Reduction of Industrial Pollution in Ho Chi Minh City
(HCMC Cleaner Production Project)
United Nations Industrial Development Organisation
General Background
The Environmental Management section of DoSTE (HCMC) proposed a project for the practical demonstration of Cleaner Production (CP) and its benefits in selected industrial sectors that were labeled "sensitive" from an environmental point of view. DoSTE approached the United Nations Industrial Development Organisation (UNIDO) for funding and support in conducting the project in order to address the management and control of industrial pollution through CP.
The following definition of CP was used throughout the project:
"Cleaner Production is a new and creative way of thinking about products and the processes that make them. It is achieved by the continuous application of strategies to minimise the generation of wastes and emissions". (National Productivity Council, 1995).
Aims:
-To demonstrate the economical and environmental benefits of CP in 3 industrial sectors (small and large scale enterprises)
-To develop a cadre of trained CP professionals within the country
-To test the appropriateness and usefulness of a systematic approach applied to CP assessment and to make necessary adjustments according to local conditions
-To identify barriers to CP during planning and implementation stages and for long term sustainability
-To disseminate the results of 6 case studies and proposed CP policy tools
-To recommend a strategy for the promotion and dissemination of CP to other industries
Description of the situation before the program was implemented
The growth rate of Vietnam's industrial sector has been faster than any other sector, generating 31.2% of the country's GDP in 1997. The Southern region is the major centre for industry in the country. The industrial sector in HCMC alone accounts for roughly 25% of Vietnam's total economic growth and represents 35% of the total industrial production output of the country.
In HCMC 65 of the 102 major production sites seriously affect the quality of nearby residential neighbourhoods. Prior to the implementation of the project, the CP options at each of the sites selected for demonstration were analysed to gauge the potential for improvements in environmental performance. In most cases it was not possible to quantify the direct environmental benefits specific to each neighbourhood site due to a lack of measurement and monitoring facilities and equipment. However, the reductions in outputs harmful to the environment were quantified for each case study example. These are tangible elements that have direct impacts on environmental quality, and so can be extrapolated to represent proportionate environmental improvements. These measurements are described in the "Description of the situation after the program was implemented" section.
Processes
The aim of the project was to demonstrate that a preventative approach to industrial pollution through reduction in the consumption of resources, minimisation of waste at the source through better operating practices, and employment of cleaner technologies could significantly improve environmental and economic performance of companies. In short, the aim was to demonstrate how waste could be turned into profit. In order to achieve this aim, the project used six successful case studies to demonstrate the application of the CP approach (Table 1). By doing this, it was possible to disseminate the results of real, practical examples to other industries and also ensure the continuation of CP activities for a minority of enterprises beyond the project period.
Table 1: Six companies who participated in CP project
COMPANY / BUSINESS ACTIVITY- Thein Huong Food Company
- Vissan Slaughter House
- Xuan Duc Paper Company
- Linh Xuan Paper Company
- Phuoc Long Textile Company
- Thuan Thien Bleaching & Dyeing Company
The project focused on providing the above companies (as demonstration units) with the knowledge, skills and resources to be able to undertake CP alternatives within their business enterprises. The CP approach used in the project employed the following techniques:
Good Housekeeping - systems to prevent leakages and spillages through preventative maintenance schedules and routine equipment inspections. Proper working instructions, supervision and regular training of workforce facilitates proper housekeeping.
Input material change - substitution of input materials by eco-friendly (non/less toxic and renewable) materials, preferably having longer service time.
Better process control - modifications to working procedures, machine operating instructions and process record-keeping in order achieve higher efficiency and lower waste and emission generation rates.
Equipment modification - modification of existing production equipment and utilities in order to achieve higher efficiency and lower waste and emission generation rates.
Technology change - replacement of technology, processing sequence and/or synthesis pathway in order to minimise waste and emission generation during production.
On-site recovery and reuse - reuse of waste materials in the same process or for other applications within the company.
Production of useful by-product - transformation of waste material a product (or material) that can be reused or recycled for another application within or outside the company.
Product modification - modification of product characteristics to minimise the environmental impacts of its production or those of the product itself during or after its use (disposal).
The processes undertaken to produce successful results relating to each of the project objectives, can be summarised as follows:
- Practical demonstration of financial and economic benefits
CP measures were identified by the six companies participating in the project and implemented with assistance and support from the project team. The range of measures is listed above and the process of implementation depended on the measure in question (includes technical modifications, changes to operating practices, altered input materials, adopting recycling practices, etc). In some cases, financial support was offered to participants to implement changes, in other cases company staff were trained in change processes.
- Develop a cadre of trained CP professionals within the country
Training of in-country staff (in local environment organisations/departments, and in domestic factory enterprises) was undertaken on a practical demonstration basis, using the six nominated companies as case studies. Capacity building of professionals in CP processes and techniques has reduced the dependency on international experts and has ensured that CP efforts are sustained beyond the project timeframe.
