Papers Delivered at International Conference on Cleaner Production
Beijing, China -- September 2001 -- Paper 12 of 30

ECOPROFIT® - a Public Private Partnership Model for Sustainable Development

Herbert Zlöbl, Christoph Holzner*, Petra Oswald, Yue-dong Shen
(CPC Austria, Graz, Austria)

Abstract: ECOPROFIT® this model of sustainable economic development focuses on the application of preventive environmental strategies with respect to processes, products and services. One factor for the success is the special manner of co-operation between local authorities and companies as well as the networking of the companies taking part in the program.

Keywords: ECOPROFIT® , Cleaner Production, Sustainable Development, Public Private Partnership

1. What is ECOPROFIT®?

1.1 History

ECOPROFIT®, the "Ecological Project For Integrated Environmental Technology", is a program for sustainable economic development which was established by the City of Graz in 1991. For ECOPROFIT®, among other awards, the city was awarded the “European Sustainable City Award 1996” and was a finalist in the “Bremen Partnership Award Contest” 2001.

1.2 Idea

The fundamental idea of ECOPROFIT® is a win-win-model. It tends to strengthen companies economically by using environmental-friendly technologies and simultaneously improves the ecological situation in a region.

1.3 The Public Private Partnership model

This model of sustainable economic development focuses on the application of preventive environmental strategies with respect to processes, products and services.

One factor for the success is the special manner of co-operation between local authorities and companies as well as the networking of the companies taking part in the program.

That way, effects of synergy develop and assure the ECOPROFIT® success for authorities and companies, and points out that ECOPROFIT® is a model for Public Private Partnership (PPP). Compared to the eco-management systems EMAS and ISO 14001 ECOPROFIT® can be rated more efficient due to its sustainable success and its lower costs for the companies.

As a result of the big demand and for better dissemination of the project, the ECOPROFIT® Academy was founded. The Academy is for participants at home and abroad. In an extensive training program consultants and representatives of local authorities are taught the contents, the structure and the method of ECOPROFIT®.

Additional services of the Cleaner Production Center Austria support the initiators of the project at the realisation in their respective regions. That way, quality and success of the projects at home and abroad are guaranteed.

1.4 Best practice network

The international ECOPROFIT® network gives the participating companies, consultants administrations and research institutes the chance of constructive networking and to benefit from various effects of synergy.

2. The trademark ECOPROFIT®

To enable the big economical and ecological success also in other cities and regions, the city of Graz applied for the international patent for ECOPROFIT®. Since 2000 the trademark ECOPROFIT® is an international registered and copyrighted label.

The city of Graz charged the Cleaner Production Center Austria with the international dissemination of the project, the allocation of licences as well as quality assurance within the trademark.

3. What is ECOPROFIT® able to do?

4. ECOPROFIT® - advantages for companies

• Factor 10 between project-input and output

• Increase in production efficiency and reduction of costs due to less consumption of raw material and energy

• Reduction of costs due to smaller amounts of waste and emissions

• Transparent cost-accounting

• Good overview on relevant laws and regulations for the company

• Promotion of motivation and team spirit within companies

• Common training programs

• Support of the project by local authorities

• Presentation of companies and regions via international networks

• Certification to “ECOPROFIT® company” and integration in common PR activities

• Preparation or Addition to EMAS or ISO 14001

• Support by meeting the OECD guidelines

5. ECOPROFIT® - advantages for authorities

• Factor 10 between economy support and success of the project

• Controlling-instrument for the implementation of sustainable structures

• Successful companies improve infrastructure and add to job security in a region

• Establishment of sustainable structures due to efficient support in economy

• Environmental relief and less expenses for bio-remediation

• International advantages regarding location and competition

• Improvement of the image of a region and promotion of tourism

• Higher quality of life for the inhabitants of cities and regions

• Support at the realisation of Local Agenda 21 objectives to reach the Kyoto target

• Support to secure the OECD guidelines

6. How does ECOPROFIT® work?

The success of ECOPROFIT® bases on three essential elements:

• Training management-consultants and representatives of authorities the ECOPROFIT® methodology

• Professional implementation of the project in the frame of a network (companies, consultants, authorities, universities) including the know-how transfer to the companies

• Quality assurance to secure the economical and ecological success

6.1 Training at the ECOPROFIT® Academy

The ECOPROFIT® Academy is a competence center which teaches management-consultants and representatives of authorities the ECOPROFIT® method.

Lecturers and trainers of the seminars are participants of running ECOPROFIT® programs home and abroad (companies, consultants, authorities, universities) as well as international experts in specific subjects.

This training gives the participants of the ECOPROFIT® Academy the qualification and necessary entitlement to process ECOPROFIT® projects as licensed ECOPROFIT® -project manager and/or ECOPROFIT® -consultants along the guidelines and to advise companies.

The basic “train the trainer program” consists of

• a one-week-seminar at the ECOPROFIT® Academy (see below)

• the development of a practical realisation concept

• a final presentation and certification

• and a continuously ongoing training program (e-working, tele-learning)

6.2 Content – train the trainer program

• Network-management

• PR and marketing for public networks

• e-working, tele-learning

• EDP-supported material flow management

• Analysis of production and processes

• Waste/emissions management and strategies for avoidance

• Economic aspects of the reduction of raw material, waste and emissions

• Environmental-related identification and assessment of costs, ecological controlling

• Development of an internal sustainability program

• Development strategies for creative/innovative ideas and measures

• Project management

• Environmental legislation

• Company visits

7. Implementation of an ECOPROFIT® - project

7.1 Project management

The duration for the realisation of an ECOPROFIT® project is one year. Within this year certified ECOPROFIT® project managers are responsible for the whole project organisation whereas the ECOPROFIT® consultants hold the workshops and help to establish the realisation concepts.

7.2 Training for companies

In about 10 workshops, employees of the participating companies are taught in various aspects of integrated environmental protection. The focus is put on energy, water, material flow management, production and process analysis, waste management, ecological controlling, and legal security.

7.3 Implementation in companies

Simultaneously, the companies are audited for potential savings with modern methods as EDP-supported material flow management and process analysis. Experts will raise and evaluate the necessary data and work out measures for improvement together with the companies and then implement them in the companies.

At the end of the project year, an independent commission checks the reached improvements which result from the implemented measures. The certification as “ECOPROFIT® company” proves the company’s success.

7.4 Quality controlling

The CPC Austria is responsible for quality assurance of the label ECOPROFIT®. Therefore we offer services to support representatives of authorities and consultants at the course of the project, which consequently strengthens the sustainable success. The unique combination of workshops and individual advice secures that the know-how remains within the company and the company may benefit even after the end of the project.

7.5 Follow up program 

The project should be continued in follow-up programs (further increase of knowledge, individual advice, networking among companies).

8. Financing of ECOPROFIT® projects

8.1 Cost sharing through network

Due to the recommended number of 10 participating companies at an ECOPROFIT® project and the therefore shared costs for consultants, the amount is only 10 per cent of the expenses for a comparable EMAS or ISO 14001 project. Flexibility of the contents and the profit of synergy effects also contribute to the minor costs.

8.2 Funding

The total costs for a one-year ECOPROFIT® project with participation of 10 companies result from the following costs:

• costs for 10 workshops (15 – 20 days of consulting service)

• costs for 3 days of consultation for each company (30 days)

• costs of authorities for promotion activities and documentation

• costs for training of one representative at the ECOPROFIT® Academy in the first year.

Under the aspect of active economic promotion the funds should be raised by public grants and by contributions of the participating companies.

A usual proportion in financing is public grants to company contributions at a ratio of 2:1. (1/3 contributions of companies; 2/3 grants by municipality, province, nation, EU etc.)

Initiators of ECOPROFIT® projects should also consider possibilities of sponsorship and co-financing by EU projects.

8.3 Application of funds

The experience shows, that total costs are allocated on the following positions:

The results of many ECOPROFIT® projects show, that the proportion grant to total savings for a city/region is at a ratio of about 1:10. The proportion of investment to savings for the participating companies is even 1:20.

To secure the sustainable success, we recommend the cities and regions to take benefit from competition among ECOPROFIT® consultants in order to establish a network.

9. The international ECOPROFIT® network

In order to extend the very successful co-operation between companies and municipalities, the local networks should be integrated in an international ECOPROFIT® network.

The continuously further developed ECOPROFIT® know how is spread and discussed in seminars, but also in internet.

That way, the development of new environmental technologies should be encouraged, in order to grant a fast implementation in companies and municipalities in Europe and the rest of the world. Interdisciplinary co-operation and partnerships between different ECOPROFIT® participants, as well as the profit from synergy effects, is for all members of the network a big chance for more economical and ecological success.

9.1 Structure of the international ECOPROFIT® network 

Runner: · Cleaner Production Center Austria

Partners: · national ECOPROFIT® networks

• ECOPROFIT® cities/regions with

• consultants and companies

• universities

• research institutes

• LA-21-organisations

Tasks/Services:

• dissemination of ECOPROFIT® know how

• further development of ECOPROFIT®

• information and communication platform for ECOPROFIT® topics

• international exchange of experience

• additional information to ECOPROFIT® (magazine, internet)

• establishment of local and regional networks for waste utilisation for a resource-saving circular flow economy

• optimisation of added value chains

• creation of EU projects (partner networks with Eastern Europe

10. Service of CPC Austria 

With its services, the CPC Austria guarantees quality of the label ECOPROFIT®. The necessary training of consultants and public representatives before project start as well as the project accompanying activities contribute to the final success.

An individual offer of services on site or via internet should help to secure the sustainable success of your city or region.

Our services:

• ECOPROFIT® Academy, “train the trainer program” (theoretical basics, workshops, company visits)

• ECOPROFIT® Academy follow-up

• Support at the creation of a realisation concept

• Tele-learning academy

• Lectures and workshops via internet

• Special workshops (via Internet)

• Support at project management

• Project controlling (check of project course, support)

• Participation at the checking commission

• Total evaluation of an ECOPROFIT® project

• Membership at the international ECOPROFIT® network

* CPC Austria Christoph Holzner, Messendorfgrund 30, A – 8010 Graz, Austria c.holzner@cpc.at