What Industrial Symbiosis means
Industrial Symbiosis (IS) is the collaborative interaction between companies and organizations within geographically defined industrial clusters or even across distances that allow mutual engagement. Its main objective is to maximize the value of waste resources through the exchange of materials, energy, services, and skills among different industries.
The basic principle of Industrial Symbiosis rests upon the cooperation among industries to leverage their waste and create a virtuous system for exchanging unique elements that define each business, forming a comprehensive network of companies.
Industrial Symbiosis is a contemporary phenomenon that is gaining substantial traction, especially with the growing awareness of Circular Economy issues within corporate frameworks.
To better comprehend this concept, we can draw parallels with the process of symbiosis observed in nature. Similar to successful businesses, natural ecosystems maintain their vitality and longevity by engaging in a perpetual exchange of secondary raw materials and by-products, contributing to sustainable growth and profitability.
How the term Industrial Symbiosis originated
In 1992, physicist Robert Alan Frosch delivered a lecture titled “Towards an Industrial Ecology,” where he introduced the concept of industrial ecology.
Frosch coined this term upon recognizing numerous similarities between natural and industrial ecosystems, notably the potential for resource and energy exchanges.
He argued that industrial processes could incorporate relationships similar to those found in natural ecosystems, thereby enhancing the industrial context.
Thus, the definition of Industrial Ecology takes on a distinct meaning: the study and understanding of the human system as a productive, cultural, and social entity, analyzed within the framework of its environment and the biosphere.
Several years later, Professor Marian Ruth Chertow pioneered the concept of Industrial Symbiosis. Chertow employed the term “symbiosis” to evoke the biological symbiotic relationships observed in nature, where the efficient mutual exchange of materials, resources, and energy confers widespread benefits.
Her objective was to apply this concept to relationships among traditionally isolated companies, enlightening them about the enormous competitive advantage achievable through the exchange of materials, energy, water, and waste.
This approach led to the emergence of the first collaborations and networks of companies guided by the principles of Industrial Symbiosis. These relationships aimed to realize not only individual advantages for each company but also collective benefits, promoting Corporate Social Responsibility.
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enhance value nowIndustrial Metabolism and Industrial Ecology
When discussing Industrial Symbiosis (IS), we also touch upon two related phenomena: Industrial Metabolism and Industrial Ecology.
To understand Industrial Symbiosis fully, we must delve into the meanings of these two terms, that connected can maximize the value of waste resources.
Industrial Metabolism: meaning
The concept of Industrial Metabolism was first introduced by Robert Underwood Ayres, an American economist and physicist, in 1989.
Ayres employed this term to describe the interconnected chain of physical processes involved in converting raw materials, energy, and labor into finished products and production waste.
The objective is to study the material pathway, with an initial focus on society, in order to gain precise insights into the sources, causes, and effects of emissions.
Industrial metabolism draws inspiration from biological and chemical studies, where cells sustain their functions and reproduce through chemical reactions. Similarly, industrial metabolism analyzes the relationships, processes, and manufacturing activities within the industrial realm.
The Biosphere and Technosphere metaphor
Ayres utilized a metaphor that highlights the relationship between the biosphere and technosphere to elucidate the essence of industrial metabolism.
Over millennia, the biosphere has evolved to efficiently utilize materials and energy. In contrast, the technosphere exploits resources, resulting in the release of harmful substances into the environment.
By integrating the processes of the biosphere, the technosphere can design and manage its activities, striving to enhance efficiency and minimize the release of residues and waste into the environment.
Industrial Ecology: Meaning
The emergence of Industrial Ecology as a scientific field dates back to the 1990s.
This term combines two significant aspects:
- “Ecology” refers to the methods employed in studying material and energy flows within industrial processes.
- “Industrial” encompasses various production systems, including cities, agriculture, trade, and related domains.
According to Industrial Ecology, the global economic system has been mistakenly perceived as a linear progression (“Take, Make, Dispose”) without considering the impact on diverse ecosystems.
Current processes prioritize meeting market demands without adequately acknowledging the consequences for existing systems and lacking awareness of their own environmental sustainability.
