Payakumbuh City Government has built an Integrated Waste Treatment Plant (TPST) in Ibuh Market as an effort to reduce waste through waste processing by composting. This study aimed to evaluate the environmental impact of the Ibuh Market waste management system with some solid waste management alternatives using the Life Cycle Assessment (LCA) Method. The stages of the research consisted of the measurement and analysis of waste generation, composition, and recycling potential, followed by the application of LCA for composting waste management scenario (scenario 1), with no composting (scenario 2), as well as with composting and recycling (scenario 3). The waste generated by Ibuh Market is 8.99 tons/day, food waste has the highest share in waste composition, amounting to 80.60%, and the waste with the greatest potential to recycle is an inorganic waste by 72.37%. LCA was carried out using the CML-IA impact assessment method. On the basis of the weighting results of the Global Warming Potential, Acidification Potential, and Eutrophication Potential impact categories show that scenario 2 has the highest weight, which is 4.34 × 10-7, scenario 3 has the smallest weight that is 3.73 × 10-7. Hence, scenario 3 was chosen as the best option, because it has the lowest impact weight. The study recommended using biofuels as an alternative to the fuels in the transportation process, applying a modified open windrow aeration system in the composting process at TPST, as well as practicing the sanitary landfill, for becoming a more environmentally friendly solid waste management system.