Modeling Industrial Symbiosis - Aalborg East (Denmark) Case

Aalborg University
Energy and Planning department

Master in Environmental Management and Sustainability Science

7
th
semester project
Industrial symbiosis
Modelling industrial symbiosis to find the potentials and
barriers in Aalborg, Denmark

Alexandra Maria Almasi
Cecilia Soque
Christoffer Kirk Strandgaard
Romain Sacchi

Project supervised by Henrik Riisgaard and Arne Remmen
Presented the 21
th
of January 2011

Introduction to industrial symbiosis concepts
2

3

Alexandra Maria Almasi

Cecilia Soque

Christoffer Kirk Strandgaard

Romain Sacchi

Number of pages: 64
Number of copies: 7

4
Table of Contents
Prefaceandacknowledgments........................................................................................6
Summary..................................................................................................................................7
I Introductiontoindustrialsymbiosisconcepts....................................................8
I.1. Industrialsymbiosiswithinindustrialecology.......................................................8
I.1.a Historyanddevelopmentofindustrialsymbiosis.....................................................9
I.1.b Characteristicsofindustrialsymbiosis........................................................................11
II Problemformulation.................................................................................................13
II.1. Objectives..........................................................................................................................14
II.2. Structure............................................................................................................................14
III Methodologicalapproaches................................................................................15
III.1. Firststep:constructionofafeasibilitymodel..................................................15
III.2. Secondstep:applicationofthemodel.................................................................17
I.1.a Delimitationofthescopeofapplication......................................................................17
I.1.b Applicationofthemodel.....................................................................................................19
III.3. Thirdstep:givingacontexttothesituation.....................................................20
IV Amodelofindustrialsymbiosis........................................................................21
IV.1. Thesupportcases.......................................................................................................21
IV.2. FirstmodeluponKalundborgobservations.....................................................22
I.1.a Thephysicalsphere..............................................................................................................23
I.1.b Theorganizationalsphere.................................................................................................26
I.1.c Thesocialsphere.........................................................................................................................28
IV.3. Revisionofthemodel................................................................................................29
I.1.a ExistingmechanismsfavouringISdevelopmentinothercasedescriptions31
I.1.b NewmechanismsfavouringISdevelopmentinothercasedescriptions......33
I.1.c Graphicrepresentation.............................................................................................................33
V Arealcaseapplication:AalborgEastindustrialarea.................................37
V.1. Analysisofthephysicalspheremechanisms.........................................................37
V.2. Analysisoftheorganizationalspheremechanisms............................................41
V.3. Analysisofthesocialspheremechanisms.............................................................44
V.4. Resultsoftheanalysis...................................................................................................46
VI GivingacontexttoAalborgEastcurrentsituation......................................48
VI.1. Socialcarriersoftechniquesfordevelopment................................................48

5
I.1.a Critique.......................................................................................................................................49
VI.2. ThecurrentsituationinAalborg...........................................................................50
VI.2.a.Physicalandsocialconditions..............................................................................................50
VI.2.b.Externalactorsassocialcarriersoftransfer..................................................................51
VI.2.c.LackofactualsocialcarriersoftechniquesinAalborgEast....................................52
VI.2.d.Projectperspectives..................................................................................................................53
VII Futurepossibleimprovements..........................................................................54
VIII Conclusion.................................................................................................................58
IX References.................................................................................................................60
X Appendix........................................................................................................................63

6
Preface and acknowledgments

This research work is part of a Master programme supported by the Energy and Planning
department of Aalborg University, AAU. The project started in September 2010 and ended on
January the 7
th
2011.

The project is dealing specifically with industrial symbiosis in theory and in practise. The
work would not have been possible without the kind but firm guidance and relevant support
of supervisors Henrik Riisgard and Arne Remmen; Professors in the Master of Environmental
Management and Sustainability Science at Aalborg University.

Additionally, the participation of the following persons has been of a great help in the
realization of the project: Jrgen Christensen, former Chairman of Novo Nordisk Kalundborg,
Valdemar Christensen, former Production manager at Asns Power Plant and Chairman of
the Technical Council of the Municipality of Kalundborg, Peder Andreas Mathiesen, Manager
at Novozymes Kalundborg and the companies answering our survey.

Finally, the authors thank Jane Hansen, coordinator at Industrial Symbiosis Institute of
Kalundborg, for providing us with useful contacts and information.

We are very grateful for all of your inputs.

7
Summary

Industrial symbiosis allows efficient use of by-products and energy in order to reduce
impacts of an industrial area on the environment. This research deals with the prerequisites to
apply the practical industrial ecology principles. The objective is to highlight already-existing
potentials and barriers to the development of an industrial symbiotic system in an existing
industrial area located in Aalborg, Denmark.
By adopting a systemic approach through an abduction-based method of the Kalundborg
industrial symbiosis case, the research reveals several fostering mechanisms as key elements
in a model on how to start industrial symbiosis. The tri-dimensional model is then completed
with case descriptions of other eco-industrial parks depicted in the scientific literature.
Applying the model to the industrial area of Aalborg indicates the existence of several
physical potentials, and the possibility to improve awareness in order to reach collaborative
willingness among stakeholders.
This work reckons that stakeholders should embrace an approach towards social and
organizational aspects. In other words, they must overcome different social barriers.
Therefore, it is found that the physical dimension of such system, relating to the technical
feasibility of synergies, only comes as an achievement of the interactional and social work
previously accomplished.
The last part focuses on giving a theoretical support to this approach by placing it in an
interesting theory of social carriers of technology, developed by Professors Eqvist and
Edquist, from Lund University, Sweden.
The research ends in suggesting solutions to build solid social grounds needed to initiate
the first steps towards industrial symbiosis.

8
I Introduction to industrial symbiosis concepts

The worldwide industrial activity did not cease increasing since the industrial revolution
of the nineteenth century. Thanks to technical progress, workers became more productive. We
now produce more with less. Until forty years ago, the world did not seem to have limits, and
therefore, could produce and provide with resources ad infinitum.
Recently, projections in earth sciences research made it possible to quantify our limited
possibilities in terms of use of non-renewable energy resources (especially fossil energy).
Industry acts as a major player in energy consumption and accounts for approximately 1/3 of
consumed world energy (International Energy Agency 2008).
A sub-consequence of the massive use of fossil energies is the global warming, caused by
emission of greenhouse gases that retain sun heat within the atmosphere. Once again, the
industry sector is one of the main responsible for that, alongside with the freight industry. It
would directly account for 17% of the total greenhouse gas emission and indirectly for 30% -
transformation of the primary energy into final energy for industrial use) (Rohde 2007).
In addition, according to the European Commission for statistics, the overall volume of
waste generated originates the four following economic sectors: agriculture, industry,
construction and services. In 2008, industry and construction generated waste volume peaked
up to 90.7 % of all waste produced by human activities (European Comission eurostat 2010).
Governments undertook initiatives leading to a sustainable management of the available
and proven energy resources. The United Nations Environmental Program (UNEP) dealing
among others with solid waste and sewage management issues - recommends in the agenda
21 program that waste minimization technologies and procedures will need to be identified
and widely disseminated (United Nations Environment Programme n.d.).
I.1. Industrial symbiosis within industrial ecology
During the last two decades, increasingly pushing constraints of an economic and
environmental nature appeared. The rarefaction of certain minerals (only 5-10 years left of
platinum and indium stocks (New Scientist 2007)), the climate global warming, and the soil
impoverishment are worrying facts that forced governments to pledge positions in order to
limit human impacts on the environment. It was the case with Germany (which decided to
reduce by 20% in 2020 its 1994 level of CO2 emission), Japan (reduction by 40% of the 2000
CO2 emission in 2010) or even Europe, which by its Environmental Action Programs, puts a
priority on waste prevention (Bringezu 2009).
These measures developed many economic and legal incentives that had an impact on the
way companies and groups of companies are now managed.
The most notable change was undoubtedly the implementation of management systems
(QMS, EMS but also CSR) within organizations, aiming at reaching a sustainable situation

9
(Remmen, et al. 2007). Industrial symbiosis (IS) is one of the tools that tend towards such
sustainable management of organizations.
Forty years ago, the awareness of environmental impacts generated by human activities
was limited. There were no legal restrictions. Thus, there was a strong need to develop
interdisciplinary environmental/industrial sciences. Industrial ecology (IE) was one of them. It
has been presented in the beginning of the 1970s (Erkman 1997) with the idea that industries
should reorganize and behave as an ecosystem to stop damaging the environment. IE is about
understanding industrial systems and how they interact and construct the industry to fit the
way ecosystems are working (Erkman 1997). (Suh 2009) suggests two approaches to IE. The
first approach is to design non-human industrial activity upon the model of ecosystems. The
second approach is trying to integrate human-activity into its wider context that supports it -
the ecosystem.
IS is a sub-discipline of IE. IS looks at the flows of resources that are interacting between
companies. It can be seen as a practical application of IE principles (Harris 2007). An
industrial metabolism is composed of both materials and energy flows that are transferred
through the system, while IE is broader and also looks at the relation with the biosphere. After
the United Nations Earth Summit in Rio de Janeiro in 1992, more focus has been geared
towards IE ideas, heading to more sustainable solutions (Erkman 1997).
The network of IS is based upon information, energy and by-products flows between
companies involved. (M. R. Chertow, "Uncovering" Industrial Symbiosis 2007) sets up three
main opportunities giving incentive for resources sharing:
- The first opportunity is to reuse wastewater or by-products by means of
infrastructures like a pipe, to be transported elsewhere to another company,
- The second opportunity is facilities/infrastructures sharing,
- The third opportunity is joint provision of services between the companies.
I.1.a History and development of industrial symbiosis
Even if the term of IS may appear to have fully grown onto the sustainability stage,
resources exchange and processes of trading are basic aspects of the developing world.
IS has been defined as bringing together traditionally separate industries in a collective
approach to competitive advantage involving physical exchange of materials, energy, water
and by-products. (Chertow 2000). By working together, businesses seek for collective
benefits that are greater than the sum of individual benefits achieved from acting alone.
Through such collaboration, social relationships among participants get better (Zhu, et al.
2007).
As a part of IE, IS has gained increasing attention, especially since 1989 when IE has
created a new perspective on industrial development: industrial complexes should be designed
to resemble natural ecosystems in order to use energy, water, and material resources optimally
while minimizing waste (Heeres, Vermeulen and de Walle 2004).

10

Figure 1 Illustration of Industrial Symbiosis evolution in time (J. Christensen, Workshop GSE 2006)

Figure 1 shows the development of IS in an international perspective from late 40s until
now. The complexity of the process has increased in the period. Even though the exchanges
of waste were not called IS-synergies, the early process began at that time. Among many
examples, NISP and the European Union associated with local partners to start up the biggest
IS system in Tjanjin Binjai New Area (China) with 80 different synergies in March 2010
(European comission 2010).
1947
Theterm"industrialsymbiosis"wasVirstutilizedintheeconomicgeographyliteratureby
Rennertodescribe"organicrelationships"betweendissimilarindustries,includingthe"usethe
wasteproductsfromoneasinputtoanother".
1950's
Largeprocessindustriesincludingoil,nickelandaluminareVining,cementandchemical
manufacturing,andenergyco-generationplantslocatedintheKwinanaIndustrialAreain
WesternAustralia.
1959
Majorfacilties(StatoilraVinery,Asnaespowerplant,NovoPharmaceuticalplant)locatedin
Kalundborg,Denmark,startingup.
1970's
IndustrialsymbiosisactivitiesbegininKalundborg(GyprocsitedtouseVluegasfromStatoil,
Asnaes-powerplantjoinsStatoilinpipingwaterfromLakeTisso,Novobeginsshippingsludge
tofarmers).
1989
FroshandGallopoulospublishedthearticle"StrategiesforManufacturing"thatisregardedas
thebeginingoftheVieldofIndustrialEcology.
1989
Theinter-VirmlinkagesinKalundborgwere"uncovered"throughahighschoolscienceproject,
andtheterm"industrialsymbiosis"wascoinedtodescribethesystem.
1990's
TheUSPresident'sCouncilforSustainableDevelopmentpromotedtheconceptand
developmentof"Eco-IndustrialParks"modeledaftertheKalundborg'ssuccesfulinter-Virm
synergies.Inspiteoftheseefforts,fewEIPsevercameintoexistence.
1996
KalundborgCentreforIndustrialSymbiosiswasformedtofacilitateinter-Virmsinteractionand
provideeducationaboutthesystem.
2000's
Symbiosisactivitiescontinuetooperate,withnewlinksformedbetweenexistingentities,new
facilitieslocatedtoutilizeby-products.Thelinksthatwerenolongereconomicallyfeasible
werestopped.
2001
InternationalSocietyforIndustrialEcologywasformed.Itpromotestheuseofindustrial
ecologyinresearch,education,policy,communitydevelopmentandindustrialpracticesaround
theworld.
2004
FirstInternationalSymbiosisResearchSymposiumheldatYalesbringstogetherresearchers
andpractitionersfromaroundtheworld.ISresearchsymposiumhassubsequentlybeenheld
inStockholm,Sweden;Birmingham,England;andToronto,Canada.
2005
UK'sNationalIndustrialSymbiosisResearchProgramme(NISP)waslaunchedastheVirstIS
nationalscaleinitiativeintheworld,topromoteinter-VirmsynergiesintheregionsofUK.