Examples of Eco-Industrial Development
Numerous examples exist illustrating eco-industrial development across different scales (macro, meso, and micro). Here are a few noteworthy ones:
- Circular economy: emphasizes the reuse of materials and energy exchanges.
- Greenfield eco-industrial development: limited geographic spaces in rural areas dedicated to sustainable practices.
- Brownfield eco-industrial development: restricted geographic areas in industrial zones transformed through sustainable initiatives.
- Eco-industrial network: collaborative relationships among companies without strict proximity requirements.
- Virtual eco-industrial network: extensive networks spanning large areas, such as regional networks.
- Networked eco-industrial system: macro-level developments connecting regions to foster sustainable growth.
Industrial Symbiosis Legislation
At the European Community level, Industrial Symbiosis (IS) is recognized as a crucial concept for promoting the proliferation of circular production models that prioritize the rational and concentrated use of resources and materials to minimize environmental, economic, and social impacts.
There are three key reference documents at the European level:
- Communication 2011/571: Roadmap to a Resource Efficient Europe;
- Communication 2014/398: Towards a Circular Economy (Programme for a Zero Waste Europe);
- Communication 2015/614: The Missing Link – European Union Action Plan for the Circular Economy.
All of these communications were incorporated into the Circular Economy Package, which was approved by the European Parliament on April 18, 2018. The package was subsequently revised with the introduction of the European Green Deal in March 2021.
Industrial Symbiosis Legislation in Italy
In Italy, the legislative framework includes the adoption of the aforementioned European communications and Article 21 of Legislative Decree 112/1998 (Bassanini Decree). Article 21 introduces the concept of Ecologically Equipped Production Areas (APEAs) into the legal system.
APEAs are designated as industrial zones with advanced infrastructure and high ecological standards to ensure environmental safety and health.
Currently, there are ten APEAs distributed across different regions in Italy, including Abruzzo, Calabria, Emilia Romagna, Liguria, Marche, Piedmont, Apulia, Tuscany, Sardinia, and Lazio.
The most prominent APEA is located in Tuscany, which has already implemented its own certification system for the participating industrial areas since 2009.
Additional legislation includes Law No. 221 dated December 28, 2015, and Ministerial Decree No. 264 dated October 13, 2016.
In addition to these legal provisions, it is worth mentioning two significant initiatives:
- Towards a Circular Economy Model for Italy: A comprehensive document outlining strategic positions and framing for the circular economy.
- Circular Economy and Efficient Use of Resources: A set of indicators designed to measure the circular economy’s performance.
Both initiatives are supported by the Ministry of the Environment, Land and Sea (MATTM) and the Ministry of Economic Development (MiSE).
Industrial Symbiosis in Europe
Industrial Symbiosis is an innovative concept that can bring significant benefits to companies within the European Union (EU). According to the European Commission, implementing industrial symbiosis could result in annual savings of up to €1.4 billion and generate new sales of €1.6 billion. These remarkable findings were reported in the document titled “Roadmap to a Resource Efficient Europe”.
The EU faces the highest per capita net imports in the world, making efficient production of utmost importance.
The European economy heavily relies on imports of raw materials and energy. Ensuring secure access to these resources has become a strategically crucial economic concern, considering the negative social and environmental impacts that imports can have on third countries.
In 2007, the EU consumed over 8 billion tonnes of raw materials. However, the concept of Industrial Symbiosis at the European level aims to reduce this quantity through a more sustainable and efficient approach to production.
Europe promotes Industrial Symbiosis
Europe has already taken substantial steps to promote industrial symbiosis. The objective is to foster synergies among different industries, enabling one company’s waste (Industrial Waste included) and by-products to become raw materials for another, even with regards to achieving the End of Waste status. This resource-sharing process contributes to creating a virtuous cycle of sustainable and efficient production, minimizing waste and maximizing resource utilization.
Active participation from companies is pivotal in constructing a prosperous economic and environmental future. Additionally, promoting industrial symbiosis within the EU serves as a concrete means to incentivize efficient production and mitigate the excessive use of natural resources.
Industrial Symbiosis in Italy: key data
According to the latest ISPRA report from 2016, Italy ranks among the top EU countries in terms of eco-efficiency in the production system.
