During a US-AEP NGO-Business Partnership project concluded in December, several Filipino sugar manufacturers adopted a waste minimization program and, as a result, gained significant benefits, including an improved bottom line. The project--"Waste Minimization in Sugar Milling"--was administered by The Asia Foundation in an effort to improve private sector environmental practices in the Philippines, thus broadening the country's engagement in sustainable economic development. The Philippine Sugar Millers Association (PSMA) implemented the project over the course of 18 months, involving member manufacturers in the effort to reduce, if not eliminate, the many by-products generated during sugar milling. Five strategies were employed as part of the participants' waste minimization programs including improvement of housekeeping and operational practices; segregation of water and waste streams; recycling and re-use of water, used oils, and cleaning solutions; operation or system modifications; and improvement of factory working conditions. Participants reported that the program helped improve profitability through reduced waste treatment costs. In addition, the adoption of waste minimization improved the public's opinion of the sugar operations and resulted in recognition and approval from the government. Finally, involvement in the program fostered a sense of well-being among the participants. As one sugar manufacturer reported, "The most important thing is that we get a certain [feeling of] well-being knowing that whatever we have done--whatever we have invested in time, money, and infrastructure--has not gone to waste. The biggest benefit is that we have made sure that our internal processes are as clean as possible."

Several venues were used to promote the lessons learned from the project, including the Philippines Sugar Industry Environment Committee meeting held in Bacolod last July. A significant outcome of the meeting was consensus among attendees that waste minimization is indeed an important strategy and should be adopted by mills in order to face regulatory challenges like the Philippines' soon-to-be-enacted "polluter pays" principle. PSMA is now working on a follow-up TAF grant to be concluded on June 30, 1998.

On the last day of 1997, the USAID-funded Indonesia Cleaner Industrial Production Project (ICIP) came to a close after three and a half years of activity. ICIP played an important role in promoting the adoption of cleaner production methods in Indonesia by performing factory assessments and providing recommendations, as well as conducting training workshops. Another of ICIP's important activities has been the support of the Indonesian National Cleaner Production Roundtable, or Konferensi Meja Bundar (KMB). The KMB, which has also been supported by the U.S. National Pollution Prevention Roundtable (NPPR), promises to be an important voluntary non-governmental institution for cleaner industrial production in Indonesia. As a newly independent organization, KMB is expected to take on many of ICIP's functions, becoming a key provider in Indonesia for information on equipment suppliers, cleaner production training, and dissemination of cleaner production techniques. It will also serve as an important vehicle for industrial assessments. At the request of the KMB Steering Committee, former ICIP Project Coordinator Achmad Djani will become the KMB's Executive Director. In a brief address at the ICIP closing ceremony, Vivikka Molldrem, USAID Director in Indonesia, emphasized US-AEP's important role in promoting ongoing cleaner production partnerships and efforts in the post-ICIP era. US-AEP and NPPR plan to help establish KMB as the premier Indonesian cleaner production institution. In addition to providing Indonesian industry with news of the latest cleaner production techniques, through KMB, US-AEP envisions that the Indonesian roundtable will distribute contact information for U.S. suppliers of clean technologies. US-AEP also plans to provide Environmental Exchange Program activities relevant to the country's clean technology needs and is exploring the possibility of working with KMB to open a chapter of the roundtable in Surabaya.

A US-AEP Environmental Technology Fund grant is assisting U.S. firm Environmental Energy Systems, Inc. (EESI) in its efforts to market pollution prevention equipment and solid waste management services in Hong Kong, Singapore, and the Philippines. The Santa Fe, New Mexico, company specializes in materials recovery facilities (MRFs) that convert municipal solid waste and sewage sludge into compost, serving to minimize waste in landfills, reduce groundwater contamination, and prevent highly polluting incineration procedures. EESI's Radon Tolman traveled to Hong Kong last September to participate in a solid waste reduction seminar, during which he described the benefits of the MRF. Plans are now underway to construct a mini-MRF in Hong Kong that meets the unique conditions found there. The unit will serve as a demonstration of composting, recycling, and refuse-derived fuel production from sewage sludge and solid waste. Tolman is working with US-AEP/Hong Kong to identify business partners who can help fund development of the mini-MRF. In addition, EESI plans to source equipment for the unit from qualified small- and medium-sized U.S. suppliers, then integrate the components into a workable pollution prevention system that will meet the requirements of the Hong Kong Solid Waste Reduction Plan and the needs of other Asian countries. EESI believes that the dollar value of these and subsequent investments in integrated pollution prevention systems will exceed $1 billion within ten years. The Environmental Technology Fund is administered by the National Association of State Development Agencies.

Two new managers recently joined US-AEP's Environmental Exchange Program (EEP). Please welcome Russ Thirkell, who started work on December 15 as the EEP's Manager in Manila, Philippines. A native of Washington, D.C., Thirkell brings international experience in 21 countries and 32 years of experience aimed at helping countries develop economically through methods such as financial sector improvements, privatization, and trade and investment promotion. He has held private sector banking positions including President and Chief Executive Officer. Thirkell also has served as Senior Consultant and Chief of Party for the USAID/Albania project and resident Senior Advisor for the U.S. Department of the Treasury overseas. Educated in Florida, he holds a degree in Business Administration from Jacksonville University.