Industrial Symbiosis in the Australian Minerals Industry: The Cases of Kwinana and Gladstone

The realization of regional synergies in industrial areas with intensive minerals processing provides a significant avenue toward sustainable resource processing. This article provides an overview of past and current synergy developments in two of Australia's major heavy industrial regions, Kwinana (Western Australia) and Gladstone (Queensland), and includes a comparative review and assessment of the drivers, barriers, and trigger events for regional synergies initiatives in both areas. Kwinana and Gladstone compare favorably with well‐known international examples in terms of the current level and maturity of industry involvement and collaboration and the commitment to further explore regional resource synergies. Kwinana stands out with regard to the number, diversity, complexity, and maturity of existing synergies. Gladstone is remarkable with regard to unusually large geographic boundaries and high dominance of one industry sector. Many diverse regional synergy opportunities still appear to exist in both industrial regions (particularly in Kwinana), mostly in three broad areas: water, energy, and inorganic by‐product reuse. To enhance the further development of new regional synergies, the Centre for Sustainable Resource Processing (CSRP), a joint initiative of Australian minerals processing companies, research providers, and government agencies, has undertaken several collaborative projects. These include research to facilitate the process of identifying and evaluating potential synergy opportunities and assistance for the industries with feasibility studies and implementation of selected synergy projects in both regions. The article also reports on the progress to date from this CSRP research.     

Synergy Management Services Companies: A New Business Model for Industrial Park Operators

The concept of industrial symbiosis (IS) was introduced decades ago and its environmental and economic benefits are well established, but the broad acceptance of IS still faces significant barriers. This article provides a new approach to capture synergies within industrial parks by suggesting a new business model. Building on findings from a survey conducted by the authors and on literature, we first identify potential barriers to low‐carbon synergistic projects. Economic concerns of technically feasible synergies and financial issues turn out to be the largest barriers, because of long payback periods and fluctuating raw material and by‐product market prices. Existing business models do not offer easy ways to overcome or relax these barriers. We therefore introduce the concept of a synergy management services company (SMSCO), a synergy contractor and third‐party financing model, to overcome these barriers. This model shifts the financial risk of the synergistic project from collaborating firms to the SMSCO. We posit that this attribute of the SMSCO model makes it attractive for industrial park operators who seek long‐term solutions to secure future viability of their park.     

Assessing the “Short Mental Distance” in Eco‐Industrial Networks

Like many economic exchanges, industrial symbiosis (IS) is thought to be influenced by social relationships and shared norms among actors in a network. While many implicit references to social characteristics exist throughout the literature, there have been few explicit attempts to operationalize and measure the concepts. The “short mental distance,”“trust,”“openness,” and “communication” recorded among managers in Kalundborg, Denmark, set a precedent for examining and encouraging social interactions among key personnel in the dozens of eco‐industrial networks around the world. In this article we explore the relationships among various aspects of social embeddedness, social capital, and IS. We develop a conceptual framework and an approach using quantitative and qualitative methods to identify and measure these social characteristics, including social network structure, communication, and similarities in norms and conceptions of waste, and apply them in an industrial network in Nanjangud, South India. The findings suggest that there is a fairly high level of shared norms about dealing with waste—the “short mental distance”—in this network, but by‐product transactions are only weakly correlated with the structure and content of communication among managers. Replication of this approach can increase the understanding and comparability of the role of social characteristics in eco‐industrial activities around the world.     

Using an Industrial Waste Account to Facilitate National Level Industrial Symbioses by Uncovering the Waste Exchange Potential

The identification of potential by‐product exchanges is important for fostering industrial symbiosis. To discover these potential exchanges, this article extends the analysis of local industrial symbiosis to a national scale. A waste input‐output table, which is a material flow accounting tool, was compiled and used as a database to examine the existing exchanges of by‐products. The supplies and demands of industrial wastes or by‐products were compared to highlight their potential use for promoting higher exchange flows. The analysis of the linkages indicated that the majority of each of the by‐products were reused by the few industries that had the technology and operational capacity for reuse. This finding is useful for determining which industries are good candidates for promoting further industrial symbiosis (IS). Based on a nation‐wide analysis that considered the industrial characteristics of Taiwan comprehensively, 23 types of major by‐products with greater reuse flows and 216 potential exchange patterns were identified between the industries. In addition, three types of eco‐industrial networks were characterized as follows according to their dominant types: (1) fossil fuel, metal, and mineral‐dominated; (2) agricultural and synthetic material‐dominated; and (3) information and communications technology (ICT) and chemical industry‐dominated eco‐industrial networks. This analysis highlights the resource exchange potentials and provides information to new firms for networking with existing businesses.     