Italy stands out with only 104 tonnes of carbon dioxide emissions per million Euros produced (compared to Germany’s 143 and the United Kingdom’s 130) and 41 tonnes of waste (compared to Germany’s and the United Kingdom’s 65, and France’s 93). This places Italy at the forefront of the European ranking.
Thanks to small and medium-sized enterprises (SMEs), our production system plays a leading role in promoting the green transformation of employment in Europe.
Since 2014, over 51% of Italian SMEs have employed at least one green worker, surpassing the percentages of the United Kingdom (37%), France (32%), and Germany (29%).
Embracing the green economy has proven to be a pivotal factor in the development and increased turnover of companies (in 57% of cases), surpassing those companies that have not made such investments.
In fact, according to a Unioncamere survey, companies that invested in the green economy between 2014 and 2016 outperformed non-investing companies, gaining a competitive advantage at the international level. In 49% of cases, these investing companies experienced an increase in exported materials, compared to 33% for non-investing companies.
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enhance value nowThe Purpose of Industrial Symbiosis
The primary goal of Industrial Symbiosis is to maximize the value of each resource utilized and transform waste through collaboration among various industrial clusters.
This primary objective is accompanied by secondary aims, including:
- Efficient utilization of resources and energy within processes
- Exchange of resources, energy, skills, and knowledge among companies
- Creation of new strategic partnerships from a Circular Economy perspective
- Establishment of mutually beneficial approaches between companies
- Reduction of companies’ environmental impact
- Bringing about economic benefits
- Elimination of the linear economy concept and introduction of Cradle-to-Cradle practices.
Industrial symbiosis presents a valuable tool for closing resource loops by promoting relationships and resource exchange between dissimilar entities. It fosters the development ofsustainable and interconnected industrial networks, driving towards a more circular and resource-efficient economy. By embracing industrial symbiosis, companies can contribute to a greener future, reduce waste, optimize resource utilization, and enhance their overall environmental and economic performance.
Industrial Symbiosis: key advantages
We have already explored the aims of Industrial Symbiosis. Now, let’s delve into the numerous advantages it offers. These benefits extend beyond environmental sustainability, encompassing significant impacts on the economic and social spheres.
Economic Benefits
Industrial Symbiosis presents several key economic advantages:
- Cost reduction in raw material procurement and energy sourcing
- Decreased expenditure on waste disposal
- Opportunities for business networking
- Exploration of emerging markets
- Enhanced company turnover
- Diminished expenses in waste management, transportation, and production
- Access to more favorable tax systems
Environmental Benefits
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The environmental advantages of Industrial Symbiosis are:
- Optimized resource utilization
- Prevention of waste generation
- Reduced environmental burden and emissions
- Elimination of landfill disposal Lowered CO2 emissions
- Diminished waste production
- Elimination of environmentally hazardous materials
- Decreased reliance on virgin materials, energy, and water
Social Benefits
Industrial Symbiosis also brings forth several noteworthy social benefits, including:
- Creation of new job opportunities within companies
- Improved working conditions through the provision and utilization of shared infrastructure
- Strengthened cooperation and trust
- Enhanced skills and know-how
- Reduced health risks
- Lower social costs associated with waste disposal
- Emergence of new professional roles
- Cultural transformation
Barriers
As with any emerging market or significant innovation, there are inevitably obstacles to overcome in promoting the adoption of Industrial Symbiosis systems across a wide range of currently operating companies.
Various barriers hinder the widespread diffusion of this new model:
- Cultural and awareness barrier: a challenge lies in comprehending that there exist alternative and more efficient approaches to managing processed resources;
- Technological barrier: not all companies possess the necessary tools, infrastructure, and expertise to integrate IS into their processes and establish symbiotic relationships with other businesses;
- Media barrier: insufficient dialogue and limited experience sharing contribute to the challenge.
- Material and waste market barrier: both the demand and supply sides of the waste market are currently underdeveloped;
- Regulatory barrier: there is still a lack of regulations and legislation for many waste categories.
- Lack of government policies and funding: insufficient support from governmental bodies in incentivizing Industrial Symbiosis initiatives;
- Difficulties in raising finance and investment: obtaining adequate funding and investments poses a challenge.
