The raw garbage is turned into RDF (Refused Derived Fuel).
RDF used, as fuel is the most environmentally friendly way to produce electricity.

CHAMCO

We provide the technology to convert solid waste to electric energy. 
The main considerations are:
§         Effective use of the landfill for real estate values
§         Environmentally sound disposal of the waste to provide salable energy

A power plant with the capability of producing 20 MW of electricity could cost up to $20M (twenty million US$). However a plant that fuels its self by using garbage to generate the same amount of electricity, my cost three to four times that amount.
However, if environmental benefits of this proposal are considered then it is justified economically.
In principal we are not just offering a power plant project, but foremost an environmentally friendly plant.

Landfill sites can become prime real estate in the long term for commercial, civic, or residential use.  This fact alone may generate enough capital to more than pay for power generation, depending on location.  The long-term effects of landfill sites are harmful gases that pollute the air, the danger of leakage into the underground water tables, and a potential setting for breeding diseases of all types.

We propose a power plant that frees up landfill property for development and can contend with the environmental issues that are associated with waste refuse.  Power plants that can use all unwanted waste as their main source of fuel can produce electricity economically and are also friendly to the environment.

Project Basis

Consider fifty acres of land, in close proximity to a city, overflowing with the garbage, and it is desired to have this site transformed into green space and the remaining ten acres is being used to process the unwanted waste into re-usable form of energy “electricity”.

Project Income

A – “Power Purchase Agreement” (PPA) for electricity, which the national grid pays to the owner of the plant. This price varies from $0.07 to $0.20 per KwH, depending on the demand and location.
Assume that the PPA is for 20 MW generations at a fixed price of $0.07 per KwH.
Sale of electricity = 20MW(net power generation) x 1000 x 24 (hours) x 365 (days) x $0.07 x 0.85(Efficiency Factor)= $10,424,400 Annually.

B - Tipping Fee. Municipalities pay the plant operators/owners a tipping fee for each ton that they receive and handle per day. The tipping fee is around $60 per ton in the US, however this varies between $15 to $20 per ton in certain areas. For this analysis we use $15 Tipping Fee.
Tipping Fee Income = 1000 x $15 x 365 = $5,475,000 Annually.

C - Bottom ash could be sold as fertilizer or used in construction material.

D - Real estate value of land per acre -in this case 40 acres- would depend on the location.  Since land values generally appreciate over time, this value could shorten the payback time even more.

E. -  Sale of supplemental RDF (Refuse Derived Fuel) pellet production to other major fuel users.

Project Costs:

A - Plant Turnkey cost includes Engineering, Procurement Contracting, Insurance, Marketing and Commission etc.
The rule of thumb is about eighty thousand US$ per Ton per day for this type of plant. For example a plant in South China, which converts 1000 Tons per day and generates 20 MW has cost the Chinese more than $86m (Garbage/Electricity South China Project ) or a similar project in Shanghai (Garbage/Electricity Shanghai). With our technology the cost of turnkey project will be considerably less.

B - Auxiliary Fuel. Our plant uses 30% Auxiliary fuel and 70% RDF. Therefore, before embarking on the project, it is essential to establish what type of auxiliary fuels is available and the cost. Different countries have their own priorities. Some may use rice husk, wood chips, gas, coal, or any other biomass products. Auxiliary fuel is free of charge in some countries. However, a conservative estimate for the auxiliary fuel should not exceed $700,000 per year.

C - Operation Labor Cost. Our plant needs a work force of about 55 technical and 100 non-technical workers if a  fully automated option is not chosen.  Within the US and other industrial countries this would increase your overall cost and reduces the annual profit.  However, in developing countries this would be welcomed, as it would generate much-needed jobs and the over all labor cost should not exceed $2,500,000 per year.
A fully automated power plant reduces the work force to one third of the initial requirement (to approximately $800,000 per year).

Summary
§         Assume 10 years or less for return of investment R.O.I.
§         China plant as basis for plant cost is $86 million as noted above.  Actual cost of
      CHAMCO/SELCO  Plant should be considerably less.
§         PPA is $10.424 million per year
§         Tipping Fee is $5.475 million per year
§         Bottom Ash and supplemental fuel sales estimated at $0.100 million per year
§         R.O.I. = $86 million / (10.424 + 5.475 + 0.100 - 0.700 – 0.800) million
      R.O.I. = approximately 5.1 years NOT including land values.

Facts and figures about Garbage to Energy