ABSTRACT

Environmental policy for the disposal of industrial waste is generally based on the command-and-control (c-and-c) strategy, by which the public authorities may impose fines and, eventually, close down non-complying enterprises. In Mexico, important measures for an environmental policy were enacted as far back as 1972, and awareness was promoted at the political administrative and general levels of the importance of improving such a policy. Among industrial and service establishments, particularly small and medium enterprises and microenterprises, there is a lack of sufficient awareness and knowledge of the environmental problems. Mexican environmental policy on industrial waste disposal is based, as is that of all member countries of the OECD, on the adoption of standards and regulatory measures. Mexico has implemented three economic instruments of environmental persuasion, unrelated to each other, which perhaps may be described as economic incentives to induce improved business behavior towards the environment. These are schedule of fees, tax allowances and long-term credit.