Approaches and policies for promoting industrial park recycling transformation (IPRT) in China: Practices and lessons

Abstract

Industrial park recycling transformation (IPRT) was one of the major circular economy construction demonstration programs in the 12th Five-Year Plan issued by the China State Council in 2012. It comprised of 7 major tasks to transform traditionally high resource and energy intensive production into high efficiency and low pollutant production. By 2017, 129 industrial parks had been approved for IPRT by the National Development and Reform Commission (NDRC). This paper presents a thorough review on IPRT content, policies, and practices, with some lessons and suggestions for further development. Six types of projects were supported by national funds, which included industrial chain extension and complementary projects; water conversion and recycling projects; energy saving projects; pollution prevention projects; platform construction projects; and infrastructure construction sharing projects. Case studies show success for each case. However, deficiencies in industrial development, management, policy-making, and information sharing also emerged. Two suggestions were put forward. First, investment should be diverted from traditional industries to new industries. Past cases have shown that traditional industries have a greater risk of obsolescence. Failure in one park has already created a cascading effect on other enterprises in the park. Secondly, the government-led model should be transformed into a government and market co-led model. The government could establish more effective incentive and restraint mechanisms to attract participation from enterprises and/or social capital. Information sharing platforms, for example, benefit enterprises by increasing awareness for circular economy projects to both private and public actors.