First and foremost, I would like to focus on the solid waste management aspects of the Alpine waste-to-energy projects. From a historical perspective, since the failed STEP solid waste project in the ’80s to Caribe Waste Technology in the ’90s, several solid waste projects that propose waste-to-energy technologies have met their demise due to unproven technologies, failure to obtain financing, and lack of interagency communications and cooperation. These Alpine projects combine proven technologies, 100 percent financing, and successful simultaneous negotiations in best interest of both the Water and Power Authority, the Waste Management Authority and the residents of the Virgin Islands.
The result: the only viable long term and sustainable waste management solution AND not a moment too soon. These projects fully integrate materials and energy recovery strategies for recycling/reuse and alternative/renewable energy production. WMA negotiated and signed contracts which significantly enhance recycling and reuse, maximize the energy recovered from waste, and permit the long overdue phased final closure of both landfills.
EPA Administrative Orders on Consent
Since 1998, the Government of the Virgin Islands, and now, the VI Waste Management Authority, has operated the territory’s landfills under several administrative orders on consent which require the Virgin Islands to comply with federal solid waste, air, and clean water regulations with regard to landfill operations and landfill closure. These orders represent the last step before court-ordered enforcement is pursued by the federal government similar in manner to the enforcement action in waste water that resulted in the 1984 EPA Consent Decree.
At present, the U.S. Department of Justice has transmitted draft consent decrees for both landfills with respect to Clean Air Act complianace to the Government of the Virgin Islands for consideration. The result of the 20-year history of the “DO NOTHING” alternative resulted in mountains of millions of tons of waste – a wasted resource – which, after landfill closure, will only generate a tenth of energy produced in the new waste-to-energy plants. Clearly, the “Do Nothing” alternative is not acceptable.
Solid Waste Management Alternatives: New Landfills, Off-island Disposal, Recycling, Waste-to-Energy
So what are the other solid waste management alternatives? New landfills, off-island disposal, recycling, or waste-to-energy? Locating and constructing new landfills in the territory has proven to be less feasible due to limited land space, environmentally sensitive areas, and neighboring residential communities. In the EPA hierarchy, landfills are the least desirable solid waste management strategy because they are not sustainable — eventually all of the available landfill space will be used, the landfill must be closed, and new waste management facilities must be constructed. Further, for 30 years after the landfills are closed, they must continue to be managed at an annual expense to the taxpayers. In reality, they must be managed in perpetuity.
Long term off-island disposal of solid waste has proven to be cost prohibitive. An amendment to federal regulations of the US Department of Agriculture is required to transport solid waste to the US mainland or Puerto Rico. Based on a similar amendment for Hawaii to transport solid waste to the mainland, this amendment process is projected to take 1-2 years. Off-island disposal will effectively export our local economic resources for waste processing — funds and jobs — and will transfer our renewable energy resource to benefit the recipient community.
The Authority is fully committed to maximizing recylcing in the Territory. Wastes that are screened and removed such as scrap metal, white goods, scrap tires, lead-acid batteries, e-waste, used oil, and household hazardous waste, will continue to be diverted to existing and planned waste processing facilities for transportation to mainland recycling facilities. New convenience centers with recycling and household hazardous waste collection centers are currently under construction. In addition, the planned Alpine waste-to-energy project will recover significant quantities of recyclable materials including ferrous and nonferrous metals and glass. Consequently, the waste-to-energy alternative does not compete with but rather complements recycling goals in the Virgin Islands.
Ultimately, for the Virgin Islands, waste-to-energy is the most preferred, cost effective, environmentally sound alternative AND a critical part of our Integrated Solid Waste Management Plan.
Project History
In the ’80s, many unsolicited proposals with various versions of combustion technologies have been received by many governmental agencies and offices. In the late ’90s, the Department of Public Works solicited proposals which resulted in the Caribe Waste Technology project. It did not advance to an executed contract because it did not reflect the best interest of the electrical utility and the rate payers. Consequently, the required power purchase agreement was never negotiated.
In June 2007, WMA solicited proposals for resource recovery projects that maximize resource recovery and minimize landfill requirements. We received three proposals and after preliminary review, selected a proposal from BioEnergy to review and evaluate in depth. During our proposal evaluation, the Evaluation Committee determined that the BioEnergy proposal was non-responsive due to unproven technology as defined in the RFP; therefore negotiations were terminated.
In June 2008, WAPA requested that WMA review their shortlist of solicited proposals that used waste as a fuel. The Alpine Energy Group waste to energy proposal was submitted in response to WAPA’s Request for Proposals issued in December 2007. Upon reviewing this proposal, the Authority rejected the initial draft Fuel Supply Agreement proposed by Alpine and opted to negotiate a full service solid waste management contract that integrates materials recovery for recycling and reuse and long term solid waste disposal through thermal energy recovery. Over a period of ten months, the Authority’s management team and its globally recognized consultants, Maguire Group, Gershman, Brickner and Bratton, and Hawkins, Delafield and Wood negotiated the two Waste Management Service Contracts in the best interest of the Authority and the people of the Virgin Islands.
