Indonesia’s Update on Eco Industrial Park (EIP) Development

Project year:

Concerns regarding the development of Eco Industrial Parks (EIP) in countries where industrial production is a major contribution to the economy continue to increase and are urgent for environmental and economic sustainability. This study considers Indonesia as a case study for understanding the EIP development in ASEAN. By using a case study approach, this study assesses Indonesia’s readiness for adopting EIP and also the country’s needs for EIP technology. ICENERGY suggested Indonesia as a case study based on the developed indicators: 1) National economy and its influence to ASEAN economy; 2) National industrial sector and its influence to ASEAN industrial development; 3) Level of issues related to resource inefficiency in the industrial sector; and 4) level of EIP developments and interventions in the country.

In assessing policy, technology, and industrial institutional readiness towards EIP in a selected case study in the ASEAN region, ICENERGY used the Technology – Organization – Environment (TOE) framework introduced in Tornatzky and Fleischer (1990). Data collection was conducted through document review and semi-structured interview with key respondents. Data were processed and analyzed through qualitative and quantitative approaches. ICENERGY interviewed 11 key respondents in March 2022. 

In general, ICENERGY found that Indonesia’s readiness to adopt EIP in its industrial parks are at a moderate level. Out of 14 readiness indicators, ICENERGY evaluated that three indicators are high, seven indicators are moderate, and four indicators are low to support Indonesia’s readiness to adopt EIP in its industrial parks

Clients and partners: