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‘The greatest threat to our planet is the belief that someone else will save it.’ (Robert Swan, Author)
In the world we live in today, which is developing so rapidly, the need to reduce waste has become more urgent than ever. Our planet is overwhelmed by the enormous amounts of waste that are produced every day. This contributes to pollution, depletes natural resources and exacerbates climate change, threatening the delicate balance of our planet’s ecosystems. There is an alarming general trend: with the growth of e-commerce and the increase in consumers’ disposable income, the frequency of purchasing new products has increased significantly in many parts of the world. For this reason, the adoption of sustainable practices and the reduction of waste is being discussed more and more frequently. We are looking for economic and social methods and models that allow us to protect our environment and preserve resources for future generations. It is our collective responsibility to rethink our consumer behaviour, promote recycling and encourage innovation to reduce waste in order to ensure a thriving world for years to come.
One of the concepts introduced in recent decades is that of the circular economy, which has been improved over time by contributions from various leading personalities and organisations. Walter R. Stahel introduced the idea of the circular economy in the 1970s, emphasising the importance of extending the life cycle of products, reusing goods and recycling materials to create a sustainable economic system.
Also in the 1970s, John T. Lyle began talking about the need for regenerative design, which aimed to create systems that could restore and renew themselves. In 2002, William McDonough and Michael Braungart popularised the concept of ‘cradle-to-cradle’ design through their book of the same name, in which they set out the idea of creating products with materials that can be used again and again in closed loops. Founded in 2010 by a former sailor, the Ellen MacArthur Foundation has played an important role in promoting and developing the concept of the circular economy that we are more familiar with today.
The circular economy is a collective and evolving concept that has been developed over many years, but is centred on one goal: the reduction of waste and the reuse of resources. Unlike the traditional linear economy, which follows the ‘take, make, dispose’ production model, the circular economy is based on three main principles. Firstly, we need to start designing products so that they are more durable, reusable, easy to repair and easy to recycle. Secondly, the value of products, materials and resources in the economy must be preserved for as long as possible in order to extend the life cycle of products and materials and keep them in circulation instead of turning them into waste. Last but not least, the circular economy aims to restore and regenerate natural ecosystems, return valuable nutrients to the soil, promote biodiversity and improve environmental health, while using renewable energy and materials more efficiently. This proposed economic model encourages innovation in product design, business models and supply chain management, ultimately leading to more sustainable economic growth.
The principles of the circular economy are being implemented worldwide and attention to this issue is increasing. Each country has taken its own approach to transitioning to a circular economy model, but all share the common goal of creating more sustainable and resilient economies.
At EU level, the European Commission adopted the Circular Economy Action Plan in 2015 and updated it in 2020 as part of the European Green Deal. This plan includes measures to reduce waste, improve resource efficiency and support the transition to a circular economy, while also setting targets for recycling, waste reduction and sustainable product design. The Netherlands is considered a pioneer in this area and is aiming for a fully circular economy by 2050, with an interim target of reducing the use of primary raw materials by 50 per cent by 2030. The Dutch government has developed an ambitious programme that includes initiatives for circular design, sustainable production and resource recovery.
The Scandinavian countries generally have strong environmental policies, high public awareness of sustainability and robust recycling systems with proactive citizens. Finland was also one of the first countries to adopt a national plan for the circular economy, focusing on sustainable food systems, circular manufacturing and resource-efficient construction. In Denmark, the government has launched a number of initiatives and strategies, such as the “Circular Economy Strategy” and “Denmark without Waste”, to promote recycling, reduce waste and support circular economy models. Germany has a long tradition of recycling and waste management that is in line with the basic ideas of the circular economy. The Circular Economy Act (Kreislaufwirtschaftsgesetz) provides a legal framework for waste management and recycling.
Japan places great emphasis on the reduction, reuse and recycling of waste worldwide and has enacted laws and regulations to promote resource efficiency and waste management. In 2003, the Japanese municipality of Kamikatsu declared its goal of becoming the first city with zero waste. Although this is almost impossible, 20 years later the city has achieved an impressive recycling rate of 80 per cent, while the national average in Japan is only a quarter of that.
China has also integrated circular economy concepts into its national policy. The 2009 Circular Economy Promotion Law aims to reduce resource consumption, increase recycling rates and promote sustainable development. China’s 14th Five-Year Plan (2021-2025) continues to emphasise circular economy initiatives. The country has made significant investments in renewable energy to ensure the transition to clean energy while reducing reliance on coal, which has been a major source of air pollution in the past. In Canada, public awareness and support for circular economy practices is high, especially in provinces such as British Columbia and Quebec. However, across the border in the US, support can vary greatly by region, with states like California and cities like Portland or New York being more open to circular economy regulations than others.
People’s attitudes towards circular economy models vary depending on their level of awareness, their personal values, their economic interests, or the direct impact these schemes could have on their lives and businesses. Many support circular economy schemes because they are aware of the environmental benefits. Reducing waste, increasing recycling and promoting sustainable production processes are seen as crucial steps in combating climate change and protecting natural resources. At the same time, circular economy models can create new business opportunities. Entrepreneurs involved in recycling, remanufacturing and sustainable product design often support the necessary regulations. Promoting durable and repairable products can lead to long-term cost savings for consumers.
