Border
Environment Cooperation Commission
Wastewater Treatment Facility and
Recycling Paper Facility in
Region
Cinco Manantiales, Coahuila
General Criteria
Human Health and Environment
Technical Feasibility
Financial Feasibility and Project Management
Community Participation
Sustainable Development
Available
Documents
1.
Type of Project. A Recycling Paper Facility (RPF) and Wastewater Treatment
Plant (WWTP). The integrated project encompasses the construction and operation
of a paper and cardboard recycling facility for the fabrication of paper liners
for cardboard boxes; and the construction and operation of a WWTP. The communities from Region 5 Manantiales
and Grupo Solar present this project. Grupo Solar, is a private Mexican
corporation engaged in the business of recycling paper. Additionally, the project contemplates an
in-kind contribution toward the construction of a sanitary landfill or other
related public works. This project falls within the BECC’s definition of
Private Sector Projects as a Public/Private Partnership, where the project
benefits the community -at-large.
The project
satisfies the 3 principles for Private Sector Projects:
1) It addresses the human health and environmental needs of the surrounding
communities by installing a paper recycling facility; improving solid waste
disposal and providing a wastewater
treatment plant (WWTP).
2) The installation of the recycling facility and the WWTP will create 140
direct jobs, will generate income in the area, will promote investments and
will bring new technology to the region.
3) The project will provide a ‘substantial community benefits’ by providing
a WWTP for the region. The local governments and steering committees support
this project.
2. Project Location. The project components identified
above will be located in Region Cinco Manantiales, in Allende and Morelos,
Coahuila, and the respective site is within the 100 km border region. The
Region Cinco Manantiales is presented in the following map below.
3. Project
Description and Work Tasks.
It is important to mention that the Master Plans funded by the BECC were
instrumental in developing a regional solution with this particular project.
The municipalities of
Allende, Morelos, Nava, Villa Union, and Zaragoza, in Coahuila, Mexico,
comprise the region known as Cinco Manantiales. It is located in the northeast quadrant of the state. Region Cinco Manantiales has an estimated
population of about 71,500 people, which is expected to increase to over
117,000 people by the year 2020. However, the plan is to serve Morelos and
Allende first, then connect the rest of the communities. The current population
for Allende and Morelos is approximately 22,949 and 8,196 respectively.
Presently, the needs of the residents in terms of sanitary sewer, wastewater
treatment, and collection and disposal of municipal solid waste (MSW) are not
being met. Thus, the integrated project
will contribute to the strengthening of the environmental infrastructure and
the economy of the region. The components of the project are described below.
§
The RPF will consist of an
operation with the capacity to process 140 metric tons of cardboard and paper
per day and to generate 43,200 metric tons/yr of liner paper during the first
phase. The second phase will increase
the capacity to 225 metric tons/day and is expected to generate 66,000 metric
tons/yr of liner paper. The raw material will come from both the US and Mexico,
in approximately equal shares of 50% each.
The paper recycling process requires a water supply of up to 0.571 mgd
(25 lps). This water will be extracted
from wells or irrigation canals, treated (if necessary), used in process,
treated again, and subsequently discharged back into irrigation canals or into
a proposed green belt. The raw material
from the US will be hauled by railroad.
This project component will help extend landfill capacity, reduce
consumption of live trees, recycle wastewater and non-potable water. Additionally, the project will create 140
direct jobs and 260 indirect jobs.
§
The wastewater treatment
plant will have a combined use of a clarifier and aerated lagoons technology,
and will have a capacity to treat up to 2.283 mgd (100 lps). The WWTP is being
proposed to be constructed in Morelos, adjacent to Allende’s city limits.
Currently, the region has no wastewater treatment facilities. Approximately 54 mgd (235 lps) of wastewater
could be generated in the region, Morelos and Allende currently can generate
about 0.571 mgd (25 lps), and it would go up to about 1.712 mgd (75 lps) once
both cities have all residents hooked-up to the system. By constructing this
facility, coverage of sewage treatment would increase by 35% for the region,
and 100 % for Morelos and Allende.