- Resistance to change: well-established companies with a long history often exhibit resistance to adopting new practices;
- Excessive planning: overly detailed planning of symbiotic relationships can hinder the progress and interaction between companies.
Missing points:
- Lack of information and knowledge: companies face a shortage of awareness regarding available resource exchanges and possibilities;
- Lack of coordination and management: particularly at the institutional and top management levels within organizations, there is a need for improved coordination and leadership;
- Lack of skills: organizations lack the necessary competencies in both process management and understanding the terminologies related to IS;
- Lack of suitable partners: finding appropriate partners for establishing symbiotic relationships is a challenge;
- Lack of preliminary cost-benefit analysis: the absence of initial assessments regarding the costs and benefits of such operations;
- Lack of skills, training, and know-how: organizations require additional expertise, training, and know-how in this field;
Tools for Industrial Symbiosis Assessment
Below are several tools commonly employed:
- Life Cycle Assessment (LCA): This methodology evaluates the environmental impact of a product, service, or process throughout its life cycle, encompassing production, use, and disposal phases. It measures the consumption of natural resources, energy usage, and emissions to identify more sustainable alternatives.
- Material Input per Unit of Service (MIPS): MIPS quantifies the materials required to deliver a specific service or create a product. It assesses resource efficiency and environmental performance of specific activities.
- Environmental Risk Assessment (ERA): ERA is a process to evaluate and manage environmental risks associated with chemicals, products, activities, or projects. It identifies potential impacts on the environment and human health, enabling the development of management and mitigation strategies.
- Cumulative Energy Requirement Analysis (CERA): CERA calculates the total energy requirements for producing, using, and disposing of a product or process, with the aim of promoting improvements.
- Input-Output Analysis (IOA): IOA is an economic technique that examines the interactions between economic sectors, analyzing inputs (such as raw materials, energy, and labor) and outputs (including products, services, and emissions) within a system.
- Cost-Benefit Analysis (CBA): CBA compares the costs and benefits of a project to determine whether the benefits outweigh the costs. This tool pays particular attention to financial rates.
- Water Assessment (WA): WA evaluates the impact of water use, water sources, and water management practices. It identifies water-related risks and opportunities, facilitating the implementation of sustainable management strategies.
How to measure Industrial Symbiosis
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Environmental indicators in Industrial Symbiosis evaluate the environmental impacts and sustainability performance of industrial activities. These indicators encompass:
- Reduction of greenhouse gas emissions
- Waste reduction
- Energy efficiency
- Utilization of natural resources
- Air and water pollution
- On the other hand, economic indicators assess the economic efficiency and competitiveness of industrial symbiosis networks. Some important economic indicators include:
- Reduction in production costs
- Increased productivity
- Market competitiveness
- Investments and job creation
- Economic valuation of waste
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Social indicators measure the social impacts of synergistic networks on local communities and stakeholder involvement. Key social indicators comprise:
- Employment and training of local individuals
- Involvement of stakeholders such as local communities, workers, and non-governmental organizations, in the decision-making process and implementation of industrial symbiosis
- Benefits to the community and enhancement of its quality of life
- Worker safety and well-being
- Social responsibility aligned with business ethics
Models and Types of Industrial Symbiosis
Industrial Symbiosis encompasses various models, each with its own distinct characteristics. Two key factors help in distinguishing Industrial Symbiosis.
The first factor, at a macro level, involves the type of model:
- Continuous Model, which includes Industrial Symbiosis Districts and Eco-Industrial Parks.
- Batch Model, which refers to Industrial Symbiosis Networks.
The second factor considers the type of development adopted by these organizations, which can occur in two ways:
- “Top-down” approach, where symbiosis projects are planned by an entity or institution.
- “Bottom-up” approach, where the structure is created and organized based on the interests and needs of the companies involved.
Continuous Model
The first type of IS model encompasses two specific structures: Eco-Industrial Parks (or Eco-Parks) and Industrial Symbiosis Districts. These models originated from US-style initiatives, primarily implemented in the US, Canada, and Asia.
These projects typically follow a top-down approach, wherein the structure is planned, designed, and managed based on ecological and Industrial Symbiosis principles. For example, in Italy, the Ecologically Equipped Industrial Areas (AEAs) were introduced into national law through Article 26 of Legislative Decree 112/1998.
