DETERMINING THE COMPREHENSIVE TARIFF FOR HOUSEHOLD WASTE MANAGEMENT TAKING INTO ACCOUNT THE ENVIRONMENTAL COMPONENT AND THE VALUE OF SECONDARY RESOURCES

Abstract

One of the main reasons why the EU has achieved such impressive results in minimizing landfills and increasing the rate of recycling has been the “polluter pays” principle. The cost of waste management for the producer should be equal to all the costs of eliminating its adverse effects. The results of household waste management in Ukraine lag far behind those in Europe. Less than 1% of the total amount of household and similar waste is reused. Ukraine risks not achieving the waste management indicators specified in the national sustainable development strategy if the current organizational and economic models remain dominant. Low tariffs for waste management and the absence of a nationwide segregated collection program are believed to be the main factors behind the prevalence of unsanctioned dump sites. The backlog in the implementation of recycling centers, recycling megaprojects and, finally, separate collection programs are the result of insufficient funding. This study provides a full calculation of the inclusive household waste management tariff. The approach was to find the total financial costs, including design, land acquisition, landfill construction and operating cost then, estimate the environmental costs caused by the CO2 emissions. The study estimates the real cost of collecting and transporting separately collected household waste and concludes the net cost after deducting the market value of recyclable materials. According to the results of the study, it turned out that the financial costs for the disposal of household waste in Ukraine reach up to UAH 355, and the cost of emissions may reach UAH 441/ton depending on the type of waste. The article reveals that the tariff for the collection and transportation of household waste must be adjusted depending on the density of the waste components and the market value of secondary raw materials. It has been also found that the costs of collecting and transporting some types of waste can be avoided if the recyclables are self-delivered to the recycling centers. The inclusive collection and transportation tariff, according to this study, should fluctuate between UAH 453 and UAH 1628 per ton. Finally, the study has shown that waste generator can earn between UAH 1072 and UAH 2495 when his recyclables are collected separately.