ECONOMY

Constructors eye waste disposal

Michaniki is set to join a growing number of construction firms aiming to enter the promising market of waste management. The listed company yesterday announced that it is at an advanced stage of negotiations with a European group to expand to this sector. The two groups are also discussing their joint entry into the development and operation of hydroelectric energy plants, a sector in which Michaniki is already active. Another listed construction company, Proodeftiki, is making plans for the waste management market, intending to expand beyond its traditional domain due to problems in the local construction market. Earlier, Lamda Development had announced the establishment of a subsidiary company for managing solid waste, including paper, household and corporate refuse. Half of this belongs to the category of so-called biodegradable materials, which also includes food, the very sector which Lamda Development’s subsidiary wishes to penetrate. «The new company will aim to develop activities in this fresh market, using the method of Public-Private Partnerships, in this case with local authorities that will undertake the processing of refuse,» the chief financial and administrative officer of Lamda told Kathimerini. Other construction companies with a presence in the sector are Hellenic Technodomiki TEV and J&P-Avax. Waste management is expected to generate turnover of -500 million per year up to 2015, while total investment will reach -2.5 billion. The sector’s growth is being driven by strict EU regulations which must be implemented by 2010. By then, Greece must have adopted the EU directive providing for an increase to 25 percent of the refuse that is processed prior to its sanitary disposal.