80% of the change is human | CIRCLETTER ? #9

The Dutch are often considered a frontrunner for the circular economy transition. That’s why I myself moved to Holland - to experience a country that accelerates transformation. During the first quarter of 2023, the Dutch celebrated their “week of the circular economy”. Some key observations:

• Warning & short term goals needed: Dutch circular pioneers warn that more ambitious short term targets are needed, otherwise the transition goals won’t be achievable, including targets on climate change;
• Support Investor Readiness: While some of the (global) best practice examples of circular start ups are Dutch (check out the Club of Circular Enterpreneurs , I am sure you recognize several…), even in Holland there are challenges to raise funds. Hence, the Amsterdam Circular investor readiness programme was launched
• Regionalization is the next frontier: “Each self-respecting municipality now has a circular economy roadmap in Holland.”

?It’s always great to see and feel the buzz - which gives energy for the hard work in the daily reality .

Circular Interview: Freek van Eijk

It also gave me the opportunity to catch up with an old friend: Freek van Eijk. Freek has not only been one of the early promoters of circularity, he is also a source of knowledge and inspiration – and relentless in his function as managing director of Holland Circular Hotspot, an institution whose mission is to plant seeds of circular economy globally. Hotspots have been supported in nearly all continents, like Hungary, Nigeria, Australia, Canada or Vietnam.

Question 1: Is Holland a frontrunner?

We are among the frontrunners – and are realizing how much more there is to do. I think the Dutch culture is conducive to promoting circularity. We are good at building ecosystems and tend to think about the common interest – based on our ages old history of protecting our delta against the sea. And the Dutch are very innovative and love exploration in the light of 'learning by doing: you either win or you learn but you don’t lose.

Question 2: How is progress coming along vis a vis the 2050 ambition of being 100% circular as a country?

It’s amazing that with a clear national ambition – we see now a second wave happening: Cities and regions are looking at the potential and are building on the local transformation readiness [in certain sectors]. Circular Amsterdam, Circular Friesland or the circular island Texel – are becoming new gravitational centres for the circular transformation. We are going from national to regional - every self-respecting municipality has now a circular economy roadmap.

Question 3: Working on systemic change is tiring, how you are keeping up?

It’s amazing the energy we see with our partners on all continents, like in Australia, Chile or Nigeria. Around the globe we have – small – committed groups. In the bigger picture, circular economy is too much in the "'nice to have corner’" – rather something obligatory that needs actioning.” We need to scale up, combine the small inspirational circular steps with a longer actionable trajectory leading to moonshot objectives while combining the momentum for climate, resource resilience, circularity, SDG’s or local job creation, in a smart way.

Question 4: You have some positive examples that can motivate us?

To date, circular economy policy has focused primarily on a voluntary, non-committal approach. I like it that the National Circular Economy Programme 2023-2030 will shift towards a more target-oriented and mandatory nature. To this end, the Dutch will be adopting a mix of pricing, standard-setting and stimulus measures.

Based on the good dynamics coming from government, we will need businesses to scale up a circular economy. Look at Philips, a multinational that has anchored circularity strongly in its business processes: in their circularity effort they are moving from their exclusive approach on?remanufacturing large medical scanners?[capital equipment] – to an additional focus on the consumer goods, e.g. recovering components or chips. In a time that resource resilience is becoming a board room issue they try to keep valuable resources under their control, that is smart business.

Question 5: Ukraine war has – again – underlined the importance of resource independence.

Yes – never waste a good crisis for change. These dynamics will become more urgent.?

2023 is a key year for the circular economy to foster resource efficiency and resource independence. Let’s face it: providing access to resources for the EU industry will be a much tougher challenge than replacing Russian gas and no country can tackle this alone. CE is part of any economic model for the future of Europe. CE can make us more resilient against disruptions happening in global value chains

Question 6: You have helped to build nearly a dozen circular economy ecosystems. What are your lessons learned?

1. The most important one is that we will have to do it collaboratively. Going alone is not an option. If you leave it only to government, it will take forever. Furthermore local government only controls and thus impacts a very small part of assets directly in a city. Government is needed to set the ambition and boundary conditions (e.g. regulation) that put other stakeholders in motion.
2. Circular Economy is about economy. Business are the main actors to scale up and they have to go way beyond incremental change. They should see Circular Economy for what it is: the biggest business opportunity of the century.
3. We have to look beyond waste management. A company that looks at its own waste only can probably only impact 5% of its footprint. From and end-of pipe approach we have to look at a value chain approach and a systemic cross sector approach with new business models. CE is another way of designing, producing, using resources and dealing with waste.
4. Money makes the world go round in the linear economy and even becomes a goal in itself.?We have to address the economy system and incentives, in order to promote circular activities that we want to happen and disincentivize the aspects that we don't want to happen.?A much quoted shift is to make resources more expensive and restrain its use, and make labour (for example repair or refurbishment activities) less expensive.

Question 7: If I would be a wizard and can make anything happen for you – what would you wish for?

That the wizard can make cultural change happen faster: 20% of the needed solutions are technical. The other 80% comes from cultural change. A Circular Economy is not about copyright it is about the right to copy. It’s all about partnerships and collaboration.

Connect with Freek via LinkedIn or learn more about Holland Circular Hotspot via their site

Interesting reads:

What is it about: The article explores how regenerative wool farming practices can contribute to a more sustainable and ethical fashion industry. Regenerative wool farming involves using holistic management techniques that prioritize soil health, biodiversity, and animal welfare, resulting in healthier and more resilient ecosystems

What is it about: A new report by the World Wildlife Fund (WWF) suggests that leather could play a crucial role in the circular economy, which is key to making fashion more sustainable. The report highlights that leather is one of the few materials that has a positive environmental impact.

What is it about: Traditional accounting practices may not adequately capture the impact of circular economy initiatives. Circular economy reporting frameworks and standards are still evolving, and there is a need for more guidance and clarity. By incorporating circular economy principles in ESG reporting can help companies demonstrate their commitment to sustainability and drive positive change.

What is it about: ?Tax professionals should become knowledgeable about the circular economy as the European Union moves towards implementing more circular economic policies.?Tax teams will play a critical role in helping businesses comply with new tax regulations as companies move towards circular business models.

What is it about: L'Oreal has partnered with Alibaba Group to promote a circular economy in China. The initiative will focus on recycling, reuse and reducing the environmental footprint of the cosmetics industry. This collaboration aligns with L'Oreal's goal to achieve carbon neutrality by 2050 and Alibaba's pledge to promote a more sustainable economy.?

What is it about: ?Buying locally sourced products can help support the circular economy. The article also offers some practical tips for consumers to adopt a more circular approach to their shopping habits.

What is it about: a community called Bitcoin Beach, located in El Salvador, is pioneering a circular economy through the use of cryptocurrency. The community has embraced bitcoin as a means of payment, which has helped to facilitate circular economic practices, such as recycling and waste reduction. Bitcoin Beach is also working to create jobs and improve education in the community through the use of cryptocurrency.?

What is it about: ?The concept of circular recycling and its potential impact on the manufacturing industry. With a focus on the waste reduction and sustainability, the article provides insight into the circular economy's potential benefits, including increased efficiency, cost savings, and environmental responsibility. If you're interested in learning how the circular economy could transform manufacturing and reduce waste, this is a must-read

What is it about: The concept of "regenerative architecture," which goes beyond sustainable design to actively contribute to the health of ecosystems and communities. It discusses the principles of regenerative design, including a systems thinking approach and a focus on restoring natural resources, and looks at examples of regenerative projects from around the world.

What is it about: nature and humans can thrive together if we learn from traditional wisdom and nature’s own ingenuity, and consider the needs of all species in the design process. And many examples of Regenerative design around the world.

Circular Calendar

May

Going Green – CARE INNOVATION 2023

8 - 11 May, Vienna Austria

WasteBuilt Zero

11 - 12 May, Amsterdam, Netherlands

Financing local circular economy initiatives

10 May, Brussels Belgium

Organic Textile Forum

8-10 May, Konstanz, Germany

Circular Economy Week 2023

22 - 26 May, Online

Circular Economy Hotspot Dublin 2023

29 May - 1 June, Dublin, Ireland

World Circular Economy Forum 2023?

30 May - 2 June, Helsinki, Finland

Figure of the Month

Implementing a Circular economy in India will result in yearly benefits of $624 billion by 2050 and a 44% reduction in greenhouse gas emissions (Source)

Video of the Month

Let's come together and create a regenerative economy that protects and restores our planet's life support systems. We have the power to make a change, to mimic nature's genius and cycle materials around again and again. Learn from Kate Raworth a short introduction towards Regenerative Design.

Global Circular Community

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