Foundation for Local Government Reform
Innovative practices in Bulgaria
Sharing innovations for improving local self-government
A successful public-private partnership in the environmental field
Ecoprocess Company and Dobrich Municipality
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Background

The Budget, Finance, And Tax Policy Committee at Dobrich Municipal Council supported a proposal of the municipal administration for public discussion of the municipal budget and for the forth year it has already performed successfully. During one of the public discussions held with business in 2001 all participants joined round the idea that it would be of mutual interest if the municipality sustains ideas and business projects connected with preserving the environment and opening new working places. It was noted that one of the means for consolidating municipal finances is the public-private partnership.

In the last few years all over the world and especially in the member countries of the European Union, the problem of disposal of useless tyres has become strained. These wastes are extremely harmful because of the fact that they are not disintegrating. In Bulgaria only, about 60 000 tons of automobile tyres are being discarded per year (and what is even worse part of them is being burned down). A special attention was given to this problem by Dobrich Municipal Council and on May 28, 2002 an amendment and an addition was approved of Regulation 2 for management of the activities for waste treatment and providing for the cleanness at the territory of the town of Dobrich. This motivated representatives of business to invest in a pilot project: A Factory for Environmental Processing of Waste Tyres .
Practice

Ecoprocess Company is a patent holder of invention Equipment for pyrolysis of Whole Tyres . The invention is unique as shown by a survey for the patent novelty. From this ecologically harmful waste the useless tyres, valuable stuff is being obtained in an environmental friendly way without harmful emissions. Tyres are completely disintegrated in a thermo-chemical process vacuum- pyrolysis. This is a process of resolving complex hydrocarbon compounds without oxygen into simple ones by heating the pyrolysis material to a high temperature. As a result of the process the following products are obtained:
- About 30% of liquid hydrocarbon (industrial gas oil)
- About 30% of powder carbon
- About 30% of hydrocarbon gas (mostly methane)
- About 10% of steel wire.

An experimental model was built under the project. An authorized Bulgarian laboratory analyzed the stuff obtained in the process. The Regional Environment Inspectorate made measurements confirming that there are not any harmful emissions in the processing of waste tyres by the chosen method. Now, Ecoprocess Company is building the first factory for environmental processing of waste tyres in Dobrich with its own funds. The needed area was purchased, special steel for building the equipment was ordered, preparation of an assessment of environmental effect was assigned, and steps were made to get the necessary permission. The effectiveness of the model for public-private partnership was practically checked with the active cooperation of the Municipality of Dobrich. The factory comprises the following modules: a reactor, a condensation eliminating system, a cylinder drying system, a separating and digesting system, a storehouse equipment for steel wire, a storehouse equipment for hydrocarbon, storehouse cisterns. There are draft and basic projects prepared for all these modules. Working projects are also prepared for some of them and the building of the equipment is already assigned.

The budget for the building of the first factory is about 500 000 BGN, and for the time being 120 000 BGN are invested by Ecoprocess Company. The financing assured is the minimal amount, so compromises should be made with the appearance of the factory. If the first factory should be a model for all the subsequent ones in Bulgaria and abroad, the team undertook steps for applying for different projects for additional financing at the amount of 300 000 BGN. With these funds the automation of the equipment would be improved as well as the appearance of the factory and its infrastructure, the staff should be trained and the ergonomy assured. In such way, Ecoprocess Company can present one fully prepared, high-quality and unique Bulgarian factory to foreign partners.

The invention is a target of exceptional interest on the part of German and French companies. On April 9, 2002 in Germany, a contract was signed for the construction of such factory in the town of Vairniegerode. A partner on the German part is a company that has a factory for collecting and sorting of tyres. The term for completing the factory in Dobrich is October 30, 2002, and for completing the one in Germany - October 30, 2003.
Results

From environmental point of view a complete solving of the problem with useless wires in Bulgaria on the whole and in Dobrich in particular is envisaged. Furthermore, this pilot project can be applied in other member countries of the European Union which can use the Bulgarian patent and know-how in the field. Undoubtedly, this could improve Bulgarian image as a candidate country for European Union membership. From a social point of view direct or indirect creation of jobs is envisaged. On the one hand the first factory would hire 30 people. On the other hand indirectly in Bulgaria and especially in Dobrich people would be engaged in collection and delivery of useless tyres.

An additional positive side is that the greatest part of the equipment (including the one for the factories abroad) should be manufactured in Dobrich and in the region, and in such way orders would be assured for the respective enterprises. The construction of the factories abroad would be performed by specialists and workers from Dobrich and its region, and this means creating additional employment.

Taking into account that the factory is on the territory of Dobrich, this will help consolidate the local budget by reducing the number of people subject to social assistance.
Innovator: Mihail Stoev
Publication Date: 19 June 2002
Nominations: 66
Mihail Stoev
Chairman of the Managing Board
Dobrich - 9300
30 Stoil Voivoda Street
Tel:058/601224
Fax:058/601224

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