Land Use Planning as Driving Force in Industrial Symbiosis

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Dr. Harri Mattila, Principal Lecturer (Research), Häme University of Applied Sciences, HAMK, Bioeconomy, Cleantech Research Group, Wahreninkatu 11, 30100 Forssa, FINLAND, harri.mattila@hamk.fi, +358 50 55 45 645 Land Use Planning as Driving Force in Industrial Symbiosis Abstract Public stakeholders alone cannot create industrial symbiosis which would survive in the long run. What comes to basic facts in economy, business following the principles of circular economy does not differ from old fashioned end-of-the-pipe business. To be successful in the hard worldwide competition, products and services must be requested by customers, whoever they might be. And as important are costs of the products and services. Thus, the industry itself must create the future for themselves and their business. But, states, regions and municipalities can create possibilities and supportive surroundings for a successful industrial symbiosis and the circular economy in general. Land use planning is probably the most important tool in this. The existing industrial symbiosis of Forssa Region is a good example of the extremely important role of the land use planning in the business development. The basis of this active symbiosis was laid in 1990 s when the municipality reserved a big enough area for the future development needs around the solid waste disposal site. That was an important and very future oriented decision by the municipal council. Today, about 20 different kinds of companies have settled in the very same area. The synergy of the companies - all bound with recycling components and materials - has made it possible to survive and even grow. After the strong development of this so called Envitech Area in Forssa, it has been possible to see the expansion of the industrial symbiosis as it is today. Farmers are producing grain and meat to markets and the other industry is benefitting by-products from the farms and other production. All the industry involved is not any more situated in the very same Envitech Area. Anyhow, the land use planning is playing an important role still today. Distances between the companies involved in the symbiosis cannot be too long. Otherwise the costs of the by-products become higher than the costs of virgin raw-materials and the companies will lose their competiveness. It can be said that the land use planning is as important for the development of industrial symbiosis and for the circular economy in general as it has been for sustaining biodiversity, for recreational use of the environment and actually, for many other phenomena and activities as well. This article is dealing with examples showing the importance of the land use planning for the regional economy. Also maximum distances (in Finland) to manage profitable business between some industrial activities are discussed. The land use planning is studied from other points of view than industrial symbiosis as well. For example, in many municipalities commercial areas are controlled by the mechanisms of the land use planning. Sometimes with success sometimes not. An interesting phenomenon here is something one could call a rebounce effect. After the industrial symbiosis was developed by the companies in Forssa Region, the municipalities could take the existing strategy of Bright Green Forssa Region in use.

1. Land Use and Building Act in Finland Municipalities have a lot of power in land use planning in Finland. In accordance with Land Use and Building Act (www.finlex.fi, 132/1999): Land use in municipalities is organized and steered by local master plans and local detailed plans. The local master plan indicates the general principles of land use in the municipality. The local detailed plan indicates how land-areas within a municipality are used and built. These local land use plans are confirmed by Municipal Councils. The detailed plans given by the municipalities are guided by Regional plans. In accordance with the act: Regional land use plans contain a general plan for land use for the entire region or for a specific sub-area therein. Anyhow, on the other hand Regional plans are approved by Regional Councils where municipalities are represented and on the other hand, Regional plans are giving guidelines only. The Land Use and Building Act says also: The objective in land use planning is to promote the following through interactive planning and sufficient assessment of impact: 1) a safe, healthy, pleasant, socially functional living and working environment which provides for the needs of various population groups, such as children, the elderly and the handicapped; 2) economical community structure and land use; 3) protection of the beauty of the built environment and of cultural values; 4) biological diversity and other natural values; 5) environmental protection and prevention of environmental hazards; 6) provident use of natural resources; 7) functionality of communities and good building; 8) economical community building; 9) favourable business conditions; 10) availability of services; 11) an appropriate traffic system and, especially, public transport and non-motorized traffic. (Note: The darkening a part of texts by the author.) Thus, the act is giving not only possibilities for successful development of industrial symbioses but it clearly guides municipalities to act accordingly. Even though symbioses are not mentioned in written. Traditionally, the municipalities have planned special areas for industrial, commercial, agricultural, recreational, etc. purposes as well as for residential areas. Anyhow, the planning processes have not been aiming toward industrial symbioses but just any industry and/or any other activity has been welcome. The power of land use planning in this sense must be noticed and taken into use. For example H.Lahtinen and J.Pulli (eds.) (2012) wrote: the land use policy is a critical factor in creating possibilities for logistics. And for sure, logistics is a critical factor in enabling industrial symbioses.

