P olici es fo r s uppo rting G r e e n I ndu st r y
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Developing countries face many challenges in implementing EMS, such as ISO14001. These include lack of appropriate infrastructure, unsound policies, and ineffective environmental regulations, as well as financial and human resource constraints (Massoud et al, 2010).
Box 19. Germany – Bavarian Environmental Agreement This initiative comprises an agreement between the Bavarian State Government and the Bavarian business community which contains a list of measures aimed at decreasing the negative environmental impacts of industrial activity. Essentially, companies commit themselves to enhancing their environmental performance, and in exchange, they often obtain subsidies or are relieved of certain administrative obligations. Assisting SMEs in obtaining an EMS is an important aspect of the Bavarian Environmental Agreement. The regional government subsidises the costs of an environmental audit by an independent consultant, and the introduction of an EMS. For the audit, the costs of the independent consultant are subsided (up to 50 per cent) of the capped costs of the independent consultant. For the introduction of the EMS, the subsidies cover a certain percentage of costs for external personnel and the costs for validation and certification. All companies that have introduced the EMS are granted administrative relief relating to their duties/obligations (e.g. emission monitoring, reporting duties, inspections). Outcomes of this initiative include industrial processes improvements such as the replacement of hazardous chemical substances by other substances, retention and reuse of by-products, use of process water instead of fresh water and use of waste products such as wastewater from specific chemical landfills. More information: www.stmug.bayern.de
5.4 Industry-based standards Industry-based standards can deal with the technical aspects of almost any product, service or process. They are nearly always voluntary but, when used, play a crucial role in the design, manufacturing, packaging and end-oflife stages. Standardisation is an excellent tool to facilitate international trade, competition and the acceptance of innovations by markets. Industry management standards, for example, can provide guidance for industrial facilities to integrate energy efficiency into their management practices, including fine-tuning production processes and improving the energy efficiency of industrial processes. Industry standards are often integrated into voluntary agreements or Environmental Management Systems such as ISO. Governments can play a key role in boosting technological progress by defining and promoting standards for products made by firms and by facilitating quality control to help firms comply with standards.
5.5 Promoting eco-labels and certification Eco-labelling and product certification can be an effective instrument that encourages sustainable consumption by providing consumers with information about the environmental impact of particular products and services. Companies are rewarded through public recognition, thus encouraging attitudes towards more pro-active environmental management. Eco-labels and certification can apply to the entire life cycle of a product, or a specific stage or step, such as labels for wood from sustainably managed forests (Forest Stewardship Council). Ecolabels are generally awarded by an impartial third party that authorises the use of the label on products in a certain product category. Product labels have mushroomed around the world in recent years, especially in industrialised and emerging economies. There is a growing movement to harmonise the proliferation of eco-label programmes across the world with the Global Eco-labelling Network. Another important trend is the strong relationships that are begin-