Environ. Sci. Technol. 2009, 43, 1271–1281
Quantitative Assessment of Urban and Industrial Symbiosis in Kawasaki, Japan RENE VAN BERKEL,† T S U Y O S H I F U J I T A , †,‡ S H I Z U K A H A S H I M O T O , * ,† A N D MINORU FUJII† Asian Environmental Research Group, National Institute for Environmental Studies (NIES), 16-2 Onogawa, Tsukuba-City, Ibaraki, 305-8506, Japan, and Toyo University, Kujirai 2100, Kawagoe, 350-8585 Japan
Received November 23, 2008. Accepted December 10, 2008.
Colocated firms can achieve environmental benefit and competitive advantage from exchanging physical resources (known as industrial symbiosis) with each other or with residential areas (referenced here as urban symbiosis). Past research illustrated that economic and environmental benefits appear selfevident, although detailed quantification has only been attempted of symbioses for energy and water utilities. This article provides a complimentary case study for Kawasaki, Japan. The 14 documented symbioses connect steel, cement, chemical, and paper firms and their spin-off recycling businesses. Seven key material exchanges divert annually at least 565 000 tons of waste from incineration or landfill. Four of these collectively present an estimated economic opportunity of 13.3 billion JPY (∼130 million USD) annually. Five symbioses involve utilization of byproduct and two sharing of utilities. The others are traditional or new recycling industries that do not specifically benefit from geographic proximity. The synergistic effect of urban and industrial symbiosis is unique. The legislative framework for a recycling-oriented society has contributed to realization of the symbioses, as has the availability of government subsidies through the Eco-Town program.
1. Introduction Industrial ecology (IE) uses an “ecosystem metaphor” and “natural analogy” to study resource productivity and environmental burdens of industrial and consumer products and their production and consumption systems (1, 2). It applies that “in nature nothing is being wasted” as waste from one species becomes food for another species. IE therefore studies industrial systems as industrial food webs (e.g., ref 3) (“ecosystem metaphor”). IE also mimics materials, processes, and forms that have proven to be efficient and resilient in nature, e.g., self-cleaning surfaces of Lotus flowers (4) (“natural analogy”). Industrial symbiosis (IS) is the subset of IE that deals with cyclical flows of resources through networks of businesses as a means of cooperatively approaching ecologically sustainable industrial activity (5). More precisely, IS “engages traditionally separate businesses in a collective approach to * Corresponding author phone: +81-29-850-2447; fax: +81-29850-2584; e-mail:
[email protected]. † National Institute for Environmental Studies. ‡ Toyo University. 10.1021/es803319r CCC: $40.75
Published on Web 01/29/2009
2009 American Chemical Society
competitive advantage involving physical exchange of materials, energy, water and/or byproducts. The keys to IS are collaboration and the synergistic possibilities offered by geographic proximity” (6). Similar terms exist elsewhere, including “regional resource synergies” (7), “ecoindustrial parks” (8), and “ecoindustrial development” (9), or “circular economy” (10). The term urban symbiosis covers specific possibilities arising from geographic proximity of urban and industrial areas to use physical resources discarded in urban areas (“wastes”) as alternative raw material or energy source for industrial operations (1). Urban symbiosis has been spearheaded in Eco-Towns in Japan (11). Research to Date. A considerable IS research effort concerns development of methods, tools, and policies for identification, evaluation and implementation of potential symbioses (12, 13). Several sources describe tools for identification of potential linkages between producers of wastes and potential industrial uses, using chemical engineering tools (e.g., ref 14) or database systems, either locationindependent (e.g., refs 15 and 16) or location-specific supported by geographic information systems (GIS) (e.g., refs 17-19). Others reported on comparative evaluation of public planning and policy instruments (e.g., refs 20-23). A point of concern is that although public policy tools are notionally aimed at achieving industrial (and/or urban) symbiosis, they appear more effective in improving overall environmental management of industrial parks, through zoning, public transport, and basic environmental infrastructure (13, 23, 24). Case studies on selected industrial regions constitute another strand of IS research, including examples from North America, Europe, Asia, and Australia (e.g., refs 5, 12, 13, 25-28). A recurring theme is quantification of “connectedness” or “symbiotic intensity”, typically by means of the number of distinct resource transfer projects and number of companies involved. Table 1 provides a summary of connectedness in several IS examples, using the division proposed by van Beers et al. (7) between “byproduct exchange” (transfer of byproduct for use as a substitute input material or energy source) and “utility synergy” (shared use of utility