2. Case Forssa The existing industrial symbiosis in Forssa region (Figure 1) in South Finland is, and will be studied from many angles and by several actors. Figure 1. The simplified presentation of the existing industrial symbiosis in Forssa Region. One of the studies is published by Nordregio in 2014 (Teräs et.al., 2014). In that publication, the conclusions are that: - The key local actors in developing the industrial symbiosis in Forssa region are the municipalities and the local companies or indigenous firms. - The municipalities, in co-operation with other regional and local actors, have established local development companies and start-up company centres to promote entrepreneurship. - Regional councils play a significant role in the regional development of Finland. Teräs et.al. (2014) does not underline the importance of land use planning in the development process of the industrial symbiosis in Forssa region. Anyhow, one cannot under estimate the role of the Municipal Council of City of Forssa when confirming the land use plans in the area. Those decisions have had enormously important effects on the creation of the symbiosis. The decisions

made by the council have been really farsighted and they have been promoting new innovative business of circular economy. In 1996, the Municipal Council reserved an area of about 5 km 2 around the new and the most modern landfill in Finland. (Figure 2) Figure 2. Envitech area in Forssa, Finland Today, the very same Envitech area is having some 20 companies all working within circular economy. Only part of them are shown in the simplified presentation of the symbiosis in Figure 1. And as the air photo in Figure 2 shows, there are plenty of space to expand in the future. Another important aspect is that the city of Forssa is situated in some kilometers distance only. 3. Case Growth Corridor Finland There are also some draw backs in the monopoly of the municipalities in land use planning in Finland. Sometimes, from economical and also from industrial symbioses point of view, it would have been better to make detailed plans considering wider areas than one municipality only. This is especially true in Southern Finland where the municipalities are relatively small in size, some hundreds of square kilometers only. For example, so called Growth Corridor of Finland (Figure 3) where major future industrial and other economical activities are expected to develop is including some 25 30 municipalities. It would be beneficial to have common detailed land use planning process in this area. Today, the municipalities are competing from various activities with their neighbors. Anyhow, Project Leader of Growth Corridor Finland, Ms. Anne-Mari Ahonen confirms (e-mail on the 11 th March, 2016) that what comes to industrial activities, specially just in the center of the corridor (Hämeenlinna and the neighbors), municipalities have been able to cooperate in land use planning also. The activities have not always been so successful when talking about residential areas.

Figure 3. The Growth Corridor of Finland. (The map from ProAgria South-Finland, modified by the author, scale ~ 1:4 000 000) The various areas having certain industrial and bioeconomical activities can be located in the map of Finland as presented in the Figure 4. The municipalities can either speed up the specialization or food Finland forest Finland diverse industry and business Figure 4. Some parts of Finland are specialized in certain types of business.

slow down it by land use planning. Naturally, many other factors are affecting the development as well. National policies and politics (various funding instruments, decentralization or centralization of national authorities, etc.), home towns of universities, major highways and railways, etc. are some of these factors. Anyhow, if the land use planning is not supporting the development, these other factors are not efficient. 4. Case commercial areas A functional industrial symbiosis requires various kinds of actors. Every successful business requires customers and customers do not find products from the symbiosis without commercial actors. This fact is discussed for example in an article of the newspaper Aamulehti on the 5 th December 2015 (Simola, 2015). The article includes an interview of the shop keeper of a hardware store who claims the land use plans are too detailed. According to him, the so called coefficient of construction efficiency (how big share of the surface area of a real estate can be constructed (see for example http://akaa.karttatiimi.fi ) is restricting development activities. Commercial actors should have more freedom to utilize their real estates to upkeep their competiveness and to be able to act in accordance with the other development activities in the surrounding. 5. Research activities among industrial symbioses This paper is just a first step in the coming chain of various research activities among industrial symbioses in Finland. Häme University of Applied Sciences (HAMK) together with its cooperation organizations like University of Turku and Natural Resources Institute Finland (Luke) are running number of research projects to find out enabling factors in industrial symbioses in Finland. HAMK is involved for example in an Interreg-project called Industrial Symbiosis for Regional Sustainable Growth and a Resource Efficient Circular Economy (SYMBI) in which there are six other EUcountries working towards the same targets. The purpose of these research activities is not only to find out the factors related in developing industrial symbioses but also to give reliable information and tools for decision makers on various levels to make successful decisions in land use planning, in delivering funds for innovations, in supporting coming research and development activities, etc. Thus, the general idea is to speed up the creation of coming symbioses and development of circular economy. Results of these on-going activities among the industrial symbioses will be reported in number of venues including occasions arranged by Regional Studies Association in the coming years. References Lahtinen H. and Pulli J. (eds.), 2012; Logistiikkakeskuksen kehittäjän käsikirja (Handbook for developing logistics centre), ESA Print Oy, Lahti, Finland (Original in Finnish) Simola A., 2015: Pian ei kestä kymmentä vuotta avata kauppa (Soon it will not take ten years to open a store), Newspaper Aamulehti, the 5 th December, 2015, pages A28-29. Original in Finnish. Teräs,J., Lindberg,G., Johnsen, I.H.G., Perjo,L. and Giacometti,A., 2014; Bioeconomy in the Nordic region: Regional case studies, Nordregio Working Paper 2014:4, ISBN 978-91-87295-21-8, ISSN 1403-2511; Stockholm, Sweden