Cost-Benefit Assessment of Incineration Solution for Municipal Solid Waste: A Case Study in Qom Province

Document Type : Research Article

Authors

1 Faculty of Environment, University of Tehran, Tehran, Iran

2 Department of Chemical Engineering, University of Tafresh, Tafresh, Iran

10.22091/jaem.2025.12975.1024

Abstract

Rapid urbanization has escalated the complexities of municipal solid waste management, particularly in cities like Qom, Iran, which generates approximately 600 tons of waste daily. This study investigates incineration-based waste-to-energy (WTE) systems as a sustainable solution to mitigate landfill dependency while producing renewable energy. Through a rigorous economic evaluation, we assess the viability of WTE implementation using key financial indicators, including Net Present Value (NPV), Internal Rate of Return (IRR), Levelized Cost of Energy (LCOE), and payback period.
Our findings indicate that Qom’s waste stream could yield approximately 10.6 MW of electricity through incineration, offering a promising avenue for sustainable waste management. However, the economic feasibility is hindered by high capital and operational costs, coupled with low electricity tariffs in Iran. The analysis reveals that a minimum gate fee of US$10.5 per ton is essential to achieve financial viability. Sensitivity analyses further identify the discount rate and electricity tariff as critical determinants of project profitability, while enhancements in energy conversion efficiency yield only marginal economic benefits.
This study provides actionable insights for policymakers and investors, highlighting the economic challenges of deploying WTE systems in Qom and emphasizing the need for robust pricing mechanisms and supportive policy frameworks to ensure the financial and environmental sustainability of such initiatives.

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Advances in Energy and Materials Research
Volume 1, Issue 4
December 2024
Pages 12-17

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