services, e.g., for energy provision and (waste) water treatment). Several authors (e.g., refs 3 and 29) have gone beyond documentary descriptions and analyzed evolution of industrial ecosystems, using concepts borrowed from quantitative ecology. Others have done so using various frameworks to explain the behavior of actors in industrial parks, including social theory (e.g., refs 30-32), business strategy (e.g., refs 13 and 33), and economic rationale (e.g., refs 13 and 34). Quantitative Assessment. Much analysis has centered on qualitative descriptions of IS with much less attention for quantification of the scale and significance of IS benefits for the actors involved and generally for achieving sustainable industrial development at local or regional levels. Kurup et al. (36) outlined a conceptual model for integrated assessment of economic, environmental, and social benefits over the lifetime of a symbiotic project, including construction, operation and maintenance, and decommissioning. Several other studies assessed benefits for the operational stage of the symbiotic project, assuming steady-state operation of the symbiotic exchanges. Well-documented, quantified examples from the recent international literature are, in particular (see the summary in Table 2): • In Guayama (Puerto Rico, U.S.A. (5)) substitution of on-site steam generation with fuel oil at the petrochemical complex by steam import from the coal-fired VOL. 43, NO. 5, 2009 / ENVIRONMENTAL SCIENCE & TECHNOLOGY
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TABLE 1. Documented Symbiotic Intensity in Selected Industrial Area documented symbiotic projectsa location (country)
key industries
Gladstone (Australia)
alumina refining, aluminum smelting, cement, and coal-fired power generation Guayama (Puerto Rico, U.S.A.) oil refinery, coal-fired power generation, and pharmaceutical Guitang (P.R. of China) sugar, cement, alcohol, and paper making Kalundborg (Denmark) oil refinery, coal-fired power station, pharmaceutical, and biotechnical industry Kwinana (Australia) alumina, nickel and oil refining, iron making, cement, pigment, chemicals, fertilizers, coal-and gas-fired power generation, and water supply and treatment Ulsan (Republic of Korea) petrochemical, chemical, and metallurgical
no. of participant firmsb
total
byproduct exchanges
utility synergies
base year (source)
6
5
4
1
2005 (ref 7)
3
2
0
2
2005 (ref 5)
5
5
5
0
2004 (ref 35)
11
13
6
7
2003 (ref 27)
22
47
32
15
2005 (ref 7)
12
9
5
4
2004 (ref 26)
a
The number of symbiotic projects was counted, with each potentially having several input and output streams. This leads to a lower result than counting the number of physical exchanges. b Independently operated business units within the same group company are counted as separate firms. Publicly owned utility operations are also counted as firms (e.g., wastewater treatment plants, district heating).
power station has estimated economic benefits of USD 8.27 M (excluding investment and depreciation costs) and causes emissions of SO2, NOx, and PM10 to decrease and those of CO and CO2 to rise. Use of treated wastewater as cooling water at the power station avoids effluent discharges of some 161 ML/day and saves at least USD 425 000/year. • In Kalundborg (Denmark (27)) three main water exchanges have substituted 2.8 GL/year groundwater with surface water and subsequently achieved 0.5 GL/ year conservation of surface water with operational savings of some 27.6 million DKK (∼3.5 million USD/ year). The supply of waste heat as steam, hot water, and cooling water for various applications realizes a saving of 1.3 million GJ/year compared to stand-alone heat production. It also reduces seawater intake (by about 23 GL/year) and reduces emissions of CO2 and NOx, while increasing emissions of SO2. These quantitative assessments are based on a theoretical comparison of the principal water and energy flows in the symbiotic situation compared to a baseline scenario of standalone operation of each water- and/or energy-consuming facility. This invokes several methodological limitations, including, in particular, (i) uncertainties on the nonsymbiotic reference scenario (as in the absence of symbiotic opportunities the facilities would each on their own have invested in alternative water and/or energy saving opportunities) and (ii) exclusion of resource use and environmental impact that occur as tradeoff from the synergy, for example, from pumping or trucking streams between companies). Moreover, data available from firms are typically incomplete due to their commercial sensitivity. In light of such imperfections, qualitative assessments as in Table 2 should be regarded as first-proxy quantifications of the scale of resource conservation attainable from symbiosis. Both examples of detailed quantitative assessment concerned “utility synergies” arising from integration of water and steam networks. This study aimed to complement these with Kawasaki, Japan, which primarily involves “byproduct 1272
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exchanges”, using similar proxy quantifications based on comparison of principal material flows in scenarios with and without symbioses.
