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Material Inputs in the Portuguese Economy: The DMI Approach

Material Inputs in the Portuguese Economy: The DMI Approach. Paulo Ferrão * , Pedro Conceição * , Ângela Canas * IN+ - Center for Innovation, Technology and Policy Research IST - Instituto Superior Técnico http://in3.dem.ist.utl.pt. Motivation. Material use leads to environmental damage

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Material Inputs in the Portuguese Economy: The DMI Approach

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  1. Material Inputs in the Portuguese Economy: The DMI Approach Paulo Ferrão*, Pedro Conceição*, Ângela Canas * IN+ - Center for Innovation, Technology and Policy Research IST - Instituto Superior Técnico http://in3.dem.ist.utl.pt

  2. Motivation • Material use leads to environmental damage “One half to three quarters of annual resource inputs to industrial economies are returned to the environment as wastes within a year”, The weight of nations, WRI (2000)

  3. Aggregation by mass * Resource Flows: The Material Basis of Industrial Economies Measure Material Flows • Material flow accounting (MFA): Adriaanse et al. (1997)*

  4. International trend Increase material productivity by a factor of: • 2 in global terms • 4 in next 20 to 30 years (EUROSTAT, 2001)* • 10 in next 30 to 50 years (Factor 10 Club, 1995)** Considered in national policies (e.g. The Netherlands, Austria) (Kuhndt and Liedtke, 1998)*** Supported by European Union (factors 4 and 10) (Reijnders, 1998)**** * Economy-wide Flow Accounts and Derived Indicators. A Methodological Guide ** Carnoules Declaration *** “Translating a Factor X into Praxis”, in Third ConAccount Meeting: Ecologizing Societal Metabolism **** “The Factor X Debate: Setting Targets for Eco-Efficiency”, J. Industrial Ecology, 2(1)

  5. Scope Why Portugal ?

  6. Adapted from Bringezu and Schütz, 2000, Total Material Requirement of the European Union, European Environment Agency, Technical report No 55. The Portuguese case study (1988-1997) Humm! It looks different!

  7. Objectives/ Contribution • Evaluate material input, as DMI, of Portuguese Economy since 1960, based in national official data • Decompose DMI evolution in the last decades to assess effects of GDP, population and employment • Understand the Portuguese evolution in an international context (typical trend for a developing country ?)

  8. Portuguese DMI: Data • Spatial boundary: Continental Portugal and Azores and Madeira Archipelagos • Years: 1960, 1970, 1975-1998 • Sources: DMI:National Statistic Institute (INE) Geological and Mining Institute (IGM) Forestery Agency (DGF) Population, GDP: OECD’s National Accounts publications

  9. Portuguese DMI: Data • DMI categories: Domestic Non-renewable: Fuel ores Metallic ores Stone, clay, sand Non-metallic ores Marine salt Renewable: Agricultural crops Grazing Forest (wood, cork) Fishing, Hunting Honey, Beeswax

  10. Portuguese DMI: Data • DMI categories: Imported(according with statistical categories) Metals and its products Wood, cork and its products Products from chemical industry and other industries Food, beverage products Vegetable products Live animals and animal products Other

  11. “We need revolution, not evolution”, ...may be. Portuguese DMI: Evolution • 1998 DMI: 174 million ton, 18 ton per capita • Significative growth 1960-1998: 483% per capita

  12. Portuguese DMI: Results • Mainly from Domestic Environment (70%) • Increasing contribution from Imported materials

  13. Portuguese DMI: Domestic contr. • Domestic materials: Stone, clay, sand Biomass

  14. Portuguese DMI: Imported • Imported Materials: Mineral Products

  15. Sustainability and Production Identity Sustainability and Employment Identity * Moll, 1999, Reducing Societal Metabolism. A Sustainable Development Analysis Describe Material Flows • Decomposition analysis: Malaska (1998)* Sustainable development associated to MF < 0

  16. * A Residual-free Decomposition of the Sources of Carbon Dioxide Emissions Residual-free DMI decomposition • Contributions calculated by Logarithmic Mean Divisia Index Method (Chung and Rhee, 2000)*:

  17. Main effect:GDP/POP increases DMI/GDPdecreases in 1960 and 1980 decades Production equation: Employment equation: Main effect:DMI/EMP increases DMI Decomposition • DMIincreasesin each period

  18. International disaggregation-1

  19. International disaggregation-2 Employment in construction

  20. Conclusions • 1960-1998:Significative DMI growth,no absolute dematerialization • DMI originated mainly from domestic environment • Transition from renewable dominance to non-renewable dominance • Big dependence on Stone, clay and sand, associated to infraestructures development. Examples: Highways, Wastewater treatment plants, Vasco da Gama bridge (Lisbon)

  21. Whishfull thinkings • We may have conditions to believe that conciousness of MFA results will contribute to shift the actual trend, before the critical turning point experienced for the other Industrialised nations ... We should join in the 50th ISIE meeting, just to see...

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