- Appropriateness and usefulness of systematic CP methodology
A planned and deliberate approach to CP was employed with adaptations to local circumstances. The methodology had six steps and 18 tasks that were used to implement CP systematically in all six demonstration factories.
- Identify barriers and enabling measures for cleaner production
Identification of the barriers and enabling mechanisms experienced by the participating companies was achieved by gathering the feedback and opinions of management and workers from factories in a qualitative, participatory process. The major barriers identified via this process were attitudinal, organisational, market environment, technical, economic and governmental.
- Disseminate the results of CP demonstrations
In order to communicate the processes and successes of CP, the results from the six demonstration case studies were compiled and published in Vietnamese and English for wider distribution. In addition, three industry sector workshops and one national workshop were held to supplement the publication and to facilitate networking of stakeholders and interested parties. A demonstration video and final report for practitioners were also produced.
- Strategies for promotion and development of CP in the country
At the completion of the project, the adoption of CP in industry was still far from satisfactory. Some of the major issues hindering the promotion and development of CP in HCMC were identified:
a)Initiating the change
b)Creating market demand
c)Development of appropriate specialised services
d)Creation of multiplier effect
e)Means and mechanisms for reaching out to the user
f)Information on cleaner technologies
g)Sustainability of CP promotion and development
The scope of the project did not extend to implementing clear strategies for overcoming these barriers, but recognition of them was seen as a vital first step.
Description of the situation after the program was implemented
Following the implementation of CP measures through the project, the individual demonstration companies and their neighbouring areas experienced significant environmental improvement. This was evidenced through up to 66% reduction in wastewater discharges, up to 70% reduction in air emissions, up to 27% reduction in solid waste generation, along with substantial conservation of materials and a reduction in the use of toxic materials.
A total of 45% of measures implemented across the six demonstration companies had medium to high improvements on environmental performance. In addition, 33% measures had a significant environment improvement.
The overall improvements in environmental performance as evidenced through reduced environmental impacts are presented in Table 2.
Table 2: Environmental impacts of CP measures
COMPANY / NO. OF CP OPTIONS / % REDUCTION INENVIRONMENTAL IMPACTS
WASTE WATER
(%) / POLLUTION LOAD
(%) / GASEOUS EMISSIONS (%)
Thien Huong / 24 / 66 / 35 / 30
Vissan / 9 / 20 / 33 / -
Xuan Duc / 21 / 33 / 20 / 30
Linh Xuan / 19 / 45 / - / 35
Phuoc Long / 19 / 26 / - / -
Thuan Thein / 14 / 34 / 30 / 70
TOTAL / 106
PERCENTAGE / 42%
(Total CP measures available)
The demonstration results indicated that cost savings rather than environmental improvement are the key motivating factors for individual companies to become involved in CP. Table 3 presents the economic benefits experienced by the participants in the project as a result of implementing CP measures.
Table 3: Economic benefits of implementing CP measures
COMPANY / NO. OF CP OPTIONS / FINANCIAL ANALYSISINVESTMENT US $ / SAVINGS
US $ / PAY BACK PERIOD
Thien Huong / 24 / 62,000 / 633,700 / < 2 months
Vissan / 9 / 10,000 / 28,000 / < 5 months
Xuan Duc / 21 / 15,000 / 96,000 / < 2 months
Linh Xuan / 19 / 50,000 / 100,000 / 6 months
Phuoc Long / 19 / 4,400 / 40,000 / < 2 months
Thuan Thein / 14 / 100,000 / 75,000 / > 1.5 year
TOTAL / 106 / 241,400 / 972,700 / < 4 months (average)
Each of the six companies that participated in the case study demonstration experienced significant reductions in environmental impacts. These environmental benefits are presented for each company in Tables 4a-4c.
Table 4a: Environmental benefits for food processing sector
COMPANY / INDICATOR / BEFORE CP / AFTER CP / DIFFERENCE %Thien Huong Noodle Company / Fresh water consumption (m3/ton)
Furnace oil consumption (lit/ton)
Shortening oil (kg/ton of product)
COD load (kg/ton)
BOD load (kg/ton)
Green House Gases (ton/day)
Potable water consumption (m3/day) / 12.7
165
185
8.3
3.5
0.51
1200 / 5.3
138
160
5.6
2.2
0.42
950 / -58
-16
-13
-32
-37
-17
-20
Vissan Slaughter House / Furnace oil consumption MT/day
Electric consumption (KWhr/day)
Pollution load organic COD ton/day
Solid waste ton/day
Green House Gases ton/day / 750
17,600
3.34
15.8
4.47 / 702
14,628
2.30
11.72
3.60 / -6
-17
-33
-27
-19
Table 4b: Environmental benefits for paper and pulp sector
COMPANY / INDICATOR / BEFORE CP / AFTER CP / DIFFERENCE %Xuan Duc Paper Company / Water consumption (m3/ton)
Furnace oil consumption (lit/ton)
Electrical consumption (KWhr/T)
Rosin consumption (Kg/T)
Solid waste Kg/T
Green House Gases (ton/day) / 130
320
740
10.8
-
1.32 / 85
250
662
8.8
-
0.9 / -33
-21
-10
-20
-20 (est.)
