Daily Mirror (Sri Lanka)

SANITARY LAND FILLING,

ECONOMICAL­LY VIABLE SOLUTION FOR MSW DISPOSAL FOR SL:

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The most feasible and economical­ly viable solution for the disposal of Municipal Solid Waste (MSW) for a developing country like Sri Lanka is sanitary landfillin­g, the Megapolis and Western Developmen­t Ministry yesterday said responding to concerns over the Aruwakkalu Landfill.

Responding to the article ‘Two Chinese Companies to Run Aruwakkalu Landfill’ published on Daily Mirror on Tuesday, the Ministry said it is an accepted fact that the most feasible and economical­ly viable solution for the disposal of Municipal Solid Waste (MSW) for a developing country like Sri Lanka is sanitary landfillin­g.

The Ministry of Megapolis and Western Developmen­t (MMWD), in consultati­on with the relevant stakeholde­r agencies found a location at Aruwakkalu owned by the Cement Corporatio­n of Sri Lanka which is leased out to M/s Siam City Cement (Lanka) Ltd for extraction of Limestone for cement production.

The implementa­tion of the Metro Colombo Solid Waste Management (MCSWM) Project, which was initially planned to implement over a period of three years from 2017, was fast tracked to 18 months as a means of providing an expeditiou­s and longterm solution for the grave national issue of waste disposal which was aggravated by the sudden collapse of Meethotamu­lla waste dump claiming human lives and destroying a lot of other properties.

Subsequent­ly, considerin­g the urgent need and essentiali­ty for a sanitary landfill to address the issue of disposing ever increasing MSW, the MMWD, with the approval of the Cabinet of Ministers granted on 05th July 2017 called quotations under limited/ Restricted Internatio­nal Competitiv­e and Restricted National Competitiv­e Bidding from a) Internatio­nal Contractor­s working in Sri Lanka, b) Contractor­s with CIDA (Constructi­on Industry Developmen­t Authority) registrati­on under grade CS2 (highest grade), c) Internatio­nal Contractor­s with joint ventures with Sri Lankan contractor­s of the CIDA grade CS2.

The collapse of the Meethotamu­lla dumpsite highlighte­d the need to take immediate action to safely manage waste, thereby preventing further environmen­tal and human health disasters

The implementa­tion of the Metro Colombo Solid Waste Management (MCSWM) Project, which was initially planned to implement over a period of three years from 2017, was fast tracked to 18 months

Out of the 18 bidders who purchased the Request for Proposal (RFP) for Design & Build contract, 7 bidders have submitted their proposals (Attachment

II). The TEC appointed by the Department of Public Finance carried out detail technical evaluation of the bids submitted by all 7 bidders with a view to select a substantia­lly responsive Design & Build contractor.

The TEC, with the outcome of the Expert Panel, has finally recommende­d two bidders (M/s Kolon-hansol-kecc Joint Venture and M/s China Harbour Engineerin­g Company Ltd) whose technical proposals were concluded to be responsive since they have secured minimum requiremen­t of 750 scores for the technical proposals.

Therefore, these two bidders

(M/s Kolon-hansol-kecc Joint Venture and M/s China Harbour Engineerin­g Company Ltd) were taken-up for next step of financial evaluation.

The remaining five bidders who were unable to secure minimum of 750 scores for their technical proposals were concluded to be technicall­y nonrespons­ive therefore, eliminated from further evaluation. With the approval granted by the SCAPC at its meeting held on 04th October 2017 (SCAPC Minutes attachment VII), the TEC opened the financial proposals of M/s Kolon-hansol-kecc Joint Venture and M/s China Harbour Engineerin­g Company Ltd and recommende­d to award the contract on design, supply and installati­on/constructi­on of municipal solid waste sanitary landfill facility (Aruwakkalu) to M/s China Harbour Engineerin­g Company Ltd, being the lowest evaluated, substantia­lly responsive, qualified bidder .

The SCAPC in its sitting on 17th October 2017 approved the aforementi­oned TEC recommenda­tion (Attachment IX). Subsequent­ly, all the six bidders except M/s China Harbour Engineerin­g Company Ltd were informed of the SCAPC decision to award the contract to M/s China Harbour Engineerin­g Company Ltd.

M/s Kolon Global Corporatio­n (the Appellant) made an appeal to Procuremen­t Appeal Board (PAB) of the Presidenti­al Secretaria­t against the decision of the SCAPC to award the Contract to M/s China Harbour Engineerin­g Company Limited. An appeal hearing by the PAB with the participat­ion of the MMWD, M/s Kolon Global Corporatio­n and M/s China Harbour Engineerin­g Company Limited was held at the Presidenti­al Secretaria­t on 01st November 2017. The recommenda­tion of the PAB had been forwarded for the considerat­ion of the Cabinet of Ministers with a copy to the Secretary, MMWD on 20th November 2017.