2. Context for Analysis Japan has enacted the Basic Law for Establishing a RecyclingBased Society (1, 37). Using 2000 as the reference year, it aims by 2010 to have improved resource productivity by about 40% (to 390 000 JPY/ton [the exchange rate in April 2008 was 1 USD ) 103 JPY]) and recycling by about 40% (to 14% of total materials use) and decrease landfill by about 50% (to 28 million tons/year). The Law for Promotion of Effective Utilization of Resources (2001) has designated key products and industries for resource saving. It is being implemented with product-specific laws which set specific recycling targets for waste categories for realization through product stewardship schemes, levies, and voluntary initiatives, currently for containers and packaging, home appliances, food waste, automobiles, and construction wastes (37). One key program for a recycling-oriented society was the Eco-Town program (e.g., refs 1 and 11). It aimed to establish innovative recycling activities in cities with aging conventional industrial agglomerations through voluntary initiatives by companies and financial support from the national government. From 1997 to 2006, 26 local governments were sponsored for comprehensive recycling planning. A total of 59 billion JPY (about 590 million USD) was provided in investment subsidies to 60 innovative recycling facilities. The program was successful in catalyzing further investments in recycling facilities and diversification of existing industries (1). Kawasaki was among the first four local government areas which were designated Eco-Towns in 1997. Kawasaki. Kawasaki is located on the western shore of the Tokyo Bay, midway between Tokyo and Yokohama, the largest and second largest cities of Japan. Kawasaki occupies a relatively narrow coastal strip, with a large hinterland, and is currently home to approximately 1.3 million inhabitants. It is an industrial base with a manufacturing value added
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resource exchange
a
Asnaes power station Asnaes power station
waste heat supply
boiler water supply
b
fish farms
district heating: city of Kalundborg Statoil refinery
Statoil refinery and Novo Group
Asnaes power station
23 GL/seawater
50 ML/year
570 000 GJ/year
680 000 GJ/year
9 ML/year
0.5 GL/year
2.8 GL/year
AES power station
Statoil refinery, Asnaes power station, and Novo Group Asnaes power station
10 ML/day
AES power station
volume exchanged 36.3 tph at 13.7 bar and 47.6 tph at 48.2 bar (43.9 ML/year fuel oil equiv) 151 ML/day
Chevron Phillips petrochemical
use company
b
higher efficiencies in boiler water makeup plants at power station and refinery, not quantified. reduction in seawater intake: 23 GL/year; useful application of residual heat: 39 000 GJ
reduction of surface water use 0.5 GL/year; recapturing heat from cooling water not quantified reduction of surface water use 9 ML/year combined estimated impact on air emissions compared to stand-alone gas-fired boilers: CO2, 155 ktpa; SO2, -304 tpa; NOx, 389 tpa
air emissions (reduced) SO2, 1794 tpa; NOx, 191 tpa; PM10, 112 tpa; air emissions (increased) CO, + 13.6 tpa; CO2, + 46.3 ktpa avoided discharge of treated wastewater: 151 ML/day avoided discharge of treated water (and potentially reduction of groundwater extraction): 10 ML/day reduction of groundwater extraction: 2.8 GL/year
environmental
economic
15% increase in fish growth rates, estimated value DKK 40-70 000/ year
unknown
presumably no operational cost benefit as steam price is linked to energy price; investment cost for steam supply at Novo Group was 17% lower no data available
DKK 58 000/year
DKK 3.25 M/year (water substitution only)
USD 199 000/year (cooling water) to USD 277 200/ year (if suited for boiler makeup) DKK 24.3 M/year
USD 226 000/year
USD 8.27 M/year
net benefitsa
ML ) megaliter, GL ) gigaliter, tph ) ton per hour, tpa ) ton per annum, ktpa ) kiloton per annum. c 1 DKK ) 0.127 USD (2002).
salty cooling water supply Asnaes power station
Asnaes power station
treated refinery effluent
byproduct steam supply
Statoil refinery
cooling water
public wastewater treatment plant Weyth pharmaceutical plant
piped from Lake Tiso to Statoil refinery to replace groundwater Statoil refinery
surface water
source company AES power station
Excluding investment and depreciation costs.
Kalundborg, Denmark (2002) (ref 27)c
treated wastewater
Guayama (Puerto steam Rico, U.S.A.), 2005 (ref 5)
location
TABLE 2. Examples of Quantified Benefits of IS
(MVA) of 1098 billion JPY in 2005. The contributions were the following: from the chemical industry 29%, steel industry 18%, food industry 12%, petroleum industry 9%, and general machinery and appliances also 9%. Total shipment value through the port was 4230 billion JPY [http://www.city. kawasaki.jp/20/20tokei/home/databook/H19databook.pdf]. Kawasaki has been part of Japan’s economic success throughout the 20th century (38). In the 1910s coastal areas started attracting heavy and chemical industries, and this was further boosted by massive land reclamation projects. In the 1950s Kawasaki became a thriving node in the Keihin industrial belt, Japan’s largest industrial area, which stretches from Tokyo to Yokohama. Kawasaki became home to steel works, metallurgical plants, oil refining and associated petrochemical and chemical industries, power stations, manufacturing of machinery and transport equipment, and later also electrical, electronic, and associated industries. The environmental amenity deteriorated, and in early 1970s air pollution reached alarming levels. The impacts were further aggravated by close proximity of residential areas to heavy industry. The city government became proactive and entered into an air pollution control accord with major industries in 1970, and established a pollution prevention ordinance in 1972, each stipulating stricter standards than Japan’s 1967 Basic Law for Environmental Protection. The pollution situation improved gradually from the late 1970s. During the 1980s economic growth slowed down, then halted with the rise of Asian emerging economies, and stagnated upon the collapse of Japan’s bubble economy in 1993. Neighboring Yokohama developed new coastal industrial areas further away from population centers and rezoned inner city coastal areas for rapid brown-field redevelopment into liveable urban areas. Due to its small coastal area, this was not an option for Kawasaki. Instead, the city government issued policies to revitalize coastal industries and improve environmental amenity and transport networks. The industrial component was based on support for diversification of existing materials industries (e.g., steel, petrochemical, cement), while also attracting investment from lighter industries and logistical hubs in areas freed up due to closure of some older industries. The city prepared its “Basic Concept for the Project to Make Kawasaki City Environmentally Harmonious”, which justified its selection among the first four Eco-Towns in 1997 (11). Under the Eco-Town program, Kawasaki established a zero-emissions industrial complex. This 70 000 m2 brownfield redevelopment area is exclusively allocated to businesses adopting leading environmental technologies and practices. It is now home to some 15 small- and medium-sized enterprises, including several metal fabrication companies and a recycled paper mill. Moreover, five recycling facilities were established on sites of materials industries at a total cost of 25.8 billion JPY (∼258 million USD) with an average investment subsidy of 48%. Their combined installed annual capacity is 235 300 tons of waste (see Table 3).
