500.00 24,500.00 24,500.00 24,500.00 24,500.00 Packing bags 3,500.00 3,850.00 4,125.00 4,125.00 4,500.00 Protective gear 2,800.00 2,800.00 2,800.00 2,800.00 2,800.00 Salaries for workers sorting, compacting, and bagging 111,751.36 156,451.91 205,343.13 215,610.29 271,668.96 Salary for motorized tricycle driver 14,000.00 15,000.00 24,000.00 25,500.00 27,000.00 Fuel and motorized tricycle maintenance 21,000.00 22,500.00 24,000.00 25,500.00 25,500.00 Collection unit responsible 59,600.73 62,580.76 65,709.80 68,995.29 72,445.06 Total estimated cost (gourdes) 450,328.91 508,309.58 619,996.06 646,815.87 764,257.98 Net flow -115,074.82 -156,292.79 -209,309.80 -215,595.29 -220,920.06 Cumulative net flow -115,074.82 -271,367.60 -480,677.41 -696,272.70 -917,192.75 N.B.: 1 US dollar = 67 gourdes

Appendix 6b. Cash Flow Option 2: Establishment of a Central Collection Unit Year 1 Year 2 Year 3 Year 4 Year 5 PET production (units) 14,865,780.00 15,609,069.00 16,389,522.45 17,208,998.57 18,069,448.50 PET production (lbs) 675,717.27 709,503.14 744,978.29 782,227.21 821,338.57 Potential sales (gourdes) 1,520,363.86 1,596,382.06 1,862,445.73 1,955,568.02 2,464,015.70 Plastic purchase, from collectors 675,717.27 709,503.14 931,222.87 977,784.01 1,232,007.85 Salaries for workers sorting, compacting, and bagging 506,787.95 532,127.35 744,978.29 782,227.21 821,338.57 Packing bags 15,000.00 17,325.00 18,425.00 19,250.00 22,200.00 Compactor 40,000.00 40,000.00 40,000.00 40,000.00 40,000.00 Motorized tricycle (2) 49,000.00 49,000.00 49,000.00 49,000.00 49,000.00 Protective gear for five people 3,500.00 3,500.00 3,500.00 3,500.00 3,500.00 Pre-collection wheelbarrow at the community level 9,600.00 9,600.00 9,600.00 9,600.00 9,600.00 40' containers (2) 70,000.00 70,000.00 70,000.00 70,000.00 70,000.00 Rental site and operation area development 35,000.00 35,000.00 35,000.00 35,000.00 35,000.00 Drivers (2) 101,250.00 122,500.00 129,500.00 156,000.00 164,000.00 Fuel 270,000.00 280,000.00 296,000.00 312,000.00 328,000.00 Workforce collection unit management (2 people) 270,286.91 283,801.25 297,991.32 312,890.88 328,535.43 Total estimated cost 2,046,142.14 2,152,356.74 2,625,217.48 2,767,252.10 3,103,181.85 Net flow -525,778.27 -555,974.69 -762,771.74 -811,684.08 -639,166.14 Cumulative net flow -525,778.27 -1,081,752.96 -1,844,524.70 -2,656,208.78 -3,295,374.93

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