9th July 2014

Master in Public Administration

Governance Study Project Conference 2014

Policy Innovations for Map Ta Phut – The Way Forward

2

ABOUT LEE KUAN YEW SCHOOL OF PUBLIC POLICY

As countries in Southeast Asia and the Pacific enter a new phase of development, sound public policy is increasingly more important than before. The problems faced by policymakers range over a wide spectrum of issues, wh ich are often complex and specific to each context. In the regional context, these are further complicated by religious, ethnic, historical and political issues which add to the complexity of governance. Charting public policy within these varied settings and meeting the demands and expectations of different constituents, national and international, require public managers to have the skill set to look at issues from the vantage points of different disciplines. The Lee Kuan Yew School of Public Policy was established in 2004 with the mission of educating and training the next generation of such Asian policymakers and leaders. Situated in Singapore, a neutral observation ground to witness the historic rise of Asia, the School is thus in the right place at the right time.

3

MASTER IN PUBLIC ADMINISTRATION Our one-year full time Master in Public Administration (MPA) prepares students for senior management roles in the public sector. It provides an intensive, interdisciplinary course of study for professionals who wish to work on increasingly complex issues shaping national, regional and global policies. A key feature of the MPA is the Governance Study Project.

Participants of MPA Governance Study Project Study Trip to Thailand in December 2013, led by Assistant Professor Ora-orn Poocharoen

Photo courtesy of Mr Amitabh Sinha (MPA 2013/2014)

4

GOVERNANCE STUDY PROJECT (GSP) – THE CASE OF MAP TA PHUT The Governance Study Project (GSP) is a year-long team-based module. Consisting of a study trip at the end of the first semester, a seminar, and a final conference the end of the special term, the GSP connects the beginning to the end of the MPA degree program, requiring students to put to use the knowledge and skills learnt in each module. Through projects that are real public problems in the region, students acquire skills related to analysis of complex managerial problems, basic research, writing and other presentational modes. The GSP also aims for students to develop higher emotional intelligence, and a strong sense of cohort. This year, the ‘live’ case is based on Map Ta Phut, an industrial area in the eastern part of Thailand. Map Ta Phut in Rayong Province is the largest petrochemical estate in Thailand and is the 8th largest industrial estate in the world. Aside from generating large revenue and economic development, since its inception, Map Ta Phut has been plagued by environmental, health and safety concerns. There is scientific evidence that people living in the vicinity suffer from numerous health problems caused by air, water and ground pollutants from the industrial estate. There have been numerous lawsuits against the government and some years ago the Central Administrative Court suspended 76 projects on environmental and health related concerns. In response to public protest and the lawsuits, the government set up an Independent Health and Environmental Committee to review new projects and the government designated Map Ta Phut as a pollution control zone, which requires toxicity to be within legal limits. Despite these and other measures, Map Ta Phut is a story that refuses to go away. Oil spills and industrial accidents continue to occur. Community members continue to suffer from pollutants until today. This complex problem requires time and effort to solve.

5

Today, new and innovative ideas on industrial development are beginning to emerge from Map Ta Phut’s case. Many stakeholders have put forward policies to create an eco-friendly industrial estate and town. The MPA students have studied those policies and have benchmarked them with policies in other contexts. The GSP Conference aims to showcase the students’ work and provide a platform for relevant stakeholders to hear and discuss the proposed ideas. We hope that this Conference will make immediate real-world impact in the region.

MPA 2013/2014 Candidates: (Left to Right) Fenny Karlavita, Zheng Wei, Wang Bo, Zhang Haoer, Yang Zhuomin, Li Guanzhong

Photo courtesy of Mr Amitabh Sinha (MPA 2013/2014)

6

CONFERENCE SCHEDULE VENUE: LOBBY, OEI TIONG HAM BUILDING

TIME PROGRAMME 9.00 am Guests to be seated 9.15 am Welcome by Dean & Presentation of Token of Appreciation to VIPs from Thailand

9.45 am Presentation 1 Eco-Industrial Towns in the 21st Century: New approaches for the Co-Existence of Industries & Communities By: Amitabh Sinha, Ann Verbeek, Ekroop

10.15 am

Presentation 2 Eco-Industrial Towns in Thailand: New Approaches for Sustainable Co-existence of Industries & Communities and Performance Monitoring Strategies for Key Management By: Charandeep Singh, Prashant Hiran, Kirsty Leong

10.45 am Morning Tea Break

11.15 am Presentation 3 Assessment Systems of CSR Projects: Case of PTT in Map Ta Phut Thailand By: Zhang Haoer, Mohammad Asif Muslim and Wu Yingyun

