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Economic Benefits
Summary of Economic Benefit from Waste to Energy Facilities
(Standard 500 Ton per Day Facility)
During Construction – Local Benefit
24 months to construct facility
Several local companies will receive contracts for: site preparation, conducting engineering activities, pour concrete curbs and pads, pave roads and parking lots, build the facility, install the processing equipment, vehicle and heavy equipment purchases, office and ancillary equipment purchases
Estimated workers employed over 24 months to construct facility and provide services for one facility – 100 workers from 10 companies for two years or 200 man-years of employment
Estimated contracts and purchases within the State of PA - $40 million
Equipment and Services Purchased outside State of PA - $110 million
Total Construction Costs - $150 million
Employees to run one facility - 100
Executives (Manager, Director, Vice President, General Manager) – 6 employees
Professional Staff – Salaried Employees (Engineers, Business Staff, Plant Managers) – 15 employees
Hourly Employees (Facility employees) – 79 employees @$20/hour average wage
Annual Payroll plus Fringe Benefits
Executives and professional staff: $2.707 million
Hourly Employees: $4.830 million
Other Administrative Expenses to operate facility: $4.006 million
Total Expenses to operate facility: $11.543 million
Sales Projections (based upon 500 dry tons per day of MSW = 650 wet tons per day)
MSW tipping fees: 650 wet tons/day x 365 days per year x $35 per ton = $8.3 million
Electricity: 100,375 MWh/yr = 100,375,000 kWh/yr x $0.065/kWh = $6.5 million
Ethanol – 14 million gallons per year @ $2.00 per gallon = $28 million
Profitability Projection = $20 million in Earnings Before Interest and Taxes
Summary of Economic Benefit from Waste to Energy Facilities
(Fifty 500 Ton per Day Facility in PA) 5 plants built per year for 10 years
During Construction – Local Community Benefit
Estimated workers to construct facility and provide services to build facilities each year
– 200 man-years x 5 plants/year = 1,000 jobs for construction for each year over the next ten years
Equipment and Services Purchased within the State of PA - $40 million x 50 plants =
$2 billion
Equipment and Services Purchased outside State of PA - $110 million x 50 plants =
$5.5 billion
Total Construction Costs - $150 million x 50 plants = $7.5 billion
Employees to run facility – 100 x 50 plants = 5,000 jobs
Executives (Manager, Director, Vice President, General Manager) – 6 employees x 50 plants = 300 executive positions
Professional Staff – Salaried Employees (Engineers, Business Staff, Plant Managers) – 15 employees x 50 plants = 750 professional jobs
Hourly Employees (Facility employees) – 79 employees x 50 plants = 3,950 hourly jobs @$20/hour average
Annual Payroll plus Fringe Benefits
Executives and professional staff: $2.707 million x 50 plants = $135.350 million
Hourly Employees: $4.830 million x 50 plants = $241.500million
Other Administrative Expenses to operate facility: $4.006 million x 50 plants = $200.300 million
Total Expenses to operate facility: $11.543 million x 50 plants = $577.150 million
Sales Projections (based upon 500 dry tons per day of MSW)
Total revenue = $8.3 + $6.5 + $28 = $42.8 million/year x 50 plants = $2.140 billion
Profitability Projection = $20 million in Earnings Before Interest and Taxes x 50 plants = $1 billion
