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Efficacy of Landfill Tax and Subsidy Policies for the Emergence of Industrial Symbiosis Networks: An Agent-Based Simulation Study

Author

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  • Luca Fraccascia

    (Department of Mechanics, Mathematics, and Management, Politecnico di Bari, Viale Japigia 182, 70126 Bari, Italy)

  • Ilaria Giannoccaro

    (Department of Mechanics, Mathematics, and Management, Politecnico di Bari, Viale Japigia 182, 70126 Bari, Italy)

  • Vito Albino

    (Department of Mechanics, Mathematics, and Management, Politecnico di Bari, Viale Japigia 182, 70126 Bari, Italy)

Abstract

Despite the theoretical value of industrial symbiosis (IS), this approach appears to be underdeveloped in terms of practical applications. Different attempts to stimulate IS in practice are noticed, one of them consisting in the application of adequate policy measures. This paper explores the efficacy of two specific policies (landfill tax and economic subsidy for IS exchanges) in supporting the emergence of self-organized industrial symbiosis networks (ISNs). We frame the ISNs as complex adaptive systems and we design an agent-based model to simulate their emergence. We use a real case study and, by means of the simulation model, we assess how the two policy measures are able to enhance the formation of spontaneous IS relationships, thereby forcing the emergence of the ISN. Results show that both policy measures have a positive effect in all scenarios considered, but the extent is strictly dependent on the environmental conditions in which IS relationships occur. The economic implications for the government are finally discussed.

Suggested Citation

  • Luca Fraccascia & Ilaria Giannoccaro & Vito Albino, 2017. "Efficacy of Landfill Tax and Subsidy Policies for the Emergence of Industrial Symbiosis Networks: An Agent-Based Simulation Study," Sustainability, MDPI, vol. 9(4), pages 1-18, March.
    • Handle: RePEc:gam:jsusta:v:9:y:2017:i:4:p:521-:d:94536
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    3. Devrim Murat Yazan & Vahid Yazdanpanah & Luca Fraccascia, 2020. "Learning strategic cooperative behavior in industrial symbiosis: A game‐theoretic approach integrated with agent‐based simulation," Business Strategy and the Environment, Wiley Blackwell, vol. 29(5), pages 2078-2091, July.
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    6. Wadström, Christoffer & Johansson, Maria & Wallén, Magnus, 2021. "A framework for studying outcomes in industrial symbiosis," Renewable and Sustainable Energy Reviews, Elsevier, vol. 151(C).
    7. Fraccascia, Luca, 2019. "The impact of technical and economic disruptions in industrial symbiosis relationships: An enterprise input-output approach," International Journal of Production Economics, Elsevier, vol. 213(C), pages 161-174.
    8. Juan Diego Henriques & João Azevedo & Rui Dias & Marco Estrela & Cristina Ascenço & Doroteya Vladimirova & Karen Miller, 2022. "Implementing Industrial Symbiosis Incentives: an Applied Assessment Framework for Risk Mitigation," Circular Economy and Sustainability, Springer, vol. 2(2), pages 669-692, June.
    9. Angela Neves & Radu Godina & Susana G. Azevedo & Carina Pimentel & João C.O. Matias, 2019. "The Potential of Industrial Symbiosis: Case Analysis and Main Drivers and Barriers to Its Implementation," Sustainability, MDPI, vol. 11(24), pages 1-68, December.
    10. Angela Neves & Radu Godina & Susana G. Azevedo & João C. O. Matias, 2019. "Current Status, Emerging Challenges, and Future Prospects of Industrial Symbiosis in Portugal," Sustainability, MDPI, vol. 11(19), pages 1-23, October.
    11. Fraccascia, Luca & Yazan, Devrim Murat & Albino, Vito & Zijm, Henk, 2020. "The role of redundancy in industrial symbiotic business development: A theoretical framework explored by agent-based simulation," International Journal of Production Economics, Elsevier, vol. 221(C).
    12. Luca Fraccascia & Vahid Yazdanpanah & Guido Capelleveen & Devrim Murat Yazan, 2021. "Energy-based industrial symbiosis: a literature review for circular energy transition," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(4), pages 4791-4825, April.
    13. Hua Cui & Changhao Liu & Raymond Côté & Weifeng Liu, 2018. "Understanding the Evolution of Industrial Symbiosis with a System Dynamics Model: A Case Study of Hai Hua Industrial Symbiosis, China," Sustainability, MDPI, vol. 10(11), pages 1-25, October.
    14. Shiva Noori & Gijsbert Korevaar & Rob Stikkelman & Andrea Ramírez, 2023. "Exploring the emergence of waste recovery and exchange in industrial clusters," Journal of Industrial Ecology, Yale University, vol. 27(3), pages 937-950, June.
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    16. Miguel A. Artacho-Ramírez & Bélgica Pacheco-Blanco & Víctor A. Cloquell-Ballester & Mónica Vicent & Irina Celades, 2020. "Quick Wins Workshop and Companies Profiling to Analyze Industrial Symbiosis Potential. Valenciaport’s Cluster as Case Study," Sustainability, MDPI, vol. 12(18), pages 1-21, September.

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