3. Quantified Assessment Present Symbioses. The Eco-Town program and recyclingoriented legislation led to further industrial and urban symbioses. During 2006-2007 an investigation was made into the present level of symbiotic activity in Kawasaki’s coastal area. It was based on a survey of key companies and associated material flows, combined with follow-up visits by researchers to identify the source of input materials and destination of byproduct. This identified 14 recycling and other symbiotic projects in Kawasaki, involving nine distinct companies, the city’s municipal waste collection and municipal wastewater treatment plant, and a group of industrial and commercial waste management companies. Figure 1 illustrates the symbiotic material flows, and Table 4 sum1274
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TABLE 3. Subsidized Recycling Facilities Established through the Eco-Town Program in Kawasakia recycling project 1. recycling of plastics as reductant (for BF)a 2. recycling of plastics for concrete formworkc 3. recycling plant for unsorted and contaminated paper wastesd 4. recycling of plastics for ammonia productione 5. PET to PET recycling planf total Kawasaki Eco-Town total 26 Eco-Towns
investment subsidy (M JPY)b (%)
capacity (ton/year)
2744
50
50 000
2607
50
20 000
5015
42
73 800
7400
50
64 000
8000
50
27 500
25 766 165 787
av 48 av 36
235 300 1 995 247
a Plastics are crushed and granulated into pallets that are blown into the blast furnace (BF), where they decompose into H2 and CO at temperatures of about 2000 °C and react to reduce iron oxide into pig iron. The residual CO and H2 are recovered as BF gases and used on site for power generation (39). b 1 million JPY is approximately USD 10 000. c Waste plastics are crushed and remolded into boards that are covered by a thin sheet of virgin polypropylene. d The plant accepts unsorted archive boxes which contain office papers that are heavily contaminated with steel, plastics, etc. (binders, clips, sheet protectors, electronic media, etc.). It also accepts mixed paper wastes from municipal collection and process waste from cardboard drinking containers. It is understood that the quoted investment figure only includes the pulp mill and does not include the downstream production of tissue paper. e Mixed plastics are crushed and metals removed prior to feeding into a two-stage gasification process (low-high temperature). The synthesis gas is then cleaned (salt recovery), chemically converted (to H2 and CO2), and again cleaned (recovery of NaHSO3 and commercial-grade CO2). The clean hydrogen is used for ammonia synthesis. The investment figure is understood to be only for plastics gasification and gas cleaning plant (39). f PET bottles are size-reduced, and foreign material is removed (labels and caps), upon which the polymer is chemically decomposed into its monomer, which is then used in production of virgin PET (39).
marizes all 14 present symbioses. It should be noted that even this extended investigation may not have uncovered all symbioses, as researchers depended on information provided by companies on their material flow. However, this situation is not different to similar surveys in other industrial areas, including those summarized in Table 1. Corelex is the only company of the synergistic network that is located in the zero-emissions industrial park. Corelex has the most diverse set of symbiotic relationships, including input materials (low-grade mixed paper wastes), utilities (use of recycled effluent from the wastewater treatment plant as process water and use of power generated with BF gas by JFE Steelworks), and process residues (scrap metal is sent to JFE Steelworks and paper sludge to DC Cement Works). Corelex has also adopted exemplary in-plant environment initiatives which justify its location in the zero-emissions industrial park. An iconic example is the microturbine which generates power from the discharge of its treated effluent into the port. The diversification strategies of JFE Steelworks and DC Cement have driven the symbiotic developments in Kawasaki. DC Cement did so with its active program for use of alternative fuels (specifically mixed plastics, organic waste, and soot), clinker substitute (BF slag), and alternative raw materials (specifically sludge and construction soils). DC has diversified within its core business unit and was recently acquired by
