Transcript Developing a Waste Water Discharge Fee Programme in Sri

Developing a Waste Water Discharge Fee
Programme in Sri Lanka
Kolitha Himal Muthukuda Arachchi
Deputy Director General, Pollution Control
Central Environmental Authority
December 14, 2007
Background
 Discharge of industrial wastewater managed through
a licensing scheme called Environmental Protection
License (EPL);
 Licensing administered by Sri Lanka’s Central
Environmental Authority (CEA) as per National
Environmental Act;
 The EPL is valid for a period of 3 years and is issued
only if the industrial facilities demonstrate
compliance with existing regulations;
 A license fee (of approximately 150 USD) is paid
upon issuing of the EPL.
Background
 Industries discharging waste water into the
environment must meet the relevant concentration
based standards established by the CEA.
 No regulations to restrict the quantity of pollutants
discharged into the environment.
 As a result, pollution load into the environment
cannot be controlled adequately.
Disadvantages of EPL System
 System is not equitable, since high as well as low
polluters are subject to the same license fee;
 Irrespective of the load of pollution discharged, only
a flat fee is charged for the EPL;
 Thus, large industries discharging a high volume of
waste and a high pollution load pay the same amount
as a small industry discharging a low pollution load.
Proposed Waste Water Discharge Fee (WDF)
Programme
 The WDF system is an example of a market-based
instrument;
 This is a more equitable system in the sense that the
larger the amount of pollution discharged, the more
the industrial facility will have to pay;
 On the other hand, the smaller the amount of
pollution discharged, the less the industrial facility
will have to pay.
Advantages of the Proposed WDF Programme
 This system will induce polluting industries to:
establish of more efficient waste water treatment
systems by better process control;
reduce costs by better house keeping;
reduce use of water;
reduce/recycling of treated waste water.
Advantages of the Proposed WDF Programme
 Enforcement of the system will involve greater
private sector participation:
participation of private accredited laboratories;
wider participation of environment technological
and consultancy firms.
Advantages of the Proposed WDF Programme
 Collected charges would generate a separate fund
which will be used for environmental management
activities in Sri Lanka, including:
 Provision of soft loans for waste water treatment
systems
 Adoption of cleaner production technologies;
 Environmental cleanup programs
Advantages of the Proposed WDF Programme
 When polluters have to pay for pollution based on
actual quantity of pollutants they will try to reduce
costs and improve efficiency.
 This programme benefits both industries as well as
the authorities,
by encouraging the industries to adopt cleaner
production technology.
recycle waste water.
facilitate enforcement by the authorities.
Key Challenges
 Application of WDF to non-EPL industries
 Legal /institutional overlaps (Board of Investment)
 Formulation and collection of fees
 Technology transfer and use of funds
 Self reporting & impact monitoring
Implementation Requirements
 Amend National Environmental Act and regulations
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giving legal effect to the WDF program;
Develop institutional capacity of the CEA for
program implementation;
Prioritize industrial sector
Develop load calculation procedure and protocol;
Assist industries to establish flow measuring systems;
Establish the WDF- Fund and administrative structure
for its operation.
Implementation Strategy
 Implement the WDF scheme using sectoral focus
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(Initially applied to textile, tanning sector, chemical,
and sectors)
In first phase, COD is the priority pollution
parameter, later to be extended to toxics
Piloting testing will commence from January 2009
and will gradually cover all sectors
Industry awareness / capacity development will be
given high priority
Share experience with other countries in Asia
Policy Decisions Taken
 WDF program will be established as a separate part in
the NEA
 WDF will be applied in respect of activities that
either have an EPL, or are in the process of obtaining
an EPL
 Administrative fee will be kept at 20%.
Work Plan for WDF System
 Creation of Technical Support Committee (2007 July)
 Legal Reforms
 Technical Evaluation
 Justification of sector selection.
 Institutional needs assessment
 Preparation of operational guidelines
 Linkages with counterparts in Asia – e.g,. Philippines,
Vietnam and China
Technical Support Committee
 A Technical Support Committee was appointed and is
being convened by the Chairman CEA to make
technical decisions. The institutes represent are:
 The Ministry of Water Supply and Sanitation,
 The Ministry of Industry,
 The Ministry of Environment,
 The National Water Supply & Drainage Board
Current Status-Legal Reforms
 Legal consultation in progress to incorporate
necessary provision to existing law
 Proposed provisions cover :
Implementing the WDF Program
Determining the wastewater discharge fee
Collection of wastewater discharge fee
Discontinuance of water supply upon default
Regulations
Maintenance of the resulting revenues
Provision enabling the utilization of such funds
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Current Status - Technical Track
 Key Considerations:
Type of Pollution
Load/Volume discharged
Point of discharge
Sensitivity of the discharge Area
 Developing capacity and capabilities
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