Technical Due Diligence
The Alpine projects will process solid waste into refuse derived fuel. Solid waste will be screened and recyclable materials will be removed for processing and/or direct marketing or reuse. The organic fraction remaining will be shredded, sterilized, and pelletized for storage, handling, transportation, and combustion. The refuse-derived fuel – fluff or pellets – will be fired in a fluidized bed burner (gasifier) along with a combination of secondary and opportunity fuels including pet coke, tires and sewage sludge. Non-processible solid waste including metal and glass will be separated by the process and recycled.
The conventional waste processing system will convert processible solid waste to shredded refuse derived fuel. When operating in the optimized mode, the system will also sterilize and pelletized the refuse derived fuel for storage, handling, and transportation to ensure continued operation availability. Unlike our mainland counterparts, we do not have any alternative waste disposal options within the territory. These additional optimized system components have been included to address the unique realities faced by insular island communitieis such as ours and minimize the need to seek off-island disposal options in the event of system down time.
The RDF Facility consists of well proven conventional waste processing equipment and machinery – shredders, screens, conveyors, and classifiers — that have been in successful operation for over 30 years. The sterilizer unit, which will be used to optimize the process as needed for storage and handling, transportation and combustion of the RDF, is a newer technology tested for several years and recnelty place into operation in a facility in Aruba. In the event that the Company experiences any problems with these enhanced technologies, the system is designed to allow these components to be bypassed. The pelletizing system, although not used extensively in RDF processing systems in the US, employs equipment that has been in several RDF processing systems in Europe.
Environmental Risks and Benefits
EPA and its consultants that specialize in air plume modeling, have very extensive, demonstrated expertise and will serve as the independent, technical experts. Using their on well-established guidelines and statistical databases for the air permit process, they will determine and develop the permit requirements for these facilities that will best protect public health and the environment.
The primary benefit of thte projects that when the waste-to-energy construction is completed and ready to accept waste for processing, the landfills will FINALLY be closed. Environmental detriments from landfilling additional waste inclyding primarily the generation of ozone deteriorating greenhouse gases will be eliminated. Upon closure of the landfills, the planned methane gas recovery systems for alternative energy production will further enhance the indirect environmental benefits of the overall projects.
Alpine Project Costs
The St. Croix RDF facility capital cost is ~$30M and the St. Thomas RDF facility capital cost is incorporated into the WAPA contracts. The total annual service fees for operations, including the St. Croix facility debt service fees will be ~$18M. The Virgin Islands generates ~220,000 tons per year. The projects are designed to treat a total of 182,500 tons per year territory-wide. The Table below indicates the island district breakdown of waste volumes and annual service fees.
| District | Waste Tonnage | Per Ton | Service Fees | Debt Service | Total Annual Fees | |
| St. Croix | 109,500 | $128 | $7,777,810* | $3,074,132 | $10,851,942 | |
| St. Thomas | 73,000 | $95 | $6,910,484 | -0- | $6,910,484 | |
| Total | 182,500 | $110 | $13,820,968 | $3,074,132 | $17,762,426 | |
*Note: This is blended total as rates are discounted above 73,000 tons.
This translates to service fees of $128 and $95 per ton for St. Croix and St. Thomas, respectively. The blended average of $110 per ton compares favorably to similar projects in insular areas.
Given the multipole available disposal optioins on the mainland, landfull costs on the mainland must be competitive and are generally lower than those in insular areas where there are usually limited disposal ooptions.
| District | WTE | Landfills | Off-island |
| St. Croix | $128 | $85 | $150-$350 |
| St. Thomas | $95 | $75 | $150-$350 |
Also, with an abundance of available land, landfills are less costly compared to higher cost of waste-to-energy options and therefore are still the primary method of disposal in the US. This is not the case in the Virgin Islands.
When the landfill closure and 30-year post closure care annual operating costs are incorporated, the life cycle costs and associated annual service fees for landfills are less favorable when compared to waste-to-energy plants.
Alternatives outside the territory exceed proposed annual service fees for waste-to-energy and do not offset energy or environmental costs associated with displacement of fossil fuels with refuse derived fuel. Off-island disposal is estimated to range from $150-$300 per ton.
Overall, comparatively, the waste-to-energy service fees are comparable to those for available, viable alternatives. Service fees for several selected facilities throughout the United States are shown in the table below.
| State/Territory | Start-Up Year | Tons per Day | Cost per Ton |
| Virgin Islands | 2012 | 400 | 110 |
| Honolulu | 1990 | 1851 | 91 |
| Maine | 1987 | 600 | 76 |
| Connecticut | 1987 | 2000 | 69 |
| Wisconsin | 1987 | 400 | 60 |
Note: More recently, Hawaii negotiated waste-to-energy service fees in the $125 per ton range for an expansion of its RDF faculity.
It should be noted that the start-up year indicates that for the older facilities debt service payment may have been retired and, thus, the cost per ton reflects the service fees for operating costs only. Additionally, WTE fees must be competitive due to availability of landfills at generally lower service fees in proximity to the facilities. It is interesting to note that the new BVI solid waste combustion facility does not recover energy and the disposal cost ranges from $60-70 per ton.
In conclusion, the project costs for the status quo “do nothing” alternative will not only be costly due to fines and penalties but will also place the community at environmental and public health and safety risk. This is not the solution to our solid waste dilemma. The Alpine waste-to-energy projects are the only viable, long term, sustainable solid waste management solution. Stay tuned for the Recycling Commitment.
May Adams Cornwall is the Executive Director of V.I. Waste Management Authority.
