Creating an economic value chain for organic waste

When we start to look at the food and organic waste stream as a secondary resource that has economic value, we change our perception of this waste type from something burdensome that will be expensive to landfill to something that is economical.

When we start to consider that food and organic waste is actually recyclable, we can see that there is an entire economic value chain for this waste stream.

The impending organic waste landfill ban in the Western Cape in 2027 is also accelerating the development of the organic waste secondary market and, with this development, more businesses are implementing ways to extract value from their organic waste stream.

WC organics ban

The Western Cape Government developed a bold plan to eliminate organic waste from the province’s landfills by 2027. Starting with a 50% reduction in 2022, the plan was adopted partly in response to the ever-decreasing availability of landfill space.

Every year, roughly three million tonnes of organic waste are produced annually in the Western Cape. This inevitably ends up in the increasingly full landfills across the province. This waste then lies, slowly decomposing and producing methane – a greenhouse gas many times more potent than carbon dioxide.

Organic waste also creates leachate, a pollutant that can run off into local water sources at landfills if not managed properly.

The waste includes crop, food production, retail, hospitality and wholesale wastes. In the main, anything that is naturally biodegradable is considered organic waste.

Growing the sector

At the forefront of the growth in the organics market are organic waste companies such as

BiobiN South Africa, which has been working with businesses of all sizes to install on-site organic waste composting units.

“It’s more than just compliance considerations; organic waste recycling and beneficiation is financially benefitting businesses more so than ever before,” says Brian Küsel, director of BiobiN South Africa.

“There is a shift towards developing largescale regional composting operations in South Africa. This is in response to very lenient composting waste regulations making it very easy to start a composting business. Over the next few years, leading up to 2027, we will be seeing more businesses composting organic waste streams, which will also support the development of the composting market.”

According to waste market research in 2022, if the Western Cape were to adopt composting as the approach to beneficiate the food and organic waste stream, the market value potential would range from R34 million to R914 million in soil amendment products.

Out of all the alternative waste treatment (AWT) technologies and processes, composting presents a very economically attractive model for diverting organic waste from landfill. Biogas treatment offers a potential market value range of R16.7 million to a highly optimistic R253.3 million in electricity or heat. Black soldier fly treatment also offers a highly lucrative potential market value range of R622.2 million to R3.1 billion in protein, oils and products relating to soil enhancement.

“To fully capture this economic opportunity, businesses that generate high volumes of food and organic waste should start looking at their waste infrastructure to streamline the cost of transport, processing and generating the secondary product,” says Küsel.

“Designing and implementing an on-site waste processing system, which may include technology like a materials recovery facility (MRF) and on-site composting units, can reduce off-site processing costs and transport costs. It can also get your secondary resource quicker to market,” adds Küsel.

With organic waste landfill regulations becoming tighter leading up to 2027, the cost of landfilling organic waste will increase. With very lenient regulations around organic waste composting, this is becoming the most financially feasible methods for processing food and organic waste.

Rethinking recycling

While most South Africans are very good at recycling their paper, plastics, glass and metal items, what many do not realise is that they can also recycle their organic waste.

Melanie Ludwig from the Organics Recycling Association of South Africa (ORASA) says there is a need to rethink our waste.

“In the Western Cape, more than 40% of all waste delivered to landfills is organic waste. By recycling our organic waste into compost, we have the power to reverse climate change and replenish the health of our soils! Households can easily practise home composting to produce compost that can be used in their own gardens, while on a larger scale and to ensure sustainability, composting at community gardens can grow wholesome food for less-fortunate communities.

“We need a new approach to all waste streams in South Africa, not just organics. Source separation of waste is required to ensure that each waste stream can be effectively and efficiently recycled, composted or reused,” concludes Ludwig.

The 2 nd edition of the Coal and Energy Transition Day is taking place on Tuesday, 18 July. With the global drive towards decarbonisation and net zero emissions, discussions will focus on the just transition away from coal and the shift towards greener energy solutions. Industry leaders from government, industry, coal producers, alternative energy providers, investors, funders and independent experts will discuss key issues such as:

• What is the impact of current geo/political developments on global energy needs?

• Are we seeing an extension of the life of coal as a result?

• What will Southern Africa’s future energy mix look like?

• What actions does the industry need to take to begin the energy transition and move away from coal?

• What is the role of renewable energy in the energy transition?

• What are Eskom’s plans for meeting energy demand and its views on coal and alternative energy sources?

• What are Transnet’s plans for increasing capacity and protecting its rail infrastructure?

• And much more…