A circular economy holds promise for saving resources, minimising waste, and protecting climate and biodiversity, but it is still in its infancy in Europe, according to a new report by the European Environment Agency, ‘Insights on status and potentials’, published on Wednesday 2 October.
To develop its potential, a circular economy requires more investment in innovation, but also in monitoring progress by filling gaps in relevant data, particularly in national statistics.
The report shows that European companies are increasingly adopting circular business models focusing mainly on operational efficiency and waste reduction. Moving from product-based to service-based models is a promising development, but it faces barriers such as corporate culture, market factors and system complexity.
According to the EEA, 21 of the 32 European Economic Area member countries surveyed support circular economy initiatives. Countries use regulations and market instruments for recycling, energy recovery and waste management, while eco-design, consumption and reuse are promoted by more flexible instruments such as information campaigns and labels.
The report also highlights that circular economy policies and initiatives need to be better integrated into bio-economy and climate policies. (Original version in French by Aminata Niang)