#6 CIRCLETTER ? | 2023 Outlook: Top 5 Trends Driving the Circular Economy
Harald Friedl
Circular Economist | LinkedIn Top Voice | Helping organisations to go 'from linear ?? to circular ??'
End of the year is a time to reflect back and plan forward. 2022 was a big year, one where global awareness is rising and I feel we have made real progress on the circular and regenerative transition we need. However, two key global meetings (with many smaller ones) - COP 15 in Canada on biodiversity and COP 27 in Egypt on climate change - have shown that we have a long way to go, that we have to take action faster - together!
Looking forward, I see these five key trends that will influence and accelerate the transition towards a circular-regenerative economy in 2023.
Higher resource prices that leave less money for many households have a direct impact on consumption patterns that are changing as a new generation of consumers sees second hand peer-to-peer platforms as a cool new way of shopping. Wide research shows that the cost-of-living crisis and impacts of climate change are making people rethink purchasing habits and look for more sustainable ways to buy and sell products and services.
More relevant data will let us close many more loops and implement the circular economy much faster. Estimates show that global sales of technologies for the development of the circular economy will amount to 263 billion euros by 2030. Environmental technologies that improve raw materials and material efficiency are projected to achieve a six-fold volume growth during the same time period.
“Why the circular economy is the business opportunity of our time” is the title of a of widely read blogpost of the CEO of one the top 3 global cement companies. Within the last 24 months, all over the world, the topic has reached major importance. Circular economy is seen as a strategic differentiator and as a topic to future-proof a company. Policy makers need to act fast, to create more room for circular action, to make the business cases (increasingly) profitable. We need better data to better understand the (linear) status quo; this does not exist yet. If we had the data - we could close more loops.
As the circular economy has been in recent years one of the fastest growing sectors on LinkedIn, we are experiencing a fast growth of online education opportunities to teach people about the new circular economy. I have never before been asked so often (in 2022) how people can be educated and inspired about this new way of thinking, acting, producing, and living together. I hope many more will join the journey.
Interview Circularity Gap Report 2023
At the beginning of each new year, Circle Economy and its Partners is telling us how circular the world is - and if the situation is becoming better or worse. I could not help myself and called Matthew Fraser, Head of Research at Circle Economy and one of the authors of the report - and got a sneak peek.
Question 1:? “Matthew, according to the Gap Report 2022, the world is 8,6% circular, there has been a negative trend since the 1st launch of the report 2019. What can we expect this time?”
“This year the situation is probably not getting better; unfortunately the COVID crisis? has not changed much. Soon things went back to normal. We will publish the new number at? the World Economic Forum in January 2023 -stay tuned!
Question 2: What’s the focus of the new report?
“ There is huge room for improvement, to do more with less. The old model of consumerism is too resource incentive, the new report is looking in a practical way at smarter material strategies and how to increase well being for the people on this planet while reducing the pressure on the environment”
Question 3:? You have been working on the topic for nearly a decade - are you remaining optimistic??
“Yes, also at COP 27 we saw the rising political commitments in many countries; circular economy strategies have truly penetrated into the climate debate. However, we need more material reduction targets. The existing targets focus too much on the clean energy transition.”
Question 4: Has COVID changed anything?
“In heavy industry we see a clear trend towards material recovery and repurposing. Thats positive, and needs major investment. Consumers on the other hand are turning more and more delivery models. There could be an impression that this reduces the material footprint, but there is the danger of a massive rebound effect: it feels nice that we are at home theoretically consuming less. However, this might be just a perpetuation of the consumption model through convenience.?
Question 5: What’s your biggest wish - to make better circular action happen faster?
“We need better data to better understand the (linear) status quo, it does not exist. If we had the data - we can close more loops. My dream is to do a Circularity Gap Report for every country in the world - and all the major cities. ”
Thank you Matthew. Here you can find all information about the Circularity Gap Report
Inspiring articles on circularity & regeneration
Source: Electrek
What is it about:?The recyclable blades are spinning on a wind turbine at the Kaskasi offshore wind farm in Germany. It’s the 1st? commercial installation of recyclable wind turbine technology
Source: Greenbiz
What is it about:??The growth of resale, the difficulties around reaching recycling commitments and the huge growth of circular economy approaches in the climate tech & renewables sectors.
Source: Engineering.com
What is it about:?A new emerging consumer culture with an increased readiness to pay for circular and sustainable products is emerging. Companies that may have previously resisted the perceived cost of sustainability are now examining their business. And finding new ways to make their products and operations more sustainable.
领英推荐
Source: Clarmondial
What is it about:?Financing the transition to regenerative agriculture in the European Union. The industry is getting more attention from both the public and the private sectors, particularly in light of the EU Green Deal. The ambitious transformation targets, however, are unlikely to be met with the current public financing allocations and procedures; instead, private resources from farmers, businesses, and investors must be mobilized.?
Source: Consultancy.uk
What is it about:?Awareness of the impacts of mass consumption on the planet, combined with the need to downsize expenditure in the cost of living crisis mean more shoppers are turning to second-hand goods this Christmas. A new survey finds that pre-loved items are becoming more popular across multiple sectors.
Source: Impakter
What is it about:?How circular food solutions can provide new hope and feeling of belonging in the USA to underprivileged communities.
?Source: Goingpublic
What is it about: Sales of technologies supporting circular economy and climate solutions will grow manyfold. Investment funds show a continuously growing number of products focusing on climate protection and sustainability, with circular economy factors being integrated into the portfolio selection process.
?Source: Edie
What is it about: Nations agreed on a new Global Biodiversity Framework aimed at halting land and water deterioration, restoring 30% of degraded ecosystems on land and sea by 2030. Unlocking new finance streams for nature recovery, with 23 action-orientated targets to be achieved by 2030.
Circular Calendar
January?
February
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Quote of the Month
My commitment to circularity, which i started to share at speech I give or whenever I am invited to share
Want to make your own image? Follow this link to use the template to make your own commitment. Please support that all of us can take a concrete step today ????
Figure of the Month
Today, we are using about 1.6 earths ; meaning we’re using about 60% more of the earth’s resources than it can regenerate every year.?
Video of the Month
Global Circular Community
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