Towards sustainable development in a transition economy: The case of eco-industrial parks in Ukraine

Sustainable development for transition economies is an opportunity to accelerate and complete socio-economic transformations and at the same time an additional responsibility in situations of instability and uncertainty. The chances for strengthening sustainability are growing within the organized innovation space, which makes it possible to model scenarios of ecologically oriented development and, with the help of state and international support, to start their implementation. The paper aims to analyze the possibilities and directions of creating eco-industrial parks in a transition economy. It uses an innovative helix model in its triple, quadruple and quintuple variations for functioning and sustainable development of industrial parks in Ukraine.The study adopts a descriptive comparative analysis of data on the planning and implementation of economic, primarily environmentally relevant, activities. Based on the analysis and description of exogenous factors, in particular within GEIPP, a SWOT table on the potential of eco-industrial parks was formed. The directions of development of industrial, technological, and scientific parks in Ukraine are determined using the quintuple helix model on the plane of “knowledge-innovation”, in particular on quadruple helix transition to sustainability through the simultaneous development of socially oriented and environmental activities. Within the legislation, it is proposed to approve a sustainable form of artificially separated innovation parks, namely the “eco-industrial park”. One of the conditions for advanced sustainable development in Ukraine is the creation of a national program to support the transformation of innovation parks into their environmental versions 2.0 and 3.0, as well as investing in greenfield eco-industrial parks.

Digital and economic transformations for sustainable development promotion: A case of OECD countries

Digitalization, dematerialization of production and consumption, and structural shifts in the direction of service economy forming do promote to reduction of material use and sustainable development. The paper aims to investigate the role of digital, structural, economic, and social factors in sustainable development promotion in OECD countries. The paper uses the data on digital achievements, social and economic development of OECD member states from World Bank data sources for the period 2007–2018. The random-effects GLS regression model is used, and empirical regression models to estimate the influence of key factors related to digital transformation on GDP per capita and CO2 emissions per capita are constructed. The results of the regression analysis show that using the number of Internet users as an indicator for achievement in digitalization has a positive and statistically significant influence on GDP per capita due to lower transaction costs and higher share service economy. An increase in urbanization rates (as an indicator of capital concentrations and labor specialization) by one percent promotes a GDP per capita increase of 299 USD. Also, an increase in Gini coefficient by one percentage point correlates with decrease in GDP per capita on 196 USD and the reduction of CO2 per capita by 0.12 tones due to the structural shifts in aggregate demand. Still, improvements in digital transformations have no significant environmental effect in OECD members, while processes related to urbanization, income inequality, and share of industrial output are important drivers for CO2 per capita reduction. AcknowledgmentsThe paper contains the results of a study conducted within the framework of research projects: “Sustainable development and resource security: from disruptive technologies to digital transformation of Ukrainian economy” (No. 0121U100470); “Fundamental bases of the phase transition to an additive economy: from disruptive technologies to institutional sociologization of decisions” (No. 0121U109557).

Increasing resource efficiency in the industrial complex ensuring environmental human rights

The close relationship between industrial development and environmental pollution is considered the main problem of negative climate changes and the deterioration of life quality leading to an increase in mortality. In this regard, the protection of environmental human rights is of great importance. The paper aims to assess the trends of industrial influence on the human environment and the level of protection of environmental human rights in different countries through reviewing and analysis of the set of relevant studies. The paper brings novelty exploring an array of objectives for protecting human environmental rights in the framework of the Sustainable Development Goals, implementation of a circular and resource-efficient economy, together with the Industry 4.0 technologies for industrialized countries, including Ukraine. Most studies consider contradictions between the economic and environmental goals of both businesses and the state the main obstacle for the ecologization of industrial production. The economic feasibility of introducing more resource-efficient business models has been proved. The impact of Ukrainian industrial companies on the environment and the state of human environmental rights protection is studied. The results of the study allow stating that the resource and energy inefficiency of industrial technology in the country, as well as the weakness of state institutions in the implementation of reforms for sustainable development, is a fundamental threat to human rights and a healthy life.

