Request for Proposals – Tender Opportunity Full Time NEW

Terms of Reference – Request for Proposals from an MRF Operator

To sustainably operate, manage, and commercialize a plastic solid waste material recovery and recycling facility (MRF) in Kakuma Municipality, in Turkana West.

1. Background and Rationale

   The client

   Kakuma Municipality Board (on behalf of Turkana County Government) in collaboration with Peace Winds Japan (PWJ) and with funding from the Government of Japan is implementing a “Project for establishment of a decentralized solid waste management system for a recyclable society in Kakuma Municipality, Turkana County.” The aim of this project is to set up a community-based solid waste management system to improve solid waste collection, separation, recovery, processing, and recycling within Turkana County. Among the facilities in this project is an MRF (solid waste material recovery and recycling facility).

   Rationale for this terms of reference

   Kakuma Municipality Board(KMB) and PWJ (the Clients) have issued this lease opportunity for the MRF to an interested service provider (to be called MRF Operator) that can ensure continuous MRF operations and maintenance; proper management; and revenue generation.

   The MRF (Material recovery and recycling facility)

   The project is supporting the construction of a plastic solid waste Material Recovery Centre (in the years 2024-2025) and a Plastic Recycling Centre (2025-2026). The MRF in Kakuma Municipality is designed as a small-scale community sorting, processing, and recycling centre. The MRF purchases usable plastic waste from community clean-up efforts, designated collection points, and a plastic waste buy-back scheme (main sources of raw materials/feed-stock). The MRF is equipped to receive, weigh, sort, compress, and prepare the usable waste materials to be recycled into new products or to be marketed for safe reuse.

   The MRF consists of three main components: (1) Material Recovery Centre that receives, sorts, and bales or shreds plastics; (2) Plastic Recycling Centre to convert plastics into reusable construction materials; (3) Support Facilities and Utilities including security, sanitation, storage, and administration facilities. For purposes of developing the financial and commercialization plan and your investment decision, the following facilities and equipment are expected to be provided by Peace Winds Japan during the contract period:

   The MRF is located on a 200m by 195m parcel of community land at Kalemchuch Village in Nadapal Sublocation in Kakuma Town, in Kakuma Municipality within Turkana County of Kenya. Within this land, a 50m2 fenced compound hosts the MRF core and support facilities. The remaining portion of land is used as a buffer zone between the MRF and the community, as well as a future expansion area. The facility is situated about 5KM West of Kakuma town and accessed by an earth-road 2KM off the Kakuma-Lokichoggio A-1 Road towards Kakuma Refugee Camp; branching off at the Kakuma Slaughterhouse/Kakuma Stadium junction. It is sited on host community land that is adjacent to the midpoint of Kakuma Refugee Camps (nearest to Kakuma Camp 4 and Kakuma Camp 1) and approximately 10KM from Kalobeyei Integrated Settlement. This strategic location positions the MRF to meet the needs of refugee and host communities.

Provision : Material Recovery Centre building : Qty : 1 Description

Material Recovery Centre (June 2024 – August 2025)

1 A structure of 22m long by 15m wide by 6m high for plastic sorting, weighing, crushing, and baling.

Sorting table

2: 7ft by 3ft table constructed with a welded steel frame and a MS(Mild Steel) plate metal tray with a 0.8ft depression.

Heavy duty impact crusher : 1

Electricity powers a 15-horsepower three-phased mortar that uses 7 units of electricity per hour. Can grind 1 tonne of plastics per hour (1000 kgs/hour). Servicing needs greasing of 1 bearing every week; Replace the electricity isolator switch every 6 months and auxiliary switch every 2-3 years; Service beater blades bimonthly and change beaters every 6 months. Change the sieve/screen every year. Replace mortar belts with guards every 4 months.

Hydraulic baler :1 Driven by 5HP 3-phase motor powered with a delta switch and an isolator and power 4 core cable, fitted with 100-litre oil tank and oil pump. Electrical power consumption of about 2.33 units per hour. It can produce baled plastic sizes L*W*H of 1.22m by 0.91m by 0.91m.

Hydraulic oil: 5 Hydraulic oil (20 litres) jerrycans.

Manual forklift: 1 Compact design size of 1.5m by 0.78m enabling it to maneuver and be stored within limited spaces. Lifting capacity of up-to 2 tons of load. Extended lift height of up-to 1.5 meters. Adjustable hand operated pallet forks of 1150mm long x 110mm wide.

Floor scaler (Digital weighing platform scale): 1 Size 1.2m by 1.2m size industrial/heavy duty checkered electronic/digital weighing floor/platform scale with a lead capacity of up-to 1 tonne.