However, companies involved in traditional manufacturing and industries that rely on linear economic models are concerned about the costs and disruption associated with switching to circular processes. Compliance with new regulations can be expensive and difficult. Consumers are also concerned that prices will be higher for more durable and sustainable products.
One of the main problems associated with the general acceptance of circular economy models is the level of public awareness and understanding of the concept. In areas where it is not well understood, there is often resistance or at least indifference to the new trend. Public support for circular economy schemes often depends on how well the benefits are communicated and how the measures are implemented. Therefore, businesses, consumers and other stakeholders involved in the process should openly address public concerns. Incentives for businesses to adopt the circular economy, such as subsidies, tax breaks and grants, as well as support for the transition can also allay economic concerns. Governments can also play an important role in restoring confidence and predictability in the market through clear, consistent and enforced regulations.
Finally, the circular economy offers several immediate benefits that people can feel relatively quickly, that improve their daily lives and that have an immediate positive impact. Products that are designed to be durable, repairable and reusable can lead to cost savings. The availability and acceptance of second-hand goods, which can be of high quality but at lower prices, is increasing. However, we must be careful not to create more problems and serious imbalances in this comprehensive transition process and with the stated aim of saving the planet.
The catastrophic situation in the Atacama Desert in Chile, is a clearly negative example of this process. Every year, some 60,000 tonnes of used clothing are shipped to that country, making it the world’s third largest importer of used clothing. Some of these garments are actually resold at second-hand markets, but unfortunately at least 39,000 tonnes are illegally dumped in the Atacama Desert, which is part of a large and lucrative business.
However, the circular economy can create jobs in recycling, repair, refurbishment and sustainable product design, which can lead to more employment opportunities and better co-operation in local communities. Circular economy initiatives often encourage innovation and higher safety standards; less waste means a healthier environment. Circular economy practices can lead to more sustainable urban planning and development, resulting in greener and more pleasant places to live. Regions with higher levels of environmental education and awareness tend to be more willing to support regulations for the circular economy. Public receptiveness to such regulations is generally highest where environmental sustainability is prioritised, where there is a strong tradition of environmental activism and where government policy actively promotes circular practices.
However, the implementation of a circular economy faces several major obstacles worldwide, ranging from the need for significant upfront investment in new technologies, limited and outdated infrastructure, technological gaps, mismatched market dynamics or lack of harmonised regulations to insufficient policy incentives and guidance. Cultural norms also play an important role; in some cultures, new products are strongly favoured over used or refurbished products.
The European Centre for Development Policy Management (ECDPM) in Brussels, a leading independent think tank that aims to help shape policy in Europe and Africa for more inclusive and sustainable development, recently hosted a discussion on this topic. The focus was on the significance of the circular economy and the transition to it in the EU, as well as the impact of this transition in other parts of the world, especially on the African continent, where a variety of essential resources and raw materials come from. A central idea of the discussion was that low and middle-income countries should receive support and not be left behind in this process. There is a great need for a ‘just’ transition to a circular economy worldwide that must contribute to sustainable human development and the restoration of nature, without negatively impacting local communities. Such a circular economy model must consider several aspects and answer some fundamental questions: Are the benefits and burdens of the proposed circular economy model fairly distributed across the world? Are all stakeholders involved in the decision-making processes? Does the path to a global circular economy also lead to the elimination or reduction of historical and current injustices?
Many of the concerns expressed by conference participants related to inequalities in the extraction of essential commodities. There is a need to ensure adequate rights, benefits and compensation. In the interventions, the wish was expressed that African countries should take the initiative and better protect their own interests in order to move from the phase of commodity exporters to that of producers of added value. On the other hand, there is a legitimate concern that a decline in demand for critical commodities will have dire consequences for these exporting countries in Africa, some of which are heavily dependent on this trade. However, the EU expects its demand for lithium batteries to increase 21-fold by 2050, so these fears are still a long way off. In the meantime, demand for recycled materials will most likely outstrip supply According to Katharina Gihring, Circular Economy Advisor at Africa Circular Economy Network (ACEN): “Infinite growth is not possible. Materials cannot be recycled again and again. The model now under discussion has largely focused on circulation of materials and recycling, but has largely ignored the need for gender, labour and environmental justice”.
The conclusion of the debate was that in order to be effective and achieve its goal, the circular economy model must not be a European one, but a global one. This transition must not only be technical and economic in nature, but must also be accompanied by a deep understanding of the social and political context. This phase of transition to a circular economy must not become a new era of neo-colonialism in which only some territories adapt to the new norms at the expense of others who cannot or do not have the opportunity to keep up.
We must not forget that industrialised countries generally have more resources to invest in the infrastructure, technology and education needed for a circular economy, while developing countries struggle with basic waste management and lack the capital for such investments. There are also some infrastructural differences between urban and rural areas that need to be considered, as most circular economy jobs and business opportunities are concentrated in urban centres, so rural populations may benefit less.
By addressing most of the difficulties mentioned and capitalising on regional strengths, the global transition to a circular economy can be made more effective and inclusive. While there are still many challenges and differing perspectives, many people and organisations are recognising the long-term benefits of the concept and are beginning to support efforts to create more sustainable, forward-looking and resilient economies. We are therefore at an opportune moment where policy makers and society are coming together to make progress on a global scale.
alexandra.paucescu@europe-diplomatic.eu