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6  FROM “WASTE VILLAGE” TO “URBAN CIRCULAR ECONOMIC SYSTEM”…  79

            requirements on community-based recycling facilities, including the design
            of cabins, logos and the appearance of the vehicles. It also addressed the
            further processing of recyclable goods, including sorting, compressing,
            cleaning and purification. A closed-loop urban recycling system was
            designed to fit the image of a modern international metropolis.
              The plan also tried to address social problems in the city, including
            unemployment among disadvantaged groups. It assigned local unem-
            ployed workers priority as operators of community recycling facilities. Only
            if the company could not hire enough workers from among local residents
            were they permitted to hire qualified migrant labourers instead. The plan
            created a set of rules and standards for training, registration, social security,
            and human affairs management. It even suggested building a national
            qualification certificate system for workers in the sector.
              The recycling companies inherited from the former state-owned recy-
            cling stations carried out the plan. In 2008, 20 recycling companies of this
            kind established more than 3000 community recycling facilities covering
            over 70% of the local resident population. They also built 13 sorting
            centres located in different districts. However, collection still relied on
            migrant scavengers. Although they provided cabins and uniforms to con-
            tracted workers, the formal recycling companies could hardly create a
            monopoly over such activities, either for them or their contractual
            employees. As a consequence, contracted recyclers still had to compete
            with informal scavengers working door-to-door. On the other hand, for-
            mally contracted recyclers preferred to sell their collected waste to the
            market that could offer the highest price, rather than at a fixed price to the
            recycling company they were contracted to. As a result, the sorting centres
            of the formal recycling companies were unable to acquire much of an
            advantage over their rivals in the waste villages.


                 Reverse Logistic System: Efforts for Technical Optimization
            Besides adopting a social approach in building community-based recycling
            models, the municipal government also tried to transform the recycling
            sector through optimization of the whole logistic system. In 2006, the
            Beijing Municipal Bureau of Commerce, together with 10 other municipal
            bureaus, announced a new version of the Pilot Plan for Promoting the
            Recycling Industry. This version put the emphasis on logistics and pro-
            cessing. The main aims were to reduce the number of street migrant
            scavengers and replace the recycling markets in waste villages with 10 big
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