In a world where the population is increasingly urban, the effects of climate change are progressively reducing the availability and quality of raw material and natural resources. At the same time, disruptive events such as the Covid-19 pandemic and the war in Ukraine are calling for a rethink of self-sufficiency, local production and renewable energy, and the circular economy is coming to the fore as a key driver to help cities and regions boost future economic growth. The circular economy is based on three principles: i) designing out waste and pollution; ii) keeping products and materials in use; and iii) regenerating natural systems (Ellen MacArthur Foundation, 2019). According to the OECD’s 2020 report on The Circular Economy in Cities and Regions. introducing the circular economy in cities implies a systemic shift, whereby services (e.g. water, waste and energy) are provided through the efficient use and optimised re-use of natural resources as primary materials; economic activities are planned and carried out in a way that closes, reduces and narrows loops across value chains; and infrastructures are designed and built to avoid linear lock-in (e.g. district heating, smart grids, etc.).
The transition is on. In many cities, the word “resource” is replacing the word “waste” in departments responsible for the circular economy. This shift is not just semantic: it provides a whole different perspective, since a “resource” is an opportunity, while “waste” is an issue to deal with. Circular economy managers are in charge of setting and implementing circular strategies in cities such as Brussels in Belgium, Ljubljana in Slovenia, London in the UK and Rotterdam in The Netherlands. In Tallinn, Estonia, the Waste Department has become the Circular Economy Department. In Umea, Sweden, a Circular Economy Project Manager coordinates internal decisions and builds relations with external actors to stimulate circular business and services.
The “resource” perspective generates new ways of thinking: using recyclable materials for buildings capable of absorbing carbon dioxide; treating wastewater to produce energy; reducing private car use and regenerating green spaces. Along these lines, for example, Amsterdam’s circular innovation programme has adopted smart street lights that only switch on in the presence of cyclists or cars, and circular buildings are being built with recycled concrete, while energy is recovered from wastewater. Paris has created its first “circular district” (the Two Banks District), enabling more than 30 companies to share equipment and services, and to recycle and upcycle waste in a synergic way, reducing disposable food packaging, aggregating carpool services and collectively managing waste.
The new EU Circular Economy Action Plan (March 2022) rightly highlights the role of cities in the circular economy transition and the impact on jobs and skills. Between 2012 and 2018, the number of jobs linked to the circular economy in the EU grew by 5% to reach around 4 million. According to the OECD’s 2020 report on The Circular Economy in Cities and Regions, almost half of the 52 surveyed cities identify job creation as one of the main drivers for the transition. The Action Plan creates a whole new stream of activities within the upstream phases of the circular economy, thanks to updated legislative and non-legislative measures. In other words, it fosters actions to avoid waste generation and keep resources in use, beyond focusing on the downstream phases of how to transform waste into new material once it is produced. The Action Plan also encourages eco-design to increase durability, as well as sustainable consumption by empowering consumers and public buyers. It targets resource-demanding sectors such as packaging, plastics, textiles, construction and buildings, food, and water.
Beyond regulation, making the economics work is key. For example, Valladolid, Spain, has launched three calls for projects to finance circular economy initiatives aimed at stimulating local businesses and entrepreneurial activities in the circular economy. Local government has financed 93 projects with a budget of €1.3 million since 2017. Glasgow (United Kingdom), through Zero Waste Scotland, provides funds to social enterprises and local cooperatives to promote the reuse of goods. Nevertheless, making the economics work means not only mobilising resources, but also changing behaviours. With this in mind, the city of Milan, Italy, has implemented a 20% discount on waste tax for businesses (supermarkets, restaurants, canteens, producers, etc.) that donated their food waste to charities. This action is co-ordinated by different departments of the municipality (fiscal, environmental, food policy).
Implementing the circular economy in cities is not a utopia. However, major barriers remain. The OECD’s 2020 report on The Circular Economy in Cities and Regions calls for the scaling up of practices, eliminating silos to promote a systemic approach, and investing in skills, amongst other actions.3 While many initiatives linked to better resource management and the circular economy take the form of pilots and experimentation, the conditions necessary for scaling them up have to be created to achieve the expected impacts on environment, economy and society. Similarly, it is important to move from a silo-based to a systemic approach by integrating resource efficiency into innovation, investment and education policies and ensuring policy coherence across major resource-consuming and polluting sectors. Finally, skills must continue to be developed to generate high-value material loops and to foster eco-design, reuse and reparability, including through data management and planning.
Contenuti correlati: