This contract is for a period of ten years for collection and transportation of about 1,000 tons per day. Approximate project revenue in 10 years is expected at Rs 1,000 crore.

The contract has a dual revenue model in form of user fee collection along with C&T project revenue. The user fee collection will be shared between NDMC and AG Enviro in the ratio of 85:15 respectively.

In the user fee collection revenue model, waste generators will be charged fees by the operator for door-to-door collection and transportation of solid waste from households, commercial shops/establishments, and bulk waste generators, the company said.

A portion of the capex will be provided by NDMC and the balance will be funded by AG Enviro.

Jose Jacob, chairman and managing director, Antony Waste Handling Cell said, "This contract reinforces our belief on the "User Fee Collection" model, which we believe represents a step forward in line with international best practices. The acceptance of the User Fee Collection model by waste generators provides the Municipal Corporation additional revenue source for funding MSW projects. With this contract award, we continue to follow our cluster-based approach, which enhances our efficiency."

"Post the second wave of COVID-19, municipalities have begun to float tenders for Solid Waste Management, and we can expect more contracts to be bagged in future," he added.

On a consolidated basis, net profit of Antony Waste Handling Cell rose 45.84% to Rs 18.04 crore on 32.62% rise in net sales to Rs 153.50 crore in Q2 September 2021 over Q2 September 2020.

Antony Waste Handling Cell provides a full spectrum of municipal solid waste (MSW) services which includes solid waste collection, transportation, processing, and disposal services across India, majorly catering to municipalities.