Industrial Waste Reuse and By‐product Synergy Optimization

By‐product synergy is a growing practice worldwide. It consists in the maximization of resources utilization with the replacement of raw materials by by‐products as inputs for industrial processes. In order to support decision making in such strategic projects, appropriate tools must be developed. This article presents the results of a research project, which includes the development of a multiobjective mathematical programming model for the optimization of by‐product flows, synergy configurations, and investment decisions in eco‐industrial networks. This model is evaluated using data related to the Kalundborg industrial symbiosis (IS) in order to illustrate its utilization, as well as to assess, in a retrospective manner, the behavior of the companies involved with respect to both economic and environmental benefits of synergies. The experiments also illustrate the influence of the municipality on synergy implementation and how a scenario‐based approach can be used to anticipate raw material price increase. The results are generally coherent with the actual timing of synergy initializations. Further, the considerable effect of water price on the length of investments’ payback period illustrates the impact of policies and regulations on IS.     

Scaling‐Up of Industrial Symbiosis in the Korean National Eco‐Industrial Park Program: Examining Its Evolution over the 10 Years between 2005–2014

In 2005, South Korea initiated the 15‐year National Eco‐Industrial Park Development Program in three stages to gradually transform aged industrial complexes into eco‐industrial parks (EIPs) by promoting industrial symbiosis (IS). Building upon the pilot experiences from the first 5 years, the second phase of the program focused on the scaling‐up of IS at a broader regional level. Key scaling‐up strategies included the expansion of target areas by connecting multiple industrial complexes, the standardization of processes and dissemination of learning, and the development of large‐scale projects that could contribute to the regional development. In this study, we examined the evolution of IS over the last 10 years between 2005 and 2014, primarily to understand the characteristics and impact of these scaling‐up strategies. Our findings showed that the scale of IS in the second phase had increased in various aspects in comparison to that in the first phase. The number of operating projects had increased from 52 to 159, the number of participating firms increased from 90 to 596, and the average distance of IS increased from 40 to 48 kilometers. The size of economic and environmental benefits also increased along with an increase in the private investment and government research funding. We further analyzed the role of the regional EIP centers as facilitators, how their activities influenced the scaling‐up of IS, and discussed the characteristics of the Korea's approach to IS.     

Social Semantic Web Framework for Industrial Synergies Initiation

Industrial synergies join two or more organizations that initially functioned as independent economic actors—that may originate from different sectors—together in order to share resources and exchange by‐products for mutual environmental, financial, and social benefits for its participants. Industrial symbioses (ISs) are networks of industrial synergies that can be initiated and created over time in various manners. In practice, the initiation of an industrial synergy, and particularly the identification of by‐product compatibilities, relies on direct or facilitated knowledge and information sharing, which is essential for discovering industrial synergy opportunities. Beyond its potential contribution to facilitate knowledge and information sharing among organizations, the Social Semantic Web (SSW) also has the potential to facilitate the initiation of industrial synergy by systematically and automatically identifying and recommending by‐products exchange compatibilities to potential partners. This framework exploits the ability of the sematic web to enable the search for analogies between potential partners within a region or district and existing industrial synergies around the world. This paper proposes the Social Semantic Web for Industrial Synergies Initiation (SSWISI) framework for the initiation of industrial synergies, which is based on the Social Semantic Web. The framework proposed in this paper adopts the concept of Linked Open Data (LOD), which enables the sharing and exchanging of information with external systems. This feature distinguishes the proposed framework from the existing approaches in its initiation of industrial synergies.     

Evaluating the environmental performance of producing soil and surfaces through industrial symbiosis

Industrial symbiosis (IS), where different entities collaborate in the management of energy, utilities, materials, or services, has been identified as an approach to improve resource efficiency and circularity in industry. This article assesses the environmental performance of an IS network with firms involved in waste management, soil, surfaces, paper, lumber, and energy. The aim is to highlight the environmental performance of an IS network and pay particular attention to the improved performance for products in the IS network. Life cycle assessment is used to compare the current IS network with a reference scenario and a potential future development. The results suggest that there are significant benefits from the IS network. Large reductions in greenhouse gas (GHG) emissions and abiotic resource depletion were identified. Furthermore, large reductions in local impacts, namely eutrophication and acidification impacts are illustrated. It was shown that all firms in the network benefit from the synergies involved, with a large share of the benefits stemming from the facilitated exchanges with the waste management company. The replacement of conventional products and energy streams with bio‐based counterparts from within the network is of significant importance. Finally, the results point to the importance of the facilitation of by‐product synergies, and the significant value this creates in the region, with large potential to improve the environmental performance of firms and their products.     

