RM280m waste technology for Terengganu

KUALA LUMPUR: The Terengganu government and Mercu Re Solution Sdn Bhd have signed an agreement for the development of a “Waste to Wealth” project, which uses REnescience, an environmentally friendly technology to process the municipal wastes, with an investment of RM280 million.

“The core technology cost about RM240 million, and the downstream technology would cost RM40 million to start with.

“The investment can go up to half a billion ringgit, when the downstream technology is fully developed.

“Once we implement the downstream projects, it will attract entrepreneurs. That is when we expect the total investment of RM500 million when it’s fully completed,” said Terengganu Menteri Besar Ahmad Razif Abdul Rahman at the signing ceremony.

He said the project was expected to create 100 new jobs in Terengganu, and produce new entrepreneurs in the recycling industry.

“This project will add RM236 million to the state’s gross domestic product (GDP) by 2020. It is part of the state’s transformation programme to gradually grow its GDP to eight per cent by 2025, from four per cent currently.

“Part of the transformation programme includes increasing the current household income of RM4,000 to RM8,000,” said Razif.

The project in Sungai Ikan, Kuala Terengganu, will begin construction early next year and the plant is expected to be operational in 2019. It will be the first in Southeast Asia.

A similar one being built in Manchester, United Kingdom, is expected to become operational next year.

“Through the REnescience technology, waste from the Kuala Terengganu municipality amounting to between 400 and 450 tonnes per day will be processed to materials that have a higher economic value.

“Organic materials that are processed by REnescience lab will produce bio-methane that can generate electricity.

“Investors have made a detailed study and found that the waste in Kuala Terengganu are capable of producing five megawatts of electricity, and those will be sold to Tenaga Nasional Bhd.

“Inorganic materials such as plastics from municipal waste is reprocessed and can produce about 40,000 litres of diesel a day.

“The REnescience technology will also prolong the life of landfill sites. Through this technology, only 10 per cent of municipal waste will be disposed of in landfills,” Razif added.

Once we implement the downstream projects, it will attract entrepreneurs, that is when we expect the total investment of RM500 million when its fully completed.” Ahmad Razif Abdul Rahman

Terengganu Menteri Besar