FIGURE 1. Overview of present symbioses in Kawasaki. Note: ktpa ) kiloton per annum and Mtpa ) megaton per annum. Taiheiyo Cement, an international cement company with advanced in-house environmental technologies and practices. The JFE Group diversified within its core business (use of plastics as alternative BF reductant) and through creation of new business units in its Environment group company (dismantling of home appliances, recovery of fluorescent bulbs, and use of plastics for form work). The home appliances plant has an input synergy with the core steel business (scrap and waste plastics from the home appliances recycling plant are used in the steel mill). The production of plastic formboards provides a market synergy for sales of structural steel to the construction sector. Environmental Assessment. An abridged material flow analysis (40) was performed for the Kawasaki symbioses upon consolidation of company data. As the symbiotic system is dominated by material flows, both utility exchanges were excluded (industrial water reuse and use of power from BF gas). Moreover, both traditional recycling streams were excluded (use of scrap in production of steel and stainless steel) as were both specialized dismantling plants for predominantly urban wastes (for home appliances and for fluorescent lights). Eight symbiotic projects then remained of which the PET to PET recycling had to be excluded as it had not yet achieved stable baseline operation. The results of the material flow analysis for the seven remaining symbioses are presented in Table 5. Jointly these divert annually at least 565 kton of waste from landfill (or alternative waste management scenario) and substitute at slightly smaller amount of virgin materials use (net of material benefits in application (513 kton) minus increase in virgin materials use at source (2.5 kton)). The material flows are dominated by DC Cement. Use of BF slag as clinker substitute in cement making accounts for 56% of quantified material benefits, and collectively with alternative fuels and raw materials, the cement company consumes two-thirds of the
symbiotic material flows. This figure still excludes the use of construction soil due to lack of data. The symbiotic system realizes the useful application of 128 kton of plastics waste annually of which 52% is used as alternative BF reductant, 29% for production of synthesis gas for ammonia production, 14% as substitute for plywood in form-boards for concrete construction, and 6% as alternative cement kiln fuel. The use of mixed paper wastes for paper making accounts for some 14% of the total material benefits. Economic Evaluation. A comprehensive economic evaluation of the symbiotic exchanges was not possible as price data are considered commercially sensitive. An attempt was therefore made to establish the economic significance using statistical data collected by various government agencies and industry associations. This was only possible for four material symbioses in Kawasaki, as insufficient data were available for a proxy economic assessment of paper recycling and for use of alternative cement fuels. Table 6 contains the results from the economic proxy evaluation. The estimated annual benefits range between 0.43 and 4.826 billion JPY per material symbiosis, or in total 13.29 billion JPY, which equates to approximately 130 million USD annually. These estimates should be considered as optimistic indicators for the size of the total business opportunity of each material exchange. Even though it is likely that the recipient industry partner, i.e., the user of the byproduct material, will appropriate the largest share, there is no information on revenue or benefit sharing between producers and users of the byproduct. The smallest economic opportunity is the use of granulated BF slag, but this invokes by far the largest mass transfers. The various uses of plastic wastes are driven by mandatory recycling targets in the Containers and Packaging Recycling Law (37). Producers, manufacturers, importers, and retailers using plastic packaging pay a levy (85.8 JPY/kg plastic in packaging in 2008), VOL. 43, NO. 5, 2009 / ENVIRONMENTAL SCIENCE & TECHNOLOGY
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miscellaneous, via industrial/ commercial waste collectors Corelex metal recovered from pulping of mixed paper wastes miscellaneous, via industrial/ commercial waste collectors miscellaneous, via industrial/ commercial and municipal waste collectors miscellaneous, via municipal waste collection
source
remolding size reduction, chemical decomposition, and cleaning none
JFE Environment PET Rebirth Co.
DC Cement
DC Cement
DC Cement
b
none
none
off-site recovery
used in production of cement product
used in production of cement clinker
directly injected as auxiliary fuel in cement kiln
use as reductant in BF
use for production of pulp and paper use as synthesis gas for ammonia production
none
none
none
none
recovery of salt, sulfur, and carbon dioxide
none
glass and aluminum, recycling, and recovery of mercury waste plastics and iron scrap nonferrous metals are used on site in BF and recovery from steel mill, respectively separated parts and shredder residue pulp use for tissue paper metal recovery from production cleaning residues process water for pulp and none paper making production of form-board for none concrete reuse as monomer for PET none production
direct use in stainless steel production none
direct use in integrated steel mill
on-site use
Sludge has value both as fuel (organic content substituting for coal
blending with cement clinker
homogenization with raw materials mix
a Facility has been established with government subsidy through the Eco-Town program (1), as per Table 3. as kiln fuel) and raw material (inorganic content substituting for clay in raw material mix).
