Circle Economy has launched a podcast series, Talking Circular. In each episode, our experts will share inspirational stories and hands-on tips to drive circularity in countries, cities and businesses.
The goal of the podcast is to evoke conversations about the circular economy and talk openly about challenges and opportunities in the circular transition. We will make sure each episode is supported by relevant resources and publications placed in the show notes.
Currently, the podcast is hosted on Spotify and SoundCloud. More platforms will be added in the future. New episodes will come out on a monthly basis, so we recommend subscribing to the podcast to get notified about new episodes.
In the first episode, our Editor, Ana Birliga Sutherland, speaks with Marvin Nusseck, who leads our finance team. They discuss:
Listen and subscribe to the Talking Circular Podcast on Spotify
Or SoundCloud
The UK economy consumes nearly twice as many materials per capita as the sustainable level of 8 tonnes per person, per year. Without tackling overconsumption through the reuse and recycling of products, the country could struggle to meet its net zero emissions target, finds the Circularity Gap Report the United Kingdom by Circle Economy, in collaboration with Deloitte.
Globally, 70% of emissions come from the use and handling of materials , and lowering material consumption is crucial for combating climate change. The Circularity Gap Report the United Kingdom examines the UK economy’s material use for the first time, uncovering how materials—including food and fossil fuels—are extracted, used and disposed of. The report indicates that the UK’s population consumes roughly 20% more than the global average of 12 tonnes per person, per year: 15.3 tonnes of materials per capita. This figure includes goods produced in other countries that are sold and used in the UK.
Material extraction and use is not evenly distributed across the UK. While the bulk of materials are extracted in resource-rich but sparsely populated Scotland, Wales and Northern Ireland, they are mostly used in England, a densely populated consumption hotspot. For example, the material extraction in Scotland and Northern Ireland amounts to 22.8 and 14.5 tonnes per capita respectively, compared with the UK’s average of 6.3 tonnes.
Of all the materials that flow through the UK’s economy, just 7.5% are used again. This is slightly above the global figure of 7.2%. While the UK imports 80% of the total raw materials it uses, it exports vast amounts of recyclable waste, around ten times more than it imports. This disparity is partly explained by a lack of domestic recycling infrastructure. By making changes and adopting more circular solutions* in areas like construction, manufacturing and lifestyle, the UK could cut its material use by 40%, while decreasing its carbon footprint by 43%.
For example, the mass insulation of UK’s buildings—which are older and with poorer energy labels than the European average—could greatly reduce energy use. As fossil fuels are considered materials, this would cut material consumption and move the UK closer to a circular economy.
The study also advises rethinking revenue models for businesses and industries, for instance, by choosing rental models over single-sale, and boosting repair services. Lifestyle change also has great potential to bolster the circular economy. Buying fewer goods and keeping them longer, keeping vacation travel closer tothe UK, and eating less meat are just a few of the behaviours that can boost circularity. If the UK were to implement all of the report’s recommendations, its economy could become 12.1% circular—almost double the current level.
David Rakowski, circularity partner at Deloitte commented: “With only 7.5% of materials that flow through the UK economy used again, a circularity gap exists. While this is a sustainability challenge the country must overcome, it is also an opportunity for businesses to learn, adapt and grow.
“Adopting sustainable practices and taking a circular approach it ultimately good for business, consumers and for the planet. UK businesses must start to consider to what extent their supply chains and the goods they produce are geared towards single use. Piloting strategies that allow them to ensure products are created in a sustainable way, to be used and reused, is key to ensuring their own growth, as well as decreasing the country’s carbon footprint.”
For more information, please contact amy@circle-economy.com
Celebrated for their classic Mediterranean natural environment and culture, the Balearic Islands (Ibiza, Mallorca, Menorca and Formentera) welcome scores of tourists yearly, hosting 16.4 million visitors in 2022 alone. The tourism sector accounts for roughly 40% of the autonomous region’s GDP, but also requires the supply and treatment of different resources, and the political, regulatory and financial support from various entities and institutions. All these elements interact with the local society and with the environment to make up the tourism system, which is a primary driver for transforming the Islands’ economy. To reconcile the goals of economic development and environmental protection, the Balearic Islands have the ambition to become the first circular tourist destination in the world. Together with Fundació Impulsa Balears, we examined practical steps to achieve this goal.
