Germany – billions in investment and thousands of new jobs thanks to waste legislation

Study commissioned by German Federal Environmental Agency takes stock



The new orientation of waste management begun in Germany in 1993 has not only been good for the environment, it has also had a positive impact on the economy. 20 billion euros have been invested in modern waste treatment and recycling plants since 1993. In addition, up to 15,000 permanent jobs have been created.



These are the conclusions reached in a study commissioned by the Federal Environmental Agency (UBA) to Prognos AG Berlin. The researchers sought to answer the question of what impact the Technical Instruction on Municipal Waste (TASi) and the Ordinance on Environmentally Compatible Storage of Waste from Human Settlements and on Biological Waste-Treatment Facilities (Abfallablagerungsverordnung – AbfAblV) has made since the TASi was implemented in 1993.



The ban on storage of municipal waste that has not been pre-treated, and the high technological standards of construction and operation of landfills in particular stipulated by the TASi, made considerable investment in waste treatment and recycling facilities as well as the sealing and retrofitting of landfills necessary. Both permanent and short-term jobs were created as a result of construction and operation of facilities.



Thanks to investments made since 1993, waste treatment capacity has been enlarged by about 14 million (mn) tons per annum. Furthermore, facilities for biological waste and substitute fuel recycling with a per annum capacity of 12.5 mn tons were installed. 320 landfills for household waste were retrofitted to comply with the technical standards set in the new regulations. In addition, appropriate measures were carried out to properly seal 515 household waste landfills so that no hazardous substances can be discharged to surface waters or groundwater, and that the climate forcing landfill gas might be captured and used to the greatest extent possible.



Prognos has estimated that investments made to date and still planned amount to some 19.4 to 20 billion (bn) euros. The sum of 7.4 – 7.5 bn euros has been invested in new construction and development of existing waste treatment plants (waste incineration plants, mechanical-biological waste treatment and stabilization facilities, as well as reloading stations); 2.9 – 3.4 bn euros were channelled into biowaste and substitute fuel recycling plants. Measures to retrofit and seal household waste landfills cost another 9.1 bn euros.



The investments in waste treatment and recycling plants created between 17,250 and 21,200 new permanent jobs. A distinction is made between direct and indirect permanent jobs: direct jobs are those in the waste treatment plant itself, whereas indirect jobs are generated in other sectors as a result of the waste treatment plant. Some 7,000 to 7,850 direct and 10,250 to 13,350 indirect jobs were created in this way. An additional 15,500 short-term jobs were created during the planning and construction phases.



A total of some 6,350 jobs in this sector will be lost as a result of landfill shutdowns begun in 1993 and policy changes after 1 June 2005. Necessary building measures will create some 3,000 temporary jobs.



On balance, the measures owing to TASi and AbfAblV created about 10,900 to 14,850 permanent jobs. Another 18,500 temporary jobs were created in the planning and construction stages