14. substitute cement material
13. alternative cement raw materials
organic waste soot and burnt residue wastewater treatment sludgeb wastewater treatment plantsCity of Kawasaki wastewater treatment plantsCorelex construction waste/soil miscellaneous, via industrial/ commercial waste collectors BF slag JFE Steelworks
waste plastics
mixed plastics waste
JFE Steelworks
miscellaneous, via industrial/ commercial waste collectors miscellaneous, via industrial/ commercial waste collectors
11. alternative BF reductanta 12. alternative cement fuels
electricity
10. synthesis gas for mixed plastics waste ammonia productiona
9. power supply
size reduction, two-stage gasification, and gas cleaning size reduction, cleaning, and pelletization size reduction and homogenization
chemical pulping and pulp cleaning none
Corelex Corelex
dismantling, shredding, and cleaning (CRTs only)
shredding, segregation, and cleaning
none
none
recovery process
JFE Environment
NAS Stainless Steel Mill JFE Environment
JFE Steelworks
receiving company
power generated with BF gas Corelex by JFE Steelworks miscellaneous, via municipal Showa Denko waste collection
home appliances (TVs, air conditioners, fridges, and washing machines) 5. recycled paper archives and mixed paper miscellaneous, via industrial/ makinga wastes commercial waste collectors 6. industrial water treated municipal wastewater wastewater treatment reuse plantsCity of Kawasaki 7. plastics reuse in mixed plastics waste miscellaneous, via municipal a form-boards waste collection 8. chemical recovery of PET Bottles miscellaneous via municipal a PET waste collection
4. home appliances dismantling
scrap stainless steel
2. stainless steel production 3. fluorescent lights recycling
fluorescent light tubes
scrap iron and steel
resource transferred
1. steel production
symbiosis
TABLE 4. Present Symbioses in Kawasaki
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mixed plastics waste (plastic containers and wrapping) virgin polypropylene mixed paper wastes (∼47% unsorted archives, ∼37% mixed paper waste, and ∼16% sorted paper waste)
564.11 2.52
virgin material use 2.52 diverted from incineration (or 69 alternative sorting and processing)
miscellaneous commercial waste collectors
waste avoidance increased resource use
diverted from incineration
Kawasaki municipality
18
37
66
16.8 unknown 315
14.86 0.7 20
6.75
quantity (ktpa)
recovery of NaHSO3, NaCl, and CO2 residual waste substitution of plywoodb residual waste virgin fiber pulp
city gas
clinker (produced on site) coal
clay substitution
limestone substitution
coal substitution
benefit
quantity (ktpa)
unknown 513.24 unknown unknown
unknown 54.34
unknown 47.52
unknown
18 130 kNm3/year (∼13 ktpa)
71.28
no separate data
263
55
9.1
material benefits in application
residual waste resource substitution resource recovery residual waste generation
Corelex
JFE Environment
Showa Denko
JFE Steelworks
DC Cement
DC Cement
DC Cement
company
a Note: ktpa ) kiloton per annum, WWTP ) wastewater treatment plant.b Calculated on the basis that form-boards made from recycled plastics are on average used 20 times compared to plywood form boards being used only 5 times.
total
7. recycled paper making
6. plastics reuse in form-boards
diverted from incineration
Kawasaki municipality
diverted from incineration diverted from landfill diverted from landfill diverted from incineration
Corelex commercial waste collectors JFE Steelworks
paper sludge construction soil BF slag
diverted from incineration diverted from landfill diverted from incineration
waste collectors
commercial waste collectors commercial waste collectors Kawasaki WWTP
organic waste soot and other burnt residue WWTP sludge
diverted from incineration
benefit
material benefits at source
commercial waste collectors
company
mixed plastics waste
material transferred
mixed plastics waste (approximately 50% plastic containers and wrapping and 50% industrial waste plastics) 5. synthesis gas for mixed plastics waste (plastic ammonia containers and wrapping) production
3. substitute cement material 4. alternative BF reductants
2. alternative cement raw materials
1. alternative cement Fuels
symbiosis
TABLE 5. Quantified Materials Accounting for Selected Symbioses in Kawasakia
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-418
167 JPY/kg
2.5 ktpa
4616
2007 trade statistics
3432
143 JPY/kg (reference)b 286 JPY/kg (board price)
12 ktpa
sales income, estimated from substituted plywood purchase of virgin polypropylene
2007: Japan Containers and Packaging Recycling Association 2007 trade statistics
18 ktpa
acceptance fee for waste plasticsa
3419 1602
1088
18 130 kNm3/year 60 JPY/m3
replacement of city gas as raw material for ammonia production
2007: Japan Containers and Packaging Recycling Association average of gas price for industrial users charged by Tokyo Gas in April 2008
2007: Japan Containers and Packaging Recycling Association 2007 trade statistics
Department of Treasury, average export prices for Jan-April 2008
data source
89 JPY/kg
4826 2331
734
63 JPY/kg
10.3 JPY/kg
430 4092
957
-527
annual benefit M JPY/year
37 ktpa
71.3 ktpa
replacement of coal for production of cokes
62 JPY/kg
3038 JPY/kg
-1673 JPY/kg
current price
economic benefit
acceptance fee for waste plasticsa
66 ktpa
315 ktpa
replacement of cement clinker
acceptance fee for waste plasticsa
315 ktpa
annual volume
purchase of granulated BF slag
component
Under the Packaging Recycling legislation producers pay a fee to recyclers to meet their extended producer responsibility obligations. The 2008 fee for plastic packaging is 85.8 JPY. b The recycled plastic boards substitute for 12 ktpa plywood boards. The plastic boards can be used four times longer than the plywood boards. It is assumed that this benefit is shared between producer of the boards (JFE) and users (construction companies), leading to the price of plastic boards being double the price of plywood board.
a
net benefit
net benefit 4. production of form-boards from waste plastics
net benefit 3. production of ammonia from waste plastics
net benefit 2. alternative BF reductant
1. BF (BF) slag as clinker substitute in cement
material symbiosis
TABLE 6. Proxy Economic Evaluation for Selected Material Symbioses in Kawasaki
TABLE 7. Classification of Physical Exchanges in Kawasakia physical transfer purpose for application 1. byproduct exchanges
2. utility synergies 3. new recycling industries 4. traditional recycling operations total a
industrial origin • alternative cement fuel • alternative cement raw materials • substitute cement clinker • power from BF gas • mixed paper recycling • plastics reuse in form-boards • scrap recycling (steel production) • scrap recycling (stainless steel production) 8
urban origin
industrial and urban origin
total
• alternative BF reductant • synthesis gas (ammonia production) • industrial water reuse • chemical recovery of PET • home appliances dismantling
5
2 5
• fluorescent lights recycling
2
5
1
14
Exchanges in bold qualify as symbioses.
and this levy covers the acceptance fee charged by the industrial recyclers.