However, there is a case of an industrial district that took the opposite approach, known as Kalundborg Eco-Park in Denmark. The Kalundborg Industrial Symbiosis District emerged from the collaboration of pre-existing companies in the area, following the motto of “working together is just smart business.“
Batch Model
The Batch Model represents a type of Industrial Symbiosis development that occurs in varying territories, where entities establish relationships over time to optimize and close production cycles.
The Batch Model follows a bottom-up approach, where a network of companies is formed through specific agreements for material, energy, or service exchanges. In contrast to the Continuous Model, the Batch Model offers greater flexibility, allowing for variations, growth, and implementation.
The main advantages of the Batch Model include:
- Flexibility, as it is less constraining
- Utilization for problem-solving purposes
- Facilitation of resource and service exchanges
Industrial Symbiosis Examples
There are numerous virtuous examples of Industrial Symbiosis at both the European and global levels. Let’s explore some of the most significant and well-known ones worldwide.
Kalundborg Case Study
As previously mentioned, the Kalundborg District in Denmark serves as a perfect illustration of a bottom-up Continuous Model. This district came into existence organically and naturally during the 1960s. Through the collective will of the companies involved, who shared a common vision and solid values, the development was made possible, resulting in one of the most successful examples of symbiosis.
Kalundborg adopts a continuous IS model, facilitating its evolution and adaptation to the needs of the network without significant obstacles. ùThrough an extensive network of physical connections, Kalundborg engages in the exchange of approximately 25 different types of resources. These resources include wastewater, materials, thermal and energy resources, amounting to over 5,000 internal combinations.
Today, this facility has achieved exceptional levels of efficiency, offering numerous benefits to its partners.
Let’s explore some of these advantages:
- Reduced consumption of virgin resources such as water, coal, oil, and other elements;
- Reduced environmental impact in terms of emissions and waste production;
- Improved utilization of energy resources, with a strong focus on gas and steam reuse;
- Lower management costs associated with the disposal of production waste.
Other Examples of Industrial Symbiosis
Across the globe, there exist other fascinating case studies of industrial clusters and eco-parks. Here are some of the most noteworthy examples.
Taiganova Eco Industrial Park
Taiganova Eco Industrial Park (EIP) is an industrial district situated in Fort McMurray, Alberta, Canada. Spanning approximately 145 acres, this eco-park demonstrates remarkable efficiency in both infrastructure and sustainable design.
CleanTech Park Singapore
CleanTech Park, the first Eco-business Park in Singapore, is located adjacent to Nanyang Technological University.
Occupying a 120-acre site, this facility was collaboratively designed with JTC Corporation, emphasizing eco-friendly solutions and sustainable building construction.
NISP – National Industrial Symbiosis Programme
The National Industrial Symbiosis Programme (NISP) was launched by Great Britain in 2005 as a nationwide project comprising 12 working groups.
This initiative provides companies with extensive networking opportunities to explore technological and commercial exchanges of resources, materials, energy, and water.
Shawnigan Lake ECO-Industrial Park
Shawnigan Lake ECO-Industrial Park (SEIP) is a project that emerged from the regeneration of an area previously subjected to forest clearance and extensive extraction of raw materials, including gravel.
The site’s maintenance and redevelopment planning adhere to the LEED (Leadership in Energy and Environmental Design) standard.
Burnside Park in Nova Scotia
Located in Halifax, Nova Scotia, Burnside Park is an eco-park that has supported 1,500 companies in improving their environmental performance through the establishment of strategic relationships, thanks to institutional support.
Industrial Symbiosis Digital Platforms
During the development of Industrial Symbiosis as a strategic theme benefiting companies, various digital platforms have surfaced. Among these, SaaS (Software as a Service) solutions and ERP (Enterprise Resource Planning) management systems have become prominent.
Sfridoo Marketplace® stands as a prime example of such platforms. It is Italy’s first portal enabling companies to buy and sell production waste materials such as waste, mps, by-products, and other materials.