Honouring the direction given by the Cabinet of Ministers, the SCAPC directed the TEC at its meeting held on 22nd November 2017 to open the Financial Proposals of the 5 unsuccessf­ul bidders in the presence of SCAPC Members as recommende­d in the PAB decision, though it appears to be in contrary to the National Procuremen­t Guidelines. Further, the SCAPC has directed the TEC to assess all the bids giving 80% - 20% as the appropriat­e weightages to the technical and financial proposals of the bidders respective­ly. In a Design and Build Contract of this nature, it is important to give more weightage for the technical proposal which is a globally accepted practice.

Finally, Cabinet of Ministers has granted approval to award the Design & Build contract to M/s China Harbour Engineerin­g Company Limited at a total bid price of US$ 90,482,259.16 plus Rs 1,622,936,211.10 (approximat­ely equivalent to Rs 15,641,352,623.47 or US$ 100,957,546.14 at the exchange rate of Rs 154.93 per 1 UD$) without VAT.

The project comprised of four components; Package-a (Transfer Stations at Kelaniya and Aruwakkalu), Package-b (Sanitary Landfill at Aruwakkalu), Package-c (Rail Track Extension and Connectivi­ty Line) and Package-d (Rail equipment, Machinery).

The sanitary land fill method is one of the best methods of disposal of garbage and accepted worldwide and the project continues smoothly without any remarkable hindrance.

Further, the collapse of the Meethotamu­lla dumpsite highlighte­d the need to take immediate action to safely manage waste, thereby preventing further environmen­tal and human health disasters. The Government of Sri Lanka (GOSL) declared sustainabl­e management of solid waste a top national priority including: (i) the stabilizat­ion and closure of existing dump sites; (ii) the establishm­ent of an adequate sanitary landfill for the Metro Colombo Region (MCR); and (iii) the establishm­ent of a governance structure (including financial mechanisms) for the solid waste management sector. The GOSL requested assistance from the World Bank to address this priority. Having been involved for years in local service provision in Sri Lanka, specifical­ly in the solid waste management sector, and with deep knowledge of the challenges and opportunit­ies, a joint World Bank and Asian Infrastruc­ture Investment Bank (AIIB) are well positioned to support the GOSL during this emergency.

Moreover, the Bank’s involvemen­t at this stage, given the current strong GOSL support for an immediate solution for the sector, will be critical for the long-term developmen­t of an integrated solid waste management sector. With the World Bank’s support, it is likely that the sector challenges are approached in an integrated manner, and that the focus will be not only on short-term solutions to the most visible issues, but also on enhancing the governance of the sector to establishm­ent of an effective and sustainabl­e solid waste management system.

As per the above, World Bank and the AIIB, mission (the Mission) visited Sri Lanka in several times and expressed its interest to consider providing financial support for the waste management sector of the country under a different approach by identifyin­g a new Project called ‘Emergency Solid Waste Management Project (ESWMP)’. The proposed ESWMP would follow the condensed procedures provided under the World Bank’s policy instrument­s: Projects in Situations of Urgent Need of Assistance or Capacity Constraint­s due to a natural or man-made disaster.

Accordingl­y, the Experts of World Bank assessed the potential of the reclaimed limestone quarry at Aruwakkalu site for the constructi­on of Sanitary Landfill. After the site evaluation, they recommende­d to incorporat­e state-of-the-art detailing provisions for ground and surface water protection as well as proper coordinati­on with mining activities. In these circumstan­ces, this Ministry has prepared Environmen­tal Management Framework and the Environmen­tal Management Plan according to the World Bank Guidelines. However, due to the lengthy and tedious procuremen­t procedures of the WB, which consumes a considerab­le processing time, this ministry compelled to use the funds of GOSL to complete the project early to receive garbage from Colombo.

As per the contract agreement project has been planned to operate 240 days as partial completion with a capacity of receiving up to 600T/day of waste collected from Colombo Municipal Council. This waste is transporti­ng to Aruwakkalu Sanitary Landfill by hiring minimum 35Nos. ten wheeled tippers until the rail transporta­tion of waste from KTS to Aruwakkalu would be in place. Tippers transport waste from Kerawalapi­tiya and unload the waste directly in to the designated cell at the Aruwakkalu landfill. All waste received at Kerawalapi­tiya is transferre­d daily without accumulati­ng at site.

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