Brussels, 18/01/2016 (Agence Europe) - In a report published on Monday 18 January, the European Environment Agency (EEA) said that the circular economy could bring a number of considerable environmental benefits but that there were many significant challenges they would need to meet in order to successfully make the transition.
Now that EU political decision-makers are more inclined to make the circular economy their new credo, in an effort to successfully combine sustainable development and growth, the EEA report Circular economy in Europe - Developing the knowledge base seeks to provide a contribution to the debate regarding the new legislative package that is finally being discussed (see EUROPE 11462 and 11444).
Hans Bruyninckx, the EEA's executive director stated: “The European Environment Agency is ready to support the transition to a circular economy through its analysis and assessments”.
This report illustrates that the transition to a circular economy requires fundamental changes throughout the value chain, from product design and production processes to new business models and consumption patterns. It also requires a significant expansion in the knowledge base to assess the progress accomplished and identify areas that need greater attention in an effort to make change. The main lessons from this study are:
- The circular economy would help: reduce environmental pressures in Europe and beyond and minimise the continent's high and increasing dependence on imports of raw materials and energy sources; help make considerable cost savings by increasing the competitiveness of Europe's industry and job creation.
- the EEA warns, however, that as new circular approaches emerge, frictions between the existing linear system and the new approaches are bound to arise. These may be perceived as threats by some stakeholders, but as opportunities by others.
- Good practice examples exist but we need to go further. The report highlights the fact that businesses are already employing or experimenting with new business models such as service- and function-based business models and collaborative consumption, while governments increasingly foster waste prevention, reuse and repair.
A transition requires a substantial expansion of the knowledge base to chart progress and identify where more work is needed to achieve change. Some indicators exist already. For example, Europe is reducing the amount of waste generated and recycles more and more of its waste. But more information is needed to inform decision-making and combine thinking about environmental, social and economic impacts. Better insight is needed in production structures and functions, consumption dynamics, finance and fiscal mechanisms, as well as triggers and pathways for technological and social innovations. (Original version in French by Aminata Niang)