Manual on the Development of Cleaner Production Policies ... - Unido

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DEVELOPMENT OF CP POLICY MODULE 3: CP POLICY DEVELOPMENT CYCLE Background The widespread adoption of CP can be achieved through a combination of mechanisms and actions, including a strong and clear regulatory framework as well as effective incentives for polluters to change their behaviour voluntarily. It bears repeating that the framework and instruments should take into account local traditions, culture and the capacity to administer policies. Naturally, incentives and instruments should not be geared to the mere support of end-of-pipe measures, but at the same time the path of action selected should not be perceived as competition between regulation and CP. The range of policy instruments is wide, as demonstrated in module 4. Each country will need to apply the mix of policies and instruments best adapted to its circumstances. The policy group should identify and propose an appropriate mix of economic instruments and normative measures such as laws, regulations and standards, as well as information-based instruments. Incentives to stimulate Cleaner Production could include grants, loans and favourable tax regimes as well as targeted technical assistance to relevant industrial enterprises. Awareness-raising and voluntary initiatives should also be encouraged. Information and education campaigns are important policy instruments. Before introducing new policy instruments, the policy maker should review any incentives and mechanisms that may already be in operation (this would have been done in the earlier analysis). It may be easier to modify existing instruments so that they support CP, than to create new policy instruments. Similarly, it may be a viable approach to modify existing financial programmes that support end-of-pipe projects, by requiring the implementation of CP prior to granting support for endof-pipe measures. Other possible ideas are presented below. EXAMPLE How to modify regulatory instruments to promote Cleaner Production: A number of regulatory instruments currently in use can be modified to encourage pollution prevention and CP, rather than simply aiming to mandate pollution control. Some options that have been used around the world include: (a) Mandatory review of applicability of Cleaner Production within the permitting process; (b) Regulation of emissions by mass instead of concentration, to encourage reduction rather than dilution; (c) Environmental impact reports; (d) Permits for all hazardous emissions; (e) Public disclosure of standard emissions, inputs and efficiency of their use, as well as any spills, releases, or accidents; (f) The training of environmental inspectors to identify and recommend pollution prevention opportunities; (g) Enabling companies to spend money from penalties and fines on cleaner production initiatives; (h) Pollution regulation through economic instruments instead of command-and-control; (i) Introduction of an integrated permitting approach (see IPPC). In designing the mix of policy instruments, particular attention should be paid to those instruments that can help create a demand for cleaner, more eco-efficient products and processes. Depending on the circumstances, this could include: strengthened public access to information; disseminating information on environmental management successes; and public procurement policies that give preference to “green” products. Likewise, permits requiring environmental management programmes provide strong incentives for continuous environmental improvement within enterprises, while PAGE 70
DEVELOPMENT OF CP POLICY MODULE 3: CP POLICY DEVELOPMENT CYCLE penalties for poor environmental performance may be expanded to include public exposure and social stigma, in addition to a financial impact. The CP strategy and policy instruments will most likely be adopted after consultation with business and industry. As a result, the final mix of policy instruments will be a compromise resulting from the political process. Policy makers should ensure the agreement, or at the very least understanding, of those whom they seek to regulate, whether in the private or the public sector. Thus, in designing the instrument mix, the idea is to provide a starting point for discussion rather than a complete solution. SLIDE: Design an action plan and programmes • Establish a mid-term time frame for the action plan; • Build on previous work to take advantage of experience; • Set up sector-specific subprogrammes; • Consult with affected groups; • Allow time for adaptation; • Evaluate and modify periodically. With this slide, present general guidelines for designing the action plan and programmes. The key points to make are that the realistic time frame for an action plan is about five years (with a mid-life review), and that it may be necessary to formulate sector-specific programmes. Consultation with stakeholders is essential. Background An action plan in its most general form will include: • Quantitative targets and timelines for their achievement; • Specified actions to be taken; this could perhaps include separate programmes for individual sectors, or alternative scenarios; • Guidelines for awareness-raising, access to information and technical assistance; • The financial and economic implications of specific actions; • Clarification of the roles and responsibilities of the actors involved; • A monitoring and evaluation mechanism. An action plan should have a time horizon of at least five to six years (this may depend on the scheduled elections) and be conceived as a “work in progress” which may be adjusted as implementation proceeds. In any event, after some two years, or halfway through implementation, it is advisable to take stock of the situation by determining successes and failures in implementation. The action plan should try to build on any work already undertaken on CP and environmental management. Experience from past successes and failures is helpful, because it can prevent a waste of time and resources. In all likelihood there are existing institutions that may support, or oppose, CP, unless efforts are made to include their views in the action plan. PAGE 71
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