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Information Sheet Measure N°: 2001/LV/16/P/PE/006

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Information Sheet Measure N°: 2001/LV/16/P/PE/006 ISPA Information Sheet Measure N°: 2001/LV/16/P/PE/006 Measure title: Solid waste management in Ziemeļvidzeme region Authority responsible for implementation: Ministry of Environmental Protection and Regional Development 25 Peldu iela, LV – 1494 Rīga, Latvia (e-mail: [email protected]) Final beneficiary: SIA BO Ziemeļvidzemes Atkritumu Apsaimniekošanas Organizācija (ZAAO), non-profit inter- municipal enterprise 49 Beates iela, LV – 4201 Valmiera, Latvia e-mail: [email protected] Description This measure aims at establishing an environmentally and economically sustainable solid waste management system in Ziemeļvidzeme region that will comply with the current EC regulations requirements (directives 75/442/EEC, 91/156/EEC and 1999/31/EC). The measure will cover the 4 districts of Valmiera, Limbazi, Valka and Cesis (196 900 inhabitants from which 45% in urban areas (14 cities of which 28 732 in the city of Valmiera) and 55% in rural areas), an area of 10 800 km2. This measure is in accordance with Latvia’s National ISPA Strategy and with Latvia’s “Municipal Waste Management Programme 500 –”. The Ziemeļvidzeme region has no sanitary landfills and the 72 existing ones are dump sites operating or having operated without environmental protection measures. Currently about 70% of the inhabitants are served (95% of urban inhabitants and 50% of rural inhabitants). At present waste sorting is only being carried out for glass, metal, plastics and paper in the city of Valmiera. The new single sanitary landfill will be constructed in Daibe, 28 km south-west of Valmiera city (area of 49 ha, from which 13 ha for landfill with a capacity of 1 200 000 tons for 30 years).. Main components of the measure: - a single waste landfill organisation for the whole area (increasing the number of people serviced to 100% in 2007) and elimination of illegal practices, - construction of a new single sanitary landfill (earth works, first landfill cell covering 3.16 ha, drainage system, leachate collection system and treatment facility, landfill gas collection system, technical buildings, internal road, power supply, water supply, fence) landfill in compliance with the design requirements of directive 1999/31/EC, - temporary storage of hazardous waste in Ziemeļvidzeme region till the opening of the national treatment facility for hazardous waste, - new construction of the access road (0.45 km), waste collection equipment, public information campaign and landfill equipment (including a weighbridge, a landfill compactor and a leachate control equipment), - closure and remediation of 15 ha from the existing dump sites (consisting mainly in compacting and levelling of the surface and in fencing) according to the priorities set by the Valmiera Regional Environmental Board, - 9 additional waste separation points in Cesis, Jaunpiebalga, Līgatne, Limbazi, Rūjiena, Salacgrīva, Smiltene, Staicele and Valka (in order to reduce the amount of waste by introducing waste separation for paper/cardboard, glass, plastics and metals). Economic and social cost-benefit analysis The economic analysis takes the form of a cost-benefit analysis, which results in an Internal Rate of Return at 13.7%. Costs: - transport costs: transportation of waste to the new landfill. Benefits: - public health; - air quality improvements (no burning of waste anymore at the old dump sites); - avoidance of soil and groundwater damages (closure of 72 uncontrolled dump sites leading to increased land and real estate values); - landfill gas collection (electricity generation as well as reduction of greenhouse gas emissions); - employment impact (creation of 30 temporary direct jobs during construction phase, i.e. 16 months, and of 9 direct jobs during operational phase). A cost-effectiveness analysis has compared 8 alternative site solutions, including their investment costs and their environmental impact. As a result, the site of Daibe has been recommended as the landfill will be constructed in a more remote area and as the population’s attitude seems more favourable. Main elements of financial analysis The financial analysis is based on the principles of user charge acceptability and affordability. The results show an NPV of € - 3 881 900 (neutral scenario) or € - 423 800 (scenario with ISPA grant) using a discount rate at 8% (measure lifetime of 26 years from 2002 to 2028). The increase of fees will ensure full recovery of operating costs, maintenance expenditure and debt service costs. Current tariffs for customers vary from 0 to 29.7 €/ton and should increase in 2004 at 45.8 €/ton to finally reach 58.1 €/ton in 2028. The ISPA grant is set at a level which will ensure that tariffs, while enabling recovery of costs, will remain within an affordability limit of 0.63% of household incomes, considered as an acceptable rate. According to the Latvian law, each municipality shall financially assist the low-income part of the population. Environmental impact analysis The project does require an Environmental Impact Assessment, which has been completed on 5.08.1999 (including public consultation). The results concluded that the site of Daibe is the most appropriate because of less human impacts (more remote area and less negative attitude). All possible impacts have been taken into account and mitigation measures proposed: geology/hydrogeology (coverage of the landfill basement with a protecting liner, drainage system and leachate collection and treatment system), surface and groundwater (surface and groundwater monitoring), air quality/noise (regular coverage with inert material and compacting), flora/fauna (provision of special fence with net), land value/landscape characteristics (screening of trees) and cultural heritage and human health (the site is more than 500 m from the nearest residences). An annual monitoring will be carried out concerning leachate treatment quality, surface and groundwater. Cost and assistance (in €) Total cost Non eligible cost Total eligible ISPA grant Grant Rate cost (% as of eligible costs) 8 774 000 3 954 000 4 820 000 3 374 000 70 % The ISPA rate of intervention as of total cost is 38.4 %. The involvement of the Nordic Investment Bank (NIB) with € 929 000 is foreseen subject to the delivering of the ISPA grant. .
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