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Writer's pictureMael Cougard

Decoding the Circular Economy


In 2021, the EU estimated that the average European citizen produces in average 530kg of household waste per year. Even though Germany is known to be one of the best-in-class countries in Europe for recycling purposes, it is also one of the highest waste producers: 646kg per citizen per year, which is even lower compared to Austria producing no less than 834kg of waste per year per citizen!


With this in mind and the fact that waste management and industrial production respectively account for 3% and 9% of the EU greenhouse emissions, the EU adopted the same year an ambitious plan to reduce waste production, called the "new circular economy action plan". But is this Circular Economy concept any new and what does it consist of?


Actually, it is not new, it was invented by a Swiss architect and system thinker called Walter Stahel inaugurating the first concepts of circular economy in his book titled “The Potential for Substituting Manpower from Energy” in 1976. Circular Economy could be defined as a model of production and consumption, which involves sharing, leasing, reusing, repairing, refurbishing, and recycling existing materials and products as long as possible. In this way, the life cycle of products is extended. It aims to disrupt the traditional linear economic model: take – make – consumer – throw away. This old model best functioned from the 1960s to the 2000s at a period where production was relying on cheap, accessible, and large available quantities of energy and raw materials.


 


In practice, it implies reducing waste to the minimum, using less packaging, ending the programmed obsolescence norm, sharing, creating product leasing offers, enabling recycling of the product or parts of it, establishing repair facilities, refurbishing the products, remanufacturing, and thereby creating further value!


As a matter of fact, the EU estimates Circular Economy (and its dedicated action plan) to create 700,000 jobs in the EU by 2030).

 



Academics such as Luigi Fusco Girard, Francesco Nocca, and Antonia Gravagnulo (Centro Studi di Estimo e di Economia Territoriale) developed interesting theories deepening the circular economy model as a “regenerative model” that would able to regenerate the resources necessary for its own functioning, not only the material (food, water, energy, materials for industrial production, construction materials etc.), but also the intangible (regeneration of knowledge, relationships, cultural values, etc.). Like other academics, they emphasized the fact that urban circular economies already exist around the world (like Matera in Italy).


On a global scale, many countries, cities, or regions are seeking circular economy initiatives as a bid to capitalize on those new opportunities.



As a conclusion, the implementation of circular economy seems to be very promising: a number of initiatives have been launched to reflect on the subject worldwide, as well as the introduction of legislation, particularly at European level. We can truly believe that the impact of circular economy will be significant, however, changes in consuming manners, especially when assessing our “real needs” are also part of the equation towards the reduction of waste production and ultimately greenhouse emissions reduction.



Mael Cougard - Communication Associate


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