11.45 am

Presentation 4 The future for Rayong: Balancing Economic Development, Social Development and Environment Management towards sustainability By: Khawaja Khair-Ud-Din, Fenny Karlvita Siregar, Dicky Farabi, Takahiro Yokota

12.15 pm Presentation 5 To begin with the Community in Map Ta Phut: On the HIA and Other Impact Assessment Tools By: Mrinalini Kaur Sapra, Roberto S. Salva and Zheng Wei

12.45 pm Lunch Break

1.45 pm Presentation 6 Environmental and Health Issues in Industrial Estate Development in Developing Economies By: Goh Cindy, Lee Wei Liang, Quek Lee Kiang and Yang Zhuomin

7

TIME PROGRAMME

2.15 pm Presentation 7 Empowerment of Local Government: Financial Capacity Building as the key to successful Healthcare Service Delivery By: Areico Abuton Casing Jr, Chan Wing Sze Maranda, Zhu Jianzheng and Naohiro Kaji

2.45 pm Presentation 8 Multi-Stakeholder Partnerships: For sustainable development By: Nguyen Thi Trang, Gaurav Agarwal, Anita Tan-Langlois

3.15 pm Afternoon Tea Break

3.45 pm Presentation 9 Stakeholder Engagement: A Key towards Sustainable Development for Map Ta Phut By: Bonifasius Aung Nugroho, Maria Esperanza Frio Alconcel, Wang Bo

4.15 pm Presentation 10 Leadership through crisis: Lessons from Map Ta Phut By: Syed Iftikhar Ali Shah Bukhari, Foo Ee Lin and Anele Ncube

4.45 pm Presentation 11 Collaborative Governance for Effective Crisis Management By: Poh Qiu Shi, Teo Pek Wan, Hettige Don Sanjeewa Dharmasena

5.15 pm Presentation 12 Management & Prevention of Oil Spills in Map Ta Phut By: Anna Kristina Abad, Chan Chin Kai & Li Guanzhong

5.45 pm End of Conference

8

ABSTRACTS Presentation 1 Eco-Industrial Towns in the 21st Century: New approaches for the Co-Existence of Industries & Communities By: Amitabh Sinha, Ann Verbeek, Ekroop Caur Since opening in 1990, the Eastern Seaboard industrial estate at Map Ta Phut has been an economic success. It was realised too late, however, that the environmental impact would be detrimental and immense. Attempts to rectify the excessive pollution led to the government of Thailand to declare Map Ta Phut a pollution control zone and launch the Eco-Industrial Estate Development and later propose the Eco-Industrial Estate and Network. In 2010, Industrial Estate Authority of Thailand announced that it would conduct a pilot programme in Map Ta Phut Industrial Estate to convert it and the surrounding area into an Eco-Industrial Town and determine ways for future eco-industrial development. For various reasons the 2010 pilot programme is yet to be undertaken. A new stand was publically announced in December 2013, however, that will see the pilot implemented over the next two years and based on the model of Kitakyushu, Japan. As a result of the decision by the Government of Thailand to be guided by the Kitakyushu model, this presentation examines the model and several others, to offer recommendations and an implementation plan that would facilitate the eco-industrial conversion of the industries, industrial estates and the surrounding communities in the context of Map Ta Phut. The difference between an industrial estate and an eco-industrial estate is that the latter offers the possibility of sharing common pollution control services and facilities – by following the principles of industrial ecology and symbiosis. Additionally, the eco-industrial concept is based on a zero-emissions approach and seeks to utilise – to the greatest extent possible – the waste generated by domestic and industrial activities as the raw material for other industries.

9

At Map Ta Phut, to enable industrial symbiosis, key industrial linkages must be made. Once defined, these industries will require assistance in identifying, developing and adopting new technologies. To that end, it is essential that an R&D Unit be established – either through the national university or a group of university departments familiar with the unique location and circumstances at Map Ta Phut. The establishment of an R&D Unit is one of several recommended strategies required for success at Map Ta Phut. Others include the development of a hybrid model approach, by-product and energy management, eco-system restoration, as well as community involvement and engagement. The conversion road map for Map Ta Phut is unique because it must take into consideration that Thailand industrialised rapidly, and therefore presents a different infrastructure to that found in Japan and the Western countries that industrialised 60 to 100 years ago. Additionally, the township is comprised of many surrounding villages (tambon), and is yet to become a modern, urban centre. These facts and the issue that myriad essential stakeholders are yet to be included in the eco-industrial conversion master plan, will reveal that as a pilot, Map Ta Phut has the potential to become not only the national eco-industrial model, but a model that can be utilised by other rapidly industrialised countries.

