Seven years after the state government rolled out an ambitious scheme to establish waste-to-energy (WTE) plants in seven districts across Kerala as a permanent solution for waste management, the local-self government department (LSGD) has cancelled plans for WTE plants in Thiruvananthapuram, Kochi, Kozhikode and Kollam. The order issued by the local-self government department notes that out of seven proposed projects, financial closure was achieved and project was initiated only in Palakkad.

The project was dropped in Brahmapuram in Kochi since the concessionaire agreement couldn't be signed to date, and BPCL is undertaking the construction of a CBG (compressed biogas) plant. In Thiruvananthapuram, the land identified was found suited to install the CBG plant, and hence, the WTE plant proposal was cancelled.

In 2018, the government approved the proposal to establish 5 MW WTE plants on a design, build, finance, operate and transfer basis in PPP mode. The Kerala state industrial development corporation (KSIDC) was designated as the nodal agency for the project.

The projects were proposed at Peringamala village of Thiruvananthapuram, Aranattukara village of Thrissur, Puthussery central village in Palakkad, Cheruvannur village in Kozhikode, Chelora village in Kannur, Kureepuzha in Kollam and Panakkad village in Malappuram.

KSIDC was permitted to sublease the lands to the concessionaire for 27 years with permission to mortgage the leasehold rights on the lands to raise funds for the projects.

A company named Zonta Infratech Private Limited won the bid for the Kozhikode WTE plant in 2018. The tipping fee was fixed at Rs 3500 per ton. A special purpose vehicle was formed and agreement was signed with the KSIDC and local bodies in 2019.

It was agreed that the plant shall begin functioning within 180 days of signing the agreement. Although the deadline was extended twice, the concessionaire failed to obtain financial closure.

Zonta also won the bid for the Kollam WTE project in 2019. The tipping fee was fixed at Rs 3450 per ton. The concessionaire failed to oblige the deadline for the completion of the project. KSIDC Managing Director had recommended terminating concessionaire agreements of Kollam and Kozhikode WTE projects.

When the land was identified for the WTE projects in Peringamala, the local residents had launched strong protests forcing the government to stall the initial procedures.