South Korean EIP Initiative
Korean EIP initiative
is notable for the potential impact on all industrial parks in Korea
intended in the long term. South Korea has a total of 504 industrial
parks, with 35 large national parks or complexes on 2/3rd of the total
land for industrial parks (total = 66,635 hectares or 164,440
acres). The initiative links cleaner production and industrial
ecology, seeking a comprehensive approach to improving
environmental, social, and business performance in Korean industry.
Success in implementing this approach will have profound implications
for competitiveness of the Korean economy.
The six industrial complexes that are pilot projects in the EIP initiative are:
The Korean EIP
initiative is relatively new and participants are still learning the
basics of eco-industrial development. As frequently happens, the
exchange of by-products among companies is one of the early steps these
projects have taken. Academics supporting the industrial parks at Ulsan
and Yeosu have done material flow analysis, searching for opportunities
to increase utilization of by-products.
In November 2004 the KNCPC
organized The 2nd International Conference on Industrial Ecology and
Eco-Industrial Parks in Seoul, with Indigo Development providing
presentations on a systems view of EIPs. Indigo also led two workshops
with teams from 5 of the 6 pilot estates. The City of Ulsan held an
Eco-Polis Symposium following the conference to raise awareness on its
two EIP projects.
On the basis of these experiences, Ernest Lowe and Anthony Chiu developed the following "Critical Success Factors".
These critical success factors emerged
from Indigo's consulting and research in Korea but are generally
applicable across EIP projects in other countries.
among the national agencies with responsibility for EIPs or standard
industrial park development is quite important.
Industry, Commerce, and Energy, Ministry of Environment, Ministry of
Construction and Transportation, and specific centers like Korea
Industrial Complex Organization (KIKOX) and Korean Land Development
Corporation need to be working together in support of the EIP
initiative with coordination by the Korean National Cleaner Production
any significant initiative to transition standard industrail parks to
eco-industrial parks and develop new EIPs requires participation of the
agencies responsible for economic development, environmental
protection, construction, transportation, and non-gvernmental
organizations, including both environmental and business associations.
In Korea and Thailand there there are organizations specific to
development and management of industrial estates/parks.
2. Each pilot
industrial park requires an adequate management structure for
coordination and cooperation supporting the transition to an EIP.
should include at least one staff person responsible for integrating
standard management functions with the EIP transition process
(specifically defined in a job description). This requires coordination
among the formal organization managing the park, associations of
companies in the park, city offices (which in some cases will be the
formal entity), and NGOs representing community interests. Coordination should
include an intranet with access to a geographic information system and
e-forums for discussion of special issues and innovations.
The management of
each park needs to create strong channels of communication with the
neighboring communities, including NGOs, individual residents as well
as public authorities. A community access web site and open door policy
enable this kind of communication.
3. Both public management authorities and business associations require capacity development and education so they can participate effectively in the EIP initiative.
and study tours in the Korean EIP strategic plan are means of achieving
this capacity development, but more is needed in an action learning
mode. Options include workshops focused on specific pilot projects, a
distance learning program that links international and local experts
with project teams, and university courses and short-courses.
4. Businesses in the park need to be involved from the beginning in the planning process. They are the ultimate actors in the system.
This is a
critical success factor that must be present for any EIP transition
process. Early involvement of company management assures that the
project is guided by their perceptions of issues, needs, resources, and
opportunities. Each company in a park seeking to become an EIP should
have one staff person with EIP involvement in his job description.
Industrial park staff should distribute educational materials that
indicate the business advantages of participation. Trade associations,
plant manager and environmental manager forums are good channels of
5. The high level
planning process for the transition to EIPs must be supported by a
strong bottom up planning process -- a dialogue between top down and
We saw good
evidence that teams for some of the pilot projects have made excellent
progress in beginning their planning, with participation by the park
management and a number of companies involved. To remain on the first
list of candidates, all of the pilot project teams need to have this
sort of participation. Academic researchers may provide valuable
assistance, but the lead in planning needs to be the from the people
responsible for implementation. There need to be good channels of
communication between the industrial park level of planning and the
KNCPC and other agencies collaborating in this initiative.
6. An evolving long-term vision of the whole system is required to make effective decisions about the specific strategies used in each phase of the transition.
None of the pilot
projects have developed an adequate long-term vision of what it would
mean for their parks to become EIPs. Most have started with the idea of
one company using another’s by-products, which is more or less
feasible, depending on the mix of companies at a site. This is one of
many strategies but it is not a full vision.
7. An EIP is much
more than an exchange of by-products among companies.
By-product exchange among companies is one strategy in the whole system of the EIP. It needs to be linked to development of a strong resource recovery industrial system, in-plant application of Cleaner Production, and other strategies for the transition to EIP. Only this whole system will optimize utilization of resources.
exchanges is determined by business factors, not just technical
feasibility. The potential customer for a by-product must be sure that
the quality and quantity of supply will consistently meet his standards
and that using the by-product will not risk liabilities.
8. Strong support to the growth of the environmental technology and services cluster will provide Korean industrial parks with many of the solutions they require.
The City of Ulsan
has incorporated promotion of environmental business as a component of
eco-industrial development planning. In this way a business cluster
will support environmental excellence to EIP firms by delivering
advanced environmental technologies and services. At the same time, it
will be another growth sector as well as purchasing or leasing surplus
land in EIPs. This strength helps enable the central government to
achieve its environmental goals for business while improving the
9. Green chemistry is an important field for petrochemical EIPs as well as customers using chemicals.
petrochemical-based parks should promote adoption of green chemistry
strategies for product and process design in their companies. This
field is also important for companies that are large users of
chemicals. This is one of the areas of interest of the KNCPC. See the
petrochemical EIP section of chapter 6 of the EIP Handbook, for a
summary of green chemistry approaches and web links.
government policies need to acknowledge the growing global and regional
limits on resource flows in a way to encourage optimization of resource
use in all sectors. Setting a high goal for the economy’s
efficiency/productivity will improve competitiveness of Korean
industry. (National leadership of China’s Circular Economy initiative
has set a goal of multiplying efficiency of resource use by a factor of
should link environmental and economic planning, with participation by
agencies in both areas.
11. Policy in support of the eco-industrial park initiative should take an integrated view of all aspects of Cleaner Production as complementary to eco-industrial strategies.
National Cleaner Production Center deals with all aspects of the
production cycle, including process design for source reduction,
product design for efficient production and consumption, supply chain
management, environmental management systems, and remanufacturing.
Support for the Center in delivering programs and building a strong
network of CP consultants is vital to achieving the resource
optimization policy recommended in 10. This work is highly
complementary to the resource recovery aspect of eco-industrial
policy should support excellent management of the eco-industrial park
initiative and individual industrial parks
organizational success factors described above have primary importance,
with the technology factors usually secondary. Without appropriate
organizational management, the most promising technological solutions
have tended to fail throughout the history of CP, pollution prevention,
and eco-industrial development.
policy should support adequate staffing, capacity development,
management reward systems, and other measures important to the agencies
involved and in the industrial parks themselves.
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