10

Presentation 2 Eco-Industrial Towns in Thailand: New Approaches for Sustainable Co-existence of Industries & Communities and Performance Monitoring Strategies for Key Management By: Charandeep Singh, Prashant Hiran, Kirsty Leong Asia has witnessed tremendous growth in the past three decades and Thailand has been one of the important contributors in the regional development. This growth has come at the cost of environmental degradation, contamination of air, water and soil. One of the most striking and glaring example is Map Ta Phut and the adjoining Industrial Estates in the Rayong province of Thailand. Map Ta Phut is experiencing health hazards, loss of lives, loss of livelihoods and disturbances to human living due to pollution, accidents and rising number of industries within the region. At present there is strong mistrust among various stakeholders, particularly between local communities and industries. Government intends to address the issue by transforming Map Ta Phut region into an eco-industrial town, and thereby making balance among economy, environment, and society. While the national government had set a target to transform 11 industrial estates into Eco-Industrial Town (EIT) by the year 2019, the success so far has been limited due to lack of institutional capacity, financial constraints, conflicting stakeholder interests and lack of proper implementation and performance monitoring strategy. Eco-industrial development is a novel concept introduced to bring together economy, environment and social objectives by combining the twin principles of industrial ecology and industrial symbiosis. This concept has already been applied in developing many forms such as eco-industrial estate, eco-industrial parks, eco-industrial networks, eco-industrial towns, eco-cities etc. Thailand can draw lessons from the theoretical models and existing eco-industrial development examples as discussed in our report. In literature, there is little work done about defining and analyzing performance monitoring of such eco-industrial town management.

11

For transformation of industrial estates into EITs in Thailand in the current scenario, the most crucial aspect is to harmonize relations among industries, residents and government at different levels through targeted communication strategy and to disseminate information about eco-industrial town concept. The information gap about industrial symbiosis (IS) and eco-industrial development for community and industries need to be bridged through various channels, including a project champion for onsite coordination. Successful transformation would require right mix of enforcement, collaboration, incentives and legislative reforms. Provision of new environmental infrastructure and retrofitting of existing infrastructure are substantial investments that need to be made by both government and firms. The model for financing these needs to be determined, as does financing for ongoing implementation of EITs. Stakeholders need to be engaged early in to ensure adequate time to plan ahead and execute projects. More importantly the transformation into EIT and its sustainability will be based on the development of practical, quantitative performance assessment indicators for EITs, so that the progress can be periodically monitored and strategy can be reviewed. This report presents a broad framework for performance management and evaluation system for key management team of EITs and various companies within network. With the passage of time, local expertise and knowledge about EIT development will grow in Thailand, however this may take a decade or more. Until then, working with overseas partner organizations will be important in building local capacity.

12

Presentation 3 Assessment Systems of CSR Projects: Case of PTT in Map Ta Phut Thailand By: Zhang Haoer, Mohammad Asif Muslim and Wu Yingyun The report contains four different chapters to tackle four different questions about corporate social responsibility problems existing in Map Ta Phut industrial estate. As to conduct practical analysis and make feasible suggestions, PTT (PTT Public Company Limited) has been chosen to be the targeted example. According to our analysis, the research team prioritized the problem of “lack of assessment system of CSR projects” as the core problem; realized that “to build a self-assessment system by PTT itself and regularly disclose the results to the community and other stakeholders” would be the best way to tackle core problem; and finally gave systematic advices for building an efficient assessment system of CSR projects in PTT. In the first chapter of the report, a question “What happened about CSR in Map Ta Phut?” has been answered based on the observation in Map Ta Phut and literature review including the sustainability reports of PTT. In the second chapter, an analysis “Why these happened? - Core problem analysis” has been conducted to generate the core problem and main causes behind the social and environmental problems in this area. In the third chapter, the analysis focused on “Who will take the responsibility to improve?” and a policy analysis matrix was used to evaluation different possible options with certain criteria. In the fourth chapter, the most important question “How to improve?” has been answered by introducing related assessing frameworks from international organizations and best practices from the process of doing social impact evaluation in Cost Benefit Analysis. What`s more, an entire frame of building assessment system for CSR projects in PTT has been suggested in this chapter.

