Solid waste, which is generated as a result of human activity on a daily basis, must be appropriately managed. Metu, like other Ethiopian towns, is plagued by challenges caused by poor solid waste management system. This study focuses on the amount of waste generated, its characterization, and the recommendation of a waste energy recovery method from MSW. The study was conducted on 120 households that were chosen at random and are thought to reflect all income levels: low, middle, and high. The daily waste generated by those households was collected and sorted into its constituent parts, with the weight and volume of each component recorded. This has been conducted for eight consecutive days to determine the average daily household waste generation rate and per capital daily generation rate. According to the findings, the rate of solid waste output is directly proportional to the income level of a family. According to the findings of this study, low, middle, and high-income families produce 0.6281 kg/HH/day, 0.7570 kg/HH/day, and 0.9236 kg/HH/day, respectively; while the average household produces 0.7538 kg/HH/day. Similarly, in the low, middle, and high-income levels, generation per capital per day was 0.2094 kg/cap/day, 0.2165 kg/cap/day, and 0.2571 kg/cap/day, with an average of 0.2263 kg/cap/day. Every day, 2.2 tons of waste are generated in Metu town. Food waste accounted for 41.03% of waste generated, followed by dusts and ashes at 31.67% and yard waste at 16.87%. Food waste and yard waste had moisture values of 59.55% and 20.0%, respectively. The sampled waste has a calorific value of 1,785.20kcal/kg. The results revealed that the bulk of the generated waste is organic, with a high moisture content, necessitating the use of appropriate WtE technologies. Anaerobic digestion (AD) for organic waste is the best and most viable WtE method, according to the analysis. Because the current MSWM system lacks an energy recovery method, vast amounts of waste are landfilled, which is the least preferred choice in the waste management hierarchy.