Industrial symbiosis in the forestry sector: A case study in southern Brazil

Industrial symbiosis (IS) is an important concept in the field of industrial ecology that has disseminated worldwide as a practice to decrease the ecological impact of industrial processes through the exchange of by‐products and waste between units in a system. The forestry industry is the main economic activity in the region of Lages in southern Brazil. IS relationships have expanded with the use of waste material from wood processing and strengthened cooperation between companies in different sectors. The aims of this article were to: a) quantify the level of IS in the system, b) identify the benefits of IS for participants, and c) explain why the network further developed IS to the formation of an industrial ecosystem. A questionnaire was administered during visits to 24 forestry companies in order to analyze their products and processes, commercial relations, positive impacts, and local insertion. The industrial symbiosis indicator (ISI) was determined using waste stream data from the system to represent the level of symbiosis among the companies in this region. The results show that the companies participate in a symbiotic network, mainly involving the exchange of chips, bark, sawdust and shavings. In most cases, these exchanges occur between nearby companies, constituting an extensive industrial ecosystem.     

Material Flow Optimization in By‐product Synergy Networks

By‐product synergy (BPS) is an industrial ecology practice that involves utilization of industrial by‐products as feedstocks for other industrial processes. A novel decision support tool is developed to analyze BPS networks that involve material processing and transport among regional clusters of companies. Mathematical programming techniques are used to determine the optimal network design and the material flows that minimize total cost or environmental impacts. This methodology is incorporated into a graphical software package called Eco‐Flow?. The tool has been applied to model and analyze available synergies in an existing BPS network centered in Kansas City, Missouri. A base case, which assumes no synergies, is compared with the optimal BPS solution found by Eco‐Flow?. The results for Kansas City suggest that when companies in the network cooperate to optimize the system profitability, up to $15 million per year of savings are possible. The findings also indicate that the BPS approach would result in 29% reduction in total cost, 25.8% reduction in average company cost, 30% reduction in carbon dioxide (CO₂) emissions, and 37% reduction in waste to landfill. The modeling approach is being extended to better represent the dynamics of industrial and ecological processes.     

Promoting Industrial Symbiosis: Using the Concept of Proximity to Explore Social Network Development

Industrial symbiosis (IS) has been identified as a strategy for promoting industrial sustainability. IS has been defined as the development of close working agreements between industrial and other organizations that, through the innovative reuse, recycling, or sharing of resources, leads to resource efficiency. Key to IS are innovation and social network development. This article critically reviews IS literature and concludes that, to inform proactive strategies for promoting IS, the understanding of the social processes leading to resource innovation needs to be improved. Industrial ecologists generally believe that close geographical proximity and trust are essential to the development of IS. This article argues, however, that there is a need to learn more about the meaning of, need for, and specific role of geographical proximity and trust in IS and, additionally, that other potentially important social factors have remained underexplored. To move IS research forward, this article suggests to engage with research in economic geography on the concept of ‘proximity,’ which draws attention to the ways in which geographical, cognitive, institutional, social, and organizational distances between actors might affect innovation. Arguably, the analytically distinct, but flexible, dimensions of proximity can be useful to explore how and why IS develops. The resulting qualitative knowledge would form a basis for researching whether general patterns for IS development exist and, more important, could inform public and private strategies that indicate which actions could be taken, as well as when and in what way to promote resource synergies and sustainable industrial development.     

Barriers to Promoting Eco‐Industrial Parks Development in China

For at least the past two decades, eco‐industrial parks (EIPs) have been promoted as policy and commercial instruments for achieving industrial sustainable development. Yet, few EIPs have seen successful operational implementation, especially if they begin as standard industrial parks. Rapid economic growth, commensurate with increasing environmental damage in China, has resulted in officials’ further pursuing EIP policy as a significant element of the broader circular economy and ecological modernization efforts. This article examines the barriers for EIP development from industrial park senior manager perspectives. Using resource dependence theory and the resource‐based view as theoretical lenses, we investigate the external and internal barriers for EIP development in 51 Chinese industrial parks. A number of barriers are identified and grouped through a factor analysis. Cluster analysis is utilized to help categorize and evaluate the perceived levels of barriers and hardships experienced by various senior officials that manage the EIPs. It is found that few respondents encounter no significant barriers. Barriers related to technological development and capacity building are the most prevalent. These results highlight the relative importance of various activities that may be necessary by policy makers and other stakeholders to overcome the barriers. For example, cooperation in developing technological solutions for EIPs seems to be a major thrust that should be pursued by EIP development stakeholders. Other policy and managerial insights based on the general findings of this study are also presented.     