13

Presentation 4 The future for Rayong: Balancing Economic Development, Social Development and Environment Management towards sustainability By: Khawaja Khair-Ud-Din, Fenny Karlvita Siregar, Dicky Farabi, Takahiro Yokota Rayong is one of the country's major agricultural and industrial provinces, and named as “Thai Diamond City Industrial Estate.” It is the only province that has nine industrial estates with different cluster, and dominated by heavy industries. Therefore, Rayong is the number one province among others in term of economic growth, even compared to Bangkok. However, the excessive industries create negative impact in term of environment management and social development. Therefore, the three dimensions have to be balanced to achieve the sustainability of Rayong. The articulation of the vision of Rayong, which is proposed in this report, is: Toward sustainable Rayong Province by balancing Economic Development, Social Development and Environmental Management. To achieve the vision, the global trends have been used. The current trend is the Sustainable Development Goals (SDGs). The SDGs emphasized on some indicators like Environmental Performance Indicator (EPI) and Social Progress Indicator (SPI) will be taken. Thailand has rank at 78th out of 178 countries in the 2014 Environment Performance Index and rank 59th out of 132 countries for the Social Progress Indicator. Other standards that we apply for this report is ISO 9001 as the guidelines for a quality management system and ISO 14001 as standard outlining the basics of an environmental management system. After learning from the global trends, we also include the best practices from different countries such as Denmark, Canada and Japan. From the examples, it is concluded the key take away toward the sustainability are: industries with strong symbiotic relationships, engagement of local community, and reduction in environmental hazards.

14

At the end, it is really important to balance economic, social and environment; two key words that recurred are 'equity' and 'sustainability.’ Equity refers to the way we use our resources, both natural and financial, as well as the consideration for our future generation or intergenerational equity. Sustainability is the long-term determination, where cultural, economics and environment, cultivate together with the importance of linking to the social development. The main stakeholder of this report is Provincial Government of Rayong, therefore the implementation stage could be started from the rebranding process. The proposal of the new branding of Rayong is Three G: Growth, Glad, and Green. The brand reflects the balancing of economic (growth) and social development (glad) and environment management (green), and can deliver Rayong to be the sustainable province. Aside of provincial government of Rayong, the report could be consumed by other industrial estates within Thailand or in other developing countries. Though we have seen the advantages of developing sustainability, yet there are number of challenges to be considered.

15

Presentation 5 To begin with the Community in Map Ta Phut: On the HIA and Other Impact Assessment Tools By: Mrinalini Kaur Sapra, Roberto S. Salva and Zheng Wei After the declaration of Map Ta Phut as “Pollution-Control Zone” and the dissolution of the Four-Party Panel in 2009, there has been no organized effort to monitor the impact of the industries on the health, the environment and other aspects, of the life of the community. The tools for monitoring the impact on these areas already exist and countries around the world, including Thailand, have already adopted some of these tools. However, in some countries, including especially Thailand, the use of the tools has faltered. The report surveys the use of the HIA (Health Impact Assessment), EIA (Environmental Impact Assessment), EHIA (Environmental HIA) and SEA (Strategic Environmental Assessment) tools in countries around the world. The aim is to look at the areas where the use of the tools has been successful, where it has not and what the countries have done to remedy the gaps. The report particularly focuses on the participation of the community, deemed integral by the promoters of the tools, on the processes involved. The report reveals that community participation in the use of the tools has been problematic. Due to the problems encountered, some countries have dropped participation in some aspect of the processes and some have set up remedies. The report presents the problems—to alert the tools’ users in Thailand—and especially the remedies as one way to ensure community participation in impact assessments. The report also presents, as highlight of the paper, an alternative way to ensure community participation in impact assessments. This is done through a process that would facilitate community members of Map Ta Phut to create for their community tools that would assess the impacts of the industries and other projects or programs on their health, environment and other aspects of their lives. These tools will be created, owned and used by the Map Ta Phut residents themselves.

16

Presentation 6 Environmental and Health Issues in Industrial Estate Development in Developing Economies By: Goh Cindy, Lee Wei Liang, Quek Lee Kiang and Yang Zhuomin The objective of the report is to draw important practical lessons from Map Ta Phut Industrial Estate, with specific recommendations towards building industrial estates (IE) that are more environmentally sustainable. As the report is targeted at policy-makers in developing economies, it also provides an overview of the typical characteristics of these economies. The policy recommendations are detailed in the following four stages: ‘Conception’: Environmentally-conscious Planning and Design of the Industrial Estate as a Whole It is recommended that planning and design of an IE should adopt the integrated “Green Area System” which offers an efficient alternative involving pollutant attenuators, absorbers, trappers, indicators, cushions and buffers that do the utmost to promote sustainable planning and prevent industrial disasters. The aim is to balance the purposes of the IE with the protection of surrounding communities and natural resources. ‘Pre-operative’: Integrated Environment and Health Impact Assessment for Specific Industrial Projects A more integrated and holistic approach is needed to provide adequate oversight of the complex and interconnected environmental and health issues. The European Union (EU) Integrated Assessment of Health Risks of Environmental Stressors in Europe (INTARESE) project has developed a framework for integrated environmental health impact assessment (IEHIA). The IEHIA framework is essentially composed of four main steps — Issue-framing, Design, Execution and Appraisal, known by their initials as “IDEA”. Post-operative’: Effective Ongoing Pollution Control When developing a new IE, the government needs to formulate a comprehensive environmental management plan to cover the whole region, instead of focusing narrowly on the IE only. There should be a