§
Grupo Solar is considering an
in-kind contribution for the construction of a regional sanitary landfill or
other related public works. The recycling plant is mandated by federal law to
dispose of its solid waste at a sanitary landfill. The process will generate about 20 metric tons per day of solid
waste. This portion of the project is not being considered part of the project
for certification.
4.
Compliance with International Treaties and
Agreements. The
project will have positive international impacts, because it will help reduce
the wastepaper and cardboard delivered to landfills. Additionally, the air emissions generated by paper and cardboard
trucks will be reduced since the raw material will be transported by railroad.
In addition, it will reduce the threat of contamination of the regional aquifer
by treating the wastewater from the communities of Morelos and Allende, which
are currently being discharged into open lagoons.
1. Human
Health/Environmental Need. The project will address human health and
environmental concerns by reclaiming paper, cardboard, non-potable water, and
wastewater. The recycling project
presented herewith provides built-in benefits to the region. Some of these benefits are described below:
§
Treatment of up to 2.283 mgd
(100 lps) of raw sewage from the region.
About 85 lps will be used to irrigate a proposed 500 acres (200-hectare)
green belt, the first phase will be of 200 acres (80-hectare), as part of a reforestation/buffer zone
program, the other portion could be recycled through the plant.
§
The reuse of waste paper and
cardboard will extend the landfill capacity, and will help reduce the
consumption of live trees.
§
Private participation (in-kind) toward the construction of the
regional landfill, or other related public works.
§
Reduce air emissions from
trucks transporting cardboard back and forth across the US - Mexico
border. By using the railroad system,
the distances covered by truck traffic within the border region will be
reduced, thus generating less pollution from trucks.
Furthermore, by designating a contribution
toward the construction of a landfill, the communities will benefit by
improving the collection and management of municipal solid waste (MSW). The
inefficient handling of MSW triggers several impacts to the environment. For instance, continuous fires in the open
dumps pose a threat to human health, or not having restricted access to
landfill facilities promoting disposing of hazardous substances or bio-medical
waste at the dumps and open fields. In
some instances, leachate represents a threat to the regional aquifer. With a
sanitary landfill these problems tend to decrease gradually. Thus, the reason
for the in-kind contribution mentioned above.
The construction of the WWTP, will reduce
dramatically the potential to pollute the regional aquifer, by reducing the
number of cesspools and latrines. The proposed WWTP will cover 100% of the
current needs of Morelos and Allende, and about 35% for the region.
Additionally, it will reduce the potential for water born diseases, also, it
will eliminate the use of open, unlined pits to discharge wastewater, and will
decrease the risk of contamination to the regional aquifer.
2.
Environmental Assessment.
The
environmental studies for the recycling plant and the treatment plant have been
finished and are being reviewed by BECC, the Institute of Ecology (INE) and by
the State of Coahuila. The study did
not reveal negative or transboundary impacts from the selected site. The
selected site has been previously developed since it has railroad access and
electrical service.
The
effluent from the recycling facility will be pretreated before being mixed with
the wastewater from the communities of Allende and Morelos. This action reduces
the risk of negatively impacting the environment due to the discharge of
wastewater into open pits.
3.
Compliance with Environmental and Cultural
Resource Laws and Regulations.
The ‘Manifestacion de Impacto Ambiental’ (MIA) for the project was
evaluated and approved by the ‘Instituto Nacional de Ecologia” (INE). On March
7, 2000, INE issued approval No. DOODGOEIA-865, where it approves the recycling
facility, green areas and buffer zone.
The State of Coahuila through its ‘Direccion de Ecologia’, evaluated the
MIA and issued its approval No.
368/2000 on May 8, 2000, this approval includes the construction of the WWTP
for the project. The sponsor will provide any other required permits before
starting operations.
Due to the fact that this project is not eligible to receive BEIF
assistance, it will not be required to get the reviews for such program
(NEPA/FONSI).
1. Appropriate
Technology.