Water-related sustainability reporting practices amongst South African mining and non-mining corporations

Globally, water resource management has emerged as an important research area and is acknowledged as a crucial factor in achieving sustainable development goals. Despite its significance, water-related sustainability disclosures regarding water and water-related risks among companies are alarmingly weak. Many companies are not effectively measuring, managing, and disclosing their water-related risks. Hence, this paper aims to analyze water-related reporting and disclosure requirements of a sample of ten South African mining and non-mining companies with a high water profile, listed on the JSE Socially Responsible Investment Index. The companies’ level of compliance on water disclosure was assessed based on their reporting in the integrated and or annual reports. The findings revealed that sampled five mining companies performed poorly in terms of disclosure across the frameworks of awareness, disclosure, management, and leadership. On the other hand, the selection of five non-mining companies grasped the severe effect of the water crisis on their businesses and performed better in all the framework categories. The average score for the selection of mining companies was 65% compared to the 93% for the non-mining companies. Stakeholders need to focus on water governance processes that require improvement to enable the stakeholders to make better decisions on water management; subsequently, this is an area that needs to be addressed in future research.

Application of environmental management accounting by small and medium enterprises in South Africa

By focusing on environmental management accounting in SMEs, the study helps SME managers to effectively understand and find better ways of improving environmental management. The paper investigates environmental management accounting applications in manufacturing small and medium enterprises in Gauteng province. Small and medium enterprises were chosen based on their exclusion from the mainstream research on environmental management accounting (EMA). To achieve the main aim of the study, 24 in-depth interviews were undertaken among SMEs’ managers, accountants, chief executive officers, and owners. The study found that physical EMA is more common in SMEs than monetary EMA. 77% of SMEs’ respondents confirm using physical environmental information in their operations. Therefore, SMEs prefer EMA practices with little cost or no cost attached and practices that can effectively generate returns in the short term. In addition, the avoidance of monetary EMA is anchored on the premise of avoiding costly projects with no immediate material financial returns. Therefore, EMA is critical for SMEs to achieve sustainability.

Environmental costs estimation and mathematical model of marginal social cost: A case study of coal power plants

An increase in electricity production is proportional to environmental risks due to continuous energy production. The paper aims to quantitatively estimate the environmental costs and mathematically model the marginal social cost associated with the lifespan of the coal power plants. Results revealed South Africa Tier 1 company optimum level of electricity production per annum at around 2.15 gigawatts, considering the emission costs and reasonable profit. 85% of the total emissions during the combustion phase average cost of the C02 emission discharged by coal is calculated as 0.23c/KWh, 0.085c/kWh is calculated for NO2, while SO2 is 0.035c/KWh. Total emission cost represents 69.2% of the total cost of producing 1 MGW of electricity. The results confirmed the company losses to be insignificantly considerable to the evaluated environmental costs and capital investment. However, the use of this newly developed mathematical model depends on the source of energy production to confirm the feasibility and profitability of investment in coal-powered stations using environmental management accounting and marginal social cost approaches. AcknowledgmentThe authors would like to acknowledge the National Research Foundation and Durban University of Technology for financial support.

Ethics, resource rent, environment and petroleum policy: the case of a small open economy

This paper contributes to the understanding of how the environment, ethics, values, and historical contingencies shape public policy. It explains the accomplishment of petroleum resource management in the small open economy of Norway. The study is conducted by mapping policy decisions and the arguments behind them regarding environmental and ethical issues. This is done by studying available governmental and parliamentary papers along with statements from politicians and central governmental officials. The paper also seeks to illuminate some of the decisions by quantitative measures. The paper firstly describes a model of Ricardian resource rent. Secondly, it investigates the set of values that were in place before the petroleum production started in the 1970s, as described in public documents. An important argument was to build a “qualitatively better society” for the benefit of the people. Thirdly, it traces the historical roots of these values by examining historical sources.The main findings are that success lies in understanding the ethics behind the environmental resource rent harvesting of this non-renewable natural resource. The paper concludes that the focus on the natural environment and resource rent management can be attributed to popular values built on historical traditions. According to them, the state and the trust between the state and its citizens played key roles in shaping the policy. The careful policy can be illustrated by the fact that Norway has managed to build one of the largest sovereign funds in the world worth USD 1,200 billion for use by future generations. Only 3% of its value, significantly less than its historical net profit, should be used annually.

