Sustainable Asset Valuation Tool
Summary
The document defines sustainable material management infrastructure as assets that reduce waste generation by promoting recovery, reuse, and recycling. It distinguishes between 'grey' infrastructure (e.g., unregulated landfills, incineration without energy recovery) and 'green' infrastructure (e.g., sorting facilities, composting, waste-to-energy). The guide details the environmental, economic, and social shortcomings of business-as-usual (BAU) scenarios—such as GHG emissions, resource scarcity, and public health risks—while highlighting the benefits of green investments, including carbon footprint reduction and green job creation. It also analyzes risks to project financing, such as volatile commodity prices and regulatory uncertainties, and provides a comprehensive overview of policy interventions, measurement indicators, and a detailed breakdown of costs and revenues for various waste management technologies.
Key insights
- Business-as-usual (BAU) material management leads to significant environmental damage, including the contribution of 1.6 billion tonnes of carbon dioxide equivalent (CO2e) emissions from the waste sector in 2016 alone.
- Green infrastructure provides substantial energy savings; for instance, recycling one tonne of aluminum can save 14,000 kWh of energy compared to primary production.
- The transition to sustainable waste systems can create significant employment; projections under a green economy scenario predict a 10 per cent increase in waste industry employment by 2050.
- Investment in green infrastructure faces market risks, including volatile commodity prices, as seen when China's National Sword policy caused mixed paper prices to drop by 60 per cent.
- There is a massive global financing gap for waste and water infrastructure, estimated at USD 19 trillion for the period 2015–2030.
- Policy interventions to drive sustainability include the 'polluter pays principle' (PPP), Extended Producer Responsibility (EPR), and Deposit-Refund Systems (DRS).
- The document identifies a specific 'waste material infrastructure gap' of 1.39 billion tonnes of municipal solid waste (MSW) capacity by 2050.
- Plastic management is highlighted as a critical area, with 36 per cent of global plastic production consisting of single-use plastics designed for disposal.
Cite the original document
- APA
- Tan, C. M., Pallaske, G., & Bassi, A. (2020). Sustainable Asset Valuation Tool. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/sustainable-asset-valuation-tool-materials-management.pdf
- Chicago
- Tan, Cai May, Georg Pallaske, and Andrea Bassi. Sustainable Asset Valuation Tool. International Institute for Sustainable Development, 2020. https://www.iisd.org/system/files/publications/sustainable-asset-valuation-tool-materials-management.pdf.
- Wikipedia
- {{cite report |last1=Tan |first1=Cai May |last2=Pallaske |first2=Georg |last3=Bassi |first3=Andrea |title=Sustainable Asset Valuation Tool |publisher=International Institute for Sustainable Development |date=January 2020 |url=https://www.iisd.org/system/files/publications/sustainable-asset-valuation-tool-materials-management.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{tan2020sustainable, author = {Tan, Cai May and Pallaske, Georg and Bassi, Andrea}, title = {{Sustainable Asset Valuation Tool}}, institution = {International Institute for Sustainable Development}, year = {2020}, month = jan, url = {https://www.iisd.org/system/files/publications/sustainable-asset-valuation-tool-materials-management.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
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