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Eco-industrial park policies in Japan and PRC

In 3R Workshop on Effective Waste Management and Resource Use Efficiency in East and Southeast Asia, 15 February 2007 Manila, Philippines

Plan targets zero emission to respond to limited landfill and waste treatment facilities.
Goals: establish sound material cycle society, protect local environment, revitalize local areas through environmental industries
Cooperation between MOEJ, METI, and local governments.
Local governments present plans for approval, subsidy is given by MOEJ and METI.
There are 26 eco-towns, mainly in areas with heavy industry.
Three types of projects: environmental industry promotion, waste treatment, community development
*Kita Kyushu example (1997, 141 hectare land reclamation area, 3.4 billion yen total subsidy)
Goal: environmental industry-based city to develop international material recycling.
Strategies: basic research & education, research, industrialization of various types of recycling facilities.
Science and research areas have several university programs and conduct practical
Comprehensive Environmental Industrial Complex promotes recycling business, including 20 industries.
Major effects: research collaboration, environmentally friendly SMEs, demonstrated business models, promoted recycling.
* Success factors
Homogenous and large amount of useful wastes available
Effective infrastructure
Available appropriate recycling technology
Demand for recyclable resources and recycled products
Reduction of transaction costs
Poor collaboration between practical research area and science & research park.
Need to promote more awareness among businesses and consumers.
Need to enhance material flow network between recycling industries within the ecotown.
Promote international material recycling, recycling port, focus on reuse and rebuild.
Venous industrial park policies in China
SEPA is considering revising traditional eco-industrial park policy.
First park in Qingdao focuses on household appliances, used vehicles, electrical wire, used ties, waste plastic, industrial solid and hazardous wastes.
Future perspective is for more business involvement, and to create recycling networks with international linkages.
IGES project has goal to transfer Japanese ecotown experience to other Asian countries.
There is a lot of effort to build eco-industrial parks based on existing industrial estates. An eco-industrial park is not just a collection of environmental companies, but requires other haracteristics and strategies. For example, the infrastructure of the park should be green, and there must be institutions to enable collaboration among the companies.
With regard to green infrastructure or institutions for collaboration and community nvolvement, most of towns in the Kitakyushu area are located far from residential areas in a land reclamation area. Landscape is not a serious issue. Ecotown project was to facilitate local economic development because these cities were experiencing economic depression. The areas had an accumulation of environmental technology. The original intention was an idealistic vision to make an industrial park with collaboration between SMEs, but this was difficulty to achieve, so they changed their focus to more recycling-based industry. But now they are gradually focusing on industrial symbiosis.
In Kitakyushu case, government provided subsidies of 3.4 billion yen, how much was the additional cost? What percentage of additional development cost did the subsidy cover? Did the government provide any financial incentives in addition to subsidies to factories in the ecotown? Local governments also provided subsidies. Of the 3.4 billion yen in total subsidies, about 0.55 billion came from Kitakyushu. In another example, Kawasaki City, half of the cost was borne by the Japanese government and half by industry. Ecotown proposals were required to be formed jointly between local government and industry. Subsidies go to establish infrastructure.
It is interesting that the meaning of the term “eco-industrial park” has changed in the Kitakyushu case. Its original meaning focused on the symbiotic linkages among the facilities within the park, but in the Kitakyushu case, the focus became the development of recycling industries.