Plastic Recycling Centre (September 2025 – July 2026)

Plastic Recycling Centre building: 1 A structure of 15m long by 10m wide by 4m high for manufacturing new plastic-reinforced construction materials.

Plastic melting, mixing, and compounding machine 2 pcs. Using extrusion or styro-plastic densification technology as deemed appropriate.

Moulds for Recycled Construction Materials : 4 Set, Metallic molds made of blacksheet are used. They range in different sizes and shapes depending on final product. Moulds for poles come in 4 different sizes (100mm*100mm*2100mm; 100mm*100mm*2400mm; 100mm*100mm*2700mm; and 100mm*100mm*3000mm).

Cooling trough: 1pc, Metallic trough of L*W*H of 2.74m by 0.61m by 0.61m by 0.61m.

Wheelbarrow: 2, For localized transportation of materials.

Set of PPE: 10 pcs, Logo-branded workwear PPE, coveralls, heavy duty gloves, and safety boots.

Tools & equipment for maintenance and operations :1 Set, Used oil filter , spanner , wrench, heat-resistant gloves , heat-resistant scraper for maintenance, cleaning brushes (2 sets), hand trolley, wooden pallets (10 pieces), and plastic create (10 pieces).

Tools for assembly and fabrication :1 Set, Sandpaper, measuring tape, bolt and nut set, drill, clamps (2 pieces), circular saw, grinder.

Support Facilities and Utilities

Land: 200m2, Accessible site with an Environmental Impact Assessment licence for plastic solid waste recovery and recycling.

Fence 1: 200m Perimeter fence (50m x 50m) compound

Guard house 1: 3m*3m 1 roomed house

Office block 1: 4m*4m 1 roomed office with a partition

Truck 1: 2-ton single differential Isuzu NQR81UK (CKD) E4 tipper truck. It has National Transport and Safety Authority [NTSA] registration and motor vehicle inspection.

Handcart:1 Metallic handcart with an MS plate carrier body size of 1,800mm long, 1,300mm wide, 450mm high.

Solar mini grid: 1 A 32 kW off-grid solar PV system including solar PV array, inverter(s) and controller(s), mounting structures, DC/AC cabling, switches, and protections.

Washroom facilities :1 2 door semi-permanent shower room

Pit latrine 1: 2 door semi-permanent 2 door pit latrine

Water : 2pcs, 10,000 litre elevated water steel tank and water connection to the facility. The MRF Operator will be expected to pay their own water bills.

Lighting and ventilation systems, 1: Electrical installations for office, gate house, latrine and shower room.

B. Main Objective

The selected Service Provider is able to undertake the roles and responsibilities that ensure long-term MRF operation, efficient management, and commercial viability.

C. Scope of Work for the MRF Operator

You shall be responsible for roles and responsibilities that include but are not limited to:

(i) Task 1: MRF operations and maintenance.

• To conduct day-to-day continuous operation of the plastic solid waste Material Recovery and Recycling Facility (MRF). This includes buying plastic wastes, transporting, sorting, crushing, bailing, monitoring, recycling, and sales processes.
• To manage the MRF. Facilitate material logistics, staffing, supervision of works, record keeping, administration, stakeholder engagement, and maintain facility security.
• To operate and regularly maintain installed machines, tools, equipment, truck, and infrastructure facilities within the MRF (Use, cleaning, inspection, servicing, maintenance, repair, replacement, insurance, security, and safeguarding).
• Inventory control, reporting on asset status, and handover of all assets in good condition upon exit, contract expiry, or termination.

(ii) Task 2: Commercialization, business development, and last mile logistics.

• Develop a business model and implement a business plan to recover operational costs and generate revenue to maintain financial viability. Revenue is expected from the sale of recovered plastics (bales), processed plastics (crushed pellets/flakes), and recycled plastic products (e.g., plastic reinforced construction materials).
• Establish and implement waste collection and supply chain systems for consistent access to feedstock/input plastic wastes.
• Conduct marketing and selling of recovered plastics and recycled plastic products.
• Establish market/supply chain linkages and partnerships with buyers (recycling industries, manufacturers, exporters) and sellers (Community members, community-based organizations(CBOs), and waste pickers that aggregate materials).
• Transport raw materials and recycled products.
• Participate in implementation of the Extended Producer Responsibility (EPR) Scheme to diversify sources of income.
• To set fair market prices for purchase of recyclable materials and ensure equitable distribution of benefits to waste pickers, CBOs, youth/women groups, and other stakeholders involved in the solid waste management value chain.
• Implement cash flow management, financial monitoring, and revenue reporting.
• Submit regular financial and operational reports to the MRF Relationship Management Team (including senior management representatives from the MRF Operator, KMB, PWJ, Deputy County Commissioner, 1 technical officer involved in running the facility [e.g. revenue, public health, environment to be co-opted based on need], Area Chief, Ward Administrator, and Village Administrator).