The biggest challenges to a circular economy in the Balearic Islands are consumption habits, lack of infrastructure and current regulations. The linear tourism system encourages overconsumption which many holidaymakers take for granted. This results in negligent water use, avoidable food waste and excessive use of private cars. Moreover, the islands lack solid waste management facilities and renewable energy infrastructure, and local regulations still largely favour linear models.
Our analysis identified five key focus areas where circular solutions can have the most impact. These are Water, Energy, Materials, Food and Mobility. The report also shows how these focus areas interact with the Terrestrial and marine environment. In particular, it examines their impact on the land and sea and how better management of the terrestrial and marine environment can unlock the circular opportunities of each strategic direction.
For a more circular tourism system, the Islands should focus on optimising water consumption, making it more efficient and increasing its high-value reuse. This involves reducing water use, recycling grey water, as well as creating enabling infrastructure to replenish and cycle water flows.
Most of the energy powering the Balearic Islands comes from fossil fuels. In a circular tourism system, the region's natural resources—like sun and wind—generate renewable energy, ensuring a clean and steady supply.
The transition towards a circular food system must centre on sustainable agricultural practices and food self-sufficiency. It will also involve a shift in consumer habits, as well as better distribution and packaging schemes to cut value loss and food waste.
Currently, the tourism system is highly dependent on material imports while generating tonnes of waste. Switching to a circular economy would imply containing material consumption through Product-as-a-Service schemes and reuse initiatives, for example. Moreover, the region is advised to develop recycling facilities to close material flows.
To create a circular mobility, the tourism sector should optimise logistics to cut travel time, promote electric cars and shared mobility, such as carsharing and public transport, and incentivise micro-mobility options like bicycles and electric scooters.
The tourism system’s circular transition must be led by both the public and private sectors. This will include the development of new business models and mobilising private investment to achieve impact at scale.
Read the full Circular Balears report to discover pathways for circular tourism: https://www.circle-economy.com/resources/transitioning-towards-a-circular-tourism-system-in-the-balearic-islands
On the 7th of March, our Circular Jobs Initiative hosted an interactive event, ‘Putting People at the Heart of the Circular Economy’, in the Hague with the Dutch Ministry of Infrastructure and Water Management. The event was geared towards fostering connections between crucial players from the public sector, education and industry who are working on the social impact of the circular economy. By collaborating and aligning their efforts, these stakeholders can design circular policies that promote decent work while protecting the environment.
Ingeborg Absil, acting Circular Economy Manager at the Dutch Ministry of Infrastructure and Water Management, opened the discussion by highlighting: ‘The circular economy affects almost everyone, everywhere. That’s why we seek to make a just transition, not only in the Netherlands but also abroad. We base this on decent working conditions, affordable, useful products and fair trade worldwide’.
According to Casper Edmonds, Head of Sector Unit, Extractives, Energy and Manufacturing at International Labour Organisation (ILO), the world must face some bitter truths about the circular economy of today.
‘When we say we want to accelerate the circular economy, surely, we do not want to accelerate the economy as it exists today in so many places. We do not want to see more impoverished men and women toiling in poor working conditions, subject to unsafe work and abuse. We must advance a circular economy that is just, that benefits the environment and uplifts people’, Edmonds pointed out.
He continued by presenting three challenges in making a people-centred circular economy a reality. First, decent jobs in the circular economy will not appear out of thin air. There must be a massive investment in innovative business models and an enabling environment for sustainable enterprises, skills and lifelong learning, waste management and infrastructure, in addition to smarter and more coherent laws and regulations.
The second challenge is involving workers and employers in shaping the circular economy instead of just imposing new policies on them. Finally, decision-makers need to better understand circular jobs, current working conditions and how to improve them.
We closed the event by announcing that Circle Economy, the ILO and World Bank are launching a new initiative to measure, model and monitor jobs in the circular economy. More information on this initiative will be announced in April.
Due to the lack of knowledge available to facilitate the circular transition, lessons learned from the energy transition prove useful. Olga Ivanova, a Senior Researcher at the Netherlands Environmental Assessment Agency (PBL), emphasised that decision-makers need to think ahead, creating education tracks and training programmes to cater for the labour market of tomorrow. As the energy transition has shown, not doing so may result in skill and labour shortages. Moreover, one should consider developments in all economic sectors—the circular economy may compete for the same talent as artificial intelligence and robotics, for example. Finally, Ivanonva pointed out that ‘The jobs are appearing and disappearing in completely different geographies. ‘But people are not mobile. They cannot just jump from one place to another; there should be policies to facilitate this’.
