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Competence, Credulity, and the Spaces in-Between

The Informal Waste Economy — Value Without Ownership

Julian Owusu Abedi by Julian Owusu Abedi
January 15, 2026
in Environment
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At street level, Accra’s waste system does not look broken. It looks busy.

Collectors move before dawn. Pickers sort at markets and dumpsites. Materials change hands repeatedly before disappearing from official view. Plastics are bundled, metals separated, organics shifted. There is specialization and tacit knowledge. What is missing is not work. It is ownership.

The waste economy is large, continuous, and largely unrecognized.

This is the paradox. The state speaks of unemployment while thousands earn daily incomes moving waste. Assemblies complain of capacity while a parallel logistics network operates without support. Value is created; it is not captured.

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Informality here is not chaos. It is an alternative order—one that functions because the formal system has failed to absorb it.

Policy continues to treat this economy as a problem to discipline rather than a system to integrate.

The consequences are structural. Informal actors remain capital-poor, excluded from credit, land, and equipment. Assemblies cannot plan around them because they do not appear in data. The result is mutual invisibility: the state plans without the actors who move waste; actors operate without protection or scale.

This invisibility distorts incentives.

Collectors optimize for speed, not sorting quality. Buyers optimize for price, not traceability. Assemblies default to clean-ups and hauling contracts that compete with existing flows rather than organize them.

Formalization is often framed as dignity. That is incomplete.

Formalization is an economic instrument. It stabilizes value, enables taxation, supports insurance, and allows scale. Resistance to it is not accidental.

Formalizing waste actors forces assemblies to confront power shifts: redundancy of some contracts, redistribution of control, and loss of discretionary leverage. Simplicity is preserved at the expense of coherence.

The cost is stagnation. Investment fragments. Processing remains rudimentary. Labor substitutes for system design.

There is also fiscal loss. The city pays for waste removal while forfeiting revenue from recovery. It subsidizes disorder, then pays again to clean it.

Integration does not require coercion. It requires contracts: pay-per-tonne agreements, cooperative recognition, standardized pricing, shared infrastructure.

Ownership alters conduct faster than enforcement.

Until the people who move Accra’s waste are treated as suppliers rather than nuisances, the city will continue generating value it cannot capture.

Informality is not the absence of a system.

It is the presence of one the state has refused to recognize.

*About the Author*

Richard Dablah is a Ghanaian waste entrepreneurship practitioner focused on urban governance, sanitation systems, and the political economy of cities. His work examines how incentives, markets, and institutional design shape municipal outcomes, with particular attention to waste management as economic infrastructure rather than civic hygiene. This journal documents an ongoing diagnostic of Accra’s sanitation system and municipal performance.

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