China built an empire to burn waste and generate energy, but now faces an unbelievable scenario: there is a shortage of waste, furnaces are in excess, and even old landfills have become a source of supply.

Written by Noel Budeguer

Published on 24/03/2026 at 14:24

Updated on 27/03/2026 at 23:59

1 person reacted to this.

The expansion of power plants created excess capacity, forced operation below ideal levels, and led companies to seek waste where there was previously surplus

China heavily invested in incinerating waste to generate electricity and relieve pressure on overcrowded landfills. The strategy advanced rapidly and became one of the largest structures on the planet for this type of energy.

Now, the scenario has changed. With over 1,000 plants, part of the system has begun to face lack of waste to keep the furnaces operating at a steady pace, and some operations are even resorting to old landfills.

What happened and why it caught attention

Incineration plants in the country operate below 80% in many cases, even with a gigantic structure already installed. The volume of waste does not match the size of the industrial park.

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Why there is less urban waste available

A waste incinerator for energy generation in Nanjing, Jiangsu province (Image: Alamy)

The generation of waste has decreased due to a combination of economic slowdown, population reduction, and improvements in domestic management. Less consumption tends to generate less disposal.

In 2022, the capacity of the plants was 333 million tons per year, while the collection of household waste was 311 million tons. Even so, capacity continued to grow after that.

This setup leaves the system vulnerable. When the input of waste decreases, the plants lose volume to dilute costs, and the financials become challenging.

How the plants are trying to feed the furnaces

Some facilities have started paying to obtain waste, something unthinkable at the height of disposal crises. Others are trying to supplement the load with industrial waste and construction debris.

There have also been cases of excavating old landfills to find material that can still be burned. This is a solution that avoids shutting down equipment, as completely stopping can increase losses.

In Anhui and Hebei, operators admit to working well below nominal capacity. In certain cases, one in three lines remains closed all year due to lack of waste, not due to technical failure.

Excess capacity becomes an economic risk

The problem has shifted from technology to structure. When there are more furnaces than waste, competition for material increases and profitability declines.

Lines that operate only a few months a year indicate a model under pressure. The parallel expansion, without considering the trend of declining urban waste, increases the risk of underutilized assets.

The industry faces a direct dilemma: keeping furnaces running requires a constant flow of waste, but the available volume no longer guarantees this supply.

Points of attention regarding health, emissions, and generated waste

Emissions have been reduced with improvements in filtration, gas control, and environmental standards. Nevertheless, incineration continues to produce materials that require careful treatment.

In 2024, the plants produced 13 million tons of fly ash and 63 million tons of leachate. Only 15% of the ash was reused, mainly in construction materials.

The remainder remains as complex waste, expensive to treat, and with limited disposal options. The environmental debate remains alive, especially when the management of these by-products fails.

Mandatory separation reduces the waste that reaches the furnaces

Mandatory waste separation has advanced since 2017 in several cities. Where the rule has been strictly applied, the waste profile has changed, and part of it no longer goes to incineration as before.

In Shenzhen, with 18 million inhabitants, there is no sending of household waste to landfills. Management occurs with valorization and advanced separation systems.

Five facilities cover a daily capacity of 20,000 tons, adjusted to the current volume. For the environment, less waste is a gain, even if it complicates the financial operation of the plants.

China built a huge network of incineration, but the country has started generating less waste than it can burn, creating excess capacity and forcing adaptations.

The practical consequence is already evident in the routine of the plants, with operation below 80%, seeking new types of waste, and even excavating landfills to keep the furnaces running.

China built an empire to burn waste and generate energy, but now faces an unbelievable scenario: there is a shortage of waste, furnaces are in excess, and even old landfills have become a source of supply.

The expansion of power plants created excess capacity, forced operation below ideal levels, and led companies to seek waste where there was previously surplus

What happened and why it caught attention

Why there is less urban waste available

How the plants are trying to feed the furnaces

Excess capacity becomes an economic risk

Points of attention regarding health, emissions, and generated waste

Mandatory separation reduces the waste that reaches the furnaces

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China built an empire to burn waste and generate energy, but now faces an unbelievable scenario: there is a shortage of waste, furnaces are in excess, and even old landfills have become a source of supply.

The expansion of power plants created excess capacity, forced operation below ideal levels, and led companies to seek waste where there was previously surplus

What happened and why it caught attention

Why there is less urban waste available

How the plants are trying to feed the furnaces

Excess capacity becomes an economic risk

Points of attention regarding health, emissions, and generated waste

Mandatory separation reduces the waste that reaches the furnaces

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With a wingspan of 152 meters, 76 tires, and a capacity to carry 1,270 tons, the Boeing Pelican was the giant “flying ship” that promised to cross oceans close to the water on an invisible air cushion beneath its wings.

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With installments starting from R$ 999 per month, a 75 hp 1.0 engine, a 7-inch TFT digital panel, and standard stability control, the Citroën C3 is the cheapest hatchback in Brazil in 2026 and still leaves Kwid, Argo, and Mobi behind in onboard technology.