The need to advance research and grow the knowledge base should not distract from the fact that the circular economy is mostly powered by workers with vocational skills. However, as Marie van der Zalm highlighted, vocational education has been consistently undervalued, at least in the Dutch educational system. This demotivates the young from pursuing practical careers in sustainability.
Van der Zalm is a member of the Education Task Force at Jonge Klimaatbeweging, a Dutch youth climate movement. Together with her peers, she devised practical recommendations to improve the educational system. Jonge Klimaatbeweging proposes a project-based, interdisciplinary education: ‘the value of people and their skills can be approached much better from the perspective of competencies, talents and intentions’. Van der Zalm also called for regional educational institutions, labour market authorities and businesses to collaborate to map labour gaps and design educational programmes accordingly.
After the plenary session, participants attended thematic workshops, delving into practical solutions.
In the workshop ‘Better work in the circular economy: International trade and labour conditions’, labour rights advocates, policymakers, academics and industry leaders discussed how to ensure decent work and fair labour conditions for all and explored examples of successful initiatives prioritising fair employment.
‘I was inspired by the solutions discussed during my workshop, particularly with a focus on overlooked sectors and types of workers. We looked at, for example, ‘wisdom economy’—including elderly people who have transferable skills that we can leverage in a circular environment’, shared Katja Noordam, a consultant at Fair Change.
In ‘Mainstreaming circular economy in businesses: How to enable HR to develop and attract talent’, facilitators prompted questions like: ‘How will your team’s knowledge and skills change in a more circular future?’ and ‘How can people managers prepare for and anticipate those changes?’, helping participants to understand the needs of their organisations.
The workshop ‘Education and on the job training: Tackling labour and skills shortages in the case study of the construction sector’ took the construction sector as a case study on how to tackle labour shortages and organise upskilling programmes.
Emma Gervasi, a junior consultant at Holland Circular Hotspot, commented on the workshop: ‘For me, it was really interesting to see how you can bring people from various perspectives and use non-experts to solve the problem in a sector that has such a big impact on the environment’.
In the workshop ‘A regional circular transition between education, businesses and governments’, it was acknowledged that the shift from linear to circular economy requires collaboration from various disciplines, including engineering, economics, social sciences and environmental sciences.
In the ‘Measuring what matters: how employment-related indicators can be used to design impactful circular economy interventions’ workshop, participants discussed why employment-related indicators must be measured and which social aspects of employment must be taken into account.
The event was organised by Circle Economy and the Dutch Ministry of Infrastructure and Water Management, with support from the Goldschmeding Foundation.
Visit the Circular Jobs Initiative website for more information on circular jobs globally.
Visit the Dutch Ministry website and read about the National Programme on Circular Economy 2023-2030 (Dutch only).
Circle Economy is announcing changes in its Supervisory Board. The Board was recently joined by Kitty van der Heijden, Director-General of International Cooperation at the Ministry of Foreign Affairs of the Netherlands, and Jules Kortenhorst, clean energy expert and former CEO of Rocky Mountain Institute (RMI). At the same time, Herman Wijffels, economist and former Chairman of the Executive Board of Rabobank, the Netherlands, has stepped down after serving on the Board for over eight years.
Last year, our Supervisory Board already proudly welcomed Kitty van der Heijden. Kitty brings an international perspective and a much-needed social perspective with her career path with the UN, the World Resources Institute (WRi) and the Ministry of Foreign Affairs, including postings in North America, Asia and Africa.
‘Circular economy is an integral part of sustainable development. We must engage nations and global communities in meaningful action to accelerate the circular transition. I look forward to guiding Circle Economy on this path and seeing what we can achieve together’, says Kitty van der Heijden.
Our newest Supervisory Board member, Jules Kortenhorst, brings a wealth of experience scaling non-profit organisations as RMI grew from 60 to over 600 people under his leadership. He is also a renowned global energy and climate change expert and was instrumental in launching the Mission Possible Partnership that addresses the hard-to-abate sectors. His background spans business, government, entrepreneurial and non-profit leadership. Before leading RMI, Jules Kortenhorst was the founding CEO of the European Climate Foundation and a member of the Dutch Parliament.
‘I am honoured to join Circle Economy’s Supervisory Board and look forward to our productive work together. In addition to the energy transition, the circular economy is crucial for mitigating climate change, and Circle Economy is one of the frontrunners in this field. I hope to make a valuable contribution to its cause’, says Jules Kortenhorst.
