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Final Report: Improving Resource Recovery of Organic Waste to Alleviate Environmental and Economic Problems in a Depressed Urban Environment
EPA Grant Number: SU831813Title: Improving Resource Recovery of Organic Waste to Alleviate Environmental and Economic Problems in a Depressed Urban Environment
Investigators: Reith, Charles
Institution: Tulane University of Louisiana
EPA Project Officer: Nolt-Helms, Cynthia
Project Period: September 30, 2004 through May 30, 2005
Project Amount: $10,000
RFA: P3 Awards: A National Student Design Competition for Sustainability Focusing on People, Prosperity, and the Planet (2004)
Research Category: Pollution Prevention , Pollution Prevention/Sustainable Development
Description:
Objective:New Orleans East is a community in Orleans Parish in Louisiana that has a number of acute and chronic problems stemming from an ever-increasing accumulation of organic waste. These problems include the presence of a noxious dumping site near a disenfranchised community, low property values, environmental hazards due to the presence of organic waste in landfills, and high costs of depositing this waste in the landfills. Currently, a single and one-dimensional composting facility attempts to serve the entire New Orleans area, and it fails to properly manage the waste and preserve environmental quality. Our goal was to develop a comprehensive solution to these problems in the form of a waste-fueled eco-industrial park that simultaneously addresses the priorities of people, planet, and prosperity. Through a streamlined, economically efficient approach to the conversion and marketing of organic waste products, along with education of resource recovery and re-use, we plan to achieve sustainability through the production of quality organic waste products that bring prosperity and environrnental stewardship to the community. We seek to decrease overall accumulation of organic waste in New Orleans East as well as in the landfills through better management. High-quality compost and biofuels created from this waste can be used to address problems in the surromding community, such as wetlands degradation, non-point source pollution, and over-reliance on fossil fuels. By applying an integrated waste management system to the organic waste streams within and coming into New Orleans East, we can alleviate the excessive accumulation of organic waste and solve local problems with a sustainable, local solution.
Summary/Accomplishments (Outputs/Outcomes):In the process of designing a waste-fueled eco-industrial park in New Orleans East, we conducted a stakeholder analysis of the New Orleans East population, created a database of the amount and type of organic waste generated in the area, performed a comprehensive compost market analysis, and developed a flexible business model for planning and adjusting the waste-derived product streams based on market conditions. The stakeholder analysis was conducted to determine the probable attitudes and beliefs a resident of New Orleans East would have towards the creation of a waste management facility in their area. Our analysis indicated that certain questions need to be addressed during the education component of our project, which will explain to the community members the benefits of the waste management site. Many residents are concerned that the area will continue to be odorous and unattractive, so it is necessary to allay residents’ concerns and to incorporate these sentiments in the construction of the actual site. We then identified businesses in the area that generate large amounts of organic waste. We contacted these companies, informed them of our project, and quantified the waste stream generated by each business. This information was then organized into a database. We performed a comprehensive compost market analysis by identifying the sources of raw materials for compost, compost retailers, and end users such as landscaping companies. Based on the market analysis, we created a business plan for a waste-fueled eco-industrial facility that would take this waste and convert it into a flexible array of products that respond to market conditions. Our detailed pro forma finacials indicate a positive net income of $2200 a month for the first year and a break even point of February 2006, assuming start-up in June 2005.
Conclusions:Thus, our research toward designing a comprehensive organic waste facility in New Orleans East had the combined elements of the P3 goals in mind; people, prosperity and the planet. Assuming initial capital outlay of $50K and monthly operating expenses of $6K in year one with increases in year two due to expansion of markets, production, and associated labor costs, composting production estimates show positive net income of $2200 a month for the first year, followed by a large jump to $589K quarterly net income beginning in year two with the introduction of the farm market. Our financial estimates indicate the clear economic sustainability of an eco-industrial park that would collect waste from the New Orleans area and produce a variety of high-value products including compost, biodiesel and ethanol. These products have the potential to improve the local environment by recovering an invaluable resource to address problems in the area. The use of compost and biofuel can eliminate the reliance on organic fertilizers, help to rebuild the wetlands, and reduce dependence on fossil fuels — all of which benefit the environmental and human health of the area. In terms of sustainability, the project has a great potential to bring about positive impacts in the New Orleans East area. It applies an eco-industrial approach to producing goods (mostly waste-derived) that benefit the environment, economy and community. It also supports a greater understanding of how we can create economic incentives to use environmental solutions that benefit everyone. Socially, the optimized plan will eliminate the conflict between the affected neighborhood and commercial enterprise, as well as advance community support by directly improving the area in which they live. The plan also fosters cooperation between the public and private sectors in addressing the problem. Increasing awareness of the alternative uses of organic waste through our education program contributes to this goal. Economically, the plan creates revenues, jobs, and economic development by capitalizing upon the demand for organic products in innovative markets. In addition, the plan decreases the net amount of money spent on landfill space through increased separation of organic waste from the municipal solid waste stream and reuse of organic waste within the community. Environmentally, the plan will decrease overall accumulation of organic waste in the communities as well as in the landfills through better management of this waste. In this improved process, the recovery and sustainable management of organic waste can be used to address problems in the surrounding community, such as wetlands degradation, non-point source pollution, and over-reliance on fossil fuels. It will be a local solution to local problems.
Proposed Phase II Objectives and Strategies:
In Phase II, we will build upon the successes achieved in Phase I. The main goal of Phase II is to create and promote a validated business plan that will be presented to various businesses and investors for adoption. We will continue and build upon the stakeholder-engagement and education program. We also plan to validate the information and numbers gathered in Phase I, and to demonstrate feasibility with pilot-scale operations. Our market analysis and financials in the initial phase focused on the composting aspect of our facility. In Phase II, we will continue research on the markets for biofuels and create a more detailed financial analysis for this part of the business. In Phase I, we indicated that several potential products can be created from the organic waste flows we identified, and in Phase II, we will create more detailed scenarios for the conversion of this waste, including the amount of waste designated for conversion into the various products. With this information, we plan to develop an algorithm that enables waste intake and product sales to be forecasted and optimized. We will then seek people to implement our plan through the presentation of a polished business plan and a successful composting, biodiesel and methanol generation demonstration. Thus, goals for Phase II are continued stakeholder involvement, the creation of detailed market and financial analysis for biodiesel and ethanol, identification of the amounts of waste to be converted into each type of product at the facility, a quantified organization flow chart, a detailed marketing plan, the creation of a demonstration site, and the identification of businesses and investors to adopt the plan.
Journal Articles:No journal articles submitted with this report: View all 1 publications for this project
Supplemental Keywords:waste reduction, restoration, industry, innovative technology, sustainable development, community-based, gulf coast,
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Sustainable Industry/Business, Scientific Discipline, RFA, POLLUTION PREVENTION, Technology for Sustainable Environment, Sustainable Environment, Chemical Engineering, Energy, Environmental Engineering, Ecology and Ecosystems, biomass, energy conservation, environmental sustainability, sustainable development, waste minimization, conservation, alternative energy source, renewable energy, resource recovery, energy efficiency, waste management, renewable resource, community based
Progress and Final Reports:
Original Abstract