3 EIPs and the Local Community

Any industrial park is interdependent with the surrounding community and relies on it for human and material
resources, services, and trade. Local citiens are usually involved in hearings conducted !y planning
agencies, which must approve the developer"s master plan and environmental impact assessment. #he
workforce for park tenants generally comes from near!y towns and may re$uire training given !y local
educational institutions. Employees new to the area also re$uire housing. Local !usinesses provide
materials, parts, and services to companies in the park. %ater and sewage, energy, solid waste, and
transportation infrastructure is usually operated !y local &urisdictions. Local and state'provincial
environmental agencies re$uire reports and are responsi!le for enforcement of regulations. Citien activists
may mount ma&or protests if industrial park developers and managers ignore their concerns a!out pollution
and other impacts. Company site(location teams often evaluate the $uality of life of the community, not &ust
the industrial location.
)or all of these reasons, it is very important that the leaders in an eco(industrial park initiative !uild strong
relations with their host communities. Community involvement is supported !y the many !enefits industrial
parks offer through the new &o!s and !usinesses they create. #he pro&ect may also invest in community
enhancement programs to provide return for the support the pu!lic sector offers. Companies, developers,
agencies, and citiens need to work together closely to capture the !enefits of this innovative concept.
An EIP will !e more likely to succeed if it is part of !roader community initiatives such as*
+evelopment of housing for employees of EIP !usinesses,
Creation of a community strategic plan for reducing the total waste stream -residential,
commercial, pu!lic, and industrial.,
+evelopment of a highly effective regional !y(product e/change, providing markets for
materials now discarded as wastes,
0trengthening economic development planning to encourage !usinesses that fit the
recruitment profile of the EIP or that turn wasted resources into products and &o!s,
1o!iliing educational resources to help the community"s !usinesses and government
operations increase energy efficiency and prevent pollution,
2educing greenhouse gas emissions through a community action program led !y the EIP.
-As outlined at the end of this chapter..
)inancing of some EIP development costs through pu!lic private partnerships.
0uch initiatives offer a strong conte/t to support the evolution of an eco(industrial park. Effective e/change of
!y(products may re$uire a larger set of suppliers and users than the ones present in many industrial parks.
A trained workforce, housing, and access to finance for facilities help attract tenants. At the same time, the
community gains many !enefits* a cleaner environment, a stronger, more efficient economy, new &o!s, and a
reputation as a good site for starting new !usinesses.
3445( 6773 8y Er nest A. Lowe 3 August 39, 6773
Eco( I ndust r i al Par ks EI Ps and t he Local Communi t y
3.3 Pu!lic Private Partnership
In a very real sense, an EIP represents a pu!lic'private partnership !etween the community, the
development company, the firms involved in the EIP, and possi!ly national agencies. -0ee Chapter : on
financing EIPs for guidelines for forming pu!lic private partnerships.. 1any of the opportunities for improved
environmental performance may re$uire that costs !e !orn !y the private firms, with the ma&ority of !enefits
accruing to the larger community. %hen developing and operating an EIP, it will !e important to recognie
the possi!ility that such opportunities may !e lost unless the stakeholders identify methods to match costs
and !enefits across the pu!lic and private sectors. %ith some pu!lic !enefits, the most sensi!le approach
may !e for the community to negotiate ways of providing additional investment to ena!le the developer to
include amenities not otherwise afforda!le.
In other instances, the negotiation may not shift costs, !ut will create a way for the industrial park to share in
pu!lic !enefits resulting from the private investment. 0uch sharing of costs and !enefits will re$uire all
parties to see the whole picture clearly, not &ust their individual interests.
)or e/ample, private investment in an EIP"s infrastructure may result in su!stantial savings for the
community through reduced costs of solid waste management and waste water treatment. #he pu!lic works
department of the city government will receive the !enefit of not having to increase capacity. If the
community can ena!le the park management to share some of these savings -possi!ly through discounted
rates for city services., the investors in the EIP are likely to !e more inclined to finance the additional
infrastructure. #he savings might !e passed on to the EIP through a pro&ect to !uild recreational facilities
within the park at a reduced rate. Alternatively, the municipal transit system might provide enhanced
services to the EIP at a reduced rate. A third e/ample might involve the community providing day care
facilities or technical training programs for employees within the park that otherwise would have represented
costs for the firms in the park.
