Informal Waste Management in the Developing World: Economic Contribution Through Integration With the Formal Sector

Abstract

Informal waste management sector often sustains in a cliquish socioeconomic environment. The present study suggests that rather than keeping this sector marginalized, its significance should be recognized and efforts should be made for its integration with formal sector to introduce synergy. For a detailed assessment of the economic contribution of the informal waste management sector, a case study has been performed in Bahawalpur, a medium sized city of Pakistan. The study investigates the current recycling conduct of the society and scrutinizes the economic role of main stakeholders involved in recycling, including waste pickers, itinerant buyers and waste traders. The recovery activity is profitable for key stakeholders involved and generates a revenue of approximately 6.05 billion Rupees or 6 million USD/year. The outcome suggests that the informal waste management sector is proficiently involved in waste recovery activities and its integration with formal sector can work optimally at both ends. The guideline for enabling formal-informal waste sector integration has been evaluated under a recently developed tool known as “InteRa” (integration radar) rapid evaluation metric and visualization tool. Application of “InteRa” framework proffers a step-wise direction as it demonstrates the extent to which local situation is favorable, investigates the existing gaps and advocates necessary changes that need to be incorporated to achieve formal-informal sector integration in the study area.