17

single government body responsible for the overall compliance and enforcement controls in all pollution sources. Enforcement work could be delegated to different units to cover various pollution sources, but there must be a single agency overseeing these units with actual command and control over them. It is also crucial to ensure that the enforcement agency does not possess any inherent conflict of interests in executing its work. To encourage pollution cuts, the government should look into ways to incentivise the industry to undertake voluntary pollution reductions. One method could be to incorporate a variable pollution tax into the corporation tax. ‘Mitigation’: Complementary Mitigating Measures Additional mitigation measures should be implemented concurrently to cushion the negative impacts of pollution on people’s lives and lessen their sufferings. Firstly, the regulatory bodies such as the health and IE management authorities should ensure that there is adequate provision of basic healthcare services for nearby residents and employees within the IE. Secondly, an integral part of emergency plans should include participation and training of communities to understand and deal with hazards. Thirdly, there should be a proper assessment and compensation system for those directly affected by an industrial crisis or who suffer from resultant health problems. Last but not least, neighbouring communities should be considered important partners in developing the IE. They can contribute positively to their own well-being by participating in environmental monitoring and community empowerment networks.

18

Presentation 7 Empowerment of Local Government: Financial Capacity Building as the key to successful Healthcare Service Delivery By: Areico Abuton Casing Jr, Chan Wing Sze Maranda, Zhu Jianzheng and Naohiro Kaji Map Ta Phut (MTP), located in eastern part of Thailand, houses one of the most important industrial estates in Eastern Seaboard - Map Ta Phut Industrial Estate. The Estate was established in 1988 and become the representative of national petrochemical industry. The boom of petrochemical industry in MTP has however brought about serious social problems, one of which is the insufficient healthcare service in MTP triggering public outcry for solution. Against this background, the study concentrates on the analysis of the problem and suggests alternatives to improve the financial capacity of the MTP Municipality, with the aim that a better and quality healthcare service can be provided for MTP people in the short and long run. The methodology of problem tree analysis has been applied to define the causes of the insufficient healthcare, which includes:

• Supply shortage: The healthcare subsidy from central government is based on the registered residents, which creates a big gap for the healthcare expenditure in MTP with increasing non-registered residents. Due to the fiscal decentralization, the MTP municipality has limited financial capacity given the constrained autonomy to collect local revenue and the Central Government’s limited revenue redistribution share.

• Growing demand: The constant and high growing migrant workers, due to the industrial expansion, have created substantial additional pressure to the existing healthcare service. The insufficient control of industrial pollution from the petrochemical industry aggravates residents’ health, which plays an important role in straining the existing medical capacity.

19

Considering that financial capacity building is a relatively feasible way in short- to medium-term to enhance the capability of the MTP Municipality on public health services delivery, the following strategies have been proposed for further exploration:

• Remaining Status Quo • Strengthening Tax instruments • Issuing Local Government Bond • Proposing Public-Private-Partnership of Healthcare Service Delivery • Financing Healthcare for Non-registered Migrant Workers

Four criteria - effectiveness, cost, equity and feasibility - are adopted to justify and evaluate the aforementioned strategies with trade-offs, spillover effects and projected outcomes. Coupled with the political reality in MTP, the report arrives at a conclusion by focusing on the strategies to increase the existing local tax as the most feasible and effective instrument to enhance the financial capacity of local government, thus enables the delivery of a better and quality medical service to MTP people. Experience from other countries has also been drawn to consolidate the argument to enhance the plausibility of the proposed strategies.