Recycling Plant. The
paper recycling facility will produce 43,200 metric tons per year, and up to
66,000 metric tons/year during the second phase. The technology to be
implemented in this process is currently utilized in two other sites in Mexico.
NADB has indicated that they will conduct an independent evaluation of the
production process. This evaluation will also include a technical
review of the experience and expertise of Grupo Solar. This facility has an estimated cost of about
USD $16.8 million.
Wastewater Treatment
Plant.
Grupo Solar considered two different alternatives for treating the
sanitary sewer for Morelos and Allende.
The first alternative
consists of constructing a WWTP incorporating wetlands technology. This
technology is currently used in an industrial facility with similar wastewater
characteristics. The process will
include one digestor, two plantation trains, and one storage pond. The estimated cost of this WWTP is USD $1.0
million. Although this alternative is the most economical, it does not provide
the adequate treatment and quantity needed for use in the RPF.
The second alternative
considers the construction of a WWTP using the stabilization lagoons
technology. This scheme includes a
pretreatment lagoon, (clarifier) an anaerobic lagoon, a facultative lagoon, and
a stabilization lagoon. The estimated
cost for this alternative is USD $1.3 million. This is the preferred
alternative for the project.
Mexican regulation
requires the paper industry to treat their industrial wastewater when is being
reused, and to dispose of their solid waste at a permitted sanitary
landfill. Thus, it is imperative that
Grupo Solar finds the means to accomplish this. Grupo Solar has the option to build their own or send the solid
waste to an approved sanitary landfill.
2. Operation and Maintenance Plan. Grupo Solar
will provide the operation and maintenance manuals for the paper recycling
plant and the WWTP.
3.
Compliance with
Applicable Design Standards and Regulations. Grupo Solar has designed the
paper recycling facility with leading edge technology and pursuant to the
industry standards. If a landfill is constructed, it will be designed in
accordance with NOM-ECOL96-083. The WWTP has been conceptually designed
following proven leading technology, and in accordance with State and Federal
regulations.
1.
Financial Feasibility.
The construction of the project (recycling plant
and WWTP) will have an approximate total cost of USD $18.1 million, as described
in the table below.
Grupo Solar is seeking a NADB loan for up to USD
$6.5 million. This amount includes USD
$1.3 million for the construction of a WWTP, USD $5.0 million
for the construction of the recycling plant and a $200,000 in-kind contribution
that Grupo Solar is considering toward the construction of a regional landfill
or other related public facilities. Grupo Solar is seeking a 25-year loan from
NADB.
ESTIMATED TOTAL PROJECT COSTS
|
ITEM
|
AMOUNT IN USD
|
|
Land
|
$ 200,000
|
|
Construction Activities
|
$ 2,100,000
|
|
Machinery and Equipment *
|
$13,550,000
|
|
Office and computing equipment
|
$ 80,000
|
|
Transportation equipment
|
$ 50,000
|
|
Initial investment
|
$ 980,00
|
|
Interest during construction
|
$ 900,000
|
|
Working Capital
|
$ 304,200
|
|
Total investment
|
$18,164,000
|
|
|
|
|
TOTAL COST $
18,164,200
|
* Includes WWTP and in-kind contribution toward landfill or public
improvements.
The following table indicates the funding sources for the paper
recycling plant.
Available Funding
|
Amount
($, millions)
|
%
of Total
|
Grupo Solar
|
$10.6
|
58
|
NADB
|
$ 6.5
|
36
|
Voith
(machinery supplier)
|
$ 1.0
|
6
|
Total
|
$18.1
|
100
|
The following table indicates the funding sources for the WWTP.
Available Funding
|
Amount
($, millions)
|
%
of Total
|
Grupo Solar
(NADB loan)
|
$1.3
|
100
|
Other sources
|
|
|
Total
|
$1.3
|
100
|
1.