Use of Industrial By‐Products in Urban Roadway Infrastructure

Incorporating the beneficial use of industrial by‐products into the industrial ecology of an urban region as a substitute or supplement for natural aggregate can potentially reduce life cycle impacts. This article specifically looks at the utilization of industrial by‐products (IBPs) (coal ash, foundry sand, and foundry slag) as aggregate for roadway sub‐base construction for the Pittsburgh, Pennsylvania, urban region. The scenarios compare the use of virgin aggregate with the use of a combination of both virgin and IBP aggregate, where the aggregate material is selected based on proximity to the construction site and allows for minimization of transportation impacts. The results indicate that the use of IBPs to supplement virgin aggregate on a regional level has the potential of reducing impacts related to energy use, global warming potential, and emissions of nitrogen oxides (NO_x), sulfur dioxide (SO₂), carbon monoxide (CO), PM₁₀ (particulate matter—10 microns), mercury (Hg), and lead (Pb). Regional management of industrial by‐products would allow for the incorporation of these materials into the industrial ecology of a region and reduce impacts from the disposal of the IBP materials and the extraction of virgin materials and minimize the impacts from transportation. The combination of reduced economic and environmental costs provides a strong argument for state transportation agencies to develop symbiotic relationships with large IBP producers in their regions to minimize impacts associated with roadway construction and maintenance—with the additional benefit of improved management of these materials.     

Understanding the Evolution of Industrial Symbiosis Research

This study analyzes the evolution of the research field of industrial symbiosis (IS). We elucidate its embedding in industrial ecology (IE), trace the development of research themes, and reveal the evolution of the research network through analysis of the core literature and journals that appeared from 1997 to 2012 by citation analysis, cocitation analysis, and network analysis. In the first period (1997–2005), IS research held a minority share in the IE literature. The research revolved around the concept of IS, the assessment of eco‐industrial park projects, and the establishment of waste treatment and recycling networks. In the second period (2006–2012), diverse research approaches and theories enriched the field, which has led to a maturation in theory building. Our findings clearly illustrate that IS evolved from practice‐oriented research toward coherent theory building through a systematic underpinning and linking of diverse topics. As scientific attention shifted from exploring a phenomenon to elucidating underlying mechanisms, IS knowledge found worldwide practical implementation. The coauthorship network shows that the academic communities of IS are distributed worldwide and that international collaboration is widespread. Through bibliometric and network analysis of IS, we have created a systemic, quantitative image of the evolution of the IS research field and community, which gives IS researchers an underpinned overview of the IS research and may help them to identify new directions and synergy in worldwide research.     

Redefining Industrial Symbiosis

The most commonly cited definition of industrial symbiosis (IS), by Chertow (2000) , has served well to foster discussion and research for more than a decade. The definition reflected the state of research and practice at the time; as both have advanced, some terms have been interpreted in substantially different ways. In this article we analyze those generally used terms for their connection to the ecological metaphor that is the root of industrial ecology, and their varied interpretations in IS research and practice over time. We then propose an updated definition intended to communicate the essence of IS as a tool for innovative green growth: IS engages diverse organizations in a network to foster eco‐innovation and long‐term culture change. Creating and sharing knowledge through the network yields mutually profitable transactions for novel sourcing of required inputs and value‐added destinations for non‐product outputs, as well as improved business and technical processes. We posit that, although geographic proximity is often associated with IS, it is neither necessary nor sufficient—nor is a singular focus on physical resource exchange.     

