The Circular Economy Archives - Page 4 of 4

The Circular Economy

Plastic packaging re-think needed

The first-ever study on NZ’s entire plastic packaging system highlights how even radically improved recycling will not solve all its problems. New Zealanders need to rethink the way we make, use and dispose of plastic packaging. It highlights how everyone has a role to play and no one entity can solve the issues associated with plastic packaging. A co-ordinated circular economy approach is required, which tackles the root causes of the problem not just individual symptoms. In a circular economy the life cycles of materials are maximised, usage optimised and at the end of life, all materials are reutilised so that nothing is wasted. This presents a viable and prosperous alternative to the dominant linear, ‘take, make, waste’ system. The study was led by James Griffin of SBN’s Circular Economy Accelerator. “There has been an explosion in the use of plastic packaging in the last 60 years because it is relatively cheap, lightweight and durable. Unfortunately, systems to properly manage it have not kept pace. This has led to a global waste and pollution crisis, including here in New Zealand. More recently, the stresses in our system were highlighted when China effectively closed its doors to the world’s waste.” The study identifies measures to significantly increase recycling rates such as reduction in the types and formats of plastics used, more on-shore processing facilities, consistent collections around the country, increasing demand for recycled materials and a container deposit scheme. James cautions that, although such measures offer opportunities to improve the situation, recycling alone cannot solve the issues associated with plastic packaging. “There needs to be a wider approach, for example, problematic and unnecessary plastic packaging needs to be identified and eliminated from our supply chains. Reuse models need to be adopted and scaled as an alternative to single-use plastics.” The SBN […]

Why it pays to join the circular economy

We all know that the current linear economic model is not sustainable. Materials are extracted, manufactured into products and then discarded into landfill – it’s a system that wastes valuable resources, causes environmental damage and will make it near impossible to satisfy the demands of the 3 billion new consumers in developing nations, who are expected to join the middle class by 2030. The concept of the circular economy is about decoupling growth from resource consumption – and maximising the positive environmental, economic and social effects. It’s about designing products so that they are easier to reuse or recycle, like Timberland’s Earthkeeper shoes. It’s about making sure that every product ingredient is biodegradable or fully recyclable, like the chemicals company that has replaced fossil-fuel feedstocks in their production methods. It’s about maximising useful product life by repairing or remanufacturing, like Caterpillar’s parts-refurbishing programme. The circular economy is about new business models that have shifted from selling products to selling services, such as the tyre company that offers a per-km tyre-leasing service. It is about eliminating waste from production, and making sure any waste is recovered as a valuable resource, whether it’s heat, slurry, nutrients, organic material, metal, salt – whatever. It’s about engaging your customers throughout the life cycle of the product, instead of the few minutes during which they make a purchase; and, ultimately, it’s about gaining competitive advantage. The scale of the competitive advantage is startling. Against a backdrop of resource prices that have more than doubled over the past 10-12 years, erasing the commodity-price decline of the 20th century, our material-saving potential is expected to reach around $1 trillion per year by 2025. The opportunity presented by the circular economy in Europe and the US pales into insignificance compared with what is at stake in developing nations, […]