Governance of Remediation and Industrial development of Contaminated Sites - Brownfields

Remediation and (re)development of contaminated sites – Brownfields:Governance and Strategy

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Agenda

Environmental Liability 2 - 6

Lessons learned 07 - 16

Best Viable Practices 17 - 30

Case studies in Italy 31 - 39

Cooperation opportunities with Italy 40 - 44

Contacts 45 - 47

Environmental Liability:

Who’s going to pay and how?

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Environmental Liability

«polluter pays» was established as the 16th principle in the «Rio Declaration on Environment and Development» of 1992 and widely adopted all over the World.

It is a just and fair principle, it hits who’s really accountable for pollution and it prevents harmful behaviours

but

it mostly fails when it comes to the worst cases of soil pollution(by the point of view of Urban and Industrial planning)

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The worst cases of soil pollution are non-spot and historic contamination, which are mainly the cases of vast areas with Heavy Industry parks (iron industry, coal industry, petrochemical, chemical, pharmaceutical, etc.) or highly polluting light industry parks (tanneries, textile dyeing finishing, etc.).

In the World, these types of parks are the oldest,

some of them are active since more than one century,

most of them since after the Second World War,

many of them are currently decommissioned and defined as “brownfield”

it mostly fails when it comes to the worst cases of soil pollution(by the point of view of Urban and Industrial planning)

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For these types of parks, the principle “Polluter pays” can’t be applied because of the these two issues:

1. Pollution occurred mainly BEFORE any law against the pollution

2. In most of cases, polluters don’t exist any more

if polluters

do not exist any more ,

or they are not accountable for,

or they are nowhere to be found,

who’s going to pay for the remediation and who’s going to payfor the (re)development of brownfields?

Lessons learned

Rules need to deal with invetors’ interests

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Lessons learned

There are two models of Governance for the hierarchy of the liability for Environmental Damage and, thus, who has to pay for remediation:

The EU model, by Directive 2004/35/EC

The US model, by CERCLA regulation

They adopt the same basic principles, but they chosed twoslightly different strategies to try to get the remediation done, even if the polluter is nowhere to be found.

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Lessons learned – EU Model

In EU Model, the polluter is liable without fail for the Environmental Damage and the remediation costs; if the polluter is nowhere to be found, the liability for soil remediation falls upon the landowner of the contaminated site (even in case of unwitting purchase).

The landowner is who holds either the property rights or a long term concession.

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Judicial litigation led to a distinction between “Liability” and “Accountability”. Liability for polluter implies also individual responsibility, criminal infringement and individual obligation to act in environmental restoration.

Accountability for landowner (if polluter is nowhere to be found) implies the obligation to pay for the costs of environmental restoration, and not the obligation to act in restoration.

What happens if landowner doesn’t act in environmental restoration?

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If the landowner does not procced with the remediation intervention, the Local Public Administration (local Government) can act on own motion:

The landowner may sustain a potentially serious patrimonial damage and the loss of the land.

distrains the land,

performs the remediation,

sells the land after the intervention,

keeps the amount of the costs for remediation and

gives back, to the landowner, the remaining amount, if any.

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This mechanism has a sever side effect, causing a strong speculation on the value of real estates, particularly acute for brownfields: the landowners adopt any means at their disposal, in order to cause a forced increase of value of the real estate, much higher than the cost of the potential remediation.

If the landowner performs the remediation, the land can be sold by the landowner, giving a profit out of the environmental restoration

If the landowner doesn’t perform the remediation and the local Government acts on own motion, the local Government will give back an amount, to the former landowner, that covers the patrimonial damage.

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With this speculation, the value of the brownfields is usually unsustainable for industrial investments and it can only be paid with residential and/or commercial investments.

This mechanism often caused the failure of the Urban and Industrial Planning of the Local Governments.

But highly polluted brownfields usually can’t be restored to a situation where residential investments can’t be allowed and commercial investments often are under vexing constraint (due to potential health risk), so local Governments usually keep the intended use of the land for logistics and industrial investments.

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Lessons learned – US Model

In US Model, the CERCLA regulation states that polluter is liable for the Environmental Damage and the remediation costs. Under CERCLA regulation, if the polluter is nowhere to be found, the landowner of the contaminated site is accountable for soil remediation, but not always.

The US Government established the Superfund, which purpose is to pay for the remediation performed by the Public Administration and, also, to pay for the remediation of the contaminated sites of the owner who proves to be not liable or accountable (1. Innocent Landowner, 2. Bona Fide Prospective Purchaser, 3. Contiguous property owner).

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Lessons learned – US Model

Anyway, the costs for remediation and environmental restoration proved to be unsustainable for public funding by any Government, including the US one; the Superfund is able to cope with just a minority part of the actual interventions it is requested for, pushing the Local Governments to negotiate agreements with landowners.

Also this mechanism caused real-estate speculation, because the landowners are not encouraged to perform the remediation without, at least, a correspondent increase of value of the Real Estate.

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Lessons learned – the main issue

Due to the high costs, remediation can’t be paid by the Governments,

if the polluter is nowhere to be found, the accountability falls upon the landowners, which are pushed to a real estate speculation, leading to Urban and Industrial Planning failure for brownfields.

the real estate speculation shall be taken in account and be properly managed

Landowners cannot proceed in soil remediation if local Governments don’t act to treat the pollution of surface and underground water (which is the main vehicle of non-spot soil pollution).

According to the Best Practices in the last decade, the PartecipatoryPlanning is the viable solution.

Best Viable Practices

Partecipatory Planning and LTS Model

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Partecipatory Planning

In order to prevent real estate speculation, Local Governments are pushed to (re)design the urban and industrial planning in agreement with investors and all the potential stakeholders.

Partecipatory Planning is performed by the establishment of Joint Negotiating and Consultative Committees (JNCC)

According to the Best Practices in UE and US, this mechanism, called Paretcipatory Planning, has to be led with the goal to encourage investments, but also to give proper warranties for an effective environmental restoration.

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Partecipatory Planning - JNCC

In the Participatory Planning, the local Government is firmly responsible for Urban and Industrial planning, nonetheless Joint Negotiating and Consultative Committees are established involving:

representatives of the local Governments and all the relevant Authorities

representatives of economic players and potential investors (trade associations, bank associations, etc)

representatives of Civil Society Organizations and workers’ Union

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The tasks and terms of reference of the Joint Negotiating and Consultative Committees are (part 1/2):

1. to identify the economic delvelopment drivers of the area

2. to identify the potential investment projects

3. to identify the intended use of the brownfields (logistics & industrial, commercial, residential, agricultural)

4. for each kind of intended use, to identify patterns for the Enivironmental Impact Assessment and Auhtorizationprocess for remediation interventions, according to the kindof investments that can be performed (this leads to design conclusive procedures that give confidence to investors, in terms of costs and timings)

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The tasks and terms of reference of the Joint Negotiating and Consultative Committees are (part 2/2):

5. to identify the need and the the dimensioning of environmental infrastructures, such as waste water treatment plants (WWTP) dedicated to industrial efluents, WWTP dedicated to ground water remediation, wastetreatment facilities for soil pollution treatments, etc.

6. to define Public-Private Partnership projects for the construction and operations of the environmentalinfrastrucutres

7. to prepare Program Agreements between Investors and localGovernments, in order to give mutual guarantees of viabilityof the projects, including concessions.

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Partecipatory Planning – Programmatic Agreement

The Program Agreement:

1. It shall be signed by all the relevant Governments and Authorities

2. It’s binding for the signatories

3. It may provide mutual penalties for the Government and the investors if they don’t accomplish the provisions of the agreements

4. It clearly states the liabilities, responsibilities and accountabilities of all the parties for environmentalrestoration

5. It is the preliminary agreement to establish PPP projects for environmental infrastructures and facilities

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Partecipatory Planning – EIPs/EEPAs

Urban and Industrial Planning through Partecipatory Planning are ment to realize Eco-Industrial Parks (EIP) and Ecologically Equipped Productive Areas (EEPA):

1. They are communities of manufacturing and services firms, concentrated in a single area and linked by a common management, seeking to improve their environmental, economic and social performances through collaboration

2. This integrated approach aims to achieve collective benefits that exceed those obtained by the sum of individual benefits each company would separately have from the optimization of its performances.

3. The EIPs/EEPAs have a number of environmental facilities (WWTPs, IWTPs, ecc.) realized under Public-Private Partnership

http://ec.europa.eu/environment/archives/sme/support_networks/eips_eepas_en.htm

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Partecipatory Planning – EIPs/EEPAs

Why EEPA are important for Brownfields:

1. Securing the contaminated lots by septa and pile walls, hinged in the underground layers of clay, may be enough to safely use the lot for new industrial settlements without furtherly treating the soil, while surface water is conveyed to the Waste Water Treatment Plant of the EEPA

2. The Waste Water Treatment Plants are used for industrial effluents and underground contaminated water; they are designed to last at least 20 years with ordinary maintenance, such a long period assures a lower fees for companies and a long term industrial planning

3. The environmental facilities are not a cost, but a business investment

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Partecipatory Planning – Process Flow

Local Government

Stakeholdes Investors

Joint Negotiating andConsultative Committee

Program Agreement

Urban and IndustrialPlanning

PPP

Industrial Investments

Environmental Infrastructures

EIPs/EEAPs

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Partecipatory Planning – Benefits

The Partecipatory Planning has a number of strategic benefits:

it leads to the Urban and Industrial planning based of viableinterests and projects,

it can give certainty to investors,

it reduces costs for the safe use of the brownfields and of the polluted soil, with positive environmental effects up to the long term

it creats conditions for a long-term sustainable economicdevelopment

It assures the leading role of the Government, but at the sametime, it involves the public interest and increases the consent

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Local Territorial Systems

Local Territorial System (LTS) is a model elaborated in Italy, in order to define strategies of sustainable development for local Governments.

It was formulated in 2002 within a “Research Project of National Interest”, funded by the Ministry of Education, Universities and Research

The LTS Model highlights all the clues or indications (attitudes, past experiences) and the subjective and objective prerequisites, which, with the intervention of the local Government, make possible the creation of a territorial value-added, that can be measured in terms of increase of services, products, GDP, social wealth, security and health and environmental health.

It’s best applied at County Level

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The LTS model comprises four elements:

1) local network of stakeholders – network of interactions between stakeholders (individual and collective, public and private, local and regional) in a local territory, where the “local” is taken to mean the geographical scale which allows the interactions typical to physical closeness: face-to-face relationships, trust, reciprocity, etc.

2) local ambiance – the set of local resources, material and immaterial, of any kind (economical, environmental, cultural, social, etc.) which have developed over a long period of time. The ambiance is the container of all the potential resources that can be exploited by the territorial planning.

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The LTS model comprises four elements:

1) Local interaction – the cognitive and material interaction of the local network of stakeholders with the ambiance and with the environment and its eco-system.

2) over-local interactions – the cognitive and material interaction of the local network of stakeholders with over-local networks (regional, national, global)

Local Network of Stakeholders

Local Ambiance

Over-localNetworks

EnvironmentEco-system

Development Sustainability

Local Territorial System

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Local Territorial Systems and Partecipatory Planning

The LTS model is a powerful tool that can be used, by the Local Government, to establish and lead the Joint Negotiating and Consultative Committees.

It is the base to define the term of reference of the JNCC and the cornerstone used to assess and address its actions.

It make it simple, to investors, to fully understand the potentiality of investments and, thus, define the boundaries of the negotiations with the local Government

Case Studies in Italy

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The concept of “EEPA – Ecologically Equipped Productive Area” was established, for the first time in Europe, by article 26 of the legislative decree n° 112 of 1998.

Program Agreement is established in the Environmental Law (legislative decree n° 152 of 2006) at articles 246 and 252bis.

The “Sites of National Interest” were established by article 17 of the legislative decree n° 22 of 1997. They were the 57 most over-polluted Industrial parks and brownfields of Italy, extended to the 3% of the national Territory.

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With the aim to implement the model of the EEPA – Ecologically Equipped Productive Area, Program Agreements were established

Three major SNI are now undergoing the process of environmental securing and restoration, while a new industrialization process is based of sustainable and circular development models

With the new environmental law (2006), Joint Negotiating and Consultative Committees were established in order to lead the Environmental Restoration and the Industrial (Re)development of the major Sites of National Interest (SNI)

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Industrial Port of Venice

The industrial area of Venice, large 2200 hectares (33000 mu), was established in the first decade of the 20th Century. After the WWII it hosted the largest petro-chemical industrial park in Europe, that operated for decades up to the late 80s, causing severe over-pollution of the soil and of to the lagoon of Venice. During the 90s, the industrial park was mainly decommissioned.

The Program Agreement for Environmental Restoration and Industrial Redevelopment was signed in 2012.

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Industrial Port of VeniceEffluents

Treated water

contruction and of a WWTP dedicated to the industrial effluents, with a loop model for the reuse of the treatedwater

construction of the wet-landfor water purification, the largest in Europe, whichimproves the quality of the whole environment in the area

The Refinery was revamped as a bio-refinery for Biofuels and a investments are scheduled for bio-polymer production

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Porto Torres (Sardina Island)

The industrial area of Porto Torres, large 1200 hectares (18000 mu), was established in 1968, for the production of phenol. Later it was expanded to produce olefins, cumene, tripolyphosphate, fibers, synthetic rubbers and plastic.

The industrial pollution caused severe pollution, cancers and genetic anomalies.

The Program Agreement for Environmental Restoration and Industrial Redevelopment was signed in 2011.

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Porto Torres (Sardina Island)

The Chemical park is under revamping as a bio-refinery for Bio polymers and Bio lubricants

The Remediation project of the most polluted areas of the Site of National Interestwas approved in 2014

The Remediation process uses a dedicated Waste Water Treatment Plant

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Bagnoli (Naples)

The industrial area of Bagnoli, north of Naples, 750 hectares (11250 mu), was established at the end of 1800. In 1910 a large steel plant was inaugurated. Later a plant for the manufacturing of cement and asbestos products was established in the area. The decommissioning process begun in the 70s, in the 80s all the harmful productions were dismissed and in the 1992 all the manufacturing activities.A number of Program Agreements were signed after 1997, the definitive one in 2015.

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Bagnoli (Naples)

The Industrial Park will be converted in a Urban Park, as it is now in a high valuable urban area

In 1996 was inaugurated the City of Science (Città della Scienza) a science museumand a business innovationand acceleration center

the area will also be enhanced for sea tourism

Cooperation Opportunities with Italy

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Cooperation Opportunities

Urban and Industrial Planning: EIPs/EEPAs design and implementation, integrated waste water treatment and waste treatment, etc.Operational assistance: Risk Analysis and Hazard assessment, Characterization of contaminated sites, planning for securing (temporary and permanent) and for remediation of the contaminated sites, implementation and monitoring of remediation, environmental monitoring, etc.

Governance and Capacity Building: Partecipatory Planning guidelines, Joint Negotiating and Consultative Committees management, Sustainable Development Strategic Planning for Local Governments, etc.

Dissemination and Technology Matchmaking: Forums, Workshops, Training Course, trade shows, etc.

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Since 2007, Remtech Expo is the Italian trade show for soil pollution remediation technologies, including water remediation, hydrogeological risk and instability and coastal erosion and protection. Remtech Expo involves Italian and European Companies, Professionals, Trade Associations, NGOs, Public Administrations, Universities and Institutions, which have the opportunity to acquire and to promote some of the most innovative knowledges and technologies.

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EEGEX is an Italian non-profit and non-governmental Organization, whose statutory purpose is to promote the international exchange of technologies and know-how in the areas of Environment and Energy.

EEGEX helps all the interested Organizations (Companies, Research Facilities, Universities, Public Administrations and Agencies, ect.) to establish and develop relationships with potential partners, aimed to start up and manage initiatives of technology and know-how transfer and business agreements.

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After the agreement with the Foreign Economic Cooperation Office of the Chinese Ministry of Environmental Protection (MEP/FECO), Remtech Expo is HUB Partner for Italy of 3iPET, the FECO's "international, intelligent, integrated and professional service platform for environmental technology".

Contacts

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Contacts

3iPET HUB for Italy – steering committee

Ms. Patrizia BianconiInternational relations manager at Remtech Expo – Ferrara [email protected]@ferrarafiere.it

Mr. Simone PadoanSecretary General at EEGEX – Energy Environment Global [email protected]@eegex.com

www.3ipet.it

[email protected]

Thank you

谢谢

Date post:	22-Jan-2018
Category:	Environment
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