11

I.1.b Characteristics of industrial symbiosis
The idea, as IE suggests, is to integrate companies in a network of services, by-products
and energy flows that would make them dependent on each other. This would lead to the
creation of a flexible entity that behaves as an ecosystem does, where the outputs of each one
becomes the inputs of another. Therefore, it results in a cyclic system where there is no
energy loss (Hawken, Lovins and Lovins 2008) and where the concepts of resources and
waste disappear.
It is then interesting to analyze the IS concept and its characteristics on a macroeconomic,
microeconomic but also environmental level, as it tries to address such issues.
Macroeconomic perspective
IS is a response to environmental concerns in regards to materials rarefaction. Such
system allows - by re-using by-products, wastewater or flow of outgoing energy - to minimize
the need for extraction of raw materials and use of electricity. IS also leads to reduce overall
greenhouse gas emission, as the work paper of Steve Harris shows. Indeed, by sharing
services, infrastructures and avoiding landfills disposal, the Kwinana IS system (Australia)
resulted in decreasing by 170.000 tons per annum its CO
2
emission (Harris 2007).
On an economic basis, the formation of an interdependent members network creates a
diversified and flexible industrial area that adapts to changes, regarding environmental and
legislative matters. It brings up a phenomenon of clusterization between companies (Wahl
2008) that leads to external economies of scale.
These economies of scale result from positive externalities related to the size of the
industrial area. They provide a broad range of opportunities to the participating companies: a
close and qualified employment pool, a common mobile labour force and the possibility of
sharing services and infrastructures (and their costs).
Moreover, the Network effect theory (Metcalfe's law) suggests that, as the number of
companies is growing, the number of possible synergies grows in a geometrical way. So does
the economic utility of being in such system. This utility (value) will increase up to a point
where new companies will decide to join in. This increase will feed the virtuous cycle of
value creation.
IS seems to combine economic growth and reduction of the industrial impacts on the
environment.
Microeconomic perspective
Taking companies on an individual level, the outcomes in terms of reduction of their
impacts on the environment are obvious.
When being part of an IS system, the company usually reorganizes its production process.
It uses outputs of another company and decreases its use of virgin raw materials.

12
As the waste was before disposed in landfills -thus polluting soil and ground water-
another company now uses it. Moreover, the outputs generally circulate by means of fixed
infrastructures that reduce the use of vehicles that generate greenhouse gases in order to
dispose waste in landfills (Harris 2007).
On the energy level, IS allows synergies resting on the exchange of energy flows, thus
avoiding a too strong loss related to a high entropy effect (second law of thermodynamics
formulated by Nicholas Roegen-Georgescu). Energy is produced only once and it is then re-
used. It reduces the dependency of the industrial system on non-renewable energies.
Of an economic outlook, the arguments are numerous. Companies that compose this
system are very different from each other. Although they adopt an individual approach of
their own product markets, they remain collectively integrated and organized in their
environment. It may end in providing them with a competitive advantage on their respective
markets. By transferring its outputs to others, the company avoids landfills disposal costs.
Moreover, this exchange can be remunerated and contribute to a rise of the company income.
It is a win-win situation.
In most of the cases, a reorganization of the production process is necessary: it does not
necessarily imply additional costs. On the contrary, as Harris suggests (Harris, The potential
role of industrial symbiosis in combating global warming 2007), the company can cease using
equipment previously necessary to raw material conditioning and use now another and
cheaper equipment/method to format by-products. It decreases operational costs.
Lastly, on a strategic level, while taking part in these exchanges, the company diversifies
its sources of income. Also important, it diversifies its sources of procurement necessary to
the core business: it raises its degree of independency with respect to sudden changes of
environment (market fluctuations).
However, it is possible to cast doubt on these arguments. Taken as a whole, such a system
is flexible and dynamic. This being said, on an individual level, such a degree of
interdependency can involve certain rigidity. What does happen when an active company goes
bankrupt? Does an engagement between two companies prevent the innovation and the
production process already in place from improving? Will IS heavy investments limit the
companies development plan? The literature seems to give dynamism and market-driven
actions as elements of answer to address such issues, stressing the fact that companies are
acting in their own best interest while short-term agreements preserve their freedom of action.

13
II Problem formulation

In accordance with IS principles, it appears that such organization leads to forming an
integrated human/natural system that helps minimizing industrial activity impacts on the
environment.
While these last decades have witnessed many attempts of implementing IS systems, not
all of them reached a self-sustainable situation. Indeed, the high complexity degree of this
kind of organization favours the apparition of physical but also social barriers such as
business confidentiality issues, lack of mutual trust between companies or strict
environmental regulations.
On the other hand, many industrial locations
in Denmark have the required features to receive
and develop an IS organization. One of them,
Aalborg, in north Denmark (see Figure 2), is a
middle-sized town that gathers all the
prerequisites present in most of IS cases around
the world: it has an opening on the sea, a harbour
activity, an important industrial area, the
presence of important manufacturing businesses,
etc. However, because of the physical and social
barriers aforementioned, very few symbiotic
partnerships between companies are actually in
place.

Figure 2 Map of Denmark (1click1planet n.d.).
Knowing that:
An IS system will enhance the reuse of waste, reduce the consumption of Earth
non or hardly renewable resources and partly avoid CO
2
emission;
Implementing an IS system requires studying barriers and opportunities one
may encounter in order to successfully deal with them;
Several places have the potential to welcome such project, notably Aalborg East
industrial area, in north Denmark;
The following question, that constitute the research problem, may be worth answering:
How could industrial symbiosis be initiated in order to add value to unused resources
in the Aalborg East industrial area?

Problem formulation
14
II.1. Objectives
It is in the desirable objective of giving value to waste (by improving the reuse of by-
products) that this project seeks at highlighting the potentials and barriers existing in the
industrial area of Aalborg East in order to ease a possible implementation of an IS system.
This being said, the project will consist in developing a model through an abductive
reasoning method upon the Kalundborg IS case, completed thereafter by other supporting
cases.
This model will be used as an analysis tool to evaluate the degree of compliance of the
Aalborg East industrial area with the IS prerequisites. It will then be allowed to determine
what are the facilitating mechanisms already existing, what are the barriers to avoid, but also
emit recommendations regarding future operations to be undertaken. A more implicit
objective would be, through the development of such study, to create awareness known to
be an important triggering mechanism - among the actors of the industrial park of Aalborg
East.
II.2. Structure
This research work is composed of four main parts. It is first concerned with describing
the research work itself and the methodology used alongside.
It is then followed by the construction of an IS matrix-based model from the Kalundborg,
Kwinana, Rotterdam, Puerto-Rico and former Soviet Union IS cases.
In a third part, the model is used to analyse and highlight the potentials and barriers that
can be found in the industrial area of Aalborg East. The results are explained, the current
situation in Aalborg East is given a context, the main actors are defined and the social barriers
and ways to overcome them are depicted.
Finally, ideas and suggestions concerning the preferable actions to undertake when
implementing IS in Aalborg East are emitted.

15
III Methodological approaches

This research work addresses possible problems regarding IS development in Aalborg
East - and the ways to solve them - by following a three steps pattern explained in the
following section.
III.1. First step: construction of a feasibility model
As a first objective (mentioned in II.1 Objectives), the work aims at highlighting
potentials and barriers to the development of an industrial symbiotic system in the industrial
area of Aalborg East. The analysis of existing features in this area is done thanks to a
feasibility model generated from several IS cases around the world. The construction of this
model has been possible by following an abductive-based method to guess cause-effect
relationships, in regards to a critically realistic philosophical perspective (see Figure 3).

Figure 3: Two ways of approaching industrial symbiosis (completed by the authors).
Adopting a post-positivist critical realistic approach allows a great range of observations.
When trying to construct a model and reduce a perceived reality of industrial symbiotic

!"#$%&'()*+%,-.(/%(%+%0/12+/3+("3*$2"02+
0uantitative aspect 0ualitative aspect
0bseivations collecteu thiough:
Nass Flow Analysis
Inputoutput economics
Life Cycle Assessment
Collecting samples:
Cubic meteis of waste watei
Impuiity level of steam
C02, S0x anu N0x emissions
Aveiage uistance between 2
companies
Capacity of the waste watei
tieatment plant
Physical woilu inuustiial symbiosis
is embeuueu in.
0bseivations collecteu thiough:
Small woilus netwoik
theoiy
Aiticles
Inteiviews
Collecting samples:
Iueology of inuustiial
ecology
Laws anu iegulations
Tiust iequiiements
Communication netwoik
between companies
Analysis of economic
incentives anu uiiving
foices
Netaphysical woilu inuustiial
symbiosis is embeuueu in.
Physical woilu
!"#"$%&'()*+#'
Netaphysical woilu
,-./0&)%"1&2'3&*4)."#3#'
5-*")%'".+&0)*+"-.#'
Positivism seeks at
uncoveiing an
authentic anu
unique ieality
ielying exclusively
on visible anu
physical facts.
Ciitical iealism
seeks at getting
closei to the tiuth
by inteifacing
natuial anu human
uimensions,
theiefoie,
obseiving physical
anu metaphysical
facts.

Methodological approaches
16
systems, the research work encompasses and gives importance to social interactions that are
assumed to constitute the grounds of such gathering of synergies between companies.
Constraining the research scope to a strictly positivistic vision would disregard all kind of
meta-physical phenomenon and, therefore, limit the validity of this work. Therefore, an
abductive (inductive) deductive construction process allowed spotting, evaluating and
confirming the relevance of cause-effect relationships of different kinds. The latter generate
mechanisms fostering the development of an IS area (see Figure 4).

Figure 4: The circular theory construction process (completed by the authors).
Observation and testing of theoretical cause-effect relationships have been possible
thanks to the use of different methods on several levels.
At a physical level, observations have been reported by visiting the Kalundborg IS area,
but also supported by literature dealing with physical information about the IS cases of
Kwinana, Rotterdam and Puerto Rico.
The case of IS in Kalundborg is a pivotal part of this study. It is the most mature and
dynamic model of IS in the world. This study case became the most well known example in
the IE field because of its constant evolution and the wide variety of flows, materials,
infrastructures and service exchanges between companies. Thus, it is very important to
understand the elements underlying in such system to reveal the driving forces that lead to
sustainable synergy partnerships.
From an analytical and empirical point of view, a visit of the Kalundborg area will allow
a comprehensive collection of data in order to help deducting what an IS model can be.

17
Because of the early stage development of the IE science, there is not much available mature
work and theories to base our work on. Therefore, collecting evidences and real facts from
open field observations seems to be the best way to obtain reliable and complete data.
At an organizational and social level, information has been collected through literature,
and interviews of experts and initiators of the Kalundborg IS example. In order to have a
complete view of interests at stake in this organization, the persons interviewed have been
chosen according to the group of stakeholders they represent. It has been ensured that we
collected arguments from the private sector perspective (Novo Nordisk, Asns power plant)
as well as arguments from a public side (Industrial Symbiosis Institute, Municipality
Technical Committee). A first interview has been conducted with Jrgen Christensen, who is
now retired but has been working for Novo Nordisk as Vice-president. A second interview
has been conducted with Peder Andreas Mathiesen, manager at Novozymes. A third interview
has taken place with Jane Hansen, coordinator at the ISI. Finally, a fourth interview has been
set with Valdemar Christensen, who has been working as a production manager for Asns
and also as chairman of the Kalundborg Municipality Technical Committee.
The choice of setting up interviews came as an obvious way to collect extra data that
cannot usually be perceived through literature or simple visual observations. Moreover, the
openness of questions allowed the interviewees to walk out of predefined paths and talk about
what seemed interesting to them (and reveal some unexpected aspects).
Lastly, in order to ensure the right interpretation and integration of the findings in the
feasibility model, the different interviewees were asked, once the model finalized, to confirm
the correctness of the work. It has been done so in order to preserve the validity of the model.
III.2. Second step: application of the model
I.1.a Delimitation of the scope of application
A focus area had to be defined in order to determine the scope of observation. We have
chosen the industrial area of the city of Aalborg. Indeed, according to a first rough analysis of
several IS case descriptions around the world - especially Kalundborg -, Aalborg East seems
to have similar physical settings. The industrial area of Aalborg has the potential to cover our
needs in terms of experimentation. Even though most of the traditional activities in Aalborg
have been off shored abroad for (mainly) cost salary reasons, the city economy is still
characterized by heavy manufacturing activities such as cement industry, power production
plant but also a harbour. It provides the work with a consistent and diverse industrial
structure.
According to several IS case descriptions, it seems that most synergies are taking place
within a radius of 1 to 2 km distance between companies. Thus, a similar selection has been
applied to the focus area (see Figure 5). However, this concerns only exchange of materials
that do not stand long distances (high entropy limitations) such as hot water, steam and heat.
Regarding solid waste, greater distances are allowed, as it is the case in Kalundborg
(Novozymes enzymes transported to distant farms). Therefore, a second broader area is

18
defined to extend the possible synergy area in regards to solid waste exchange (see the yellow
delimitation in Figure 5). In order to obtain an accurate list of operating businesses in
Aalborg, a crosscheck of information has been done. Two methods were used.
First, a research on the Danish Yellow Pages has been performed. Within the selection
criteria, a great deal of emphasis has been put on firms whose core business processes inputs
to produce outputs (and waste) and are located in Aalborg East industrial area.
The companies list obtained after a first search on the Yellow Pages allowed having a
certain idea of the industrial variety in Aalborg. However, the reliability and the quality of
such information can be questioned. The information displayed on the Internet is not always
updated and/or accurate. A field-based report has been done after an observation in the area.
The latter report allowed doing a second selection among the companies listed as
manufacturing business according to the Yellow Pages website results. This crosscheck
operation gave a list of companies that has been verified. Firms that have been discarded are
either referring to sales offices with no manufacturing process, or referring to a warehouse, or
those cannot be found or does no longer exist.
This research resulted in a group of 26 companies (see Table 1 and Figure 5) that meet the
following requirements:
- Being located in the Aalborg East industrial area,
- Being located in a radius inferior to 2 km from the centre of the Aalborg East
industrial area,
- Being active nowadays,
- Having a manufacturing process that uses inputs to produce outputs (and waste).
Aalborg Portland is included despite its distant location because of its importance in terms
of input-output volume.
Figure 5 Satellite view of Aalborg East industrial area. Red (primary) zone with 2 km distance radius.
Yellow (extended) zone including Aalborg harbour, Aalborg Portland and surroundings (Google Earth
2010).

