Circular Economy
What is the Circular Economy?
The circular economy is a fundamental shift in our economic system. It transfers value from a market-based economy to a values-based economy. The value and integrity of materials, access to products and services over ownership, and cooperation over competition. While it may seem a utopian dream, the simple fact is that our current economic system cannot be maintained.
The circular economy focuses on
Design
How products are designed and made – the resource efficiency of the whole system from design, sourcing and types of materials, manufacturing, energy, and delivery to market.
Resource management
When the products we use reach the end of their use-cycle, we treat them as waste. Instead, we need to dispose of all end-of-use-cycle products responsibly so they can become secondary raw materials.
Closed-loop systems
A system that focuses on technical efficiencies, such as material utility, resource-use optimisation, and end-of-use-cycle elimination. Technical efficiency is not a single solution.
The Circular Rs
The economic functions of the circular economy. The Circular Rs are the economic activities that make up the circular economy.
The Linear Economic Model
Since the Industrial Revolution (around 1760) the economic model has progressed along, what is called, a Linear system. The diagram below shows the three stages of the Linear Economy.
This economic model is not sustainable as, eventually, we shall use up all the natural resources we have and there will be nothing left for future generations.
In the circular economy, nothing is wasted. Products are made from natural (biological) or human-made (technical) materials or resources. They are recovered for reprocessing into new products, materials or alternative resources such as compost or bio-energy. To get to a point where nothing is wasted requires a major overhaul of our entire system of production, and for this, we need to explore how Design will provide the innovation for change.
Taking finite natural resources [in the diagram it is oil to produce a plastic bottle]
Make or manufacture into products for consumption;
Becomes waste after use or end-of-life.
Different Approaches to the Circular Economy
There are two ways of understanding the circular economy. The first is the popular Butterfly Diagram conceived by Michael Braungart and William McDonough from Cradle-to-Cradle Design. The Butterfly Diagram demonstrates how natural (biological) and human-made (technical) materials or resources circulate in infinite production cycles facilitated at the design and manufacturing stage of products
Technical materials
As fossil fuels, plastics, metals, glass etc., come from finite natural resources, these primary raw materials cannot be renewed. In the technical cycle, it is important we design and manufacture products that are ‘future-proof’. Products should be designed for repair, reuse, remanufacture, disassembly and reprocessing of product materials. The aim is to keep all technical materials or resources in use for as long as possible.
Organic materials
Food, all organic materials from agricultural activity, water etc. are part of a biological ecosystem. In this bio-cycle, it is important to ensure that the ecosystem and biological processes can function properly. Consumption may occur in this cycle (food, water, fertilizer) as long as the material flows are not contaminated with toxic substances and ecosystems are not overloaded. When the ecosystem is balanced, organic materials are renewable.
Beyond Recycling: Smarter Use-Cycles
The basic premise of the Butterfly Diagram is in assigning which circular economy function provides the most value. For example, maintaining a product’s use-cycle through repair extends the resource and economic value instead of discarding the product for recycling. Extending a mobile phone use-cycle has greater economic and resource value than if it is taken apart for scrap. In addition, scrap materials may not result in them being reprocessed into secondary raw materials for reuse by manufacturers.
The second circular economy framework is the Circularity Diagram, developed by the UN Environment Programme (UNEP). This diagram directs more attention towards the role of the user or consumer in a circular economy. It illustrates that the circular economy is about sustainable production and that sustainable consumption is integral to it.
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