As BMC Election Nears, Anthony Waste Bags Contracts As Solid Waste Work Pushes On

As Mumbai approaches its long-delayed civic elections, most municipal-linked businesses are bracing for a familiar temporary slowdown in approvals, cautious decision-making and a pause in new tenders. However, in solid waste management, the message from operators is increasingly clear — the work cannot wait.

That reality underpins recent contract wins by Anthony Waste Handling Cell Ltd, which has expanded its footprint with the Brihanmumbai Municipal Corporation (BMC) from two wards to seven wards across two zones. The seven-year contracts carry an execution value of around Rs 1,300 crore and place responsibility for vehicles, manpower and maintenance with the company.

"These contracts are already signed and backed by letters of acceptance. They are in the bank," said NG Iyer, Chief Financial Officer at Anthony Waste, speaking to NDTV Profit. "Elections don’t impact what has already been awarded."

Incremental projects — particularly biomethanation and waste-to-energy initiatives — could still see short delays as standing committees are reconstituted. But Iyer expects momentum to resume within months, helped by rising judicial scrutiny around pollution and landfill management. "Given the recent observations from the Bombay High Court on pollution and odour issues, we don’t believe decisions in this area will be indefinitely delayed," he said.

Mumbai generates roughly 6,200 tonnes of waste daily, leaving little room for administrative inertia. Interim odour-control measures are in place, but Iyer acknowledged these are temporary. "The long-term solution is waste-to-energy, which is standard in most developed economies," he said.

Beyond civic contracts, Anthony Waste is also trying to rebalance its revenue mix. Non-municipal income currently accounts for about 10–12% of revenue, a figure the company wants to raise to 15–20% over the next three to four years. Growth areas include biomethanation, waste-to-energy projects, compost sales and refuse-derived fuel (RDF).

RDF, in particular, has seen traction. The company now sells nearly 1,44,000 tonnes annually to cement manufacturers, up from about 22,000 tonnes earlier, providing both a steady outlet for waste and a lower-carbon fuel alternative for industry.

Anthony Waste is also exploring newer recycling segments such as tyres and end-of-life vehicles. These are expected to be phased in over the next few years with a relatively modest capex of Rs 50–70 crore. "This won’t happen overnight," Iyer said. "But these are long-term growth areas for the industry."

Despite expanding ambitions, capital allocation remains conservative. The company plans to deploy cash largely into existing waste-to-energy projects, including facilities in Kurnool and Kadapa, while keeping dividends sustainable rather than headline-grabbing. "We don’t want to start something we can’t maintain over the long term," Iyer said.

Margins, meanwhile, are expected to remain stable. Core operations are likely to deliver EBITDA margins of 22–23%, with newer ventures operating in a wider 18–25% range initially. The blended margin, management said, should stay within the low-20s.