;utreach to the local community is a practice gaining favor with estate developers and managers in a
num!er of Asian countries. #his may take the form of education and training programs for workers from
neigh!oring towns, support for development of micro(enterprises to serve tenant needs, support for cleaner
production in !usinesses outside the park, and other such programs. %hen the developer approaches the
community as a good neigh!or, the time for gaining necessary approvals and permits may !e reduced.
;ur e/perience in developing countries has strengthened our perception of the need for EIPs to connect
closely to their local economies. %hile recruitment of transnational corporations may provide significant
num!ers of &o!s, it does not engender the higher level of development that e/pansion and incu!ation of local
firms achieves. #herefore, we !elieve industrial park managers need to !alance these two complementary
strategies for filling their property with via!le tenants. %e cover these issues in Chapter <.
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Community Programs of a Petrochemical Park in the Philippines
#he Petrochemical +evelopment Corporation -P++C. of the Philippine =ational ;il Company is
implementing community programs as part of its pro&ect in 8ataan, which aims to !ecome an EIP.
#he company has !uilt new housing and created a resettlement program for >informal
dwellers? on the site.
Livelihood training programs have prepared community residents for employment in the
comple/ as well as community !usinesses, like carpentry, masonry, and sewing.
A medical outreach program delivers services to the local residents in cooperation with the
medical staff of P=;C su!sidiaries and the local government units.
#he site"s Community 2elations Program interacts with local residents and government
units to keep them informed of significant developments in the pro&ect that directly affect them.
PP+C led a tree planting program with residents from the resettlement area, who were
employed to prepare the site and take care of the newly planted seedlings, ac$uired from local
nurseries.
#he Petrochem Park has provided employment opportunities to local residents, recruiting
around 97@ of the site"s 3,A77 employees from neigh!oring towns. -P2I1E 6777.
3.6 8uilding the Conte/t for an EIP
Creating the !road community support and participation so !asic to the success of an eco(industrial park
!egins with recruitment of important players and groups in the community. Bou should seek to !alance the
interests of all of the ma&or stakeholder groups while also including the town or city"s most innovative
players. #he candidates include*
Leaders in the city"s industrial and financial community.
2epresentatives of local companies and potential future tenants in the EIP.
#he Cham!er of Commerce.
Pu!lic sector stakeholders from city government, as well as County, 0tate, and )ederal
agencies. -economic development, ur!an planning, environmental protection, pu!lic works, and
recycling..
La!or representatives.
Community and environmental organiations -including any potential opponents of
development..
Educational institutions.
Initially few of these people may have any idea what an eco(industrial park is, therefore educating the
community is an important early step. ;ptions for this enlistment process include networking with key
individuals and organiations, organiing pu!lic events with media coverage, conducting workshops or
conferences, and planning activities in local colleges. A %orldwide %e! site for community education and
involvement can provide an overview of the pro&ect, means of inputting ideas or $uestions, and links to other
eco(industrial pro&ects. %hether your team chooses to use a conference or a series of interviews with
stakeholders, the following guiding $uestions are important to answer.
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Eco( I ndust r i al Par ks EI Ps and t he Local Communi t y
Some Guiding Questions for the Inquiry
What is the larger national and global context?
%hat economic, !usiness, environmental, and cultural trends support or impede
development of this EIPC -i.e., the trend toward closer partnering !etween ma&or companies and
their suppliers and customers..
%hat surprises would !e critical to EIP developmentC Dow might they !e handledC -i.e.
the potential for a national or regional recession..
%hat glo!al environmental issues must !e taken into account in planning an EIPC -i.e.
glo!al warming and depletion of non(renewa!le resources..
