opportunity? risk? 2018 status analysis and prospect forecast of hazardous waste industry

In recent years, with the continuous introduction of hazardous waste policies, supervision has gradually strengthened, and the popularity of the hazardous waste market has increased, which has attracted the attention of many people. Under the heavy pressure of inspectors, illegal disposal of hazardous waste will face criminal penalties, which will lead to the accelerated release of hazardous waste disposal requirements. With a market size of 200 billion yuan and a gross profit margin of 50%, many people are eager to try these data. So what is the actual situation? Analysis of Hazardous Waste Supply and Demand Status Quo of Hazardous Waste Generation Industrial industry is the main source of hazardous waste in my country. According to the 2017 China Statistical Yearbook, the national industrial hazardous waste generated in 2016 was 53.473 million tons, a year-on-year increase of 34.49%. (Data source: China Statistical Yearbook) Among them, Shandong produces the largest amount of hazardous waste, as high as 11.88228 million tons, followed by Qinghai with 4,620,500 tons, and Jiangsu with 3.5098 million tons of hazardous waste, ranking third. (Data source: China Statistical Yearbook) However, due to under-reporting, concealing, and private disposal of enterprises, a large part of hazardous waste is not included in the statistics. At present, there is a big gap between domestic hazardous waste production and environmental statistics. Developed countries started early in the field of hazardous waste management, and their policies and supervision are more complete. Therefore, statistics on hazardous waste are more accurate and scientific. The United States, Japan, the United Kingdom and other countries accounted for more than 5% of hazardous waste and solid waste. South Korea’s hazardous waste and solid waste accounted for 4%. In 2016, my country’s hazardous waste and solid waste accounted for only 1.7%, which is far lower. At the level of developed countries, the actual output of hazardous waste in my country should be much higher than statistical data. According to calculations based on the output of 100 million yuan of GDP and the proportion of hazardous waste in solid waste, the actual output of hazardous waste in my country can be as high as 80 million to 100 million tons. The 2017 China Statistical Yearbook of Hazardous Waste Disposal shows that in 2016, the amount of industrial hazardous waste handled was 44.2951 million tons, of which 28.2371 million tons were comprehensively utilized, 16.058 million tons were processed, and the comprehensive disposal rate was 82.83%. However, because the amount of hazardous waste used in some areas includes the use of storage in previous years, and some companies have not strictly declared, the data on the disposal rate is relatively high. (Data source: China Statistical Yearbook) Among them, Qinghai has the lowest disposal rate, with only 8.3%, and the disposal rates in Zhejiang and Tianjin all exceed 100%. As of 2016, there were 2,195 licensees for hazardous waste operations nationwide, and the approved business scale reached 64.71 million tons, with an average of about 29,000 tons per company. But the actual operating scale is 16.29 million tons, with an average of less than 75,000 tons per company. The top three in terms of actual business scale are Zhejiang, Shandong and Guangdong. (Data source: 2017 National Annual Report on the Prevention and Control of Environmental Pollution by Solid Waste in Large and Medium-sized Cities) The actual operating scale is seriously lower than the approved operating scale. The reasons are mainly twofold. First, the disposal capacity of hazardous waste enterprises is low, the disposal qualifications are relatively single, and the types of supply and demand do not match. There are many types of hazardous waste, and different types of hazardous waste require different disposal technologies and disposal qualifications. There are still problems in the market that some hazardous waste treatment companies 'cannot eat enoughAccording to statistics, 62% of the companies currently qualified for hazardous waste treatment can only handle 1-10 types of hazardous waste, and only 1% can handle more than 25 types of hazardous waste. Moreover, due to factors such as the environmental impact assessment and the long construction period, a large number of hazardous waste enterprises have no actual disposal capacity although they have operating permits. The second is that the hazardous waste treatment radius is short, inter-provincial transfer requires approval, and the regionality is extremely strong. More than 50% of the treatment capacity is concentrated in the eastern region. There is a serious imbalance between the amount of hazardous waste generated and the treatment capacity of each province. Hazardous waste industry prospect forecast market space In January 2018, the Environmental Protection Tax Law was formally implemented, which stipulates that if waste production enterprises use hazardous waste that does not meet the standards, an environmental tax of 1,000 yuan per ton of hazardous waste will be paid. In addition, environmental protection inspectors will also start the 'return to the carbine' mode. The government will increase the cost of environmental violations and at the same time strengthen illegal supervision. The hazardous waste industry will quickly release demand in the next few years. It is estimated that the production of hazardous waste in 2020 may reach 100 million tons. According to the disposal price of 2500 yuan/ton, the market size will exceed 200 billion. Potential places in Shandong, Sichuan and other places have a large production of hazardous waste, but there are not enough hazardous waste disposal facilities in the local area, supply and demand are seriously imbalanced, there are many new hazardous waste projects that need to be built, and there is great potential for development. During the 13th Five-Year Plan, Shandong plans to invest 53 billion yuan and build a total of 353 hazardous waste disposal projects. Sichuan Province plans to build at least 13 hazardous waste centralized disposal facility projects in the province after five years, with a hazardous waste disposal capacity of 731,600 tons per year. Beijing, Shanghai and other places have developed economies and the hazardous waste disposal market is relatively mature, and there is almost no room for new projects. Jiangsu, Zhejiang and other places produce large amounts of hazardous waste, and there are also many disposal companies. With the increase in market concentration, small companies will gradually decrease and the market structure will change. Industry Trends At present, my country’s hazardous waste disposal capacity is scattered. Large companies (Eastern Gardens, Dongjiang Environmental Protection, Shenzhen Hazardous Waste Treatment Station, Veolia and Guangzhou Luyou, etc.) have a market share of less than 10%. Most companies have relatively low disposal capabilities. Each company has a processing capacity of less than 30,000 tons, and the industry is characterized by 'small, scattered and chaotic'. In the future, with the improvement of the standardization of the hazardous waste market and the strengthening of government supervision, small companies will face the dual dilemma of increased costs, thinning of profits, and increased capital requirements for upgrading and transformation of treatment facilities, and will gradually be eliminated by the market or merged by large companies .