The Global Environmental Industry and its Relationship to Monitoring &

Compliance in Developing Nations

Grant Ferrier, PresidentJim Hight, Research Project Manager

Environmental Business International Inc.EBI Inc. is an independent research & publishing company

(Environmental Business Journal) specializing in the environmental industry since 1988, based in San Diego, California, USA

OECD funded project to identify and profile examples of monitoring & compliance programs involving imports of environmental goods & services;

detailed results to be published in early 2006

Case Studies in Monitoring & ComplianceProject Summary:

• Monitoring & compliance programs are undeveloped and require technology and assistance in set-up and operation

• Trade barriers are not insurmountable, but most projects are test projects allowing special considerations for imports

• Use of technology, experience of project managers and resulting information flow to agencies and the public inspires program managers that compliance objectives can be enforceable and attainable, and creates pressure for administrations to launch enforcement initiatives

• Projects demonstrate capacity building in technical ability to collect & analyze monitoring data

Case Studies Profiled

1. Jorf Lasfar Energy Company Coal Power Plant Air Quality Monitoring Project, El Jadida, Morocco (130 km west of Casablanca)

2. Metro Manila Air Quality Monitoring Project, Philippines

3. Malaysia Air Quality Monitoring Network

4. Jakarta Health Risk Monitoring Project: Exposure to Particulate Matter and Carbon Monoxide, Indonesia

5. Fuel Testing for Air Quality Project, Tamil Nadu, India

Morocco Coal Power Plant • Jorf Lasfar Energy Company Coal Power Plant: 1,350

MW power plant was built in 1996 with funding from International Bank for Reconstruction and Development (IBRD) and USA-based Overseas Private Investment Corporation (OPIC).

• $1.5 billion project budget included $250,000 for air monitoring equipment and related services

• Air monitoring station established with continuous monitors for SO2 and NOx and highball samplers for total suspended particulates (TSP) and respirable particulates (PM10).

• Two meteorological stations also established.

Morocco Coal Power Plant: 2 • Consultants from URS Corp. audit the station’s

performance and train staff as needed.• Over 10 years, the system consistently achieved valid data

capture rates above 90%.• Data have shown the plant meets World Bank or WHO

guidelines for air quality.• Data have also identified another nearby industrial source

of air pollution.• The government and plant operators know that electricity

is generated without significant adverse impacts on the environment.

Metro Manila Air Quality • Metro Manila Air Quality Monitoring Project (Philippines)• In 2004, Philippine Department of Environment and Natural

Resources (DENR) contracted with TRC Environmental Corp. for a three-year Outsource Sampling Program as part of Metro Manila Air Quality Improvement Sector Development Project (MMAQISDP).

• $2.3-million project was funded by Asian Development Bank.

• TRC’s Filipino partner, Technical Experts on Environmental Management (TEEM) provide manpower for data collection.

• Four teams of technicians are deploying mobile testing sets to measure stack emissions of PM10, SO2, NOx, CO and heavy metals from 1,000 sources.

Metro Manila Air Quality: 2 • At conclusion, monitoring gear and lab equipment will be

turned over to DENR, whose staff are being trained to use the equipment.

• 60% of the 500 emitters tested so far have failed one or more criteria of the Philippine clean air law.

• Data will assist the government in enforcing its 1999 clean air law, which is comparable to the U.S. Clean Air Act.

• $170,000 worth of equipment was imported from Japan and the United States.

• Tariffs for the equipment were waived because of government sponsorship, but clearing shipments through customs required specialized consultants working about 40 person-hours per shipment. For six shipments, approx. 240 consultant hours have been expended.

Malaysia Air Quality Monitoring Network• ASMA joint venture was created in 1995 by Bovar

(Canada) and PIC Corp. (Malaysia) to finance, build, own and operate a national air quality monitoring system.

• Under 20-year contract, ASMA earns revenues by selling data to Malaysia Dept. of Environment, the media and others; manages Environmental Quality Data Center for air and water.

• The $6 million system includes 51 continuous monitoring stations for CO, SO2, NOx, PM10 and O3, and 25 manual stations (checked every six days) for TSP, PM10 and heavy metals.

• Equipment is mostly U.S.-made (Teledyne API and Met One) including analyzers, calibraters, sampling systems, telemetry infrastructure, etc.

Malaysia Air Quality Monitoring Network• Imports were exempted from tariffs for first four years, but

ASMA required special license to import gauges with low-level radioactivity.

• System provides real-time updates every 15 minutes with a data capture rate of more than 95%. (Audited by USEPA)

• During 1997 smoke & haze crisis, government temporarily banned air quality data release to media, but used data to target public health response toward worst effected areas.

• Full disclosure policy now in force again.• ASMA data provided evidence for Malaysia Univ. of Science

and Technology study which recommends: – Expand network and facilitate greater public access.

– Create air quality standards, rather than guidelines.

– Require periodic emissions inspections for vehicles.

Jakarta Health Risk Monitoring Project• Monitor citizens’ exposure to Particulate Matter and

Carbon Monoxide (PM and CO): pollutants of concern in Jakarta due to leaded gasoline and lack of catalytic converters in vehicles. (Respiratory illness is #1 killer of children under 5 in Indonesia.)

• $200,000 budget from US-Asia Environmental Partnership (USAID) and partners: University of Indonesia, University of California (Berkeley and UCLA) and Swisscontact. Manpower was provided by University of Indonesia staff and students, trained by U.S. partners.

• Using portable equipment in backpacks, investigators shadowed 50+ individuals -- students, traffic officers and others -- for 8-hour and 24-hour periods.

Jakarta Health Risk Monitoring Project• State-of-the-art equipment for measuring PM (from 0.1

microns to 2.5 microns) and CO was borrowed and purchased; most items from TSI: Data is in process, but preliminary results show very hazardous exposure levels.

• Identifies pollutant sources -- gasoline & diesel vehicles, garbage burning, etc. -- with high degrees of specificity, allowing the targeting of regulations or enforcement action to protect public health.

• The project is inspiring local staff with a vision of effective air quality regulations in city and national environmental agencies; but a lack of resources constrains their capabilities.

• To avoid the delays associated with Indonesian customs, project equipment was imported with U.S. embassy diplomatic privileges. Importing the equipment commercially would have caused 8 to 12 week delays and added costs.

Fuel Testing for Air Quality, India• A laboratory and sampling program in Chennai, Tamil Nadu,

India, to detect and report cases of adulterated vehicle fuels, a major source of air pollution in India.

• The project was organized by CONCERT (Center for Consumer Education, Research Teaching, Training and Testing) with funding from the U.S. Council of State Governments and US-Asia Environmental Partnership, and technical support from the California Air Resources Board.

• All equipment was manufactured in India, but budgetary constraints made it impossible to purchase the most sophisticated analytical equipment, which is commonly used by oil companies for quality control.

• After analyzing more than 60 retail gasoline and diesel fuel samples, data suggests contamination of adulterants at high levels.

Fuel Testing for Air Quality, India• CONCERT intends to expand sampling program, upgrade

and procure additional lab equipment, establish a mobile laboratory to collect and test samples in the field, seek greater enforcement by government agencies and increase outreach to retail fuel dealers.

• Widespread fuel testing, coupled with greater enforcement, would significantly improve air quality throughout India.

• While monitoring equipment is available within India, what is needed is a funded network of facilities and sampling programs. At present CONCERT is the only NGO in India that has established such a facility and sampling program.

• CONCERT and prospective fuel testing entities also need funds to purchase more modern, sophisticated equipment to increase the speed and efficacy of testing.