%hat scientific, technical, and intellectual currents are likely to facilitate EIP developmentC
-i.e. the increasing use of natural systems models in economics, engineering, computer systems,
and organiational design..
What is the local context?
Dow does our region e/press the trends identified at national E glo!al levelsC
Can the local economy support new industrial development or should we focus on
greening our e/isting industrial infrastructureC
Are there older parks that would !enefit from reha!ilitation and retrofitting through
participation in eco(industrial networksC
%hat environmental and economic o!&ectives do we want to achieve with an EIPC
%hat local companies might consider e/pansion into an EIPC
Dow could an eco(industrial network improve local !usiness, economic, and
environmental performanceC
Dow do current economic and community development plans, ur!an planning, and oning
support or impede development of an EIPC
%hat local environmental factors must !e considered in planning an EIPC
%hat human and material resources are availa!leC %hat"s missingC
What is the conceptual context?
Dow are the ideas of industrial ecology, sustaina!le architecture, and sustaina!le
development relevant to our communityC
Bour team may compile the results of this first in$uiry into a report availa!le to the whole community.
In a kick(off workshop or conference, stakeholders can learn !asic principles of industrial ecology and eco(
industrial parks, e/plore EIP initiatives in process elsewhere, e/amine the application of these ideas to local
development patterns, and define the ne/t steps for forming a local pro&ect.
In many F0 EIP pro&ects the design team held a conference early in the process to introduce the concept
and enlist support from community stakeholders. #his would include the critical players we"ve already listed,
as well as professionals like architects and engineers. #he agenda could include
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Eco( I ndust r i al Par ks EI Ps and t he Local Communi t y
An introduction to eco(industrial development, including cases of EIPs, eco(industrial
networks, and !y(product e/changes.
Presentation of the development vision.
Evaluation of community needs that the development must account for.
8reakout groups to evaluate the concept and !rainstorm resources and o!stacles.
A tour of the proposed site.
3.2.1 Assessing resources
Early in the conte/t setting process your EIP pro&ect can !enefit from an inventory of resources availa!le at
local, state, and national levels. #hese may include individuals, organiations, sources of information'data,
and anything else that can support the pro&ect. A survey of e/isting local resources should address the
following $uestions*
Dow can e/isting resources, programs, and development strategies contri!ute to EIP
developmentC
%hat are the resources that we already have in placeC
%hat type of financing is availa!leC
%hat organiations or !usinesses could make in(kind contri!utionsC
%hat are our local design capa!ilitiesC
%hat are our research capa!ilitiesC
+o we have necessary education and training programsC
%hat e/isting and past plans can we !uild uponC
%hat are the opportunities for community involvementC
#his integrative survey across pu!lic and private sectors, should cover economic development, finance,
environmental protection, ur!an planning, community development, and education'training. In the process
you will identify missing resources for development of the park and options to supply them. #he electronic
data !ase and print report that results from this survey will !e a resource in itself for the EIP and other
community pro&ects.
3.3 8uilding Bour Local Gision
#he ne/t step is integrating the input o!tained during the conte/t setting phase of the pro&ect into a
compelling vision of an eco(industrial park. ;ne of the most important elements of the vision of the EIP is a
clear statement of the over(arching, high(level purpose of the park with respect to environmental, social, and
economic performance. A clearly articulated vision and mission will guide daily practice at all levels of the
enterprise. #his statement should also reflect the initial environmental and economic performance o!&ectives
of the park. #he environmental vision of an EIP should address the impacts of the park on the larger eco(
system and the principles of ongoing improvement and progress toward goals. A simple mission statement
might read* "The XYZ Industrial ar! supports a co""unit# o$ pro$itable co"panies% &or!ing together to
achie'e their business ob(ecti'es &ith no net negati'e en'iron"ental i"pact."
Hroups often develop pro&ect visions in a Ilooking !ackwardI mode. )or an EIP this would mean descri!ing
the functioning park from the future and identifying the key strategies that resulted in its successful
development. #his Iidealied planningI approach helps a team !reak out of the constraints of conventional
development practice. #he method calls for forming the future vision, reviewing the present situation and all
6334<:<4<. doc : August 39, 6773
Eco( I ndust r i al Par ks EI Ps and t he Local Communi t y
of its limits -what systems scientist 2ussell Ackoff calls Ithe messI., and then tracing pathways to Iget from
here to there I -Ackoff 34A3..
#he fields of architecture and ur!an planning offer a meeting format for !uilding your pro&ect vision known as
the design charrette. #his is an intensive, two(three day session with the core team, key stakeholders, and a
variety of design and development e/perts. #he group moves !etween plenary and task group discussion to
achieve its o!&ectives. Charrettes may !e held at regular intervals during the course of a pro&ect in order to
integrate different streams of work.
)or the park to !e successful in the long(term, this vision and mission(the strategic intent of the park(must !e
IownedI !y all of the players. It is imperative that each one !e involved in forming and articulating the vision,
at least through consultations !y mem!ers of the core team. It will !e important over time to revisit and
renew this vision in workshops involving all current stakeholders.
3.< Closer Integration of Industrial Parks and the Community
1any industrial parks and estates in Asia are linking closely to !roader community development initiatives.
)or e/ample, Laguna #echnopark in the Philippines will eventually form part of a new regional growth center
!eing developed !y Ayala Land. Called Ayala 0outh, the master planned development will integrate a
!usiness district, commercial centers, residential villages, and community facilities on over 6,:77 hectares of
prime property.
0outh of Ayala"s site, in 8atangas Province, the LI1A #echnology Center integrates industrial sites with over
377 hectares of commercial area and a residential development. #omas I. Alcantara, Lima Land President,
said, )What &e en'ision our *I+A pro(ect to be is a co"plete to&nship &here a $ull,$ledged co""ercial and
retail center and a residential subdi'ision co"ple"ent our industrial estate. 8ordering the industrial ones
will !e separate commercial and residential areas that will cater to the needs of all LI1A citiens. 0hopping
areas, !usiness and food centers, and entertainment comple/es will round out the options availa!le at LI1A.
#here will also !e an on(site international school, church, and medical center to take care of the needs of
LI1AJs citiens. )rom LI1A #echnology Center, http*''www.lima.com.ph'
In #hailand, Amata +evelopment has planned a similar community in the Eastern 0ea!oard area southeast
of 8angkok.. #his company"s concept is to integrate industrial estates with employee housing, commercial
areas, educational facilities, and other social amenities. Fnfortunately the first Amata City pro&ect is
essentially a large industrial estate with a narrow strip of land along the entrance road for residential and
commercial development. #he property does not include land ade$uate for a true community. +evelopment
of this pro&ect was hit !y the 3445 0E Asian economic crisis and remains on a slow track four years later.
-Amata +evelopment 6777 http*''www.amata.com.
In a more limited effort, another #hai developmentKthe Eastern 0ea!oard Industrial EstateKincluded an
apartment !uilding with 397 units within the estate for factory employees. Dowever, employees have rented
relatively few apartments, preferring to not e/pose themselves to !eing >on call? at any time. #his may
indicate a social !arrier to locating housing near to the place of employment in some cultures. -Demara&
6777. -Amata +evelopment 6777.
#hese pro&ects indicate that developers are taking a more integrated approach to their pro&ects. #his trend is
in line with the widespread interest in sustaina!le development where economic development is closely
coordinated with environmental protection and community development. 0ee our discussion of =ew Fr!anist
planning in Chapter 6. #his approach is gaining popularity in the F0. +evelopments following this more
compact, mi/ed(use plan are selling at a!ove market rate.
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Eco( I ndust r i al Par ks EI Ps and t he Local Communi t y
3.: 2esources
Ackoff, 2ussell. 34A3. -reating the -orporate .uture. Lohn %iley E 0ons. =ew Bork. #his !ook descri!es
AckoffJs interactive planning methodology in detail. #he full process may !e useful for many other aspects of
EIP pro&ect management and design.