Comprehensive Public Participation Plan. The objectives of the comprehensive public participation plan (the
“Plan”) are to ensure that the community understands and supports the
environmental, health, social and financial benefits and costs of the
project. Grupo Solar submitted a public
participation plan for BECC's evaluation and approval. The Plan comprises the following activities:
gather information documenting public support for the project, develop a
steering committee, identify and meet with local groups and organizations, and
hold a minimum of two public meetings.
2.
Steering
Committee: Steering
Committees have been formed by Grupo Solar emphasizing a regional approach
(Allende and Morelos). The Steering
Committees were responsible for distributing public information and for
scheduling a minimum of two public meetings. The members of the Steering
Committee also met as necessary to develop the process for distributing
information to the public and will help educate the public about the project by
providing informational fact sheets.
3.
Local
Organizations: One or more members
of the Steering Committee met with representatives of local organizations to
make presentations to ensure the public understood the project.
4.
Public
Information: Information about the
project was provided to the public by members of the Steering Committees, local
organizations and by making the draft Step II document available at City Halls
and schools. Additionally, the Steering
Committee met with the public to inform them about the project.
5.
Public Meetings: Two public meetings were coordinated between
the Steering Committee and Grupo Solar.
The first public meeting took place in October 6, 1999, and the second
public meeting was conducted May 4, 2000.
During the second meeting, the financial aspects of the project were
presented to the public. The project
will have no impacts on solid waste or wastewater user fees.
1.
Definition and Principles
The
project consists of the integration of a commercial process that will use waste
paper and cardboard as raw material to generate liner paper (avoiding the use
of virgin wood) with the construction of wastewater treatment facility, for the
purpose of replacing the non-potable water and well water otherwise consumed
during the paper recycling process.
Furthermore, the project will also include an
in-kind contribution for the construction of a regional landfill or related
public works, to dispose of the byproduct wastes in an acceptable manner.
The project promotes improving the quality of
life of the residents of Region Cinco Manantiales, as it will generate
employment opportunities, will ameliorate the negative impacts on water
resources and reduce potential disease vectors.
2. Institutional and Capacity Building
The project includes the construction and
operation of a WWTP (total capacity of 2.283 mgd)(100 lps) without any cost to
the communities. The municipalities
will receive a payment of up to USD $0.04/m3 of wastewater sent and treated by
Grupo Solar. The project will also
include paying up to $70/ton for cardboard collected at the landfill. These revenues will benefit the
municipalities and can be used to strengthen the municipalities’ public
utilities budget.
The project may also encourage municipal
authorities to institute either new or expanded paper and cardboard recycling
programs in the community. This new or
expanded institutional capacity will provide additional ancillary employment as
well as increased institutional capacity.
3. Conformance with Applicable Local and Regional Conservation
and Development Plans
The
project incorporates results and information obtained in the following studies
sponsored by BECC:
§
Master
Plan for the Improvements of Water, Sewer, and Wastewater Treatment Services in
Region Cinco Manantiales.
§
Master
Plan and Final Design for Municipal Solid Waste of Region Cinco Manantiales
4. Natural Resource Conservation
The project
promotes the protection of the environment through the following actions:
§
The recycling plant will use 100% used material, avoiding the need
for virgin wood.
§
Up to one metric ton/day would be reclaimed from area landfills.
§
140 metric tons/day will be collected from sources in the US and
Mexico.
§
The wastewater used in the recycling plant will be treated and
reused (irrigation of 500 acres (200 hectares) for a green belt area for
reforestation only).
§
Risks of groundwater contamination will be reduced.
5. Community development.
The project
will promote the creation of employment (direct and indirect). The availability of environmental
infrastructure will provide wastewater treatment, and will reduce the amount of
solid waste (paper, cardboard) sent to landfills. The project will also improve the economic and health conditions
of the residents of Cinco Manantiales.
Available Documents
- Step II document
- Approval from SEMARNAP for
the recycling facility
- Agreement for the sale of
wastewater between Grupo Solar and the City of Allende.
- Agreement for the sale of
wastewater between Grupo Solar and the City of Morelos.
- Financial información
- Approval from the State of
Coahuila for the construction of the wastewater treatment plant.