Analysis of the gap in enterprise access to renewable energy between rural and urban areas in Cameroon

Permanent access to energy is an essential pillar of economic development. However, there is a growing evidence that contemporary energy systems are not able to provide energy to the entire population on a sustainable basis and at affordable prices. In the face of these challenges, renewable energy can play an important role, especially in rural areas where access to centralized electricity grids is difficult. This paper aims to examine the access gaps of enterprises to renewable energy between rural and urban areas in Cameroon. The analysis is based on a sample of 209,482 enterprises, taken from the Second General Census of Enterprises in Cameroon (RGE-2) carried out by the National Institute of Statistics (NIS). The econometric estimations, obtained using the Blinder-Oaxaca decomposition, reveal that access rate to renewable energy for firms in rural areas is lower than that of firms located in urban areas. An increase in the level of education of the promoter of an enterprise, obtaining credit from banks, microfinance and savings, and the formalization of enterprises in rural areas can also contribute to reducing the gap in rural areas in terms of accessing to renewable energy. The discrimination suffered by rural enterprises related to the gender of entrepreneurs, the sector of activity, the business environment and professional experience tend to increase this gap. To reduce this gap, there is a need to promote access to finance for rural enterprises and their migration from the informal to the formal sector.

Economic growth and conservation effort in the Congo Basin

In a world increasingly subject to climate change, protected areas are of particular importance for conserving biodiversity and human livelihoods. Therefore, they play an important role in helping many species, populations, and countries adapt to climate change. This paper analyzes the effects of economic growth on the evolution of the protected areas. The study examines this relation using a sample of nine countries of the Congo Basin from 1990 to 2010. The econometric results show that an increase in the Gross Domestic Product (GDP) per capita has a positive impact on the extent of the protected area in this region regardless of the model chosen. Therefore, economic growth is a means used for the preservation of biodiversity in the Congo Basin. Moreover, the population density is negative and statistically significant. This shows that the protected areas of the Congo Basin are particularly threatened in densely populated areas.

Climate change and agricultural development in West Africa: Role of renewable energy and trade openness

The design, implementation, and evaluation of energy policies in combating climate change are becoming increasingly evident to strengthen economic growth driven by the agricultural sector in most developing countries. The study analyzes the direct and indirect effects of renewable energy consumption (REC) on agriculture value-added (AgVA), CO2 emissions, and trade openness in the short- and long-run in the West African countries. The second-generation panel unit root tests, the panel cointegration methods, and Panel Vector Error Correction Model are used with World Bank data from 1990 to 2015. A panel Granger causality test was also used to determine the direction of causality between variables. Findings show a unidirectional relationship between AgVA, CO2 emissions, and REC; between REC, gross fixe capital formation (GFCF) and trade openness. Moreover, the bidirectional hypothesis is verified between agricultural development and trade openness. However, the null hypothesis is found between AgVA and GFCF, on the one hand, and GFCF and CO2 emissions, on the other hand. These results suggest that fostering renewable energy policy and revisiting trade policy toward reducing environmental pollution will enable agricultural development and boost the regional economy. AcknowledgmentThe author wants to thank Dr. Moukpè GNINIGUE for his technical supports and Prof. Jean Marcelin Bosson BROU from the University of Houphouet Boigny (Cote d’Ivoire), Dr. Odzadifo K. WONYRA and Dr. Hodabalo BATAKA from the University of Kara, Dr. Koffi Massesso ADJI from the West African Sciences Services Centre on Climate Change and Land Use (University of Cheikh Anta Diop, Dakar) and Essotanam MAMBA from the University of Lomé for their constructive comments on the earlier version of this manuscripts. Finally, the author is grateful to the anonymous reviewers and Editor-in-Chief of Environmental Economics, whose comments have improved this paper. However, the opinions expressed in this paper are solely those of the author.