Document Actions
Implementation Considerations
Up one level
In the economic assessment presented in the previous section, it is evident that a combination of initiatives needs to be undertaken that have a net effect of reducing the maximum quantity of contaminants in the wastewater stream from both outlets. For a collective investment of almost $2.5 million USD, these projects are complementary and are anticipated to substantially reduce discharges and contribute to improved treatment plant efficiency. More detailed analysis of specific cost implications and treatment efficacies is required.
Based on preliminary estimates, as anticipated, the economic damages caused by the plant to the Dnieper River are substantial. The MRP, in its pursuit of financial efficiency, and its responsibility for providing residential and industrial wastewater treatment services, have zeroed in on this plant function where they can improve their bottom-line while addressing environmental concerns. With its move to a Joint Stock Company, under its multi-year business plan, budgeting now includes on-going capital investment for a range of facility upgrades. From the MRP’s perspective, the issue is how to reduce the operation costs of the facility (i.e. the treatment plant) that is destined to lose money.
The water treatment plant serves the needs of three nearby cities (including Mozyr and Kalinkovich). It was noted that the majority of the water for treatment arrives during working hours, and while the plant has the capacity to handle all wastewater from these cities, building a buffer pond to collect water during peak hours to treat during non-peak will greatly improve efficiency. While it may not reduce all effluent loadings, the plant will be able to treat all incoming wastewater. This alone would likely reduce the amount of untreated water discharged into the River. No consideration has been given to public education and conservation programmes that reduce water consumption.
Looking beyond the evaluation of these proposed projects, it should be acknowledged that the MRP has done a great deal on its own to improve operational efficiency and reduce production costs. Plant Staff recognize that sound environment practices are good for business and improve financial viability. Since the cash infusion from its Russian parent, receiving ISO 14001 certification, and a desire to compete in the EU have been a great impetus for tackling environmental issues. As noted, the MRP now budgets for on-going capital investment.
From a major investment perspective, the cost (almost $2.5 million USD) is relatively small. However, it would seem that the MRP would have a vested interest to undertake this project itself and reduce on-going water treatment/discharge costs in this business activity where the fees collected are less that fees billed and are less than the overall operational cost. Thus, these projects may only have limited appeal to foreign investors, who are more likely in looking at a stake or partnership with the Refinery-side of the business.
Given this proactive stance, and its strive for operational efficiency, consideration could be given to the MRP through some form of flexible financial assistance to help it upgrade the wastewater treatment facilities. Consideration could be given for loans for key refinery water-related mitigation projects, such as closed-loop systems, that include the treatment facilities.
Alternatively, a package of grants and soft-loans could be considered for the (sanitary) water treatment plant. Grants will be provisional on the implementation of a tariff structure that reflects the true-cost of operating the service as well as the service provider implementing more electronic system monitoring to assess opportunities for improved efficiencies.
