The Asian Development Bank (ADB) has extended a US$50 million loan in yuan equivalent to Canvest Environmental Protection Group Company to promote efficient municipal solid waste management and waste-to-energy (WTE) projects in China.

The ADB loan, announced on October 31, will help Canvest develop, construct, and operate a WTE plant at Huizhou City in Guangdong province, and to expand municipal solid waste management services in Quyang county in Hebei province. Canvest provides a range of services across the municipal solid waste value chain, including cleaning, segregation, collection, transportation, sorting, recycling, and energy generation.

Commenting on the transaction, ADB director-general for private sector operations Suzanne Gaboury says segregating and recycling solid waste has been a challenge in China, so cities have turned to the private sector for an efficient and integrated approach to waste management. “However, private sector participation in waste management is still nascent in China. This project can demonstrate the viability of the sector while contributing to low-carbon development,” she points out.

China, according to ADB, is one of the world’s largest sources of municipal solid waste, with a total volume of 244 million tonnes in 2022, which is expected to reach 332.4 million tonnes a year by 2025. The project’s WTE plant is expected to treat at least 300,000 tonnes of municipal solid waste a year, generating at least 93 gigawatt-hours of energy annually. This will help reduce at least 346,700 tonnes of greenhouse gas emissions annually. The project will also support the annual collection of at least 147,825 tonnes of waste by 2026.

“Canvest helps cities to better manage their solid waste problem in a more cost-effective and sustainable way,” says the company's chair Lee Wing Yee Loretta. “We value ADB’s support in enhancing the environmental, social, and gender impacts of our operations.”

Established in 2003, Canvest is a leading provider of waste management services in China. As of June 2024, the company operated 33 WTE projects, with a total treatment capacity of 43,690 tonnes per day. Additional projects with a daily capacity of 10,850 tonnes are under development. Canvest also has 22 municipal solid waste management projects.