Circular Economy Policy of Shrimp Waste as an Effort to Implement Green Economy

The treatment of hazardous wastes have been a key issue in the circular economy. This challenge is obvious in the fish factory of Bulak Kenjeran, which is located in the coastal area of Surabaya city, East Java. One of its major problems is waste produced by the hazardous disposal of shrimp scrap around the neighborhood drainage. The purpose of this study was to determine the condition and characteristic of shrimp waste, its economic potential and the policy directions for implementation of the circular economy as an alternative to the green economy. The research method uses descriptive quantitative with economic analysis technique R/C ratio, and process hierarchy analysis (AHP). The method of data collection was done by distributing questionnaires and in-depth interviews to the selected respondents. The results showed that the characteristics of shrimp waste in the form of shrimp heads and shells were still not used for activities that had economic value, people disposed them in careless manner such as littering at ditches around their homes and in the sea. The results of the economic calculation with the R/C ratio shows, the circular economy of shrimp waste for chitosan production is not yet profitable from a financial perspective because the shrimp that fishermen get per day still does not meet the capacity for large-scale chitosan production. This paper recommends a few priority of the policies including; 1) providing innovation and technology for economic-based shrimp waste treatment; 2) improving environmental health by not disposing shrimp waste around the neighborhood environment; and 3) the government provides shrimp processing industry for fishermen. This implicate that the results of this study recommend the existence of synergy between the Surabaya City government, industry and fishermen’s associations to apply the circular economy concept from various potential sources of coastal waste. Thus the waste will be treated properly and able to generate financial benefits in a sustainable manner without having to bear the costs of environmental risks due to indiscriminate disposal of waste.


INTRODUCTION
Land space which is closely related to ocean space is the definition of a coastal area.
The development of coastal areas can not be separated from the development of the area broadly, which can be seen because the coastal area is a system. In addition, the coastal area in terms of spatial planning provides a function as a cultivation area, protected area or as a certain area. Adisasmita (2006) explained that the direction of structuring and utilizing space for the development of coastal areas must be able to provide welfare for the community, therefore environmental sustainability must be maintained. Green economy is an idea that aims to improve social welfare without the risk of environmental damage (Antasari, 2019). This is in line with the concept of green economy according to United Nations Environment Programme (2011) that there are three pillars in the application of a green economy, namely an economy that is low in carbon or an economy that does not produce emissions and environmental pollution; an economy that uses natural resources sparingly; and an economy that pays attention to social justice issues.
The three pillars are targets to be achieved in the sustainable development goals. Nababan et al., (2014) in his research concluded that economic transformation can be pursued by implementing a green economy. This is due to changes in the economic structure of nonrenewable natu ral resources into renewable resources.
The transformation from exporters of raw materials for local products into finished or processed materials that are competitive, have added value and are able to provide a more significant multiplier effect for people's welfare to become the ultimate goal of a green economy. Fauzi et. al, (2014) (Radiarta et al., 2016).
Gladek (2017)  In the long term, the circular economy provides opportunities and is a source of social innovation that prioritizes social economic aspects and solidarity with the fulfillment of community needs that are not fully fulfilled by conventional companies konvensional (Ministry for Ecological and Solidary Transition, 2018). Gallaud, & Laperche (2016) stated that implementing a circular economy also means building more virtuous consumer behavior and being able to save resources. This statement is supported by the results of research that has been carried out by Blomsma & Brennan (2017) that the circular economy is applied in order to extend the productive life of resources so that there are no longer communities or industry parties to waste resources. The main goal of the circular economy is for economic prosperity followed by environmental quality that has an impact on social justice for future generations, and this concept can be carried out by businesses and consumers who The criteria for calculating the R/C ratio are: 1. If the R/C ratio > 1, it means that the business being run is profitable or economically feasible to continue.
2. If the R/C ratio < 1, it means that the business being run suffers a loss or is not feasible to operate next. In this study, only the economic potential value of shrimp waste in the form of one production activity will be calculated, namely Chitosan production. Leceta et. al, (2013) explained that chitosan can be found in the     Tables 1 and 2. chitosan production capacity of 90 kg, the chitosan production produced is 44, 16 kg/ month. The data is processed by referring to the results of research by Istiqomah (2011) for the conversion of chitosan production to 4.6% of the total production of shrimp heads and shells, and 2.3% of chitosan can be produced from total shrimp production. City.
Based on the formulation of the second problem of this study, namely Circular Economy, it is planned for chitosan production activities, but empirically at the research location the shrimp yields obtained by fishermen are still less than the total chitosan production capacity if chitosan production is on a small or medium industrial scale.
Therefore, the policy direction that can be recommended regarding the application of a circular economy as an alternative to green economy, especially in the Bulak Kenjeran Coastal Area, Surabaya is that by analyzing the policies expected by the community, community leaders and stakeholders based on questionnaire data and grounded theory that has been carried out. The identification of each variable answered by the respondent is described in Table 3 the hierarchical structure of AHP.  Table 3 is an aspect of the criteria used to determine the circular economy policy direction as an alternative to the green economy. According to Saaty, (1993) hierarchy is defined as a representation of a complex problem in a multilevel structure where the first level is the goal, followed by the factor level, criteria, subcriteria, and the last level is the strategic priority. With a hierarchy, a complex problem can be broken down into groups which are then arranged into a hierarchical form so that the problem will appear more structured and systematic.
Tongco ( between the criteria levels that have been compared previously (Permadi, 1992). The sum of the average weights is shown in Table   4 and Figure 3.