(iii) Task 3: Programme management and community engagement.

• Create employment opportunities for the local host and refugee community and facilitate continuous skills transfer for local personnel to maintain quality MRF operations. Offer training opportunities to the youth e.g. internships and attachment opportunities.
• Recruit, train, supervise, manage, and retain MRF staff (including refugee and host community youth and women).
• Promote community awareness on waste segregation, recovery, recycling, disposal, and the prevention of child labour in waste management. The MRF Operator should consider providing IEC (information, education, and communication) materials in different languages when creating awareness.
• Collaborate with waste pickers, CBOs, youth/women groups, the Kakuma Municipality, and other stakeholders in waste management.
• To support community clean-up action days and related corporate social responsibility initiatives for a clean and healthy community. This may extend to progressively ensuring that the nearby community has access to water, security, lighting, and other needs when the facility’s revenue breaks even.

(iv) Task 4: Compliance.

• Ensure environmental compliance and social responsibility in accordance with the MRF Environmental and Social Monitoring and Management Plan (ESMMP). This includes reporting on environmental and social impacts.
• Contribute to total waste management in Kakuma Municipality (not just focus on recyclable materials but helping to clean all other types of waste from the environment).
• Ensuring occupational safety and health compliance and safeguards within the MRF.
• Ensure compliance with guidelines, regulations, policies, and laws issued by the National Environment Management Authority (NEMA), Turkana County Government, and the national government laws.
• Maintain routine business compliance e.g., maintain up-to-date business permits, tax compliance, remittance of levies, licenses, insurance, etc.

D. Contract Duration and Contract Management.

• Initial contract will last for a period of three (3) years starting from the date of signing the performance-based contract. Provided that the MRF Relationship Management Team may review and amend or terminate the contract before the 3 years in case of poor performance or gross misconduct. The contract may be renewable subject to sustainability performance indicators (Operational efficiency, revenue generation, compliance), coordination with the MRF Relationship Management Team, and mutual agreement.
• Between 2023 and August 2026, the MRF (together with its components) will be owned by PWJ. After August 2026, the MRF will be owned by the Kakuma Municipality Board. To ensure smooth operation and transition, there will be an MRF Relationship Management Team made up of representatives of PWJ, Kakuma Municipality Board, MRF Operator, and any other relevant stakeholders to facilitate contract management.

E. MRF Operator Deliverables and Expectations

Deliverables

1. Inception report. Develop, in consultation with PWJ and KMB, an inception report containing an MRF multi-year business plan, investment plan, and operations plan within 60 days of lease contract award. It should include setting up, initiating operations, staffing, training personnel, equipment maintenance, & risk mitigation plans.
2. Quarterly financial and operational reports to the MRF Relationship Management Team. Develop and submit financial reports detailing revenue, expenditures, and profit/loss statements per month, source, and amount in Kenya shillings. Develop and submit operational reports detailing recovery volumes, production volumes, sales, staffing/human resource, maintenance, challenges, and proposed solutions. Maintain daily and monthly records within the facility for inspection by the MRF RM Team.
3. Annual reports. Develop and submit to the MRF RM Team a comprehensive summary of performance, lessons learned, and recommendations during the year of operation.

Expectations

• The MRF Operator shall work closely with the KMB that has the legal mandate for waste management. Close coordination is essential to effectively manage all types of waste.
• Work closely and fairly with CBOs and waste pickers providing solid waste management services in Kakuma Municipality. They will be a key source of raw materials for the MRF.
• Participate in orientation and briefing meetings with PWJ, KMB, TCG, other stakeholders to understand the local context, and align MRF operation and risk plans to local context.

F. Eligibility Criteria of the Service Provider and Required Expertise

The interested MRF Operator should meet the following criteria:

• Private businesses enterprises are eligible to apply. Individuals are not eligible to apply. Only Community-Based Organizations(CBOs) in Kakuma Municipality are eligible to apply and any CBOs or NGOs outside the Municipal boundaries are disqualified.
• Previous technical experience in waste management and related facility operations. Specific experience with plastic recovery and recycling is an added advantage.
• Financial capacity to manage MRF operational costs before business revenue stabilizes. Proven financial capacity for managing waste management interventions or facilities is an added advantage. Please note that this is not a contract where you will receive money from the Clients to manage the MRF, and therefore you will need your own financial investment for staffing, water utilities, facility maintenance, security, office supplies, etc. The client will only provide the facilities and equipment listed above.
• Submission of realistic and detailed technical and financial proposals for managing the MRF operations, staffing, and a business plan for commercialization.
• Understanding of and commitment to the adherence of environmental regulations and the promotion of social responsibility for the benefit of the local communities. Possession of a NEMA license and waste transportation permit is an added advantage.