19

I.1.b Application of the model
The work gains in stature by applying a feasibility model to the Aalborg East industrial
area in order to compare the presumed fostering mechanisms of the model to their degree of
presence between the companies obtained in the focus area. This technique is used in order to
reveal the already-in-place potentials and barriers to the development of IS. It allows
evaluating, according to the model, how well the prerequisites are fulfilled in this area. It is
done so by adopting a deductive-based method where the reduction of reality (model) is
confronted to reality itself.
Aalborg Portland Cement factory
Ameta Provider of new & refurbished IT equipment
Berendsen Industrial laundry
Danish Crown Slaughter house - Beef division
Danish Plank company Manufacturer of hardwood board & parquet
floors
Dansk kle, klimateknik Danish Refrigeration & Climate Engineering
Fibertex Producer of nonwovens for industrial, technical
and hygiene applications
KSgruppen Products for internal transport within the
company
Marius Pedersen Handling of waste and recyclable materials
Mechanics mekoprint Provides front panel and instrument box
solutions
Mokana Waste treatment centre
NB ventilation Ventilation units for all purposes indoors and
outdoors
bro transport Haulage company
Reno Nord Incinerator
Royal Greenland Shipping company
Siemens Wind Power Wind turbine blades manufacturer
Sewage Treatment plant east Wastewater treatment plant
Srwi Production of meat
Stenca Supplier of insulation and ship interiors
Systems teknik Electronics
Thomsen Building, construction and renovation company
Uggerly Electronics installers
Table 1 List of operating companies in 9200 Aalborg East area, within the 2 km radius zone predefined.

20
This testing phase has been conducted to several levels using different tools.
At a physical level, a visit in the Aalborg East industrial area allowed a collection of
factual and visible information. It seemed to be the best way to detect physical relevant
infrastructures in this area. It confirmed (not always) the presence of physical potentials and
barriers.
At an organizational and social level, the collection method is different. As
researchers/students constitute an external entity to the industrial sphere, it is hardly possible
to measure (social or organizational) interactions between actors (as the model suggests)
without being an actor itself. Therefore, it has been decided to collect information directly
from industrial actors, as similarly described in the first step. In this perspective, a
questionnaire has been set up and submitted to companies. The latter has been designed so
that qualitative data about perception of each other businesses, business transparency issues,
awareness of environmental pressure and IS benefits could be assessed.
III.3. Third step: giving a context to the situation
The third step of this reflexive development pattern deals with the significance of the
results given by the application of the feasibility model. Such analysis of the situation is
possible by the theoretical support given by a work about social carriers of techniques for
development (Edquist and Edqvist, Social carriers of techniques for development 1979).
Thanks to this support, a context is given, actors are defined and located within this context
and social barriers to development are explained. Therefore, using this conceptualization, it is
made possible to emit suggestions on how to overcome social barriers through activation of
prerequisites. Doing so allows the transformation of potential social carriers of techniques
into actual social carriers of techniques for development.

21
IV A model of industrial symbiosis

This part of the report deals with the conceptualization of IS into a general model, that
will allow later its application to a real case study. This will result in a confrontation between
a reduced reality, composed of constructed mechanisms, and a true reality, taking place in
Aalborg East. The application of this model raises the hope of identifying potentials already
in place, mechanisms to be activated and barriers to remove, in order to successfully develop
the first steps leading to a self-sustainable industrial symbiotic system.
In the first section, a rough version of the IS model is defined upon the case of
Kalundborg. 13 fostering mechanisms are identified and explained, as well as the 3
dimensions they are embedded in. In the second section, three other case descriptions serve as
study support to complete this theoretical construction. These case descriptions of IS are:
Rotterdam - NL, Kwinana AU, Guayama PR and Soviet Union cases. It is expected that
these case descriptions would reveal similar fostering IS mechanisms, confirming the former
model, but also other relevant mechanisms that would give a more comprehensive range of
explanation.
IV.1. The support cases
The choice of cases supporting the model is crucial in the sense that they fully determine
the content and the direction the model is leading to. Therefore, the selection criteria must be
well chosen and justified in regards to the target where the model is applied: Aalborg
industrial area.
There are many IS cases around the world. Each of them is, at least at one level, different
from each other. Where it is possible to see IS systems relying on few operating companies
Guayama, PR -, it can also be possible to observe fully integrated IS systems involving 30/40
different actors Styria, AT, Kalundborg, DK. Where it is possible to see IS systems
engaging different industrial clusters Gladstone, AU -, it is also possible to find out IS
systems mainly composed of firms from the same field Kwinana, AU. Where it is possible
to notice IS systems planned by a central public authority Guitang, CN -, it is also common
to find IS systems evolving throughout the sum of self-made spontaneous decisions from the
operating actors themselves Rotterdam, NL.
In the objective of building up a predictive model, accuracy criterion becomes of a first
concern. It must be taken into consideration the similarity, the applicability and the coherence
of the source data, in accordance to the target destination. On the other side, completeness
criterion is also an important characteristic of the model - if it is to explain a large variety of
mechanisms present in the target destination. Thus, a compromise must be done between
accuracy and completeness criteria. This compromise is reflected on the choice of supporting
cases.

A model of industrial symbiosis
22
The choice is being made on the basis of geographical settings. Indeed, when observing
IS organizations, a physical and a social facets are easily identifiable. The physical facet
location, diversity of industries, core businesses, presence of the sea, etc. is thought to be
hardly possible to model. On the other hand, the social facet can be modified, improved and
be subject of work. Thus, the physical facet, and more generally, the geographical settings, is
considered as the core characteristic of each case. It is the aspect observed when applying
criteria selection.
IS case of Kalundborg, DK has been chosen as a primary source for the model.
While sharing common geographical settings, there can be found political and
cultural similarities with Aalborg.
IS cases of Rotterdam Europoort, NL; Kwinana, AU; Guayama, PR; have
been chosen as a secondary source for the model. Guayama, on the American
continent, has a similar group of industries as Aalborg, both located by the sea.
As in Kalundborg, the development of the organization has been relying
mostly on companies self-made decisions. Kwinana, on the oceanic continent,
has interesting similarities with Aalborg when it comes to treatment
infrastructures, but differs on organizational settings (presence of centralized
planning authorities). Finally, Rotterdam Europoort, on the European
continent, is characterized with an IS organization also located by the sea, and,
as in Aalborg, operates a district central heating system.
IS cases from the former Soviet Union have been chosen as a complementary
source for the model. Despite geographical similarities with Aalborg industrial
settings, its extreme public involvement gives an interesting contrast.
IV.2. First model upon Kalundborg observations
The data collected from interviews and literature reviews allows an analysis of the
characteristics of such case. The observations are listed in the effect column. By the use of
abductive reasoning, the matching causes to effects are listed in the causes column. It is
then necessary to highlight the mechanisms generating these cause-effect relationships. These
mechanisms are seen as key elements that must be integrated in a table constituting a model.
To be able to obtain a clear and explanatory version of the model, effects, causes and
mechanisms are grouped in three spheres of major importance and relevance, depending on
their nature: the physical, the organizational and the social spheres. Based on literature and
interviews, organizational and social dimensions have been proven as much significant as the
physical and factual dimension (J. Christensen 2010). It is assumed that all of these three
dimensions must be considered when implementing an industrial symbiotic system (see Table
2).

23

Causes Mechanisms Effects

Physical
Sphere

Municipality permission Urban local plan
Possible installation of heavy
visible infrastructures
Scarcity of resources (fresh
water, mineral material,
fossil fuels)
Accessibility to resources
Distant synergies (external
links)
Full reuse of organic waste

Regulations
Ban against landfill of
organic waste
Loose regulation in regards
to waste
Freedom of action
Short distance between
companies
Proximity Increased feasibility
Hi-tech equipment Technical progress
Increased diversity of
synergies

Organiza-
tional
Sphere
Suggestions from employees
Bottom-to-top
participative
management
Innovative ideas
Market driven interests Public neutrality Dynamism
Pipeline producers
Availability of
infrastructure
Feasibility of infrastructure
Reduced raw material
consumption and reused
waste
Economical profitability
Cost saving and income
generating synergies

Lack of centralized overview
Common communication
platform
Bilateral agreements
Industrial Symbiosis Institute
Social
sphere
Nearness Social interactions CEOs know each other
Networking
Willingness
Trust between managers
Interested CEOs Investing
Isolated industrial area Intimacy Good collaboration

Table 2 Elements of IS model. Model #1.
I.1.a The physical sphere
The physical sphere of the IS process includes all visible interactions involving material
flows and infrastructures between participating companies. All mechanisms that are assumed
to be fostering the sharing of material, services, wastewater
or even organic waste are encompassed in this section.
Open urban local plan
An urban local plan consists in a set of documents
designing the conditions of granting planning permissions
and setting the overall use of land of a certain area.
Material synergies between companies consist, in most
Picture 1 Actual infrastructure in
Kalundborg

24
of the cases, in exchanges of liquid and solid waste that can be transported via the help of
pipes out of 33 projects in Kalundborg, more than half are dominated by water, steam and
heat exchanges, requiring pipes (Industrial Symbiosis Institute n.d.). These pipes usually
require resources when being implemented and maintained, but also space and special
commodities. A visit to Kalundborgs site allowed noticing such infrastructures crossing
roads, open fields, and more generally, municipality properties (see Picture 1). The
compliance with urban local plan authorities giving permissions for such construction is a
mechanism that can facilitate synergies implementation. It can be a barrier if some regulations
are made to limit possibilities of having the pipes created. In Kalundborg, the municipality
has seen it as an opportunity for the town. (J. Christensen 2010) states that the IS has been
made on an industrial level and the municipality has not been an active participant. Although
without support from the municipality, constructions would have been hard to carry out.
Accessibility to resources is defined as a certain awareness of the finiteness of resources
a company is relying on.
Awareness must be taken into consideration as an important mechanism that enhances
synergies efficiency. Synergies might be taking place without companies managers being
aware of it uncovering existing symbioses has led to more sustainable industrial
development (Chertow, 2007). When awareness is taking place and benefits of IS are well
known, the interest and willingness into investing in synergies is high. If companies know the
physical synergy possibilities (lowering energy use or minimizing waste, that would decrease
waste handling fee) the interest in IS might bring ideas into actions. They might be interested
in creating synergies (J. Christensen 2010). But awareness can also result in industries being
informed of threats in their environment - scarcity of resources that can push them to find
other solutions for securing their future needs. Looking ahead awareness, this can be
beneficial for all kinds of synergies, either driven by economic and/or environmental
incentives. Novozymes in Kalundborg illustrates the idea by transporting phosphor waste to
be used as fertilizer on phosphor-deficit land in south-eastern Denmark.
Proximity
Proximity is here to be understood as the mean physical distance separating two
collaborating companies.
Since Kalundborg is a town with a relatively short distance between companies, that
allows greater possibilities in constructing infrastructures and finding new synergies. Niels
Larsen, manager of Cluster Biofuels Denmark, states (Kalundborg Municipality 2010): we
can obtain a series of synergies by having different industries located near each other.
Therefore, facts are drawing to a close that having companies concentrated in a small area
while having a short distance between them can facilitate the feasibility of the IS process
development.
Long distances between companies can have an influence when making decisions.
Because of loss of energy (high entropy phenomenon), synergy projects are distance limited
(J. Christensen 2010), according mainly to the nature of the material exchanged. There may
also be an economical reason to distance limitation. Since pipelines are expensive, a cost-

25
benefit analysis defines the economical breakeven distance point up to where it remains
economically profitable to have a synergy. Therefore, the synergy distance may vary
according to the value of the material exchanged, the cost of infrastructures, the return rate of
investment, but also its payback time - usually 3-4 years payback time observed in
Kalundborg (J. Christensen 2010).
Technical progress
Technical progress is referred to describe the overall process of invention, innovation and
diffusion of technology or processes (Schumpeter 1942).
Technical progress throughout time leads to a greater diversity of synergies since new
technologies allow using waste in a wider range of purposes and a more efficient use of the
energy potential (V. Christensen 2010).
Regulations
Regulations are in this case all legislative matters setting limitations in terms of
possibilities and quantities in regards to flows exchanges between companies.
The absence of legal barriers related to waste handling helps to develop synergies without
using too complex technologies. All these projects were made by ordinary well known
techniques. They were not new technologies. Sometimes, they had to change processes a bit
to make it, but these were still classic things, not sophisticate techniques. (J. Christensen
2010). That is why there is a freedom of action in regards to waste. If there were stricter
regulations regarding waste handling, it would represent a barrier to synergies. This is the
case in the USA where, because of strict regulations regarding the responsibility of the waste
owners, it is difficult to exchange one anothers waste the laws regulation of waste leaves
little opportunity for by product reuse as feedstock and raises problems of legal liability for
the companies involved (Chertow, 2004).
On the other hand, regulations can trigger synergies. This was the case of the first
synergies in Kalundborg, when companies were not allowed to release hot water in the fjord.
They had to find an alternative solution. The fjord was a recipient of waste water from the
power station and the authorities said we were not allowed to throw anymore hot water in the
fjord because of the environment (...). So it was actually when we had to sit down and see
how can we resolve this. And then was when we started to think: Could we, instead of cooling
it down, send steam to Novonordisk and heat to the Municipality? (V. Christensen 2010).