4. Discussion of Results Symbiotic Intensity. This study revealed 14 symbiotic projects in Kawasaki that involve nine companies (four from one company group), municipal garbage collection and a wastewater treatment plant, and a group of industrial and commercial waste collectors. This symbiotic intensity is much higher than the five advanced recycling plants subsidized under the Eco-Town program (1, 11). The level of symbiotic intensity in Kawasaki is comparable with other heavy industrial areas worldwide (see Table 1). It remains likely that connectedness between industries and with residential areas in Kawasaki is much greater. First, data collection is most likely incomplete, in terms of companies so far included and comprehensiveness of information on input and output material flows from companies already included. Other studies also reported that synergies are becoming business as usual and may therefore no longer be reported as such by company staff (e.g., refs 12 and 13). Second, extensive integration of business activity in Japanese companies means that transfers of physical resources between different business units and/or locations may no longer be recognized as symbioses, in the sense of transfers between different organizations. This is well-known in petroleum and allied chemical industries (which generate around 39% of MVA in Kawasaki) where every fraction is being utilized to produce different chemicals. It applies equally to other materials industries (for example, metal recovery from slag and other byproduct and recycling of scrap from downstream manufacturers of machinery, automobiles, cables, motors, etc. in primary and/or secondary metal production). The 14 symbioses in Table 4 display a great degree of diversity, which is further analyzed in Table 7. A distinction is made between transfers between industries (industrial origin), from urban sources to industrial applications (urban origin), and from combined industrial and urban sources to industrial applications (hybrid origin). The second distinction is on purpose of the physical transfer, using the two categories proposed by Van Beers et al. (7) (respectively, “byproduct exchange” and “utility synergy”) and two complementary categories, respectively, for “new recycling industries” (involving advanced technologies and/or complex waste streams) and for “traditional recycling” operations (well-known, proven recycling processes). Table 7 shows that eight transfers have their source in industry. Five originate from urban sources, and one is combined from industrial and urban sources. In terms of application, five each have been ranked
as new recycling industries or byproduct exchanges and two each as utility synergy or traditional recycling operation. In a strict interpretation of symbiosis, as byproduct exchange or utility synergy (7, 13), only seven of the exchange projects in Kawasaki would qualify as symbiosis. All recycling projects would be excluded as these do not make specific use of “synergistic opportunities offered by geographic proximity”, as eluded in Chertow’s definition (6). The traditional recycling operations also do not meet the criterion of “engaging traditionally separate businesses in a collective approach”, also as per Chertow’s definition (6), as, for example, scrap recycling has been practiced for centuries (albeit with improved efficiencies over time). Of the seven symbioses in Kawasaki, four are industrial and three are urban. Of these, five are byproduct exchanges and two are utility synergies. Chertow (22) proposed to characterize IS schemes by the number of entities involved in symbiotic exchanges and the total number of physical exchanges between those entities. Figure 1 shows that the symbiosis in Kawasaki involves 10 entities (a municipal wastewater treatment plant, six company groups, and a further three environmental subsidiaries of these company groups) which are interconnected by 17 physical exchanges, leading to a 10-17 IS type. Chertow limited IS to “3-2 heuristic” (22), stating that at least three different entities, none of them being principally a recyclingoriented business, must be involved in exchanging at least two resources to count as a basic type of IS. In this interpretation the system of physical resources’ exchanges in Kawasaki (as in Figure 1) only has six “different” entities, respectively: JFE Steelworks, NAS Stainless Steel Mills, DC Cement, Showa Denko, PET Rebirth, and Corelex (assuming the latter two are not principally recycling businesses, despite that they primarily use recycled materials). Only three of these are connected directly with physical exchanges: JFE Steelworks, DC Cement, and Corelex. These three entities have four physical resource exchanges: BF slag, metal scrap, paper sludge, and power. With the use of Chertow’s more limited interpretation, Kawasaki would classify as a 3-4 IS which connects three companies by four resource exchanges. This indicator of connectedness is, however, not suitable as proxy indicator for the environmental, economic, and possibly other benefits achieved from symbiotic initiatives. Benefits and Significance. Environmental benefits were assessed with an abridged material flow analysis of seven key physical exchanges. As per Table 7 these cover all five byproduct exchanges plus the two new recycling industries that have primarily an industrial origin. Albeit incomplete, the materials flow data confirm that these collectively divert at least some 565 000 tons of waste from landfill or other forms of waste management. This annual quantity is of the VOL. 43, NO. 5, 2009 / ENVIRONMENTAL SCIENCE & TECHNOLOGY