Herman Wijffels is recognised as one of the leading experts on sustainable development and circular economy. In addition to serving on Circle Economy’s Supervisory Board, his career highlights include chairmanship of the Executive Board of Rabobank, the Netherlands, and the Social and Economic Council of the Netherlands.
Robert-Jan van Ogtrop, Founder of Circle Economy & Chairman of the Supervisory Board: ‘We thank Herman Wijffels for his contribution to good governance practices at Circle Economy and the organisation's overall success. His impeccable reputation, profound expertise and timely advice were invaluable for our continuous development and the advancement of the circular economy worldwide. We wish Herman all the best in his future endeavours.’
‘We are lucky to have Kitty and Jules on board. With their broad experience in foreign affairs, sustainability and running successful foundations, we hope to step up our work across the globe and forge new ambitious partnerships, promoting the Netherlands as a leading circular economy nation’, adds Martijn Lopes Cardozo, CEO of Circle Economy.
A new briefing note, Jobs and Skills to Drive a Circular Built Environment, pinpoints jobs and skills needed for the circular transition in the construction industry. Based on four circular strategies in the built environment, the publication forecasts labour market shifts and outlines levers to unlock their potential.
The European Commission declared 2023 The Year of Skills, recognising the importance of upskilling for economic development. The construction sector is essential for the EU economy and represents a major source of employment, accounting for 9% of the EU’s GDP and providing 18 million direct jobs. At the same time, circular construction aimed at reducing the value chain’s environmental impact is a major driver of labour market changes. For example, the International Labour Organisation (ILO) estimates that the circular transition will eliminate 22 million linear jobs globally while creating 29 million new opportunities.
Four circular strategies in the built environment will feed into career profiles in the coming years. These are smart material management, Product-as-a-Service (PaaS) business models, Bio-based material design and manufacturing, and Off-site, modular construction. Most of the jobs needed to drive these circular strategies and business models already exist in the workforce. However, workers may require upskilling to learn new knowledge and skills.
For some new functions—such as digital modelling or the sourcing of sustainable building materials—there are no one-size-fits-all solutions. In some cases, existing specialists will need to shoulder these tasks. In others, the novel functions will be split across different jobs. Finally, entirely new occupations and educational tracks will be created to harness cutting-edge technologies.
As the energy transition has shown, the lack of the right skills at the right time can hinder the industry’s growth. The report, therefore, calls for urgent action to upskill and retrain the workforce in the construction sector to achieve a circular built environment in the near future.
Read the full report here.
.png)
Circle Economy Foundation, an impact organisation based in the Netherlands, acquired Sustainability Games. This gamified e-learning platform addresses the green skills gap: the need for more professionals to fulfil the rapidly growing demand for circular jobs.
The Sustainability Games platform, combined with Circle Economy’s 12+ years of research and development of circular solutions, delivers a highly flexible and scalable solution to supply knowledge to any changemaker. The platform provides a continuous learning experience composed of tracks and minigames—fun and easy yet in-depth. It can assess an organisation or a team and track their progress, raise awareness about the circular economy, help shape collective understanding, and develop and certify teams’ skills. These modular elements can be used separately or all at once, depending on the needs of an organisation.
.png)
‘Digital innovation is a strategic pillar for Circle Economy to scale and accelerate our mission: to double global circularity by 2032. The acquisition of Sustainability Games unlocks the potential to deliver our research and data insights as educational content to change-makers worldwide. We wholeheartedly welcome Thijs and his team to Circle Economy and look forward to continuing this journey together.’ says Ivonne Bojoh, COO & Director Digital at Circle Economy.
Our circular economy experts co-create learning tracks with clients to fine-tune game experiences according to the industry and team specifics. The result is simultaneous education and engagement for hundreds of people—helping close the green skills gap at scale.
The platform can be compared to a restaurant menu with lessons, minigames and tests for dishes. This allows one to pick and choose tracks and journeys for specific purposes: from a fun activity at an event to a fully-fledged training programme for employees. Learning journeys typically consist of reading materials, videos, questionnaires and minigames, individually- and team-played. The learning tracks are well-suited for entities that are just embarking on their sustainability journey and want to make sure that all people involved are on the same page and equipped with basic knowledge.