26
I.1.b The organizational sphere
The organizational sphere is composed of mechanisms that are pushing IS development
forward. Considering IS organization in a metaphorical way, the contingency theory suggests
that such organization can be seen as an organism adapting to its environment (Morgan 2006,
42-48). Different forces (dynamism, innovation) and incentives (economic, legal) drive to the
deployment of necessary resources in order to survive.
Intimacy
Intimacy here refers to collaboration between companies. It is closely related with the
physical dimension of proximity. It leads managers and decision-makers to know each other
better - both in a personal and professional way - creating a certain degree of intimacy.
It allows them to share information about companies businesses and performances. This
knowledge sharing and understanding of each other might be partly responsible of the
triggering of synergies development process and participates in building up trust between
actors.
Intimacy between companies can appear in a town with a size-limited industrial area. In
Kalundborg, intimacy plays an important role from the beginning of synergies (J. Christensen
2010). Synergies started partly because most of the chairmen of the companies shared
common social activities (golf and social clubs) and interacted with each other. Some ideas of
synergies came up this way (Mathiesen 2010). It helps preventing IS development from
confidentiality issues.
Bottom-to-top approach
Bottom-to-top management style is widely described by the organization theory literature
as a strong involvement of employees into decision-making processes.
At a company level, a bottom-to-top reporting strategy allows engineers and technicians
to express ideas (Remmen, et al. 2007). It is assumed to be a good way of finding new
synergies, since they have the specific background needed for such analysis (Morgan 2006).
Indeed, involving employees can lead to synergy suggestions supported with cost-benefit
and engineering analysis - where companies remain the owner of the idea. This type of
management has been observed within companies in Kalundborg - among them, Novozymes,
which maintains close employees-managers relationship and may refer to a flat organizational
structure (Mathiesen 2010).
Public neutrality in decision-making
Public neutrality is understood as the absence of public interest matters in market
transactions.
In the western European culture of entrepreneurship, a strong sense of independence of
the private sector can be felt. In that sense, the IS system in Kalundborg is almost totally
driven by market forces, where public governance has little to say (J. Christensen 2010). This
reactivity to economic incentives produced by the market, gives to this IS system a dynamic
and efficient development. Involving public authorities in such system might create bias since
decision-making bodies would be influenced (or forced) by public interests or limitations and

27
then lead to a different and less efficient decision than the one produced by the market (Adam
Smith). If companies - very important stakeholders within IS - feel forced to produce a non-
efficient outcome, their willingness in doing so will probably decrease. This can lead to a
slow-down of the IS development process. When considering western European industrial
areas, it is assumed important to observe relative public neutrality.
Although, it has been mentioned that a side-in method could be undertaken, where a
third party for example, interests-free scholars - approaches companies with suggestions (J.
Christensen 2010).
On the opposite, Kwinana has a strong public organizational involvement which has been
beneficial to the companies and the IS development.
Availability of infrastructure
Availability of infrastructure refers to the proximity of the main infrastructure suppliers to
the IS area, including technical expertise and knowledge.
Different types of infrastructures are used in an industrial symbiotic system. They are
pivotal elements that ensure a good circulation of flows between companies. Among them,
one can notice: roads between companies, environmental infrastructures (such as water supply
sewer and waste management units), pipelines, heat exchangers, cooling systems, etc. It is
believed that these components must work properly in order to have successful IS systems
(Cohen-Rosenthal 2003). It seems relevant to take into consideration the existence and/or,
the proximity of infrastructure suppliers (steel factory, building materials manufacturer,
etc.), but also engineers and people having specific knowledge into setting and connecting
these infrastructures together. This is not a compulsory requirement but it can facilitate the
building of links between participating companies.
The primary goal of any private funded companies is to generate profits. Economical
profitability is the result of a rational commercial action that every company should be
aiming at. Therefore, economic incentives are considered as the primary driver leading to the
development of a business strategy.
It appears that most of companies based in Kalundborg give more importance to economic
incentives than environmental safeguarding incentives (Mathiesen 2010). In that regard,
manufacturer/suppliers purchasing agreements are important to mention - outputs from a
company become inputs to another, forming a usual manufacturer-supplier relationship. All
projects are environmentally and financially sustainable (Industrial Symbiosis Institute n.d.).
A cost-benefit analysis supports the evaluation of the overall feasibility of such cooperation.
Therefore, an economic balance is made between revenue stream from waste exchanged and
costs of construction and maintenance of infrastructures. The Symbiosis-partners have an
economic advantage because all agreements are based on solid business principles
(Industrial Symbiosis Institute n.d.).
Common communication platform
A common communication platform is an intermediate that eases communication between
members of a hub and spokes network, of which it is usually the centre.

28
When collaborations between a high number of stakeholders are developed, there may be
a possible gap emergence in terms of communication or other organizational aspects.
Therefore, it is important to solve this lack of general overview by creating a common
communication platform between active companies. In Kalundborgs case, this led to the
creation of the Industrial Symbiosis Institute.
Communication is more important than technology (J. Christensen 2010).
I.1.c The social sphere
The social dimension of our analysis encompasses social and human phenomenon that
enhance the development of mechanisms (trust, willingness) generating effects in favour of
IS. This section emphasizes mainly on the human side of such system.
Social interactions
Social interactions are here seen as interactions between human beings as representatives
of companies (managers) but also as people.
Social interactivity is believed to be a pivotal mechanism when building up interests, trust
and commitments between the stakeholders of an industrial symbiotic system. (J. Christensen
2010) suggests that companies are not forced to cooperate with others. Although economical
profitability is a strong incentive pushing to cooperation, it does not cover risks relating to
confidentiality issues (Dick Van Beers, et al. 2007). Having a bilateral agreement framing a
synergy implies the need to know each others production processes, waste, quantity and
quality of material required, technology used, etc. These data represent sensitive information
that might put companies at risk if publicly known by competitors. Therefore, it is believed
that social interactions gather effects such as trust, good communication and proximity,
required to cover confidentiality issues related risks. This is especially true when considering
the specific nature of waste being exchanged: Communication and trust are thought to be
important () when the materials being exchanged have potential liabilities because they are
subject to environmental regulations. (M. Chertow 2004). Physical proximity between
companies in Kalundborg leads to the so-called mental proximity (J. Christensen 2010).
Willingness
Willingness, sometimes called the human factor, refers to the human feeling of desire to
invest into an IS synergy project.
Willingness to invest in synergies with other companies is seen to be a prerequisite when
implementing IS, since it is formed by awareness of IS benefits, shared technical knowledge,
trust and good communication with one another. Decision-makers must be willing to
participate in such collaborations (J. Christensen 2010). Although the two last mechanisms
Social interactions and Willingness have originally the same causes, it is believed that the
former leads to human-oriented effects, while the second is more industrial symbiosis-
oriented effects.

29
IV.3. Revision of the model
This first version of the model constructed upon Kalundborg current situation shows the
main driving forces that enable such cohesion between companies throughout the years. As
separate entities, these own-interests driven agents that primarily seek for profits learned how
to slowly put aside traditional secretive business barriers to broaden their view upon the
surrounding environment. Korhonen makes a comparison between the industrial and natural
world that defines well the phenomenon observed. Where biologic organisms create a local
interdependency and co-operation, industrial entities seek for cooperation between local
actors (Korhonen 2001).
In this section are presented four other case descriptions of IS. The cases are as follows:
Rotterdam Europoort, Kwinana, Puerto Rico and former Soviet Union IS cases. Their similar
geographical settings to Aalborg are thought to be pivotal elements in the decision of
including them into the general model previously formed. Similar mechanisms found are
confirming the validity of the mechanisms already present in the model. However, some extra
mechanisms are added. These are assumed to bring completeness to the model. As illustrated
below (see Figure 6), the different settings observed in Kalundborg, Rotterdam, Kwinana and
Puerto Rico are taken into consideration in order to build a predictive model. Mainly relying
on Kalundborg settings, the model will also be able to explain cause-effect mechanisms
observed in Aalborg from other case descriptions.
The case descriptions supporting the research at this stage are:

Industrial Symbiosis in the Rotterdam Harbour and Industry Complex.
Business Strategy and the Environment (Baas 2008): 330-340 written by Leo
Baas.
Industrial symbiosis in the Australian Minerals Industry. Cambridge:
Massachusetts Institute of Technology, 2007, written by Dick Van Beers, Glen
Corder, Albena Bossilkov, and Rene Van Berkel.
Industrial Symbiosis in Puerto Rico: Environmentally Related Agglomeration
Economies. Center for Industrial Ecology (Chertow, Ashton and Espinosa,
Industrial Symbiosis in Puerto Rico: Environmentally Related Agglomeration
Economies 2008) 42.10 (2008): 12991312 written by Marian Chertow,
Weslynne S. Ashton and Juan C. Espinosa.
Industrial symbiosis in the former Soviet Union. (Sathre and Grdzelishvili
2006): 387 written by Roger Sathre.

30
Figure 6 Completeness of the model ensures that mechanisms observed in Aalborg can be explained (completed by
the authors).
The revised model has been updated with new mechanisms - revealed through the case
descriptions - while some other already existing mechanisms have been confirmed (see Table
3).
Causes Mechanisms Effects

Physical
Sphere

Municipality permission Urban local plan
Possible installation of
heavy visible infrastructures
Scarcity of resources (fresh
water, mineral material, fossil
fuels)
Distant synergies (external
links)
Ban against landfill of organic
waste
Regulations
Full reuse of organic waste
Loose regulation in regards to
waste
Freedom of action
Short distance between
companies
Proximity Increased feasibility
Hi-tech equipment Technical progress
Increased diversity of
synergies
Diversity of industry factors Complementarity
High number and variety of
synergies

Organiza
tional
Sphere
Suggestions from employees
Bottom-to-top participative
management
Innovative ideas
Market driven interests Public neutrality Dynamism
Pipeline producers
Availability of
infrastructure
Feasibility of infrastructure
Reduced raw material
consumption and reused waste
Cost saving and income
generating synergies

31

Lack of centralized overview
platform
Bilateral agreements
Industrial Symbiosis
Institute
Social
sphere
Transparency of companies Access to information
Better overview of possible
synergies
Nearness Social interactions CEOs know each other
Networking
Willingness
Interested CEOs Investing
Isolated industrial area Intimacy Good collaboration
Table 3 Elements of IS model. Model #2 (completed by the authors).

I.1.a Existing mechanisms favouring IS development in other case
descriptions
Intimacy
The Kwinana IS case reckons the importance of intimacy in the development of IS. The
limited competition between operating companies and the isolation of other major industrial
centres in Eastern Australia are believed to be a cause of such social proximity between these
actors. This confirms Proximity as a mechanism of the model.
Regulations
Unlike Kalundborg, there is a strict regulation in regards to handling organic materials in
order to produce alternative fuels in Kwinana. It is thought not to favour IS development, and
therefore, pledge for a relative loose regulation, as it is in Kalundborg (J. Christensen 2010).
On the other side, in the Rotterdam Europoort case, environmental taxes have been applied
concerning the use of certain rare materials. It had the effect of fostering the development of
synergies aiming at reducing the consumption of such materials. In conclusion, if not giving
tax-related incentives to reduce the use of rare materials, the environmental regulations must
not restrict the handling of waste. This confirms Regulations as a mechanism of the model.
The case of Kwinana gives a great deal of importance to the presence of a coordinating
body as a means to foster interactions between member companies. So does it in Rotterdam
Europoort, through the presence of ROM-Rijnmond (Spatial Planning and Environment
organization), a public-private co-operative venture. Although, the role of Kwinana and
Rotterdam Europoort coordinating bodies seems stronger than in Kalundborg, the idea of
enhancing communication between the companies through a common communication
platform appears to be common to them. This confirms the Common communication platform
mechanism of the model.

Legend
Mechanisms confirmed
New mechanisms added

32
Availability of infrastructures
Kwinana IS area presents numerous specific facilities that, as an effect, are believed to
foster the diversity and the feasibility of synergies between companies: 2 water and
wastewater treatment plants and 2 cogeneration plants. On the other hand, in Rotterdam
Europoort, the poor availability of infrastructures (especially pipes) is thought to be one of the
reasons of the limited development of the IS system at the beginning. Thus, it confirms
Availability of infrastructures as a mechanism of the model.
Technical progress
According to the Rotterdam Europoort case, some synergies are relying on very new
technologies (complex heat distribution system through pipelines from companies to houses).
Thus, the participation of technical progress in the increasing feasibility of synergies is here
shown once again. This confirms the Technical progress as a mechanism of the model.
Bottom-to-top participative management
The Rotterdam Europoort case reported the limitedly successful initiative of an external
actor (INES) with the aim to find new synergies and impose them to companies. This
promotes the importance of the companies ownership of the synergy idea (J. Christensen
2010), meaning that a bottom-to-top management style is preferred to a top-to-bottom
planning management - where synergy ideas come from companies themselves, acting in their
own interests. This confirms Bottom-to-top participative management as a mechanism of the
model.
Economic profitability
The case description of the Rotterdam Europoort IS system deals with an important
development barrier encountered at the starting phase of the IS area. This barrier was the
relatively long investment payback time of synergies involving new private companies (up to
5 years). Although the synergies were economically viable, the payback time was beyond
private companies business strategy scope, and therefore, hardly acceptable - especially since
the liberalization of the country energy supply. Thus, as can be seen in Kalundborg as well, a
synergy project must be economically profitable in a short-term period (J. Christensen 2010).
This confirms Economic profitability as a mechanism of the model.
Public neutrality
The research paper dealing with case descriptions of the IS systems during the Soviet
Union time (Sathre and Grdzelishvili 2006) raises the question of central planning versus
spontaneous development. In other words, it discusses the problem of Public neutrality. It
might be argued that centralised planning was an effective organisational method during the
early phase of industrialisation in the Soviet Union, when natural resources and
environmental services were relatively unlimited. () However, during the later phase of
development when natural resources and environmental services had become limited, central
planning lacked the finesse and fine-scale knowledge of local conditions needed to effectively
use resources. . The idea is that distant planners during the Soviet Union were poorly aware
of the flows of information price produced by the market, giving value to materials and waste
going scarce. It probably led to a non-efficient decision making process. A company is
thought to have a more local awareness of its environment, as well as being more sensitive to
price information flows given by the market. It supports the idea of having active actors

33
completely market driven, leading to a dynamic development and an efficient decision-
making process. This confirms Public neutrality as a mechanism of the model.
NGOs involvement may be another point to make, from a public side perspective. In
Kalundborg, the Environmental Club was made in 1989 to ease communication between
actors in the industrial area. The Municipality, the Danish Society for Nature Conservation
(Danish NGO), and companies were part of that club (J. Christensen 2010) and (Ingeniren
1990).
I.1.b New mechanisms favouring IS development in other case descriptions
Complementarity
The great variety and number of synergies in Kwinana (47 synergies) is believed to be due
to a large and diverse blend of key processing and manufacturing industries. Put differently,
the degree of diversity of synergies would be positively correlated to the diversity of industry
sectors. Unlike Kwinana, the Rotterdam Europoort case shows a sectorial barrier with the
formation of several important industry clusters in the area. It turns in a low industrial
diversity and a high degree of competition (which confirms the importance of another
mechanism, Intimacy). Though this mechanism was not added to Model #1, it reveals to be
significant in Kwinanas case. Complementarity is added to Model #2.
Access to information
The disclosure of companies input and output data and participation in IS-related
workshops in Kwinana, are two causes originating the Access to information mechanism - that
is thought leading to build up trust between managers and give an accurate map of flows of
the area (and a better overview of the possible synergies). Accessibility of information is a
new mechanism considered and added to Model #2.
I.1.c Graphic representation
The graphic illustration of the model is shown in Figure 7. It sums up the cause-effect
relationships - and the mechanisms that generate them in their respective dimensions. The
interactions between stakeholders induced by these mechanisms are depicted within each
sphere.
Physical sphere: several mechanisms in relation to physical matters are present. The
model supposes that the overall result of the achieved effects leads to the physical
development of IS at an engineering level. When such situation is reached, the following
interactions between actors are so that:
- Companies are exchanging by-products, services and are sharing infrastructures,
- Companies are physically interacting with the nature and the environment when
using alternative solutions in order to limit their industrial impacts,
- The Municipality maintains a physical link with companies when trying to foster
the IS development by setting favorable regulations and adopting an open urban
plan.
Organizational sphere: the mechanisms present in that sphere produce effects in favor of
the organizational development required in order to have a self-sustainable IS system. When
such situation is reached, the following interactions between actors are so that:

34
- Companies are communicating with each other it can happen via the help of a
common communication platform in order to keep a comprehensive vision of the
whole system,
- Within the extent of their knowledge, companies are, most of the time, interacting
in accordance to economical profitability maximization. The model promotes
public neutrality which explains the absence of link between companies and the
Municipality on this level. Thus, initiatives are mostly market-driven. Although,
social considerations may come into play and produce a different outcome than if
the decision would be only based on a rational grounds.
- Companies may interact with a third party a coordinating body. The model does
not embrace the latter as a public entity since it is not always the case.
Furthermore, the model promotes a limited control of this third party over the IS
organization. It should act as an enhancer/facilitator only.
Social sphere: in this sphere are described the social interactions occuring between the
actors of an IS system. This social work leads to a necessary cohesion in order to develop
further willingness to invest into IS synergies. When such situation is reached, the following
interactions between actors are so that:
- There are social interactions between companies especially between managers in
order to maintain good communication, trust and willingness when processing
operations involving sensitive business information and environmental risks
regarding the handling of waste,
- There may be interactions between operating companies and a third party, such as
the Municipality or scholars. It happens when the third party tries to bring
education, awareness and training to operating companies, in order to transform
the latter entities into actual social carriers of techniques for IS development, as
stressed in the paper by (Edquist and Edqvist, Social carriers of techniques for
development 1979).

The two-way arrows between the three spheres indicates a cyclic development. The idea
is that a strong social cohesion is thought to lead to an organizational development between
stakeholders, which sets the necessary elements to achieve synergies in terms of technical
feasibility. In its turn, a strong and viable synergisitc network may reinforce social proximity
between actors and often, bring new members in the network -, which increases experience
and knowledge at the organizational level and eventually increases physical possibilities of
synergies.
It is thought that, at an early stage of development, the order is likely to be Social
Organizational Physical. However, the outcome resulting in the physical establishment of a
synergy might benefit the organizational level as well as the social level. This learning-by-
doing process does not necessarily follow Social Organizational - Physical cyclic pattern.
But, as aforementioned, it is assumed that, in a first round, a first social work needs to be
done, in order to be able to organize a potential pertnership, before physically realizing it.
This learning-by-doing assumption is conforted by a paper work by (Harris and
Pritchard, Industrial Ecology as a learning process in business strategy 2004) dealing with
learning organizations in an IS context: Successful exchanges would then be presented at

35
network meetings potentially encouraging more and building on the learning of the network.
Building on the successes is where the network will start to learn and begin to function as a
learning organisation.

36

Figure 7 Graphic representation of the IS model (completed by the authors).

37
V A real case application: Aalborg East
industrial area

The model and its mechanisms are applied to the Aalborg East industrial area. It allows to
assess the presence of desired causes inducing effects favouring the development of the initial
steps of IS. The mechanisms and their analysis are listed below. The degree of compliance of
these mechanisms is assessed as follow: low, moderate and satisfying.
The mechanism presence is considered low when its degree of compliance does not allow
the expected effect to happen. The mechanism presence is considered moderate when its
degree of compliance partially allows the expected effect to happen. The mechanism presence
is considered satisfying when its degree of compliance allows the expected effect to happen.
V.1. Analysis of the physical sphere mechanisms
Urban local plan
Urban local plans are done in most areas of Denmark. The Law of planning acts as a
guideline to design them. The local plan tells what a specific area is used for, where pipes and
electricity should be placed and so on. The local plan is created when new buildings or
building areas are constructed. The local plan should take action in the plan of the area made
by the municipality and there are several other steps to follow (Miljministeriet 2009). The
openness and easiness to modify a local plan in order to allow IS infrastructures, such as
pipelines, mainly depends on the area and the persons in charge.
Therefore, when planning a new waste exchange system relying on pipeline or other
heavy infrastructures, changes in the local plan need to be approved. In order to change local
plans in Aalborg East some steps must be followed (Aalborg Kommune 2010):
- At first, a draft with suggestions for a new local is handled by the Technical and
Environmental administration,
- Afterwards, the suggestions submission has to be accepted by the City Council,
- Then, the plan is published in the district newspaper and community
announcements,
- The Technical and Environmental administration agrees on a definitive version
of the plan,
- The City Council, in its turn, approves the new document. After that, the document
is, once again, published in the district newspaper. A 4 weeks time period is
allowed for public opinion and complaint to be expressed. Therefore, public
opinion is also a part of the changing process.
It is concluded that the degree of Urban local plan in Aalborg East is satisfying.

A real case application: Aalborg East industrial area
38
Unlike in Kalundborg, groundwater is not much of a scarce resource in Aalborg.
However, the price of the water may have an influence on companies efforts to lower their
consumption.
There are only few productions of natural resources in Aalborg. One of them is chalk,
extracted nearby Aalborg and used in cement production at Aalborg Portland (Portland,
Produktion n.d.). Today, Aalborg Portland is a part of a symbiotic partnership.
Nordjyllandsvrket sends 30 tons per day of chalk slag to Aalborg Portland that sends, in its
turn, desulphurization gypsum back used to clean the extraction of chalk slag (Portland,
rsrapport 2009 2009, 29). By using the chalk from the power plant, the amount of resources
extracted is minimized. Aalborg Portland is already recycling wastewater in an internal
circulation. 347.230 tons of water was recycled internally in 2009. Furthermore 26.779 GJ has
been used for district heating in Aalborg (Portland, Miljredegrelse 2009). Most of the waste
is recycled, but it is not considered as an IS synergy since the waste is going to other
companies that are not interconnected. Reno Nord is using garbage from households and
companies to generate electricity and district heat thanks to a combined heat and power plant.
In 2009, 186.879 tons of garbage was treated at Reno Nord (Nord n.d.). From the process the
output are heat and electricity. The sludge from the incineration process is sorted, some part is
used for asphalt others for metal recycling, in this way it can be seen as a resource for other
companies whose necessity of virgin resources will decrease.
Due to the limited access to raw natural resources, environmental taxes have given
incentives to the companies in recycling waste and minimizing new resources. Using waste
products of another industry does not imply any extra fee (Skatteministeriet 2006). It is
concluded that the degree of Accessibility of resources in Aalborg East is moderate.
Regulations
Environmental regulations give incentives to develop environmental friendly alternatives.
In the region of Aalborg, environmental taxes relating to natural resources excavation are
applied at a rate of 5 kr. per m
3
(Skatteministeriet 2009). In the same perspective, there is a
475 kr. fee for each ton of waste sent to landfills. In parallel, another 330 kr. fee is applied for
each ton of waste to be incinerated (Skatteministeriet 2009).
However, some environmental taxes may induce negative impacts on the development of
IS synergies. It is especially the case with Aalborg Portland, where, because of heavy taxes
upon transferring unused heat to the central heating system, it cannot fully exploit the energy
exchange potential (stergaard, et al. 2010). It is concluded that the degree of Regulations in
Aalborg East is satisfying.
Proximity
In Aalborg East, the industrial area is concentrated in around 3,6 square km, gathering the
main industries of the city (see Figure 8). In Kalundborg, the area is about 5,25 square km.
Although slightly more important, Kalundborgs industrial area remains relatively of the same
kind as Aalborgs.
In order to define the degree of physical proximity between companies, a mean distance
between companies (MDBC) is measured. It is taking into account the greater MDBC

39
possible, meaning the distance between the farthest located companies in the industrial area.
However, in order not to bias the average result, Aalborg Portland has been discarded. Indeed,
even in the case Aalborg Portland is involved in a synergy, the solid nature of inputs needed
indicates that the transaction would probably be achieved through truck transportation, as it is
actually the case concerning the exchange of fly ash between the latter and Reno-Nord.
The MDBC given for Aalborg is equal to 2,620 km. This means that all possible
synergies within the focus area cannot exceed 2,620 km (calculated from Table 4).

Table 4 Measurement in km of the MDBC in Aalborg East industrial area based on the farthest located
companies. (Google Earth 2010).

Figure 8 Mapping of the Aalborg East MDBC (Google Earth 2010).
In order to compare and assess the degree of Proximity in Aalborg, the MDBC observed
in Kalundborg is calculated below. The MDBC found in Kalundborg equals 2,605 km
(calculated from Table 5).

Table 5 Measurement in km of the MDBC in the Kalundborg industrial area based on the farthest located
companies (Google Earth 2010).
The MDBC of 2,620 km of Aalborg East industrial area is therefore roughly equivalent to
the MDBC of Kalundborg industrial area. Because the case of Kalundborg is considered as a
primary support for the model, it is concluded that the degree of Proximity between
companies in Aalborg East is satisfying.

Danish Crown Klimateknik Mokana
Danish Crown 0 2.06 1.9
Klimateknik 2.06 0 3.9
Mokana 1.9 3.9 0
!
Asnaes power plant Nordisk Aluminat Novozymes RGS 90
Asnaes power plant 0 3.4 2.92 1.4
Nordisk Aluminat 3.4 0 0.8 3.88
Novozymes 2.92 0.8 0 3.23
RGS 90 1.4 3.88 3.23 0
!

40
Technical progress
Because of the industrial diversity in the Aalborg East area, a wide range of technical and
cutting edge processes are taking place. Some companies, such as Siemens Wind Power,
Reno Nord, or Fibertex have been investing in research and development in order to come up
with new technologies that can be applied to the production process. This often results in
productivity gain.
However, technical progress has also allowed developing a wider range of possible
synergies. Since some synergies in Kalundborg or Kwinana were not possible before mostly
due to a too basic technology that induced too important energy losses -, technological
advance makes now possible to slow down high entropy transformation of energy. Therefore,
a single flow of energy, hot water for example, can now go through several uses at several
places while limiting the heat loss. Some other techniques of waste conditioning, that did not
exist before, also allow reusing a wider variety of waste and, thus, enhance the synergies
development like gas desulphurization and others.
The fact that Aalborg East has a diversified industrial structure - with some of the
companies using advanced technologies in their production process -, indicates that some of
the present actors possess knowledge and engineering capacities of implementing advanced
technology-based synergies, if necessary. It is concluded that the degree of presence of
Technical progress in Aalborg East is satisfying.
Complementarity
Aalborg East industrial area observes a diversified industrial structure (see Table 6).
Among companies specialized in different manufacturing or service based activities, the
presence of specific infrastructures, such as the wastewater treatment plant of Aalborg East,
may facilitate interconnections between companies flows.
The diversity of core businesses develops the possible combinations in terms of by-
products and wastewater complementarity. Thus, one companys waste has a greater chance
to become anothers raw material.

Table 6 The main industrial fields located in Aalborg East and Kalundborg areas

It is concluded that the degree of presence of Complementarity in Aalborg East is
satisfying.
Aalborg East main industrial fields
Building materials manufacturing/
Constructions
Waste/waste water treatment/valorisation
Electronics manufacturing/ providing
Service providers (high consumption of raw
materials): BRO transports, Berendsen
textile.
Kalundborg main industrial fields
Building materials manufacturing
Waste/ waste water treatment valorisation
Pharmaceutical producers
Fuels/ power generation

41
V.2. Analysis of the organizational sphere mechanisms
Bottom-to-top management
The study of the IS case of Kalundborg resulted in a predominant bottom-to-top
participative management style within companies. It is thought that it can have a beneficial
influence by supporting employees ideas in regards to possible improvements or innovative
solutions. From that reason, it is believed that companies should take into consideration
employees opinions to successfully start and develop IS partnerships.
Many of the Aalborg East companies are aware of the potential behind employees and
customers participation. One of these companies is Fibertex. When dealing with working
principles, Fibertex states: In cooperation with our customers, we focus on producing high
quality products with minimum environmental impact. (Fibertex Nonwovens n.d.). Siemens
Wind Power is also a company that gives real value to the employees-managers relationship.
It states in one of its annual reports that employees are a valuable source of innovation: the
innovations spawned by the ideas and knowhow of our employees (Siemens Wind Power
n.d.). It also seems to be the case of Berendsen Textile when stating that: everyday you have
the possibility to increase your part of the business, the way we work and the service we
deliver for the customers (Berendsen Textile n.d.). Finally, it seems that Aalborg Portland
has the same vision about employees involvement in projects development and improvement
(Aalborg Portland n.d.).
Nowadays, companies are more and more aware of the need to come up with innovative
solutions in terms of products, in order to reduce their impact on the environment or to
support their business strategy. It is a necessary condition for their survival. A bottom-to-top
participative management is an appropriate way to deal with this problem and bring up
innovation. It seems that companies in Aalborg East realized it. This fostering mechanism is
considered as another brick in the IS wall development process. It is concluded that the degree
of presence of Bottom-to-top management in Aalborg East is satisfying.
Public neutrality
As previously seen, it is important to activate and encourage the participation of the
Municipality in such project in several forms: it must legislate flexible regulations in order not
to slow down synergies possibilities, it must promote the IS development in the surroundings
in order to attract investors, it must allow infrastructures crossing public areas, etc.
In this way, Aalborg Municipality seems interested in the idea of developing an IS
organization within the city. Indeed, in the so-called Sustainable Energy Vision 2050 outlook,
a great deal of importance is given to potentials induced by IS (stergaard, et al. 2010).
According to this report, the municipality would be searching for over-consuming energy
industries in Aalborg East in order to reuse the extra heat produced (stergaard, et al. 2010).
It is thus possible to notice an obvious willingness from the Municipality. However, it is
important to remember the importance of Public neutrality in decision-making processes.
Therefore, Aalborg Municipality should come as a support and should not try to take control
over companies decisions. As mentioned in the previous section, companies are the most
likely best actors in position to receive market price information and to make decisions in

