Business opportunities in Circular Economy on the rise

Currently #Kenya is in a process of transition to the #circulareconomy. The main area of improvement is set to be the waste management issues. The recent Sustainable Waste Management Bill, 2021, which took effect in July 2022, requires businesses and residents to sort and manage their waste. The bill also introduces Extended Responsibility of Producers (ERP), intended to reduce greenhouse gas emissions from landfills.

The bill is to be put into force gradually over the next two years by the Implementing body - the Waste Management Council.

Reliable statistics on waste management is unfortunately hard to come by, but it is well recognised that waste management is a major issue in the country and it's growing cities.

National Waste management policy gives estimated figures:

• Kenya generates an estimated 22,000 tons of waste per day calculated by assuming an average of per capita waste generation of 0.5 kilograms for a population of 45 million - translating to 8 million tons annually.
• It is estimated that 40% of the waste is generated in urban areas. Given that urbanization is increasing by 10%, by 2030, the Kenya urban population will be generating an estimate of about 5.5 million tons of waste every year, which is three times more the amount of waste generated in 2009.
• Past inventories estimate that 60% to 70% of waste generated is organic, 20% plastic, 10% paper, 1% medical waste and 2% metal.
• The main sources of waste are households, manufacturing, commerce, healthcare, agriculture, waste treatment, construction industry and mining waste.
• Waste from households, industries and health care facilities are referred to as municipal waste and is often unsorted and contaminated.?

County governments have the responsibility for the waste management system. All counties in Kenya currently have uncontrolled waste dumpsites pollutes waterways and underground aquifers, and where burning waste emits toxic air and noxious fumes that contaminate the air.

There is no systematic waste segregation at the source and the recovery of recyclable items like plastics, papers, glass and metals is done by informal waste picker groups. They operate outside the residence on waste pick-op days, on the waste trucks and directly from the dumpsite. Informal waste pickers at these dumpsites are exposed to toxic chemicals (from batteries and other waste and burning plastics) air pollution and pests that spread disease.

Waste pickers are organizing into cooperatives. Programs to create jobs in waste collection, sorting and recycling for youth and women are being created. In some areas, Kenyan entrepreneurs have launched small scale production of organic compost from organic waste. Small-scale, artisanal recycling of glass, plastic and metal is converting some waste into crafts for the domestic and international market.

Action and investment on the way

Nakuru county government recently reported to invest in technologies that convert solid waste into fertiliser and Kilifi county government report that a sewerage recycling plant is to be set up in Malindi town. The cost: nearly 80 million USD and the funding is received from the World Bank. The plant will turn the sewerage - mixed with other substance like coconut shell - into brickettes to also support access to clean cooking.

Not the least - Nairobi county government is to set up a new waste power plant at the Dandora dumpsite. Estimated cost is 199.3 million ￡. The Nairobi Metropolitan Services and KenGen commissioned a feasibility study on the project last year and are waiting for green light to seek financiers.

In total five major towns in Kenya are to get privatised sewer lines backed by the World Bank. And it is definitely needed as at the moment 80-100 present of the population in the five cities use non-sewered sanitation - in Nairobi only 789 cubic meters of sludge out of 6741 produced daily is available for collection.

Interested in discussing the business opportunities in Kenya and the East African region? Please contact the Innovation Norway East Africa office Internasjonal satsing og eksport til Kenya - Innovasjon Norge