-20
Linh Xuan Paper Company / Water consumption (m3/ton)
Furnace oil consumption (lit/ton)
Electrical consumption (KWhr/T)
Bleaching chemical consumption (lit/T)
Organic pollution load (Kg/T)
Green House Gases ton/day / 250
518
1,400
340
-
2.65 / 140
390
1,140
208
-
1.86 / -44
-33
-18
-39
-40 (est.)
-30
Table 4b: Environmental benefits for textile processing sector
COMPANY / INDICATOR / BEFORE CP / AFTER CP / DIFFERENCE %Phuoc Long Textile Company / Water consumption (m3/ton)
Furnace oil consumption (lit/ton)
Auxillary chemicals Kg (total)
Dyestuff (Kg/T)
Green House Gases (ton/day) / 320
1220
391
6.2
3.8 / 240
1090
330
4.3
3.3 / -25
-10
-15
-30
-13
Thuan Thien Bleaching and Dyeing Company / Water consumption (m3/ton)
Furnace oil consumption (lit/ton)
Auxillary chemicals (Kg/t)
Green House Gases ton/day / 104
1590
56
5.67 / 70
435
49
2.09 / -33
-62
-14
-63
Lessons learned
Among the major lessons learned as part of the CP project were a number of key factors for success.
a)COMMITMENT
Commitment at all levels in an organisation was seen as vital to the success of CP programs. This expressed commitment was most effective when it was clearly communicated by management to all levels. Without it, the organisational cultural change that is required is difficult to achieve. Commitment was evident in all 6 CP demonstration companies at all levels and as a result, remarkable behavioural change was observed along with enthusiasm for the project.
b)OPENNESS
During the course of the project, it was observed that the groups that were the most successful were those that engaged in frequent open discussions, and whose attitudes were not resistant to change. In addition, those teams that sought the involvement of many employees were also more successful as workers at all levels felt some degree of ownership over the project and the outcomes.
c)CP CHAMPION
In all the demonstration companies, the teams involved in the project nominated a "CP Champion" who became the focal point for the whole CP program. That person also assumed responsibility for communication, data collection and compilation, organisation of meetings and facilitation of the implementation program. The CP Champion in most teams was highly enthusiastic and served to motivate the team and push the program forward.
d)PLANNED APPROACH
By employing a deliberate and planned approach, the six companies were successful in implementing 42% of all identified CP measures in less than a year. This time period is highly efficient given the typically sluggish approach to organisational and procedural change that usually prevails. The long-term sustainability of the change towards CP remains to be seen, however the organisations and key players involved are committed to the initiative, having seen the initial successes.
e)START WITH SIMPLE MEASURES
In the current project, it was useful to start with CP options that were easy to implement, required low investment and had quick pay back. It was thus possible to get the approval of management and the motivation of employees by demonstrating early economic and environmental improvements without too much resource investment. In the project, 2/3 of CP measures identified were analysed to be low cost and more than 80% had a payback period of less than a year.
f)LONG TERM SUSTAINABILITY
It was envisaged at the planning stage of the project that the long-term sustainability of CP in the industrial sector of HCMC would be dependent upon the capacity of organisations to support CP within the industrial sector. In addition, the ability of individual CP experts locally to conduct assessments and assist in implementation would also have an impact on whether CP persisted beyond the project timeframe. This aspect was addressed by a comprehensive education and training component aimed at employees of local environment and government agencies/departments who have a role in environmental management and control.
Possibility of replicating the approach in other cities
The potential for replicating the present approach to Cleaner Production in other cities either domestically or internationally is extremely promising. This project employed a strategic, deliberate step-by-step approach to planning, assessment, implementation and evaluation in relation to CP in the industrial sector of HCMC. This methodology can easily be transferred to other countries, cities and/or business sectors for identifying areas in which environmental and economic improvements can be made in production processes.
The demonstration case study approach is also widely used in many contexts and is readily recognised and related to by business managers and enterprise owners. If it can be seen and realised that other businesses or industries are proactive in this regard and are achieving substantial benefits as a result, others are far more likely to adopt the same approach in their own contexts.
Ho Chi Minh City
Department of Science, Technology and Environment (DOSTE)