42
accordance. It is important that companies do not feel forced to undertake synergies from an
above authority and conserve the ownership of the initiative. It is concluded that the degree of
Public neutrality in Aalborg East is satisfying.
Availability of infrastructures
The proximity of manufacturers that can provide with specific equipment such as
pipelines, boilers and all necessary infrastructures in order to achieve exchanges, is
considered as an important mechanism. Bladt Industries, Aalborg Industries or Aalborg
Energiteknik may be one of these companies (Bladt Industries n.d.) , (Aalborg Industries
n.d.) & (Aalborg Energie Technik A/S n.d.), both located in Aalborg that could provide with
such products. Therefore, they must be approached when considering technical and
economical feasibility of a synergetic infrastructure. It is concluded that the degree of
presence of Availability of infrastructures, supported by the near location of IS specific
infrastructure manufacturers in Aalborg East, is satisfying.
The economic viability of a partnership characterized by the exchange of waste, water or
utilities, is of a first concern. At the moment, no specific synergies between companies have
been developed in Aalborg East. However, the feasibility of such collaboration must be
achieved with the support of a technical but also cost-benefit analyses.
Therefore, as long as the selling company shows p*q > C and the buying company
shows (p - p)*q > C, with p: market price of one unit of waste sold; p: market price of one
unit of usual raw material bought; q: quantity; C: fixed structural costs (pipelines,
conditioning of the waste, special equipment), both companies are encouraged to support the
partnership.
Considering a regular demand function where D(qd): a-xpd (with qd: quantity needed, a:
fixed value, x: elasticity coefficient, pd: price of the raw material), it is possible to determine
the inverse demand function D(pd): (a qd)/x. Considering a regular supply function where
D(qs): b + yps (with qs: quantity offered, b: fixed value, y: elasticity coefficient, ps: price of
the raw material), it is possible to determine the inverse supply function D(ps): (-b + qs)/y.
Therefore, the market price for one unit of raw material is when p1 = pd = ps (a qd)/x =
(-b + qs)/y. If the raw material considered is going scarce, it is translated into a decrease of the
quantity available, which in its turn implies a rise of the offer function (b increases). The
consequence is that (a qd)/x = (-b + qs)/y pd = ps = p2, with p2>p1. It is concluded that
the scarcer a raw material is, the more expensive. It may increase the difference between (p-
p)*q and C, and therefore encourage both companies in keeping the partnership going.
The major part of industries operating in Aalborg are using input materials that are present
in a finite quantity in the environment (freshwater, steel, gypsum, glass fibres, etc.), or, at
least, non-renewable in a human lifetime span. Therefore, their availability decreases and their
prices increase. It supports the idea aforementioned and encourage IS development. However,
structural costs, C, may remain high enough so that p*q < C and (p - p)*q < C. But, as can
be seen in the Technical progress section, the mechanism Technical progress ensures that
new technologies are being set up at a reasonable price, and, therefore, brings back C to an
affordable level.

43
However, one might be critical in regards to this assumption. Indeed, there are three
points to be highlighted here. Classical microeconomics suggests that the evolution of the
price of one unit of finite raw material, p, is likely to evolve as following: p =
p'
(1+r)
T
(with p:
market price of one unit of usual raw material bought, p: market price of one unit of waste
sold, 1+r: interest rate of the raw material (assimilated as a financial assets), T: number of
years of available resources of raw material). This assumption clearly shows that, as the years
of availability of the raw material capacity are decreasing, its price will drift towards its
substitute price (p, that can be synonym of using waste material through IS technology) as
the formula can be reformulated this way: p(1+r)
T
= p' . Knowing it is needed for a
partnership to become economically profitable that p< p, it can be feared that:
Thanks to new discoveries of raw material reserves, T increases and, therefore,
p decreases,
Thanks to Technical progress, production equipment becomes more energy
efficient and reduces raw material need which decreases qd and therefore p
(because qd !, p = pd = ps (a qd)/x = (-b + qs)/y ! too),
Thanks to the same Technical progress, production equipment related to IS may
improve with time and bring p to a lower level. As microeconomics theory
suggests that p p, knowing that p decreases, p will decrease too.
However, according to economics statistics, it seems that discoveries of new material
resources in general are fewer and fewer in terms of quantity. Thus, T decreases and seems to
be the dominant factor nowadays. It leads finite raw material price, p, to a higher level and
makes IS an economically profitable alternative.
It is concluded that the degree of presence of Economical profitability in Aalborg East is
satisfying.
Since a common communication platform is inherently related to the existence of an IS
network, it is not possible to assess the degree of integration of such entity since no IS
network has been yet developed in Aalborg East. However, it is still possible to encourage
such initiative in a near future. A common communication platform - that can be assimilated
as a coordinating body would facilitate partnerships between companies having technical
compatibility, circulate information flows throughout the area and organize workshops. It is
thought to enhance the development of IS synergies in an already existing industrial area.
A possible suggestion is the creation of an Industrial Symbiosis department in the
municipality of Aalborg. The latter can act as a common communication platform. In fact,
this department could be the starting point of the whole process, because, as a central
authority, they have the power of arousing companies interest in this field.
Another suggestion would be to involve the Aalborg Industries and Business
Chamber, Danish Industry of Aalborg or Network for Sustainable Business
Development, that already have the expertise and knowledge of gathering and
communicating with Aalborg companies.

44
After the first IS steps initiated, this entity may organize meetings between companies
representatives, keep them up to date with changes regarding the overall process and
challenging them to engage in further developments. It is concluded that the degree of
Common communication platform in Aalborg East is satisfying.
V.3. Analysis of the social sphere mechanisms
The collection of data that are supporting the following arguments has been achieved
through a questionnaire available in the Appendix section. The questionnaire is designed so
that questions it contains are related to specific mechanisms belonging to the social dimension
of IS. Although the rate of return has been low (5 questionnaires have been returned out of
20), data concerning dominant companies - in terms of economic scale - have been analysed.
These companies are considered to become most likely initiators of synergies regarding their
economic abilities to support structural investments usually required.
A total of 24 companies have been selected and sent the questionnaire. The method and
criteria for selection are defined in the methodology section of this work.
Access to information
Transparency in terms of full disclosure of information on input and output flows is a
prerequisite in finding the possible physical synergies. Many of the companies in Aalborg
East have made a step towards transparency by realizing a Green Account report and making
it publicly available (Portland, Danish Crown, Fibertex, Reno Nord, Royal Greenland,
Siemens Wind Power and others). Green Accounts provide with information about material
flows circulating through companies black boxes, amounts of waste annually produced and
rough environmental impact assessments. Since 1995, it is by law decided that important
companies in Denmark must hand in a green report to the environmental protection agency
(Miljministeriet, Miljstyrelsen n.d.).
Even though these reports are very helpful when trying to match up first physical
synergies, a mass flow analysis (MFA) of the industrial area would give a clearer map of
possible synergies. This database could be run and maintained by some form of Common
communication platform, possibly supported by the Municipality.
It is worth to notice that the companies interviewed admit to be aware of the existence in
the industrial area of, on average, half of the 24 companies mentioned. Among the companies
being aware of other companies existence, they indicate to know the approximate
input/output flows of around of them.
Therefore, the degree of awareness, represented by the mechanism Accessibility to
information, in Aalborg East is considered moderate.
Social interactions
The social interactions among companies managers in Aalborg East are hard to identify.
The questionnaire that has been sent to the 24 selected companies contains several questions
relating to social interactions. Among the answers returned, two of the companies are already,
in some way - but other than in a usual business context -, cooperating with each other,

45
mainly regarding waste disposal transactions (between Marius Pedersen, Reno Nord but also
Aalborg Portland and others). It may lead to think that stronger emphasis on social
interactions would lead towards further collaboration.
Regarding the Kalundborg case, it has been seen that managers from a same industrial
area may interact with each other by the way of extra-professional social activities
(associations, clubs, sport activities), that lead to deepen collaborations by enhancing trust
between managers, in a professional context. However, the study has not identified any of
such extra-professional activities involving companies managers in Aalborg.
Therefore, the degree of Social interactions between companies in Aalborg East is
considered low.
Willingness
Willingness is a very important mechanism, if it is not the most important (J. Christensen
2010). According to the questionnaire, the answers related to the mechanism of Willingness
are not clear. Less than half of the companies returned positive answers. Although, it is worth
saying that, among the companies that answered negatively to the question of willingness:
- A major part sees their inputs/outputs flows as confidential,
- A major part indicates mutual confidentiality and loyalty as imperative rules to be
respected.
It may be possible to see a link between the lack of Willingness and certain nervousness
in regards to sharing business sensitive information. Therefore, the degree of Willingness in
Aalborg East is considered low.
Intimacy
An isolated industrial area can ensure a collaborative atmosphere between the operating
companies. As revealed from Kalundborg and other case descriptions, firms located near to
each other tend to observe the next door neighbours, maintain social links with them and
eventually share points of interest and development projections.
The degree of awareness for each firm in regards to the presence of other companies in
the neighbouring area in Aalborg East is hard to assess. By the use of the questionnaire, it has
been possible to measure how well companies know what is happening beyond their fence.
The answers seem to be moderately positive. Even though there are almost not any existing
collaborations at the moment, companies roughly tend to know each other, including core
activity and input/output material flows. It is believed that the poor distance separating
companies and the smallness of the overall area induce such degree of Intimacy. It is
concluded that the degree of presence of Intimacy in Aalborg East is moderate.
A summary of the analysis of the current degree of compliance to IS requirements in
Aalborg East is described in the table below (see Table 7).

46
V.4. Results of the analysis

Current situation Mechanisms Degree of compliance

Physical
Sphere

Willingness from the
Municipality to welcome IS.
Therefore, it is possible to
think that the urban local plan
will be open to heavy IS
infrastructures development.
Urban local plan Satisfying
No major problems in
accessing to resources.
Because companies do not
face scarcity of resources, they
are poorly motivated in
finding alternatives.
Accessibility to resources Moderate
Environmental taxes fostering
reuse of waste. No limitations
in regards to waste handling.
Regulations Satisfying
Relative short distance
between companies.
Proximity Satisfying
Knowledge and engineering
capacities present in Aalborg,
because of some industries
based on cutting-edge
technologies: Fibertex,
Siemens Wind Power, Reno
Nord.
Technical progress Satisfying
High diversity of industries:
building materials
manufacturing, cement
factory, energy producer, etc.
Complementarity Satisfying

Organiza
tional
Sphere
Several companies seem to
integrate employees and
customers suggestions into
decision-making processes.
management
Satisfying
Willingness from the
Municipality, but not
oppressive.
Public neutrality Satisfying
Existence of WWTP and
infrastructures manufacturers.
Availability of infrastructure Satisfying
Scarcity of resources. Economical profitability Satisfying
Not existing, not necessary but
recommended. Presence of
Aalborg Industries &
Businesses Chamber. Should
act as facilitator, not planner.

platform
Satisfying
Social
sphere
Need for flow mapping and
large scale MFA. Poor
awareness of companies
input/output flows.
Access to information Moderate

47
Poor social links. Insufficient
collaborations between
companies. No evidence of
extra-professional activities.
Social interactions Low
Poor willingness. Business
confidentiality issues?
Willingness Low
Small industrial area in favour
of intimacy. But community
spirit can be improved.
Intimacy Moderate
Table 7 Analysis of Aalborg East current situation on the Model #2 basis.
At this stage of the work, a critique must be done on the analysis validity. Although the
main physical facts can be easily assessed through simple observation, the organizational and
social mechanisms require a more thoughtful analysis, relying on more complex methods.
A first point would be to adopt a cautious attitude in regards to the little number of
surveys answered in comparison to the total number of active companies. The accuracy and
amount of data collected may not be sufficient in order to reflect truthfully the current
situation in the Aalborg East industrial area.
A second point is related to the interpretation of data collected through observation,
questionnaire and Internet search. In order to ensure the accuracy of this analysis, it would
have been scientifically advisable to obtain feedback from the actors initially involved.
Considering that these procedures are time-consuming, it would not have been possible to
go through them in the time frame allocated for this project.

Giving a context to Aalborg East current situation
48
VI Giving a context to Aalborg East current
situation
This section provides the previous analysis with a contextual framework in which it is
attempted to identify actors, driving forces and interactions.
VI.1. Social carriers of techniques for development

A paper work called Social carriers of techniques for development (Edquist and
Edqvist, Social carriers of techniques for development 1979) gives an interesting theoretical
support, dealing with the introduction process of a new technology from a social perspective.
The paper analyses the process on an agent-oriented basis where social entities, at a certain
point in time, make the choice of introducing a new technology. These entities can be
identified as a company, an agricultural cooperative or even a public agency, which is
introducing new tools and techniques in a specific context.
(Edquist and Edqvist, Social carriers of techniques for development 1979) make the
distinction between potential social carriers and actual social carriers, where the latter fulfil
all of the necessary conditions to be able to implement a new technology, while the former
complete only some of them.
Here are the 6 conditions, according to the authors, necessarily observed by a social entity
in order to implement a new technology:
1. The entity interested in introducing the technology must be present in the society,
2. The entity must have a clear organizational structure in order to be able to make a
decision,
3. The entity must be a certain economical, social and political power to be able to invest
in the technology,
4. The entity must be aware of the existence of the technology,
5. The entity should be able to access to the technology,
6. The entity must acquire the knowledge to be able to handle and maintain the
technology.
Economical and social power condition (3) is commonly seen as the distinctive mark
between potential and actual social carriers of techniques for development (Edquist and
Edqvist, Social carriers of techniques for development 1979). Note that it is possible to
identify potential and actual social carriers in every societal context, meaning that the former
are the ones willing and able to change the situation by bringing a new technology, while the
latter only wish to do so. A potential carrier is a societal entity that has interest in choosing
and implementing a technique but not enough power to materialize that interest, meaning that
the question of power is crucial.

