Feasibility and Barriers for Anaerobic Digestion in Mexico City

Abstract

Due to the high organic fraction in municipal solid waste (MSW) composition in Mexico City, anaerobic digestion (AD) is considered as a viable treatment method for organics in this study. The most feasible way refers to the waste from the wholesale market Central de Abasto, which is predominantly organics. This work aims to perform a business plan and discuss the barriers for AD technology in Mexico. In this case study, the cost-benefit analysis (CBA) approach is applied to estimate the profitability of the project. The net present value of this project is positive, and the model resulted in a payback period of 7 years. Identified barriers to feasibility of energy generation through biogas of MSW in Mexico include the need for large investment, low profitability through sales of electricity, and no use for generated heat. An attractive panorama for clean energy in Mexico was not evidenced, even though the Energy Reform took place in 2013. However, the environmental analysis also demonstrates a positive environmental impact of 730 kg CO2 per 1 Mg of MSW. Therefore, support incentives are needed to promote the use of other by-products of the AD process, such as heat and digestate.