20

Presentation 8 Multi-Stakeholder Partnerships: For sustainable development By: Nguyen Thi Trang, Gaurav Agarwal, Anita Tan-Langlois Increasingly complex problems in today's globalized world are demanding more collaborative platforms. As interests and roles of stakeholders in society merge and agglomerate further, greater recognition of this has emerged. Multi-stakeholder partnerships (MSPs) are neither new nor unique. Working together to find solutions or to discuss a shared problem has been a basic practice in most societies for decades. However, more empirical studies of this subject in recent years have come as a result of its increasing popularity among policymakers. The first half of this report is devoted to a conceptual discussion of MSPs. Here, we explore the nature, characteristics and forms of MSPs, identify a general framework, discuss some common benefits and challenges of this platform. Moving on from this, the latter half of this report features four applications of various forms of MSPs over the course of the past 50 years. The first case features the environmental challenges in Kitakyushu City, Japan in the 1960s and how civil society action spurred a multi-sectoral dialogue which eventually led to effective policy interventions. The second case involves the constructive use of MSPs in the implementation of various health programs to combat tuberculosis, malaria and HIV/Aids in the African continent during the 1980s. The third case features the positive outcomes from a multi-stakeholder approach in providing access to public services for migrant workers in Ho Chi Minh City, Vietnam from 2009 to 2011. And finally, the last case depicts the tension during the 2003 ethnic crisis between Chevron and the community in Nigeria and how MSPs successfully diffused the conflict. In each of these cases, the public sector, the private sector and the NGO/civil society sector acted as key stakeholders and active participants in the partnership.

21

This report culminates with a proposed application of a MSP in Map Ta Phut (MTP). Identifying the current unsatisfactory pollution monitoring and public advisory system (PMPAS) as a gap, we propose this as a specific MSP issue for discussion, deliberation and agreement by the MSP participants. Here, an analysis of the various stakeholders is undertaken to understand each of their interests, resources, perceived risks and some engagement issues. Using an MSP design process adopted from a study undertaken for the Earth Summit in 2002, we propose some initial steps towards building an MSP for MTP and highlight some key considerations. This study connects the MSP conceptual discussion with some practical applications. In doing so, some key considerations for the implementation and design emerge. One must also bear in mind that MSPs can come in different forms as there is no "one-size-fits-all" model that exists. MSPs structure and design should be tailored collaboratively to suit the specific needs of the partnership. It is important to remember that MSPs are not in themselves the solution nor is it a panacea, but rather, it offers a compelling platform and tool for effective governance.

22

Presentation 9 Stakeholder Engagement: A Key towards Sustainable Development for Map Ta Phut By: Bonifasius Aung Nugroho, Maria Esperanza Frio Alconcel, Wang Bo Elevating its economic status from a low-income country in the 1980s to an upper-middle economy by 2011, Thailand is considered to be one of the greatest development success stories in terms of its sustained strong growth and impressive poverty reduction. Industrialization has been one of the significant economic policies used by the government to increase the country’s global competitiveness and sustain economic growth. In line with this, the Eastern Seaboard Development Plan (ESBDP) was established in order to enhance productivity of businesses, as well as decentralize the industrial development from the capital to provincial areas. This resulted to the development of the Map Ta Phut Industrial Estate (MTPIE) in 1989 that aimed at developing the natural gas and gas-based petrochemical industry in Thailand. Today, MTPIE is the largest industrial estate in the country, accommodating more than 300 industrial factories, and thus, a significant site of economic and industrial activities. Coupled with industrialization, however, are serious socio-economic challenges that are affecting the quality of life of the people residing in Map Ta Phut. The government, businesses, academes and a few international organizations have been working closely together to address these problems. However, these initiatives are not being communicated effectively to the local communities who are directly affected by the environmental and social impacts of the MTPIE. Recognizing that the MTPIE entails a large, complex and controversial project, poor stakeholder relations therefore has contributed to the continuous dissatisfaction and resistance from local stakeholders, which put the MTPIE operations at great risk. In this regard, it is emphasized that there is a need to promote a broader, more inclusive, and continuous engagement process among key stakeholders, especially the locally affected communities. This can be achieved by institutionalizing regular information dissemination and consultation among relevant stakeholders in order to update the residents on the various initiatives being undertaken to address

23

environmental and social risks and obtain feedback from them. Most importantly, this would signal to the locally affected communities that they are important, therefore, promoting relationship building (trust, mutual respect and understanding). Moreover, it is highlighted that there is a need to relocate the local communities that live within the MTPIE vicinity and are severely affected by environmental pollution coming from the industries. The most effective approach to carry out this initiative will be explored. Lastly, it is deemed that the municipal government of Map Ta Phut should play a key role in the stakeholders’ engagement strategy, as it has direct linkage to all relevant stakeholders. Furthermore, the local government has a better insight of the concerns and conditions of its local communities. Therefore, there is a need to strengthen the capacity of local government so that they can better response to the needs of local communities and able to effectively engage with a wide range of different stakeholders in Map Ta Phut. This can be achieved by providing technical assistance to local officers.

