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Circulareconomy,morethanjustahype?MarkGoedkoop23September2016
Companiesbasetheir innovations oninspiring initiatives...
Whatcanhappenifyourperspectiveistoonarrow?
Wouldrecyclingreallysolveourproblems?
Recyclinge-wasteintheNetherlands
• Positive impactclosingloops
• Avoidanceofabout500,000TonsCO2eq.and100,000Tonsmaterialperyear
• Insightinprocessesallowingimprovementsinefficiency
CarTiresRecycling(recycledcontentinnewtires)
• Closingloopsdoesn’tbringapositiveimpact
• Negativeimpactinrollingresistance,thereforefueluse
• Positiveimpactforenergyrecovery andotherusesforthematerialrecovered
Average production cradle to gate Distribution Car tyre
debrisUse phase
fuel consumptionEoL
collectionCar tyre EoLprocessing
Thetopdownview:WhatshouldaninspiringconceptlikeCEaimfor?
Wealwayshadacirculareconomy:itisdesignedtospinfasterandfaster…….• Economicgrowthisanacceptedgoal:3%economicgrowth,
means3%moreproductsandservices• Growthwillincreasepollution,unlessweachievelowerload
pervalue
Consumer
IndustryGovernmentInfra structure
Taxes
Wealwayshadacirculareconomy:itisdesignedtospinfasterandfaster…….• Economicgrowthisanacceptedgoal:3%economicgrowth,
means3%moreproductsandservices• Growthwillincreasepollution,unlessweachievelowerload
pervalue
Consumer
IndustryGovernmentInfra structure
Taxes
Infra structure
Taxes
Thecheapestwaytospoil:Environmentalload/valuepersectorDutcheconomy1990(studied in1999)
Agriculture
Base Chemical ind.
Refineries
Base metals
Transport
Electro mechanical
Electricity
Repair of cons. goods
Eco-
indi
cato
r 99
1.00E-07
1.00E-06
1.00E-05
1.00E-04
1.00E-03
1.00E-02
1.00E-01
1.00E+00
product
fra
cti
on
of
tota
l pro
ble
m E
U2
5, l
og
ari
tmic
sc
ale
abiotic depletion
global warmingozone layer depletion
human toxicityaverage ecotoxicity
photochemical oxidationacidification
eutrophicationaggregated score
Ranking of product groups in the EU EIPRO study (2005)
1
0,1
0.01
0.001
0.0001
0.00001
Environm
entallo
adpereuro
Circulareconomyisalsoaboutnewbusinessmodels,likeshiftingtoservices
Areproductservicesolutionsthesolution?
Now,comparecardrivingandCarsharing
• Functionalunit:• Perkmthereisnosignificant
difference.• Butjoiningthesystemwill
changebehaviour:– Somedrivemore– Somewilldriveless
Cumulative value
Pro-duction
Interest, tax and insurance
Service
Car disposal
Gasoline use
Public transport
Whatmembersdidbeforeintroductionofcar-sharing
Cumulative value
Using the car (per hour)
Driving
Public transport
Organi-sation
Whatmembersdidwhentheyjoinedthecarsharingsystem?
Cumulative value
Envi
ronm
enta
l loa
d
Reference
Carsharingsystem
Alternativeconsumption Increase
Alternativeconsumption
Decrease
Overallimpactdependsonalternativeconsumption
Sohowdoweshiftfrombeinginspiredtomakingsense?
Usingstrengths ofCircularEconomyandLCA
InspiringVisionMinimizeenvironmentalandsocial
impacts
MobilizePeople
AccountancyApproachShowimpactsfromLifeCycle
Perspective
RobustScienceBasedMethod
Outsidein2.Identifycompanymaterialityissuesandassess relevancetostakeholders
Howtoidentifyopportunitiesforyourproduct?
Opportunities3.Mapinamatrixtoidentifyopportunitiesfor
innovation
Insideout1.UseLCAtoidentifyhotspots
INNOVATIONOPPORTUNITYMATRIX
relevance
impact
Howtoidentifyopportunitiesforyourproduct?
INNOVATIONOPPORTUNITYMATRIX
relevance
impact
Extendingproductshelf life
Reducingenergyuseconsumers
Increaserecycledcontent
Reduce sugar
PurchasedGreen
Electricity
IsCircularEconomymorethanjustahype?
• Yesifitinspirescompaniestorethinktheirbusinessmodel• Nobecauseitdoesnotstartfromtheglobalurgencies
– Thereisnoshortagesofmineralsoffossilfuels– Theproblemsareclimate,space(land-use)andclimateandprobablya
problemwiththephosphatecycle
• Designershavethegreatchallengetoignorethehypeandthink:– Bottomup,whataretherealhotspotsintheproductcategoryIam
workingon?– Whatarethegreatopportunitiestoaddressthese– LowertheimpactperEuroorDKK
20
Questions?
21