G. Application Process

1. Proposals submission deadline is on or before 11.59 P.M on Friday 25th July 2025
2. This ToR may be amended with prior notice to all bidders. PWJ/KMB reserves the right to cancel this call for proposals and add/delete conditions and the right to accept or reject any proposal submission without incurring any obligation to inform the applicants.
3. Applicants shall bear all costs related to proposal preparation. Only one submission per organisation is allowed. Once the application is complete and submitted, revised versions of the proposal documents will not be accepted after the submission deadline.

H. Proposal Submission Requirements/Format

Interested bidders must submit the following information and supporting documents.

1. General information of the private enterprise

• Proof of business/group registration – Attach the certificate of registration, CR12 certificate/Names and contacts of all directors).
• Contact information (Outline your current physical business address and contact of the management representative).

1. A technical proposal outlining the approach to managing and operating the MRF facility. Duration of technical proposal is August 2025 to August 2026). Describe and/or attach:

   Background information of the private enterprise/company. (Provide a brief background about your company/organisation, your nature of business, and your previous experience in solid waste management (SWM collection, transportation, recovery, processing, recycling, marketing, and/or facility management). Include experience in working within Kakuma Municipality/Turkana County and collaboration with government in implementation of any other related projects or activities e.g. environmental protection. Attach the private enterprise/company/group profile and any other available waste management licenses, permits, and certification you possess. Attach a list of references with contacts or previous contracts with public or private entities in waste management assignments.

   1. Context, situation analysis, and target market opportunities. (Provide a brief description and your understanding of the solid waste management situation in Kakuma Municipality, key local actors in the solid waste value chain. Describe the business environment when dealing with solid waste and mention the available country-wide opportunities in doing business with solid waste).
   2. Your unique value proposition and competitive advantage. (Provide a brief description of why your organization is the best suited to manage, operate, and commercialize the MRF in Kakuma. Also describe how the MRF under your management will outmatch the competition for raw solid waste materials and the existing alternatives to recycled construction materials.
   3. MRF business management plan. (Describe your business objectives, targets that show growth for 1 year, and how you will conduct staffing (including refugee and host communities). Describe the roles of key team members. Attach a realistic organization structure (organogram) showing the staffing roles and number of people who will be directly involved in each management, operation, and business development structure for the MRF). Attach CVs of key management personnel (At least 3 including overall in-charge, technical operations lead, and business development lead).
   4. MRF operations plan. (Provide a brief description of how an MRF operates/ works and why it is important in the solid waste value chain. Describe what processes will be implemented to receive, prepare, monitor quality, document, and distribute products and services at the MRF).
   5. MRF business development, marketing, and sales plan. (Outline and describe how you will promote, market, and sell the products and services from the MRF; your target clients; and your marketing and promotion activities)
   6. MRF compliance plan. (Please describe how you will maintain compliance with environmental, social, business, and other regulatory requirements)
   7. 1-year implementation plan and quarterly milestones. (Outline and describe the key activities you will implement, targets per quarter for 1 year [Attach a detailed WorkPlan for August 2025 – August 2026], and how you will coordinate with the government to meet your MRF business goals.
   8. Sustainability plan. (How will you ensure that the proposed activities and results outlive 3 years of your MRF management? Attach a risk management plan showing the challenges you expect and how you will manage them)
2. Financial proposal outlining the business development and commercialization plan. Duration of the financial proposal is 1 year (August 2025 to August 2026). Describe and/or attach:

   Signed and stamped a summary 1-year budget plan. (Provide a PDF format of costs for operating the MRF covering August 2025 to August 2026).

   MRF pricing model for products and services. (Describe the products and services that will be offered by the MRF (e.g. types of recovered solid waste materials, recycled materials, and any other value-addition services under your management. For each product or service, list in Kenya Shillings the purchase price of raw materials from the community and selling price of the product to recyclers).

   Projected annual revenue and investment plan by the private enterprise/company/group. (Use Excel format to show expected revenue from the products and services as well as external investment for 1 year covering August 2025 to August 2026).

   Detailed 1 year expenditure budget plan. (Use Excel format to prepare a detailed breakdown budget for the first year covering August 2025 to August 2026 based on the activities and operations that you proposed to carry out).

   Summary financial proposal format. *Submit a detailed financial proposal that breaks down the summary financial proposal amoiunrs per item in MS Excel Format.

Tagged as: Kenya, Peace Winds Japan