Amata +evelopment. 6777. www.amata.com and interview with Amata GP Mam&orn Gorawongsakul.
Cohen, Lonathan. 6777. Communication and +esign with the Internet. %.%. =orton. =B. #he author"s we!
site descri!es aspects of community involvement via the we!* http*''www.dnai.com'Nkvetcher'
Demara& .6777. Interview with Givat Liratikarnsakul, Gice President for Demara& Land and +evelopment,
=ovem!er 63, 6777.
Lowe, Ernest. 3444. I#he 0ustaina!le =ew #own,I in Charles Mi!ert, ed. /eshaping the 0uilt 1n'iron"ent%
1colog#% 1thics% and 1cono"ics%% Island Press, %ashington +C. 2-ompiled and produced !y the Fniversity
of )lorida, Center for Construction and the Environment.)
P2I1E. 6777. )ramework and +evelopment Plan for Industrial Ecology 1odule, P2I1E Pro&ect, Philippines
8oard of Investments. 1akati.
%ilson, Ale/, Fncapher, Lenifer L., 1c1anigal, Lisa, Lovins, L. Dunter, Cureton, 1aureen, and 8rowning,
%illiam +. Hreen +evelopment* Integrating Ecology and 2eal Estate. 2ocky 1ountain Institute, 0nowmass,
C; 3445. 0elections availa!le at http*''www.rmi.org'gds'8ook.htm
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Eco( I ndust r i al Par ks EI Ps and t he Local Communi t y
A Possible Partnership Between an Eco-Park and its Community for Greenhouse Gas
Reductions
#his program would generate many direct !enefits for !oth the EIP and the town residents and !usinesses,
including revenues from the sale of emissions credits. #he local partnership would !enefit the planet.
Design of the ecopark infrastructure and !uildings
Incorporate passive solar !uilding design to reduce heating'cooling re$uirements, including tree plantings.
Fse integrated renewa!le energy sources, with parallel !enefits of high $uality and relia!ility of supply. 8uild
to rooftop capacity and feed surplus energy into grid at green energy premium price.
Fse energy and water cascading !etween tenants as far as possi!le.
Lower energy consumption of waste water treatment systems.
Provide tenants with guidelines and support for energy efficiency in !uilding and process design.
;ptimie car!on a!sorption in landscaping.
Provide rail access and logistics to support to tenants use rail over truck.
8uild employee housing within walking or $uick van trip distance.
Impro"ements in tenant performance #through ser"ices$ co"enants$ colla!orati"e programs)
Promote efficient use of inputs -energy, waste heat, raw materials, water and wastewater and waste
!yproducts..
Encourage alternatives to HDH(generating chemicals in tenant processes.
Hreatly reduce the volume of pollution and wastes which need to !e treated and removed.
+evelop !y(product e/change within the park and !eyond.
2educe the transportation re$uirements for industrial process inputs and waste and product outputs through
waste reduction strategy, reuse, and recycling.
2educe impacts of employee transportation through renewa!le energy or hy!rid van transport, car pooling,
disincentives in parking.
EIP tenant association and info system maintains forum for education and sharing.
%enant recruitment and incu!ation
2ecruit on(site Plants or distri!uted companies that generate renewa!le energy from !iomass, agricultural
and animal wastes and solid wastes.
2ecruit manufacturers and distri!utors of renewa!le energy systems.
0eek green chemistry companies producing non(HDH generating industrial, home, and &anitorial
su!stances.
Community programs
Partner with neigh!oring communities to support municipal, residential, commercial, and industrial HDH
reduction programs.
Create >toolkits? and competitions supporting reductions of C;
6
E other HDHs for homes, industry,
commerce, and municipal operations.
0et up university, college, or high school interdisciplinary design competitions with awards
#he park and tenant personnel colla!orate for tree planting programs in community and region.
Monitor and account for all reductions achieved within the eco-park system and in the community
and trade GG reduction credits! "se the proceeds for common pro#rams or distribute to partners!
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