24

Presentation 10 Leadership through Crisis: Lessons from Map Ta Phut By: Syed Iftikhar Ali Shah Bukhari, Foo Ee Lin and Anele Ncube Industrial crisis leadership evolve in three phases; pre-crisis prevention, crisis response and post crisis stage. A response to all these stages calls for coordination, information and accountability. Map Ta Phut Industrial Estate, by virtue of the nature of its industries has experienced different types of crises. Responses to these crises have been varied and based on the industries affected, who normally take a lead role in crisis that affects them directly. This fragmented response has led to distortions in information and perceptions. Industries have been solely responsible for crises that affect their own areas of operation. This has created a gap in a centralized coordinated crisis response for the whole area. Map Ta Phut is characterized by multiple stakeholders, who as a result have reacted differently to the crisis management in the area. This paper, realizes that crisis is inevitable in such an industrial area. However, it argues that an enhanced leadership approach to the crises can help reduce occurrence of and mitigate the effects of crisis. This paper examines the shortfall created by the lack of a centralized crisis leadership. It argues for the effects of designated crisis leader role in comprehensive preparation that includes the community and other stakeholders besides the industries. Operational and strategic effectiveness are discussed in light of efficiency and effectiveness for the businesses. While acknowledging barriers to effective crisis management with the current set-up, the paper singles out the role of leadership in dealing with the deficiencies, crisis readiness and restoring public trust. The role of leadership in crisis is reiterated by Klann when he describes it as the one that “...can rescue an organization from chaos and deliver opportunities where before there were only disadvantages.”1 The paper concludes that leadership is an integral part of effective crisis management and can help in public value creation in Map Ta Phut.

1 Klann, Genn. http://www.ccl.org/leadership/pdf/landing/CrisisLeadership.pdf (accessed March 30, 2014)

25

Presentation 11 Collaborative Governance for Effective Crisis Management By: Poh Qiu Shi, Teo Pek Wan, Hettige Don Sanjeewa Dharmasena Foreign direct investment in heavy industries is a key economic growth strategy in many developing countries today, including Thailand. However, this large-scale industrialization increases the potential for industrial disasters, leaving a sustained adverse impact on the environment and human lives. Further, an industrial disaster can severely affect the financial stability of an organization. It is therefore crucial for all companies to prepare and allocate resources to handle such disasters as it has devastating impact on the other stakeholders. An effective crisis prevention and management plan has become an important cog in the wheel of the corporate world today, as it can prepare companies to avert and mitigate catastrophic events, like the oil spill in Gulf of Mexico. In Map Ta Phut Industrial Estate (MTPIE), most companies have developed plans to manage small-scale operational accidents. But they have limited capabilities and resources to handle large-scale crises. Challenges, like industrial coordination and stakeholders’ disagreement on how to handle larger industrial crises were highlighted during the recent events of offshore oil spill and high toxic gas explosions. Consequently, the society paid a high price. Hence, this report aims to provide strategies on how the Industrial Estate Authority of Thailand (IEAT) and heavy industries located in the MTPIE can prepare better to mitigate and respond to larger-scale industrial crises. Collaborative governance is the key approach for crisis management in MTPIE. It is an effort by all stakeholders, public, private, non-governmental and the civil society in participatory decision making and problem solving. This is a formal process where consensus is sought for policy implementation. While it has some similarities to public-private partnership (PPP), it requires more stakeholders, time, trust and commitment to the process. Depending on the nature of the issues, like preparing or making an emergency

26

response, key stakeholders such as IEAT, local government, private companies, civil society groups and community at large have to be involved in the process. The co-governance structure will operationalize a four-stage framework for crisis prevention and management. The phases include Prevention and Mitigation, Preparedness, Response and Recovery. As the key report recommendation, IEAT will lead an interagency Crisis Prevention & Management Taskforce (CPMT) to tap into diverse expertises. CPMT will focus on Prevention and Mitigation to develop and drive safety standards and risk reduction measures. It has to be supported by an implementation arm, Emergency Management Department (EMD) sited in the municipality to coordinate with the stakeholders on the ground. EMD will focus on the remaining phases and execute IEAT policy initiatives and capacity building strategies. Lastly, Information and Communication Technology (ICT) is proposed as a systemic innovation to enhance the effectiveness of the recommended plan. The system can flag early risk signals, catalyze information sharing and emergency planning and response, facilitate resource monitoring and reach the communities en-masse through warning systems. This report therefore concludes with ICT as the key enabler in integrating the proposed framework with collaborative governance.