‘I’m really happy that we are now part of a much larger impact-driven organisation with a flagship product like the Circularity Gap Report, many sustainability experts' content and a strong digital mindset. Circle Economy and Sustainability Games were already in strategic partnership and launched the Circularity Games at Web Summit Lisbon last year. This is simply the next step towards greater impact.’ says Thijs Struijk-Kafchi, Founder at Sustainability Games.
Circle Economy believes that businesses worldwide, as well as local and national governments, must join hands to accelerate the transition to a circular economy and avoid climate breakdown. Closing the Circularity Gap starts with bridging the knowledge gap. With this acquisition, Circle Economy can now deliver knowledge at scale, encouraging not just education but also the adoption of circular narratives. Our objective is to educate 100 million people over the next eight years, empowering businesses, cities and nations to go circular.
Learn more about Circularity Games at https://circularityacademy.com
Learn more about Sustainability Games at https://sustainability.games/
Amsterdam/Velp, 09 February 2023
THE ROLE OF CERAMIC BUILDING MATERIALS IN A CIRCULAR ECONOMY
In collaboration with Royal Dutch Building Ceramics (KNB), Circle Economy has reviewed the current and future role of ceramic building materials in a circular economy. Circle Economy has confirmed that ceramics are among the more environmentally friendly materials in the Netherlands and elsewhere, with good examples of the reuse of these products. However, to make the Dutch economy fully circular by 2050, the building ceramics sector still has major steps to take. Circle Economy recommends various options for improvement in its report The role of ceramics in the circular economy.
Ceramic products in the built environment include bricks, roof tiles and tiles made of fired clay. This material has a fundamental and unique role in the built environment because of its functional, aesthetic, environmental and cultural-historical values. At the same time, building ceramics are used in a relatively limited quantity, currently representing no more than 5% of the total annual volume of building materials in the Netherlands. Due to their versatility and sustainability, it is hard to imagine a circular future without ceramic building products.
Circle Economy has found that the environmental impact of ceramic products has already been reduced over the years through innovation in the sector, from more efficient heating technologies and product innovation to contributions to nature development during resource extraction. What’s more, building ceramics are produced using locally sourced clay—a renewable resource for the Netherlands, which boasts a continuous clay supply from its delta. Due to their long lifespans and low maintenance requirements, the environmental performance of ceramic products tops most alternatives, such as concrete.
Circle Economy recommends further innovation in emission-free production techniques, new product formulas and alternative business models and partnerships. The sector is already taking the first steps along this path, with a broadening range of detachable products, increasing recycling and reuse and the development of new business models—but this needs to be accelerated.
Circle Economy’s researchers have found that reducing (fossil) energy use and related emissions will be crucial to be able to consider ceramic products circular in the future. The most promising alternatives include the use of sustainable hydrogen and, where possible, renewable electricity for microwave oven technology for clay drying.
Furthermore, Circle Economy recommends investing more in making ceramic products detachable and reusable. A significant portion of ceramic products are already technically reusable, such as paving bricks, ceramic roof tiles and more recently, dry-stacked masonry bricks. However, in practice, ceramic products are often wasted at end-of-life and reuse is often not possible due to the use of adhesives. New business models can help in both cases. With product-as-a-service offerings, for instance, the product remains the property of the manufacturer, giving it control over the total life cycle and improving its ability to innovate on reusability. Products can also be made multifunctional to increase their value: roof tiles with integrated solar panels, for example.
Circle Economy sees supply chain cooperation as a critical success factor in the continued transition to a circular ceramic industry. Cooperation within the sector or with knowledge institutes, construction companies and other construction suppliers will be crucial—as will connecting sustainability challenges to other societal challenges. Going forward, a clear and coherent circular vision for ceramics within a circular building sector will need to be developed.
Circle Economy
Circle Economy is an impact organisation with an international team of passionate experts, These support companies, cities and countries with practical and scalable solutions to put the circular economy into practice. Circle Economy's vision is an economic system that ensures the planet and all people can thrive. To combat the climate crisis, Circle Economy is committed to doubling global circularity by 2032.
KNB
The organisation Royal Dutch Building Ceramics unites manufacturers of masonry, street and interior wall bricks, ceramic roof tiles and fired wall and floor tiles. These manufacturers innovate continuously to meet new trends and social challenges, including the energy transition and circular economy. KNB represents their collective interests in technical standards, clay extraction, environmental, energy and climate issues and is active in the field of social, economic and technical issues for the brick industry in particular. KNB is based in Velp.
.svg)
