Introduction to Circular Economy in Urumqi - Europe-China Clean ...

1. Fact Overview
Urumqi is the capital of Xinjiang Uygur Autonomous Region,
centre of Xinjiang's political, economic, cultural, transportation,
science and technology, information. It is a China-oriented
international routes in West Asia as a hub of the city, a window of
open policy.
Urumqi city has a total area of 14,300 km 2 (urban area of 339.23
km 2) , including seven districts and one county, two state-level
development zones and an export processing zone. The resident
population of 3.2121 million by end of 2011.
The central government and the government of autonomous
region pay a great attention and effort to development of Urumqi,
especially on air pollution control, to be a central city of western
China, a international trade centre toward to middle and western
Asia, with multi-ethnic harmony livable Tianshan oasis ecological
garden city.

Fact Overview——Social Economy
Big achievement was reached upon
the eeconomic structural adjustment.
Further optimization of industrial
structure of key sectors, such as
chemical, electrical, mechanical and
heavy chemical industry to support
rapid growth as main driving force.
With the development of the industrial
economy, the city's industrial
intensification and industrial
aggregation are reaching a high level.
Many industrial zones are graduate
formed, such as Economic and
Technological development Park,
High-tech industrial development
zone, Shuimogou Industrial Park,
Miton Chemical Industrial Park.

Fact Overview——Social Economy
In 2011, Urumqi completed the total fixed asset investment (including projects cross
regions) of 63.5 billion yuan, an increase of 27% over the previous year. 254 million
was invested into Primary Industry, decreased by 55.5%. 23.584 billion was invested
into Secondary Industry, increased by 23.6 %, amongst 23.046 billion to industrial
sectors with a increase of 22.8%; Investment on tertiary industry was 39.662 billion
yuan, increased by 31.2 %.
Growth
Rate
investm
ent

Fact Overview——Energy & Resources
Urumqi is rich in mineral resources. Up to now, 129 minerals in 29
categories are found in more than 30 large, medium-sized deposit places.
Mainly coal, oil, copper, manganese, iron, gold, stone, gravel, clay, salt,
Glauber's salt, mineral water and other mineral resources. Coal resources
proved reserve is 10 billion tons, accounting for about a quarter of the total
reserves in Xinjiang, with a characteristics of widely distribution, shallow
coal seam, high quality, variety existence, easy to exploit. Therefore
Urumqi is also known as "city on the coal"; salt reserves is of 250 million
tons, Glauber's salt reserves is of 110 million tons; limestone reserves of
120 million tons; manganese ore reserves is of 22,000 tons.

2. Circular Economy Development——Policies
Ø Promulgated the programmatic documents: issued "Implementing Suggestions
on Speeding up Circular Economic Development in Urumqi" and a "Notice on the
Issuance of Implementing Suggestions on Speeding up Circular Economic
Development in Urumqi" in 11 th Five-Year period, formulated the Urumqi circular
economy development strategy, main tasks, promotion methodology, key projects
and safeguard measures.
Ø Formulate supporting policies: the introduction of the "Urumqi Municipal
Regulations on Building Energy Management", "Implementing Plan for Relocation of
Polluting Enterprises Including Chemical Industries from Urumqi Downtown Area",
"Urumqi 12th Five-Year Environmental Protection Plan", "Urumqi Recycling and
Reuse Plan for Solid Waste ", "Urumqi Implementation Pilot Program of Renewable
Resource Recycling" and a series other relevant documents, which are in all aspects
strengthening the efforts to lead the development of circular economy and promote
energy conservation and emission reduction.
Ø Innovative Assessment Methods: study and establish evaluation index of Urumqi
circular economy development and statistical methods, combining the consideration
of losses of ecological environment, resource depletion, comprehensive utilization of
resources, pollutant reduction targets into statistical indicators of economic
development, bulleting on a regular basis of full and true reflection of the quality of
economic development, and promoting the development of recycling economy
goals.

Circular Economy Development——Setup
Mechanism
Ø Enhancement of Coordination and Management: setup a
specialized monitoring team on circular economy pilot projects within
a special agency including Municipal Development and Reform
Commission, Environmental Protection Bureau, Economic
Commission and other relevant departments, being responsible for
the periodic assessment, supervision, inspection and preliminary
acceptance of the pilot project progresses, by following enforcement
measures such as “Periodic Monitoring and Inspection of the
Progress During Pilot Stage” and “Monitor and Inspection of Pilot
Projects for Circular Economy Development”.
Ø Launching pilot projects: Xinjiang Bayi Iron and Steel Group,
Urumqi HuanPeng Co., Ltd., Xinjiang Zhongtai Chemical Co., Ltd.,
Xinjiang Tiankang Food Co., Ltd., Xinjiang Tianshan Cement Co.,
Ltd., Economic and Technological Development Park to be included
into the Autonomous Region’s circular economy pilot demonstration
sites. All above enterprises (Park) are to draft their own
implementation plan based on their own needs and take action based

Circular Economy Development—— Progress
Ø Promising Progress of Pilot Projects: The pilot project involved 21
companies (sectors), 2 industrial parks all show promising progresses in the
initial phase, especially enterprises on circular economy pilot projects exert
significant demonstration roles. Municipal government implemented a series
policies to promote energy-saving, water-saving and comprehensive utilization of
resources, new standards and management systems, with emphasis on the
chemical, electric power, iron and steel, and high energy-consuming enterprises,
promoting specifically comprehensive utilisation of the gangue, fly ash, scrap
steel slag and exhaust wastewater, heat recovery and utilization
Ø Increased Technology Capability: establish a major science and
technology research program on "circular economic research and applications of
key technologies", for resource effective utilisation, recycling and reuse
processes, new technologies, technologies of energy cascade utilization,
selected advanced technology for special support in the program. The focus is
giving on supporting desulfurization and denitrification of power plant, coking
wastewater treatment, chemical synthesis from coke oven gas and industrial
furnace heat recovery technology, improvement of the comprehensive utilization
of resources, and enhancement of the capacity of the chain complement of
material flow.

Challenges and Problems
Ø Big Challenge during the transit of industrial structure: the proportion of the service
industry declined from 59.30% in 2005 to 53.65% in 2010, indicating the difficulties for a
optimisation of industrial structure. Energy intensive, resources dependent sectors, such as
mining, manufacture, electricity and construction material are still main contributors to the
economy growth while resources less-dependent and high-added value sectors are still in
a small portion, indicating a big challenge is still remaining in to transform of sector ratios.
Ø Lag Behind of National Development: Except that Economy & Technology
Development Zone as national listed demonstration project and few enterprises listed as
Provincial demonstration projects, only a few municipal demonstration projects are listed.
Almost all of municipal demonstration projects are under the initial stage of implementation
and just starting investment, lacking good supporting infrastructures and good framework.
Therefore, effectiveness of these demonstration projects are barely illustrated to other
enterprises.
Ø Lack of funding, Policy and Incentives Support: as a western-China city, Urumqi
of urban economic development is lagging behind others, due to shortage of funds, the
lack of lawful restrictions and incentives. These are constrains and barriers to slow down
the demonstration and pilot projects of ecological industrial park and clean production in
Urumqi. A good and comprehensive framework of resources utilization and waste recycling
should be established

Challenges and Problems
Ø Management mechanism should be strengthened: circular economy started
late and its management mechanism is still in early developing stage. It has
similar developing course with concept of energy-saving emission reduction.
Both interact in some fields, or even overlap each other, as well as coordination
authorities, which leads a weak unified leadership or a gap in leadership. A
optimization on management mechanism is needed.
Ø Regional standard on circular economy is un clear: to develop circular
economy magnifies the investment of pollution control and the R/D cost of
downstream sectors, which lack of sources of investment. There is shortage of
driving force for Enterprises in demonstration projects to transform industrial
restructures. A sustainable development model needs to be developed.
Ø Short of knowledge on circular economy: Municipal Party Committee and
the relevant departments promote a program to move key industrials into
Industrial Park and Economic and Technological Development Zone. After all, at
the exploratory stage, understanding on technology and standard in the circular
economy development mode is still not clear enough. Businesses and public
participation is still not initiated and motivated

Thank You !