49
In this sense, the authors make an analogy between communist and capitalist political
regime, before and after organizational reforms of a system, and so on. They show that a
reallocation of resources carried out by a governmental authority allows the emergence of
new kinds of social carriers, where potential social carriers become actual and vice-versa.
It is also mentioned that single carriers (in this case, companies in Aalborg East) are not
necessarily homogeneous entities since they are formed from both the power-holding group
and the skilled workers and technicians. The latter have a crucial role in the implementation
of the technique, because they are the ones who know what and how things should be carried
out.
Certain rules must be respected when choosing a proper technology. Assuming companies
are acting in their best interest within their range of knowledge, they will choose techniques
that fulfil 3 basic criteria in the first place:
- The techniques should contribute to fulfil the basic needs of the mass population,
- The techniques should be employment generating,
- The techniques should be capital saving.
Moreover, it is worth saying companies favour environmentally safe techniques that can
provide a competitive advantage from this point of view and place them ahead of
environmental norms and regulations.
Another term introduced here that deserves attention is linked social carriers. Perceived
as a whole, the process of technical change can be constituted by different stages: Invention,
Innovation, Diffusion (transfer), Choice and Implementation. Usually, a technique is carried
by different actors through the different stages of the technical change process as a whole
(Edquist and Edqvist, Social carriers of techniques for development 1979). Reference is
made to this idea in the next section.
I.1.a Critique
Now, the theoretical support being presented, it may be relevant to adopt a critical
attitude towards the applicability of this paper on the case of Aalborg East. The sticking point
is mainly referring to the fact that this article has been written more than 30 years ago.
Moreover, the authors particularly focused on the introduction of new techniques in a
developing environment, where most of the time, no infrastructures of any kind existed
before. This is obviously not the case in such industrial environment as Aalborg East. In this
regards, two main points can be made.
First off, doubts can be cast on the relevance nowadays of the 6 predefined conditions
that a social carrier must meet in order to implement a technique. Questions can be asked
especially regarding the validity nowadays of the condition 4, which is inherently related to
conditions 5 and 6. Since 30 years ago, communication systems have evolved towards a
worldwide and instant access to any kind of information through the Internet. Therefore, what
seemed as informational barriers 30 years ago, is, today, just a matter of taking time to get
thoroughly and instantly informed. In other words, when it possibly was difficult for a
company to get information about a new technology, it is now not considered such an

50
impossible task to accomplish. However, it does not discredit the important role of scholars
and other external actors in order to further develop conditions 5 and 6.
Secondly, other important assumptions are made regarding the criteria a technique must
fulfil in order to be chosen by a social entity. Although the requirement that a technique must
be capital saving to be chosen seems still realistic nowadays, it is possible to doubt on the
relevance of the two other conditions mentioned.
As for the first condition, although it may seem true when introducing a new technology
in a developing country, in the framework of a developed industrial area companies may
choose alternatives that do not necessarily benefit the interest of the whole population, but
only theirs. For the second condition, as the economic statistics seems to show these last
years, manufacturing businesses tend to prefer capitalistic to labour intensification. The rise of
wages and social payroll taxes may be one of the causes. Companies might therefore choose
an alternative leading to a decrease of their labour-capital ratio.
This being stated, it is now possible to proceed to the analysis of the Aalborg East current
situation while keeping these limitations in mind.
VI.2. The current situation in Aalborg
Based on the analysis previously conducted and a set of assumptions that rely on external
observations, it was argued that the only social carriers present in Aalborg East are potential
carriers. The reason behind this is that, in order to be actual social carriers, entities have to
meet the six conditions presented previously. Thereby, they must have interest in the
introduction of a new process like IS, have economical, social and political power to
implement it, be aware of its benefits, be able to handle and, finally, have access to the
technology itself.
VI.2.a. Physical and social conditions

Table 8 The two different groups of social carrier conditions
The first three conditions in Table 8 - the physical group - are important and central, since
they refer to characteristics that are inherent to the firms entity. Therefore, these are aspects
that can hardly be influenced, if it is not by the company itself.
Physical conditions
1) The entity interested in introducing the technology must be present in the society
2) The entity must have a clear organizational structure in order to be able to make a decision
3) The entity must have a certain economical, social and political power to be able to invest in
the technology
Social conditions
4) The entity must be aware of the existence of the technology
5) The entity should be able to access to the technology
6) The entity must acquire the knowledge to be able to handle and maintain the technology

51
On the other side, the next three conditions - awareness, access and knowledge - can be
influenced by external actors: public authority, scholars or consultancy cabinets. External
forces can generate their starting point. It would lead to a side-in approach where education
and information about the technology is transferred to social carriers from external interest-
free actors. It is to be opposed to a top-to-bottom way, as can be seen in some centralized and
planned EIP parks (China, for example). It may be one of the projects spin offs. Contact
companies in Aalborg East and create awareness among them may be a way envisioned in
order to transfer the knowledge.
The reason why Aalborg East is considered to be lacking of actual social carriers of
technique is because the majority of companies do not seem to fulfil the second group
conditions. Even though the support article states that the power condition is the main
characteristic splitting potential from actual social carriers of technique, the situation in
Aalborg East seems to prove different.
VI.2.b. External actors as social carriers of transfer
As mentioned before, this project deals with the social barriers that must be removed to
have a situation favourable to IS. The last three conditions, dealing mainly with knowledge
and awareness, cannot be fulfilled - mainly because of social barriers encountered in Aalborg
East. The latters are referring to:
- 4) Having the necessary information about the existence of the technique
- 5) Access to the technique that makes the IS process possible
- 6) The ability to acquire the needed knowledge about how to handle the technique.
It is believed that these three conditions can - unlike conditions 1), 2) et 3) - be improved
from the company prospective with the help of external actors (social carriers of
diffusion/transfer which do not have direct interest in the matter). They can help companies
to overcome the social barriers and fulfil the missing conditions in order to become actual
Figure 9 The process of transferring information between different social carriers and the transformation of
potential carriers of techniques into actual ones (completed by the authors).

52
social carriers of techniques. The help is here referring to the awareness through information
provided and shown to companies in order to acquire the needed knowledge to integrate IS in
their know-how. This step is essential because, according to the theoretical support paper,
every technique must have an actual social carrier in order to be chosen and implemented. In
this way, two types of social carriers become linked.
Figure 9 illustrates the process of transforming the potential social carriers of techniques
(companies in Aalborg East) into actual carriers and the possible role of this project outcome
in the process. The project and its authors may be defined as a social carrier of transfer
because it attempts to transfer information about the existence of the available technique to
the potential carriers - which supposedly have economic power, interest and the structural
organization needed to start IS. In this way, they become linked social carriers. When
information about the technique is known and thoroughly understood, companies are able to
break the social barriers. They ideally start to interact between each other and share their
know-how: how to access, how to handle the technique (sharing information about material
flows, possible synergies, common interests, agreements, investments and so on). Through
this process made of social interactions, companies become actual carriers of the IS
technique, and make possible the first step towards concrete partnerships.
Yet, unlike represented in the figure, the project do not really content itself to transferring
the knowledge of the existence of the IS technique, as it also shows and suggests a pattern to
follow at an organizational and social level.
VI.2.c. Lack of actual social carriers of techniques in Aalborg East
In Aalborg East, only potential social carriers are present. Indeed, it seems that none of
the companies fulfil the six predefined conditions. Each of them shows a lack of, at least, one
of the conditions.
The economic power induces the capacity of investing. Aalborg Portland is already
investing in environment and climate safeguarding initiatives, like symbiotic exchanges with
Nordjyllandsvrket and Reno Nord. Besides that, the company distributes extra heat to the
district heating system of the city. This shows economic ability and interest in using new
techniques.
The municipality is considered to be a potential carrier because it has political, economic
and social power. It supports different parts of the infrastructure elements such as public
entities - the sewage treatment plant, which has the potential to optimize the IS-process. The
municipality of Aalborg maintains a close relationship with Aalborg University, a
knowledge provider and potential social carrier.
The questionnaire shows a real interest in investing into IS from various companies, if the
technique happens to be possibly applicable.
The companies handling large volume of waste are likely to be the most interested in IS.
Smaller companies and service-oriented businesses may not be considered as actual carriers.
Nonetheless, they may be linked to the system when mature.

53
VI.2.d. Project perspectives
In the pursuit of transforming the potential carriers of technique into actual ones, this
project aims at providing with accurate information about the availability, the steps, the
necessary resources and the benefits of IS. It was established that the most suitable way of
spreading the information presented in this work might be done through interactive methods.
In the first place, a brochure will be developed. It will contain a short description of the
IS concept and its various benefits. It will be distributed among the potential carriers of
technique as an introduction to the concept. The brochure may eventually invite them to take
part into the next steps of the information campaign.
The next step is a workshop that will actively engage the potential social carriers
(companies representatives) into a data accumulation process. It gives the possibility of
discussing the different aspects of the technique.
The municipality of Aalborg has a comprehensive knowledge of the industrial structure
of its industrial area. Therefore, it is the best positioned in order to select the companies to
involve into these workshops. The municipality also has a certain social power while trying to
remain a neutral participant. It has been shown in other cases, like Rotterdam, where the
municipality can endorse a predominant role in the organisational process by organizing
workshops and various meetings, but also in investing into heavy infrastructures. This being
done, it gave the municipality some interest/power over the project. This can lead to a
problem of public neutrality.
Besides the first goal of providing companies with information regarding the available
techniques, these workshops might help them to find ways of breaking social barriers and
reaching the status of actual social carriers of the IS technique.

Future possible improvements
54
VII Future possible improvements

This part focuses on giving suggestions addressing companies issues in Aalborg East in
order to ease the IS development. After overcoming the aforementioned social barriers,
attention must be drawn on the mechanisms presented in the model.

SOCIAL MECHANISMS ACTORS ACTIVITY
Social Interactions Companies Engagement of employees,
building local network
platform
Municipality, companies Constitute a forum place,
flow information
Willingness Companies Companies have to be
willing to join
Intimacy Companies Should not feel threatened
by the involvement of
possible competitors in the
IS system
Access to Information Municipality, companies Database containing actors
input/output data tables.
Workshops can give
knowledge

Social interactions This mechanism plays an important role. It is believed to generate
trust between companies. A way of intensifying interactions between companies may be to
engage employees from different sectors in a local network within the area, where they can
share knowledge, ideas, and, more important, get to know each other and bond. Aalborg
industries and business chamber may possibly be used as such.
Common communication platform May be set up by the municipality and constitute a
forum place where various information regarding flow mapping, input/output economics and
possible synergies can be found. Companies can meet and share information.
Willingness Is likely to involve and progress together with intimacy and access to
information. Attracting companies to join such network may be done through access to
information and all the other aspects related to IS implementation. Therefore, an information
campaign among companies in Aalborg East can improve their degree of Willingness. Trust
might affect the willingness. This project is an approach to provide information that facilitates
Awareness, which comes inherently with Willingness.
Intimacy As long as companies choose to collaborate with other collocated companies,
the feeling of intimacy is being fostered and will likely lead to an eventual stronger
development of trust. Therefore, companies would not feel threatened by the involvement of

55
possible competitors in the IS system. It can be achieved by joining workshop and build a
tight network between neighbouring companies.
Access to information It may be helped through the development of a database containing
actors input/output data tables. Workshops can also be a tool for giving knowledge to
companies and lead them to build trust among each other. In Rotterdam 1999, the workshop
New chances for Industrial Ecosystems was held with participation of 36 industries, 5
representatives from the government and 5 from NGOs (Harmsen and Powel 2010). Among
the topics discussed, the most relevant questions to Aalborg East case were:
- What is the optimal use of existing pipeline infrastructures?
- Should investment in the industrial ecology infrastructure be done by government
and/or by the provider?
- How should we proceed to develop a database for the spare parts, second hand
compounds, resources, semi manufactured articles, energy, residues or by-
products, personnel, pipelines, end products, and knowledge?
- How can surplus electricity be utilized in the region? (Harmsen and Powel 2010,
66).
These questions could be relevant to discuss in the case of Aalborg East when dealing
with different topics such as: who should pay for new pipelines and infrastructure? What is
the best way of completing a database containing flows and resources of the companies
involved? How should this be done? Calculation of the economic profitability of different
synergies may be another aspect to include in the database.
It is possible to make an analogy between the last question and the current situation in
Aalborg regarding the surplus of heat production redirected into the municipality grid. It may
allow solving problems such as using the heat from Aalborg Portland that is not used
currently because of regulation (stergaard, et al. 2010).
(J. Christensen 2010) sees workshop as a good start to create awareness about IS and
build trust between the companies. It is at this stage where the different managers from
companies start talking together, and get the opportunity to network, intimate, and share
information. It may also lead companies to figure out some possible synergies within their
own organization.

ORGANIZATIONAL
MECHANISMS
ACTORS ACTIVITY
management
Companies Employee participation
Public Neutrality Municipality, companies Advising, not controlling
Availability of infrastructure Companies Should use suppliers from
the same area
Economical profitability Companies Sign commercial agreements

Future possible improvements
56
Bottom-to-top participative management Several companies in Aalborg East have a
bottom-to-top management approach within the company that makes employees participating
and coming with suggestions for further development. Therefore, setting up workshops and
brainstorm sessions with technicians and engineers allows collecting new and physically
feasible ideas concerning potential synergies.
Public neutrality It is important that the municipality acts as an adviser without trying to
take control over companies development plan. Companies must not feel forced to make
synergies but they should see the possibilities by themselves, in accordance to their own
business strategies.
Availability of infrastructure Bladt Industry, Aalborg Industries and Energiteknik may
act as infrastructures providers within the area. Through agreements, companies may benefit a
price reduction and bring business intimacy into the area.
Economical profitability IS provides two ways of being economically profitable. In the
first place, companies can save money by not paying taxes related to waste disposal.
Secondly, selling waste may generate additional income. It is suggested that companies find
the best solution to the latter, so both parties can be equally satisfied with the agreement. In
this way, the collaboration will become sustainable. As seen in Kalundborg, bilateral written
agreements are commonly used in such situation. The payback time of investment may vary
according to the cost of the infrastructures considered. Smaller companies should not invest if
the payback time is too high (J. Christensen 2010). Obviously, the appreciation of the length
of the payback time becomes subjective to the company, depending on its size, on its financial
abilities and on the time scale of its business plans projections (how fast the direction board
wants to recover losses by profits).

PHYSICAL
MECHANISMS
ACTORS ACTIVITY
Urban Local Plan Municipality, companies Good relationship
Accessibility of resources Companies Early action
Regulations Authorities Adequate regulations
Proximity Companies Closest possibilities comes
first
Technical Progress Companies Invest in research and
development
Complementarity Municipality, companies Advertisement

Urban local plan To be able to build a proper infrastructure supporting companies
synergies across the Aalborg East industrial area, a flexible local plan is needed. Therefore,
the municipality plays a central role in the further improvement of this mechanism. This is
why the municipality and the companies interested in investing into IS must keep an open and
good relationship to facilitate the process.
Accessibility to resources The scarcity of resources can be an eye-opening situation for
companies. Besides, it constitutes an incentive to find alternative solutions and take part in an

57
IS network. It is suggested that the actors must not wait until their resources go scarce to act.
An early search for solutions is recommended.
Regulations Regulations should not be an impediment or a slowing factor to the waste
exchange handling, especially when beneficial for the stakeholders and the society in general.
A suggestion is that authorities must revise problematic regulations if any. On the other hand,
loose regulations that allow businesses to impact too heavily the environment must be
strengthened, pushing them to rethink their choices.
Proximity The companies should, at first glance,
carefully analyze their neighbours input and output
flows, and try to find possible physical synergies. If they
develop synergies with closely located industries, the
infrastructure needed would be cheaper and their
investment more profitable. As Figure 10 shows, each
company can analyze gradually the industries in the
proximal areas.

Technical progress In order to ensure that IS takes
place and develops in the future, companies should constantly invest in research and
development. At the moment, they have equipment that allows them to start collaborating in
terms of material exchanges. However, considering science evolution pace, companies have
to constantly being awareness of more efficient alternatives.
Complementarity As mentioned before, the degree of complementarity between
companies in Aalborg East is sufficient in order to find matching synergies. But to be able to
increase the number of these synergies, it could be a good idea that companies advertise the
benefits of IS among other companies not present in Aalborg East. In the end, the latter can
relocate some of their production units in the proximity of the complementary company.

Figure 10 Concentric proximal area
analysis.

Conclusion
58
VIII Conclusion

Usually, when dealing with IS, the different approaches found in the literature mainly
refer to the physical process of exchanging inputs and outputs within a definite framework.
Too few sources remain clear on the development pattern of such process, especially
considering the extra physical aspects to take into account. To introduce IS, a starting point is
needed. This projects main finding reveals the importance of creating awareness as a first
step, in order to reach willingness and finally physically implement IS synergies between
companies within the Aalborg East industrial area.
The foundation of awareness lays in the development of a new scope in the industrial
symbiosis context: a social sphere where information, trust and communication are the
elements to initiate interest and willingness between companies. The approach chosen to
successfully implement an IS system in Aalborg East is communicating with the 26
predefined stakeholders including the municipality that may facilitate the development
information about the technique, the potentials, the barriers and the benefits that may come
out of such initiative.
The different case descriptions analysed show flows of synergies between companies
without giving enough importance to causes, effects or mechanisms present in the whole
process of IS. This work tries to highlight these elements. Furthermore this research results in
a model which reveals several mechanisms as key elements, such as economic viability,
willingness or physical proximity between partners and places them, depending on their
nature, into physical, organizational or social dimensions.
The real case application to Aalborg East reveals a high presence of proximity,
complementarity and technical progress among companies at a physical level. They are
considered as potentials. According to the conclusions drawn by the model, these physical
potentials constitute a first step in the pursuit of creating an organizational scheme, completed
afterwards by a social layer that tightens the possible actors together.
Therefore, at an organizational level, the analysis shows existing potentials due to the
(possible) presence of mechanisms such as a coordinating body, a common communication
platform or even a bottom-to-top participative management approach. Furthermore, economic
profitability has to remain a constant when considering every symbiotic synergy, to figure out
if the investment is worth making.
However, considering the social level, mechanisms such as social interactions and
willingness are, on the opposite, poorly represented in the focus area. Several barriers have
been identified as responsible for this, notably business confidentiality issues, absence of flow
mapping, etc.
In order to give a contextual framework to the situation in Aalborg and a meaning to the
social barriers encountered, a theoretical support dealing with social carriers of technique for
development has been used. This support helped to identify the potential social carriers and

59
the conditions they must meet in order to introduce the technology, represented here by IS. In
this context, the social barriers have been identified and put in relation to the conditions
potential social carriers fail to meet. Overcoming these barriers would allow the latter social
entities companies to meet the missing conditions, and therefore, to become actual social
carriers of the technique.
The project adopts a proactive approach by suggesting development patterns at an
organizational and social level.
The research ends on possible suggestions to overcome these barriers. Among the
suggestions emitted:
The idea of distributing a brochure promoting benefits of IS to the potential
social carriers,
The idea of organizing workshops to initiate social interactions and engage to a
data accumulation process among the participants,
The involvement of the municipality of Aalborg as facilitator when organizing
and involving companies into workshops. Moreover, the municipality possesses
a comprehensive range of data regarding businesses operating in the focus area.
Although, it must try to remain as neutral as possible.

References
60
IX References
1click1planet. Denmark. http://www.1clic1planet.com/englishversion/europe/denmark.htm (accessed 12
16, 2010).
Beers, Dick Van, Glen Corder, Albena Bossilkov, and Rene Van Berkel. Industrial symbiosis in the
Australian Minerals Industry. Cambridge: Massachusetts Institute of Technology, 2007.
Berendsen Textile. www.berendsen.dk. http://www.berendsen.dk/at-arbejde-hos-berendsen (accessed
December 9th, 2010).
Bladt Industries. About Bladt. http://www.bladt.dk/About_Bladt.asp.
Bringezu, Stefan. Sustainable Resource Management: Global Trends, Visions and Policies. Greenleaf
Publishing, 2009.
Baas, Leo. Industrial Symbiosis in the Rotterdam Harbour and Industry Complex. Business Strategy and
the Environment (Wiley InterScience) 17 (2008): 330-340.
Chertow. Industrial symbiosis: Literature and taxonomy. Annual review of Enrgey and Environment 25
(2000): 985-995.
Chertow, Marian. Industrial Symbiosis. Encyclopedia of synergy, 2004: 1-9.
Chertow, Marian R. "Uncovering" Industrial Symbiosis. New Haven, 2007: 20.
Chertow, Marian R., Weslynne S. Ashton, and Juan C. Espinosa. Industrial Symbiosis in Puerto Rico:
Environmentally Related Agglomeration Economies. Center for Industrial Ecology (Yale School of Forestry &
Environmental Studies) 42.10 (2008): 12991312.
Christensen, Jrgen, interview by Romain Sacchi. (2 November 2010).
Christensen, Jrgen. Workshop GSE. Edited by Industrial Symbiosis Institute. 2006.
Christensen, Valdemar, interview by Christoffer Kirk Strandgaard. (2 November 2010).
Cohen-Rosenthal, Edward Eco-industrial Strategies. Greenleaf publishing, 2003
Edquist, Charles, and Olle Edqvist. Social carriers of techniques for development. Journal of Peace
Research (Sage publications) 16 (1979): 313-331.
Erkman, Suren. Industrial ecology: an historical view. Elsevier, 1997: 10.
European Comission eurostat. Waste statistics. Octobre 2010.
http://epp.eurostat.ec.europa.eu/statistics_explained/index.php/Waste_statistics (accessed 12 15, 2010).
European comission. Implementing Industrial Symbiosis and Environmental Management System in Tjanjin
Binhai New area. 2010. http://ec.europa.eu/europeaid/where/asia/regional-
cooperation/environment/documents/2010_implementing_industrial_symbiosis_and_environmental_managemen
t_system_in_tjanjin_binhai_new_areal_formated_fact_sheet_en.pdf (accessed 12 16, 2010).

61
Fibertex Nonwovens. Fibertex Working Principles. http://www.fibertex.com/en-GB/About-us/Q-
E/Pages/Workingprin.aspx (accessed December 9th, 2010).
Google Earth. Map of Aalborg. Aalborg, 5 06 2010.
Harmsen, Jan, and Joseph B. Powel. Sustainable development in the Process Industries. New Jersey:
Wiley, 2010.
Harris, Steve. The potential role of industrial symbiosis in combating global warming. Hong Kong: Curtin
University of Technology, 2007.
Harris, Steve, and Colin Pritchard. Industrial Ecology as a learning process in business strategy. Progress
in Indsutrial Ecology (Inderscience Enterprises Ltd) 1 (2004): 98.
Hawken, Paul, Amory Lovins, and L. Hunter Lovins. Natural Capitalism: Creating the Next Industrial
Revolution. Snowmass, Colorado: Rocky Mountain Institute., 2008.
Heeres, R. R., W.J.V. Vermeulen, and F.B. de Walle. Eco-industrial park initiatives in the USA and the
Netherlands: first lessons. Journal of cleaner production (Elsevier Ltd), 2004.
Industrial Symbiosis Institute. www.symbiosis.dk/industrial-symbiosis.aspx (accessed November 25th,
2010).
Ingeniren. Nye virksopmheder nedbringer forureningen. Ingeniren, 19 10 1990: 2.
International Energy Agency. World Energy Outlook. 2008. http://www.worldenergyoutlook.org/.
Kalundborg Municipality. Cluster Biofuels Denmark (CBD). 10 09 2010.
http://www.kalundborg.dk/Erhvervsliv/The_Green_Industrial_Municipality/Cluster_Biofuels_Denmark_(CBD).
aspx (accessed 12 16, 2010).
Korhonen, Juoni. Four ecosystem principles for an industrial ecosystem. Journal of Cleaner Production,
2001: 253-259.
Mathiesen, Peder Andreas, interview by Alexandra Maria Almasi. (2 November 2010).
Miljministeriet. Bekendgrelse af lov om planlgning. 10 3 2009.
https://www.retsinformation.dk/Forms/R0710.aspx?id=127131#K5 (accessed 12 07, 2010).
Miljministeriet, Miljstyrelsen. Grnne regnskaber og miljrapportering.
http://www.mst.dk/Virksomhed_og_myndighed/Industri/groenne_regnskaber_og_PRTR/ (accessed 12 15,
2010).
Morgan, Gareth. Images of organization. London: Sage Publications, 2006.
New Scientist. 27 May 2007.
Nord, Reno. Energi anlg. http://www.renonord.dk/default.aspx?m=2&i=6.
Portland, Aalborg. Miljredegrelse. Aalborg: Aalborg Portland, 2009.
. Produktion. http://www.aalborgportland.dk/default.aspx?m=2&i=65 (accessed 12 06, 2010).
Portland, Aalborg. rsrapport 2009. Aalborg, 2009.

References
62
Remmen, Arne, Henrik Lund, Lone Krnv, and Mikkel Thrane. Tools for sustainable development.
Aalborg: Aalborg University, 2007.
Rohde, PhD. Leo. Green house gaz - Wikipedia. 2007. http://en.wikipedia.org/wiki/Greenhouse_gas.
Sathre, Roger, and Inga Grdzelishvili. Industrial symbiosis in the former Soviet Union. Progress in
Industrial Ecology An International Journal 3 (2006): 387.
Schumpeter. Capitalism, Socialism and Democracy. 1942.
Siemens Wind Power. Siemens Annual report.
http://www.siemens.com/annual/10/_pdf/Siemens_AR2010_Introduction.pdf (accessed December 9th 2010).
Skatteministeriet. Affalds og rstofafgiftsloven. 9th September 2009.
www.skm.dk/tal_statistik/satser_og_beloeb/166.html (accessed December 9th, 2010).
. Retsinformation. Bekendtgrelse af lov om afgift af affald og rstoffer (affalds- og rstofafgiftsloven).
27 11 2006. https://www.retsinformation.dk/Forms/R0710.aspx?id=17448 (accessed 12 07, 2010).
Suh, Sangwon. Handbook of Input-Output Economics in Industrial ecology. Minnesota: Springer, 2009.
United Nations Environment Programme. ENVIRONMENTALLY SOUND MANAGEMENT OF SOLID
WASTES AND SEWAGE-RELATED ISSUES.
http://www.unep.org/Documents.Multilingual/Default.asp?DocumentID=52&ArticleID=69&l=en (accessed 12
16, 2010).
Wahl, Dr. Daniel Christian. Eco-Industrial Parks. Sustainable Design Consultant Programme
Development Research & Education, Dundee, 2008.
Zhu, Qinghua, Ernest A. Lowe, Yuan-an Wei, and Donald Barnes. Industrial Symbiosis in China: A Case
Study of the Guitang Group. Edited by Massachusetts Institute of Technology. Journal of Industrial Ecology,
2007.
stergaard, Poul Albert, et al. Energivision for Aalborg Kommune 2050. Aalborg: Aalborg University,
2010.
Aalborg Energie Technik A/S. Om AET. http://www.aet-biomass.dk/ (accessed 12 9, 2010).
Aalborg Industries. Aalborg Industries home. http://www.aalborg-industries.com/.
Aalborg Kommune. En lokalplans forlb i Aalborg Kommune. 16th April 2010.
http://www.aalborgkommune.dk/Om_kommunen/Byplanlaegning/Lokalplaner/Sider/En-lokalplans-forloeb.aspx
(accessed December 9th, 2010).
Aalborg Portland. Development of competences.
http://www.aalborgportland.com/default.aspx?m=2&i=282 (accessed Decemeber 9th, 2010).

63
X Appendix

Questionnaire sent to 26 companies in Aalborg East

Appendix
64

Modeling Industrial Symbiosis - Aalborg East (Denmark) Case

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Modeling Industrial Symbiosis - Aalborg East (Denmark) Case

Uploaded by

Copyright:

Available Formats

Aalborg University

Energy and Planning department

You might also like