Turn your company waste into value
Sfridoo® empowers you to harness the residual value of your waste, enabling you to achieve economic, fiscal, and environmental benefits. Embrace the principles of the Circular Economy and collaborate with other companies in our network to maximize your gains.
enhance value nowENEA Industrial Symbiosis
Industrialsymbiosis.it represents the platform developed by ENEA. Within this platform, businesses can access a vibrant network of approximately 250 companies and engage in the exchange of over 2600 resources.
The primary objective of this platform is to assist enterprises and operators in discovering the perfect match between resource demands and supplies, fostering long-term and profitable relationships for all parties involved.
Furthermore, the platform offers the capability to conduct an audit, analyzing the management systems of corporate resources, aiming to enhance both internal and external efficiencies within the company.
FISSAC Project
The FISSAC project (Fostering Industrial Symbiosis for a Sustainable Resource Intensive Industry across the extended Construction Value Chain) is an initiative promoted by Europe to promote industrial symbiosis.
Introduced in 2015 and successfully concluded in 2020, the FISSAC project aimed to develop a software platform engaging diverse stakeholders operating across different levels of the construction and demolition industry.
The platform’s core purpose is to facilitate effective communication and information exchange among businesses, fostering the establishment of a well-structured symbiotic network.
This project is built upon three pillars of sustainability:
- Environmental: adopting a comprehensive life-cycle approach;
- Economic: emphasizing cost reduction and revenue increase;
- Social: considering the impact on society.
Life M3P
The Life M3P (Material Match Making Platform) project aims to study and implement an innovative online platform that promotes the exchange of industrial waste among manufacturing companies.
Co-funded by the European Commission through the Life Program 2014-2020, the Life M3P project spans over a three-year period (2016-2019) and involves four European regions: Lombardy (IT), Flanders (BE), West Macedonia (NMK), and Asturias (ES).
The project focuses on reducing the volume of waste destined for landfills by implementing an Industrial Symbiosis model that optimizes production processes within the involved regions.
The summarized objectives are as follows:
- Addressing the information gap regarding production waste through the utilization of digital tools;
- Enhancing local networks to improve waste management practices;
- Optimizing processes to minimize waste generation;
- Substituting virgin raw materials with MPS or by-products, which have lower environmental impacts;
- Exploring innovative applications for waste materials;
- Raising awareness of available local resources to reduce material imports.
SYNERGie® Platform
The SYNERGie® platform is an innovative tool developed by International Synergies (ISL), a renowned global consultancy specializing in Industrial Symbiosis projects for both the public and private sectors.
SYNERGie® serves as a powerful platform for facilitating connections between companies that aim to achieve commercial and sustainability advantages by buying and selling resources for their production processes.
With an extensive database of over 100,000 resources from 34,000 organizations spanning 23 nations, SYNERGie® offers a diverse range of opportunities for collaboration.
The growth of SYNERGie® has been remarkable, with resources and organizations within the platform expanding at an impressive annual rate of 10%.
Numerous industrial sectors have embraced the platform, experiencing tangible benefits such as enhanced resource efficiency, cost savings, reduced supply risks, and improved environmental sustainability.
Introducing Sfridoo: Empowering Industrial Symbiosis
Another notable platform dedicated to facilitating Industrial Symbiosis, developed entirely in Italy, is Sfridoo Marketplace®.
Sfridoo serves as an advanced software solution where enterprises seeking to enhance value from production waste come together to buy and sell scraps, by-products, surplus stock, and company assets.
What sets Sfridoo apart is its remarkable user-friendliness. The platform operates through three simple steps:
- Register on the platform and freely list your waste materials.
- Receive attractive purchase offers or find the ideal partner to establish a mutually beneficial symbiotic relationship.
- Join a dynamic network of circular businesses committed to fostering environmental sustainability.
The platform offers a range of compelling advantages, including:
- Cost-effective waste disposal, eliminating associated expenses.
- Attaining a significant competitive edge in the market.
- Generating revenue from residues, surplus stock, and company assets.
- Efficient management of residual materials through intelligent disposal strategies.
- Minimizing environmental impacts and enhancing sustainability efforts.
Turn your company waste into value
Sfridoo® empowers you to harness the residual value of your waste, enabling you to achieve economic, fiscal, and environmental benefits. Embrace the principles of the Circular Economy and collaborate with other companies in our network to maximize your gains.
enhance value now