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same order of magnitude as the 490 000 tons of municipal solid waste collected and managed in 2006 by the City of Kawasaki [http://www.city.kawasaki.jp/20/20tokei/home/ databook/H19databook.pdf]. The waste avoidance by these Kawasaki companies represents about 1% of the current total landfill in Japan (56 million tons (37)). The seven exchanges substitute for at least some 513 000 tons of raw materials use. Data on total materials use and waste generation for these companies were not available for this paper, to determine the relative importance of the cyclic, or recyclingbased, materials flows as part of total materials flows. A proxy indicator can be found by comparison with the annual production volume as included in Figure 1. The total annual production of JFE Steelworks, DC Cement, Showa Denko ammonia plant, Corelex, and JFE form-boards is 5.2 million tons. The documented recycling flows are thus in the order of magnitude of 10% of the production volume of the companies involved. This varies greatly between the companies from exclusive operation with recycled materials (Corelex) to less than 2% (JFE Steelworks). The economic significance of the material exchanges in Kawasaki was also estimated. Due to commercial sensitivity of information, proxy values had to be used, derived from market and trade statistics, and these data were only available for four material symbioses. The estimates for the economic potential ranged from 0.43 to 4.83 billion JPY (∼4.3-48.3 million USD) annually per material exchange. The largest volume exchange (BF slag in cement making) presents the smallest economic opportunity. The plastics recycling projects are considerable business opportunities, essentially as a result of the mandatory recycling targets and levy systems for containers and packaging, which de facto replaced a “willingness-to-pay” with “needto-pay” for generators of waste plastics. The above economic and environmental assessments only provide a partial sustainability assessment for the respective synergies. There are tradeoffs between material flow benefits, as focused upon in this study, and other environmental impacts, which have not been emphasized in this paper. A case in point is, for example, the reuse of BF slag as (partial) substitute for cement clinker. Introduction of BF slag in the final cement mix reduces the energy intensity of cement and greenhouse gas emissions, both from energy use, as well as process related (as the firing of limestone (CaCO3) in cement kiln to clinker (CaO-based) releases CO2). However, to preserve the value as a cement ingredient, the BF slag needs to be granulated immediately upon discharge from the BF. The only commercially applied granulation process is waterbased, leading to large water consumption and the dissipation of the heat energy contained in the BF slag (41). The wet granulation is thus necessary to achieve the environmental benefits from slag reuse in cement but, on the other hand, creates a water use and potentially a pollution problem at the steel mill and inhibits recovery of waste heat from BF slag, which is one of the greatest potential opportunities for reducing energy use and greenhouse gas emissions from integrated iron and steel mills (41). The example of BF slag reuse illustrates the need for development of practical tools for sustainability assessment of alternative technologies and their application for urban and industrial symbiosis. Implications. The case study presented here complements quantified assessments available in the literature for other industrial complexes. It equally provides for a proxy assessment, due to the methodological and data limitations outlined in the Introduction section. In doing so, it expands the practical information base that justifies efforts from public and private sectors and civil society to advocate symbioses. Specifically, the symbiotic intensity, in terms of number of entities and symbiotic projects, is in Kawasaki considerably higher than previously documented. This is consistent with findings elsewhere: once local stakeholders have discovered 1280
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a particular synergy, and assess the industrial system properly, they typically uncover many more existing and potential symbioses. Characterization of an IS by a metric based on number of entities and physical exchanges, as per Chertow (22), is dependent on the level of understanding of the industrial system. Although it might be relatively easy to determine the exact number of entities and exchanges in a small industrial system, this becomes quite impossible in larger industrial systems. The metric is also dependent on firm boundaries. An identical industrial system would have a different entity-exchange metric, depending on number of businesses and other organizations owning and operating the constituent facilities. The Japanese industrialization model through integrated industrial conglomerates would typically score lower on number of entities and symbiotic exchanges, compared to a cluster industrialization model with many small- and medium-scale industries, as is more typical in other parts of Asia (e.g., India, Indonesia). The quantified recycling flows amount to around 10% of the total product volume of the companies involved. Symbioses are therefore significant for improving resource efficiency at the level of industrial parks. Further research to develop robust and comprehensive methods to quantify environmental and economic benefits of individual symbiotic projects, and their aggregation at park level, is warranted to improve the collective understanding of relative merits of symbiosis compared to other environmental innovations based on, for example, efficiency (e.g., cleaner production, ecoefficiency) and substitution (e.g., renewable materials and energy). It may, however, not be justified to expect a rapid increase in implementation of IS as a result of better quantification methods. Benefit quantification of the symbiotic project does not consider benefit distribution among parties to the symbiosis. It is likely that the symbiosis will only happen if all involve parties (perceive to) realize a net individual benefit. Parties can, however, include less tangible benefits, such as improved community and/or government relations, reductions in liabilities, etc., which cannot be quantified on the basis of materials and energy accounting only. Better quantification of benefits is useful to analyze policy options and design policy regimes that, given a net benefit exists at project level, a net benefit is achieved for each party individually. In Kawasaki this was, for instance, achieved by mandatory recycling targets for plastic packaging, creating a supply of recyclable materials, and imposing a “need-to-pay” for waste generators, each in turn strengthening the business case for symbiotic investments (1).
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