Modeling and Optimization of a Coal‐Chemical Eco‐industrial System in China

China is coal dependent, and this situation will persist for a long time. Because more and more attention has been paid to energy security, the coal‐chemical industry has become a hot topic and has developed quickly. To improve efficiency and reduce emissions, industrial symbiosis (IS) can be introduced when establishing a coal‐chemical eco‐industrial system to achieve harmonious development between nature, industry, and society. In order to learn the influence of IS on the current industrial system, a model of coal‐chemical eco‐industrial systems was built. Using scenario optimization and linear programming, the behaviors and optimal industrial structures of the system under different scenario settings were compared, and industrial ecological analysis was performed. By comparative analysis, results showed that the greatest proportional decrease in the use of coal for coking was 15% compared with actual data for 2005. The resource‐productivity and eco‐productivity were 828 yuan/ton and 2.51, which are much higher than the values of 548 yuan/ton and 1.23 in 2005. The symbiosis index and the link density were found to be 0.675 and 1.67, compared with 0.588 and 0.94 in 2005. Research results showed that the coal‐chemical eco‐industrial system achieved a high value‐added utilization of coal and an updated product profile. Such systems will constitute the main direction and the inevitable trend of China's coal utilization in the future, which will reduce the harm to the environment from increased coal use and benefit the energy industry, the economy, and society.     

Understanding the Organization of Industrial Ecosystems

Industrial symbiosis (IS) has been used to describe the physical exchange and shared management of input and output materials by geographically proximate firms. Firms that engage in IS are said to belong to an industrial ecosystem. Symbiosis has been found to be motivated by economic considerations, such as lowering costs for waste disposal, as well as by environmental ones, such as accessing limited water supplies. Communication and trust among managers are thought to play important roles in exchanges; however, empirical studies have not been previously conducted. This study used social network analysis (SNA) to identify the prevalence of industrial symbiosis linkages in Barceloneta, Puerto Rico. The study quantified patterns in various relationships among firms and managers, including formal relations through supply chains, and informal ones through interpersonal interactions. SNA and statistical methods were used to explore how these ties correlate with observed industrial symbiosis activities. IS linkages were found to be less prevalent than product sales among firms and were concentrated among pharmaceutical firms at the core of the regional network. Trust among managers and position in the social hierarchy were found to be correlated with IS but not supply chain links. SNA was useful for examining the organization of different relationships in the industrial ecosystem, but contextual information is still needed to add meaning to its findings.     

The Evolution of Facilitated Industrial Symbiosis

While much work has been done on the conditions surrounding the emergence and establishment of industrial symbiosis (IS), new attention is being paid to understanding the evolution of IS over time. We demonstrate empirically how a new, facilitated IS initiative developed and evolved over an 8‐year period. We explore its network evolution by considering how the facilitator's actions enabled and precluded two fundamental network processes—serendipitous and goal‐directed processes. We discuss implications for a more generalized theory of IS development by exploring why and how different evolutionary trajectories may unfold.     

Industrial Recycling Networks as Starting Points for Broader Sustainability‐Oriented Cooperation?

Closing loops by intercompany recycling of by‐products is a core theme of industrial ecology (IE). This article considers whether industrial recycling networks or industrial symbiosis projects can be used as a starting point for much broader intercompany cooperation for sustainable development. Evidence presented is based on the results of an empirical investigation of the recycling network Styria in Austria, the recycling network Oldenburger Münsterland in Germany, and the manufacturing sector in Austria. Statistical analysis shows that the percentage of by‐products that are passed on to other companies for recycling purposes is not higher in member companies of the recycling networks than in the other companies of the manufacturing sector in Austria. In terms of cooperation, the relationships with the respective recycling partners are found to be very similar to regular customer relations. Furthermore, the companies of the recycling networks remain unaware of the network to which they belong. Instead, one of the main findings of this study is that intercompany recycling activities are regarded by the company representatives as bilateral market transactions, not as collaborative network activities. This has potentially significant implications for the use of industrial symbiosis networks as starting points for sustainability networks with broader cooperation toward sustainability. The findings raise interesting questions as to whether such broader cooperation might result from a conscious planning process or might emerge largely spontaneously as part of normal market coordination. In any case, intercompany recycling is clearly considered to be a very important field of collaborative action for sustainability in industry.     

Levels of Institutional Capacity and Actor Expectations about Industrial Symbiosis

One assumption underlying the work on industrial symbiosis (IS) is that certain social conditions must be fulfilled in order for firms to develop symbiotic linkages. In this article we add depth to this insight by using institutional capacity as an underlying concept for these conditions, and we propose that such capacity influences IS by altering the opportunity set of actors. We then test the assumption on a dataset of 233 projects aiming to develop eco‐industrial parks. We find that the link between institutional capacity and the opportunities for symbiotic linkages perceived by actors is not always present and is more complicated than has been recognized thus far. We discuss potential alternative ways in which institutional capacity might influence IS and present ideas for future research to shed light on this important relationship.