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Waste materials that are organic in nature, such as plant material, food scraps, and paper products, can be recycled using biological composting and digestion processes to decompose the organic matter. The resulting organic material is then recycled as mulch or compost for agricultural or landscaping purposes. In addition, waste gas from the process (such as methane) can be captured and used for generating electricity and heat (CHP/cogeneration) maximising efficiencies. The intention of biological processing in waste management is to control and accelerate the natural process of decomposition of organic matter.

There is a large variety of composting and digestion methods and technologies varying in complexity from simple home compost heaps, to small town scale batch digesters, industrial-scale enclosed-vessel digestion of mixed domestic waste (see Mechanical biological treatment). Methods of biological decomposition are differentiated as being aerobic or anaerobic methods, though hybrids of the two methods also exist.

Anaerobic digestion of the organic fraction of MSW Municipal Solid Waste has been found to be in a number of LCA analysis studies[4][5] to be more environmentally effective, than landfill, incineration or pyrolisis. The resulting biogas (methane) though must be used for cogeneration (electricity and heat preferably on or close to the site of production) and can be used with a little upgrading in gas combustion engines or turbines. With further upgrading to synthetic natural gas it can be injected into the natural gas network or further refined to hydrogen for use in stationary cogeneration fuel cells. Its use in fuel cells eliminates the pollution from products of combustion (SOx, NOx, pariculates, dioxin, furans, PAHs...).

An example of waste management through composting is the Green Bin Program in Toronto, Canada, where household organic waste (such as kitchen scraps and plant cuttings) are collected in a dedicated container and then composted

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