27

Presentation 12 Management & Prevention of Oil Spills in Map Ta Phut By: Anna Kristina Abad, Chan Chin Kai & Li Guanzhong Oil spills can occur with little warning and result in immeasurable damage to the environment, economy and lives of people. A well-thought and well-oiled plan is critical for the community, industry and government to be able to react and bounce back quickly from these crises. Traditionally, the task of managing the crisis, deployment of resources, and delivering relief was the responsibility of the government. Today, that is being challenged. In the examination of oil spill incidents in Map Ta Phut (hereinafter referred to as MTP) and other countries, it was noted that a collaborative network amongst the government, private and non-profit sectors, and the community was central in ensuring timely and appropriate delivery of services in the wake of disasters. Having a ready emergency plan is the most basic and also most important factor in being able to quickly contain any oil spills, and avoid a rapid deterioriation of the situation into a crisis or disaster. Hence, the aim of this report is to help the development of such an emergency plan in MTP by highlighting the key strategies that can be considered drawing from oil spills responses of similar incidents in other countries. For ease of reference and committing to memory, these strategies have been categorised into three phases, namely Pre-Crisis, In-Crisis and Post-Crisis and further synthesised into the six Cs’ of managing oil spills, i.e. Contingency Planning, Collaboration, Communication, Coordination, Crowd-sourcing and Compensation and Penalty Framework. In the final section of the report, specific recommendations are listed for consideration of the Government of Thailand to improve future management and prevention of oil spills in MTP Industrial Estate. While all the recommendations may not be applied in MTP immediately or directly, they will nevertheless provide a good reference point for the stakeholders to start reviewing their existing oil spill preparedness and response

28

framework. Even after the validity of the recommendations have been ascertained, it is to be expected that the process of implementing them will be fraught with challenges - some unique to Thailand and MTP. This reinforces the need for strong political will and commitment of resources over the long term to bring about the changes and achieve the desired results. New unforeseen issues and developments may also surface while the frameworks and systems are being introduced which would call for adaptations along the way. Hence, this document should not be viewed as an end in itself, but the start of a long but rewarding process to improve stability, lives and the environment in MTP.

29

USEFUL INFORMATION

CONNECTING TO THE INTERNET A visitor account for network access has been created for you. Your visitor account details are as follows: Wi-Fi Network: NUSOPEN User ID: NUSV35524 Password: Lkyspp!23 Domain: NUSEXT Please take note that usage of this account is governed by the “NUS Acceptable Use Policy for IT Resources” (AUP). ATM Located at Block B, Next to NUS Co-op SMOKE-FREE CAMPUS Please note that the NUS Campus is a smoke-free campus. Smoking is not allowed anywhere on NUS premises, even in open spaces. EMERGENCY CONTACTS Police Emergency: 999 Police Hotline: 1800 225 0000 Emergency Ambulance: 995 Non-Emergency Ambulance (private): 177

30

MAP OF BUKIT TIMAH CAMPUS

31

ACKNOWLEDGEMENTS Dean, Lee Kuan Yew School of Public Policy: Professor Kishore Mahbubani Royal Thai Embassy, Singapore: His Excellency Marut Jitpatima Ambassador Extraordinary and Plenipotentiary Faculty Organizer: Dr Ora-orn Poocharoen, Assistant Professor Key Stakeholders of Governance Study Project: Mr Tara Buakamsri

Mr Noppadol Chunruang Miss Nalinee Kanchanamai Ms Yuwadee Kardkarnklai Mrs Phayung Meesabai Miss Piyapach Nabangchang Mr Booncherd Suwantip Miss Kanjana Taleeyachot Dr Renu Vejaratpimol

Master of Ceremonies: Mr Banderlipe Mc Ronald I Simbajon Special thanks to Ms Yang Zhuomin (MPA 2013/2014) for designing the conference booklet cover page, brochure, and publicity poster. Organized By: Academic Affairs, Lee Kuan Yew School of Public Policy Mr Goh Zhi Ann Vincent Mr Hem Kumar Menon Ms Wendy Tan Kim Suan With Support From: Events Team, Lee Kuan Yew School of Public Policy

32

NOTES

33

Copyright © 2014 Academic Affairs, Lee Kuan Yew School of Public Policy All rights reserved Unless otherwise indicated, all materials on these pages are copyrighted by the Lee Kuan Yew School of Public Policy. All rights reserved. No part of these pages, either text or image may be used for any purpose other than personal use. Therefore, reproduction, modification, storage in a retrieval system or retransmission, in any form or by any means, electronic, mechanical or otherwise, for reasons other than personal use, is strictly prohibited without