Berlin:
Environment improvement programme for small and medium-sized enterprises
Berlin:
| |
| Country: | a) Western Europe | ,b) Germany |
| Language: | |
| Type: | Project, Policy, 1 |
| Area: | City/Town, > 1 million |
| Actors: | Local government, Regional government, Economic sector, Publ.-priv. partnership |
| Funding: | Local government, Regional government, European Union, Economic Sector |
| Topics: | Business and industry |
| Employment | |
| Information and public participation | |
| Objectives: | Improve access to information |
| Increase use of clean technology | |
| Waste avoidance | |
| Instruments: | Demonstration and pilot project |
The Environment Improvement Programme, which was established by the Berlin Ministry of Urban Development and Environmental Protection in 1989, is aiming to encourage small and medium-sized enterprises (SMEs) to change their management practice and to take an overall, integrated stance on ecological matters. The programme is part of the European Commissionpolicy within the European Fund for Regional Development (EFRE). The programme has been chosen as an example of good practice for a number of reasons:
In the former West Berlin the structural problems of industry had been closely tied up with environmental problems. As a island West Berlin did not experience a comparable expansion like most conurbations where industries moved towards or beyond the outskirts in order to get favourable conditions for production. Although there are good arguments for the settlement of industries in or near the city centre, this urban development is normally leading to disproportional high environmental stress, especially in areas where a great number of specific environment-polluting branches of industries are situated (dry cleaning, metal working and finishing, woodworking, printing, food processing etc.).
In inner city districts businesses are mainly located in residential areas, or industrial sites are near living areas. The courtyard business centre () is a typical site for many small and medium-sized enterprises (SMEs) in Berlin as it comprises workshops and offices in the same place in a mixed industrial and residential tenement block (the Mischung, the Berlin urban mixture). This pattern of urban city structure is still alive in those districts where a lot of nineteenth century architecture survived and where the side-by-side existence of industry, trade, service and housing is preserved as a worthwhile quality of urban life. On the one hand this mixture causes high environmental impairment in densely populated areas. On the other hand this concentration of SMEs in one place in central areas of the city is also a risk for the businesses themselves as they have to face a number of external and internal challenges (neighbourscomplaints on environmental pollution, environmental and health and safety controls, rising rent prices, higher supply and disposal costs, competition from businesses located on the outskirts of the city etc.).
Since the mid-1980s the issue of environmental responsibilities of economic undertakings had slowly but surely conquered the ecological agenda. However, whereas large-scale enterprises are often in a favourable position, that they can afford the financial resources and the know-how in order to solve the problems of industrial pollution on their own, SMEs have to acquire external expertise and have to search for additional funding. In consequence, they are often satisfied if they succeed in tackling basic environmental problems and in most cases they are implementing end-of-the-pipe-measures as this investment is less expensive in the short term. However, such a normal profile of environmental policy has a number of disadvantages for the single business as well as for the local community as a whole, whereas on the contrary the modernisation of machinery, production methods and products often improves the opportunities of SMEs. As a result the burden on the environment is reduced, the business location is secured, competitiveness is increased and the qualifications of staff are raised.
The programme for the environmental upgrading of SMEs, the Environmental Improvement Programme, is designed to raise environmental standards in different types of business. The solving of environmental problems can take place in the following areas of economic activity:
In the 1980s and early 1990s the Berlin Ministry of Urban Development and Environment Protection had already promoted systematic, practice-oriented environmental research into the pollution caused by SMEs (compare cases studies on the Environmental Improvement Concepts and the trade concepts). On the basis of these findings of the environmental research, programme specific strategies and projects for countering industrial pollution at district level have been drawn up. In consequence, the Environmental Improvement Programme pays special attention to the aspects of urban development (e.g. the desirable concentration of projects in certain districts). Furthermore, as the studies on the environmental situation have stressed that SMEs in these inner city areas contribute significantly to local environmental pollution, the programme administrators at the city level established close co-operation with the local administrations in the districts concerned (environmental, economic, and planning departments) in order to link the regional and urban policy goals with the policies and the planning of the small areas at district level.
Although trade, craft and industry contribute significantly to environmental pollution, it is a primary goal of urban development in Berlin to secure the location of these companies and to strengthen the existing quality of environmentally compatible work, living and leisure functions on the smallest possible spatial scale. Well-functioning structures have been developed on district level, and the close proximity of work and living places helps to reduce the volume of commuter traffic.
Concerning the SMEsattitude towards the set of environmental solutions, the philosophy of the Environment Improvement Programme is aiming to pursue an integrated environmental strategy by which all environmental media are affected. The programme recruits companies on a voluntary basis and faciliates access to technical assistance in order to help companies to identify and implement cleaner production technologies and process changes. In particular, the programme intends to generate activities in four areas:
The Environment Improvement Programme is an investment programme which enables the individual companies to receive a grant up to 50% of the total costs, whereas central infrastructure projects and the new environmental service companies get higher financial support up to 100% as they usually invest in innovative technology.
The aim is to set up complex projects which tackle environmental issues from an integrated perspective and which demonstrate that the connecting of different environmental measures is sensible for economic and ecological reasons. As a number of projects are implemented in targeted trades and business lines it is obvious that these projects should lead the way for other businesses from the same branch.
The approach in the environmental service companies was a different one. There is a growing tendency in SMEs to contract out tasks that are not directly connected with their central production process. Thus the environment-related activities of supply and disposal are transferred to a specialised service company. The service company should offer their customers an environment protection package which on the one hand should support the single SME in technical matters (purchase and installation of equipment) and which on the other hand should guarantee a constant advice connection (e.g. the service company could act as the firms repesentative deputy in contact with environmental authorities). In addition, the service companies are carrying out a very specialised disposal and recycling service which is not run by the large waste disposal companies. An important factor of success for a service company is that it establishes a lasting relationship with the businesses in certain sectors of an industry. One can compare such a relationship with the regular relationship to a tax consultant.
The first Environment Improvement Programme was announced in mid-1990 via the press, district administrations, and the Chamber of Commerce. This lead to approximately 200 applications for sponsorship. From the 104 selected and approved projects 94 were finally implemented. Ten projects were abandoned prematurely as the companies got into financial difficulties.
The 94 implemented projects of the first Environmental Improvement Programme can be classified into the following categories:
As it is clear that a complex programme has different kinds of results, the outcome of the project should be summarised under the aspects of environmental benefits as well as job gains.
Significant environmental improvements can be reported in all media. The following balance of savings has been achieved:
The savings in primary energy resulted mainly from the reduction in primary consumption from eleven block-type thermal power plants fired by natural gas. The energy savings of 140,000 MWh equal the emission from the power plants and heating systems of 44,000 tonnes CO2 per year.
By installing filters to remove pollutants and smells, the NOx output has been reduced by 23 tonnes per year, whilst at the same time the malodorous emissions of bakeries and smoke-drying plants have been drastically reduced.
At the wood-processing workplaces the air pollutants in the wood dust have been reduced by 80% on average by the installation of extraction and filter units. The printing and laboratory companies have achieved an 80% reduction in solvent pollution by the introduction of new, low-solvent technical processes which in this industry followed the trend of using computer-controlled production methods.
The water savings have been achieved by introducing collection and preparation systems for rain water and by installing closed-loop circulation systems. The savings of 62,000 m3 of drinking water represents a volume that is equal to the average annual consumption of approx. 560 households.
In the waste sector household-waste type industrial refuse has been reduced by around 300 tonnes. By recycling building materials 10,400 tonnes less of such waste was generated than in 1993. Special wastes were reduced by approximately 600 tonnes annually. Of this, 500 tonnes were metal chips and swarf from metal processing, whereas the rest comprised reprographical chemicals, paint dregs, perchlorethane (hexachlorethane) from metal degreasing, solid cold solvents from cleaning processes, and brake fluids. However, due to the introduction of new processes, there has been an accumulation of new residual substances such as active charcoal filters or residues from waste water treatment which had to be disposed as toxic waste. However, the overall reduction of special toxic wastes still amounted to around 400 tonnes per year. As a comparison, the industrial toxic waste produced in West Berlin in 1990 was approximately 14,100 tonnes.
A total of 178 new jobs were created - mainly in service companies and environmental agencies. 117 jobs were created at service companies alone. Of the 178 jobs 132 are permanent ones, 8 had been temporary ones, and 38 are provided by job creation schemes. The spread of skills range from unskilled workers, skilled workers and administrative assistant up to professionally trained engineer.
In the mid-1980s the Berlin Ministry of Urban Development and Environmental Protection founded a new department for the co-ordination and planning of environmental research and information. Within this department the Environmental Improvement Programme had been designed and put into practice. The department acts a mediator in the triangle between the European Commission, the project management agency and the funded business. In consultation with the project management agency it has decision-making powers for the approval of the project and the scale of funding.
The project management agency und Service-Gesellschaft Umwelt Gmbh (Environmental consulting and service company) has been appointed as the sponsoring agency responsible for the administration and consultancy of the projects. It acts as the direct contact to the businesses and offers advice and consultancy. It is also doing the administration of the individual projects. However, the overall responsibility lies with the Ministry of Urban Development and Environmental Protection.
Funding of subsidies is available for SMEs with an annual turnover of less than 75 million DM in the West Berlin area. In East Berlin SMEs can apply for project funding if an annual turnover is less than 40 million DM.
The Environment Improvement Programme is co-financed by the EC and the Land of Berlin (). Up to 1991, 94 projects from a total of 220 applicants were accepted and the total funding was 66 million DM. On top of the subsidy funding the SMEs had invested approx. 34 million DM themselves. The total project funds of approx. 100 million DM was distributed as follow: 59% investment in equipment, 20% investment in buildings, 14% personnel costs, and 7% expenditure on materials.
Whereas the first Environmental Improvement Programme had a total funding of 66 million DM plus an addition 34 million DM by the SMEsthemselves, the following three programmes are expected to have a financial volume of 1186 million DM in 1994-99. This does not include the potential investment of the companies that will take part.
OECD 1990: Environmental Policies for Cities in the 1990s, Paris: OECD
Senatverwaltung für Wirtschaft und Technologie, (Hg.) 1992: Auf dem Weg zur Wirtschaftsmetropole Berlin. Empfehlungen der Strukturpolitischen Expertenkommission, Berlin
Senatsverwaltung für Stadtentwicklung und Umweltschutz 1992: Umwelt-Förderprogramm (UFP) im Rahmen des Europäischen Fonds für regionale Entwicklung (EFRE) - Zwischenbilanz, Berlin
Fischer, Kurt / Schot, Johan, (eds.) 1993: Environmental Strategies for Industries - International Perspectives on Reseach Needs and Policy Implications, Washington D.C.
Brickwell, Ditha 1993: Förderprogramme angewandter Umweltpolitik, in
UTECH 1993: Förderprogramme für betriebliche und kommunale Umweltschutzinvestionen, 18. Seminar im Rahmen der UTECH konzipiert von der Senatsverwaltung für Stadtentwicklung und Umweltschutz und dem Umweltbundesamt, Berlin, S. 2-13
Beratungs- und Service-Gesellschaft Umwelt mbH 1994: Jahresbericht 1993, Berlin
IC Consult 1994: Evaluierung des Umwelt-Förderprogramms I Berlin - Endbericht, Berlin
Fietz, Harald 1994: Conditions of success of environmental action programmes in small and medium- sized firms in Berlin, paper presented at the Euroconference Environmental Management, Berlin
Heinrichs, Dirk 1994: Neue Arbeitsplätze durch EU-Förderprogramme, in: Institut für ökologisches Recycling / Gesellschaft für präventiven Umweltschutz, (Hg.), Arbeitsplätze pro und contra Ökologie, Fachtagung am 1./2. Dezember 1994 in Berlin, Berlin, S. 67-72
Beratungs- und Service-Gesellschaft Umwelt mbH 1995: Bericht 1994, Berlin
Ministry of Urban Development and Environmental Protection 1995: The Results of the Environmental Improvement Programme I for Berlin (Western Districts), Berlin
Fietz, Harald / Wanke, Andreas 1996: Erfolgsbedingungen umweltpolitischer Handlungsprogramme in Berlin aus der Sicht von Unternehmen, Projektbericht innerhalb der berlin-dienlichen Forschung der FU Berlin, Berlin
| Name | : | Mack |
| Firstname | : | Birgit |
| Telefon | : | ++49 / 30 / 39 042 - 0 |
| Telefax | : | ++49 / 30 / 39 042 - 31 |
| Address | : | Beratungs- und |
| Service-Gesellschaft Umwelt | ||
| mbH | ||
| Cicerostr. 28 | ||
| D - 10709 Berlin | ||
| Name | : | Senatsverw. für Stadtentwicklung |
| Firstname | : | |
| Telefon | : | ++49 / 30 / 9020 - 0 |
| Telefax | : | ++49 / 30 / 9020 2920 |
| Address | : | Senatsverwaltung für |
| Stadtentwicklung | ||
| Brückenstr. 6 | ||
| D - 10179 Berlin | ||
Berlin has a population of almost 3.5 million of which approximately 11% are foreign citizens. The wider conurbation has an additional population of nearly one million. The city covers 889 square kilometres; 38 km from north to south and 45 km from east to west. 24 per cent of the city’s surface is water and navigable waterways are 197 km in length. In size it is almost as large as the densely populated Ruhr area in North Rhine Westphalia. Berlin is the largest city in Germany, and one of the sixteen regional States (Bundesländer) of the Federal Republic of Germany.
The unified municipality of Berlin is a decentralised body divided into 23 districts (Bezirke). The districts have between 50,000 and 300,000 inhabitants. They carry responsibility for local politics and their own administration. Unlike independent municipalities, however, they do not have financial autonomy but are allocated funds by the City Government, the Senate of Berlin. The main authority for the City as a whole is the Senate which is divided into different administrative departments (comparable to Ministries in other German Länder).
Although Berlin has experienced a steady decline in industry, there are still over 200,000 people working in the manufacturing sector. Approximately 230,000 of the 1.5 million citizens in the workforce are employed in trade and about 750,000 people have jobs in service, primarily in the public sector.
In addition, Berlin is a centre of environmental research as well as technology, and a great number of businesses are engaged in environment-related activities. According to a study by the ifo Institute in Munich and the IÖW (Institute for Ecological Economic Research) in Berlin, 400 companies with 13,000 employees are directly involved in environmental protection (engineering offices, and producers and distributors of environmental technology). This number has tripled within the last ten years, and half of the companies have started as new businesses since 1990. Furthermore, Berlin is a stronghold of scientific research with approx. 100 companies involved in measurement and analytical activities, approx. 80 eco-research institutes (including universities), and 45 public administrations and authorities in charge of environmental matters.
Project was added at 21.06.1996
Project was changed at 21.08.2001