circular economy and bioeconomy concepts and implications

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Circular economy and bioeconomy – concepts and implications for the forest sector Vancouver, 6 November 2018 13.11.2018 | WWW .EFI.INT Prof. Pekka Leskinen Head of Bioeconomy Programme European Forest Institute

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Page 1: Circular economy and bioeconomy concepts and implications

Circular economy and bioeconomy – concepts and implications for the forest sector

Vancouver, 6 November 2018

13.11.2018 | WWW.EFI.INT

Prof. Pekka Leskinen

Head of Bioeconomy Programme

European Forest Institute

Page 2: Circular economy and bioeconomy concepts and implications

13.11.2018 | WWW.EFI.INT

Page 3: Circular economy and bioeconomy concepts and implications

Presentation outline

1. Concepts

2. Global problems and potential solutions

3. Three examples

4. Role of circularity in bioeconomy

13.11.2018 | WWW.EFI.INT

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Green, Bio, or Circular?

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ECOLOGICAL ECONOMICS

ENVIRONMENTAL ECONOMICS THEORIES

CONCEPTS

APPROACHES

ASSESSMENT TOOLS

INDUSTRIAL ECOLOGY &CIRCULAR ECONOMY

CLEANER PRODUCTION

INDUSTRIAL SYMBIOSIS

RESOURCEEFFICIENCY

WASTE HIERARCHYAPPROACH

ECODESIGN

RECYCLINGREUSEREPAIRRECOVERY

GREEN INFRASTR.

BIOMIMICRY

BIO-TECHNOLOGY

Environmental benefits

• Improvement in economic growth, productivity and

competitiveness• Accelerated innovation, through

correction of market failures in knowledge

• Reduction of env. induced health problems and risks

•Increased resilience to natural disasters, commodity price volatility economic crises

•Job creation and poverty reduction• Improved regional equality

•Improved access to environmental services & amenities

Economic benefitsSocial

benefits

RENEWABLE RESOURCE

PRODUCT RENTING, SHARING, POLLING

PAY Per SERVICE UNIT

PSSNATURE BASED

SOLUTIONS

• Climate change mitigation• Improvement of resource efficiency• Reduction in fossil fuel dependency•Reduction of air and water emissions• Reduction in loss of biodiversity

BIO-ECONOMY

“Generic framework showing the different layers of the green economy concept” (E. Loiseau et al. Journal of Cleaner Production 139 (2016) 361-371).

Page 5: Circular economy and bioeconomy concepts and implications

Decoupling (UNEP’s International Resource Panel)

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Emission pathway consistent with limiting global warming to 1.5 degrees by 2100 (Rockström et al. 2017):

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Forests, our most important biological infrastructure

• Covering 43% of EU land

• Key for biodiversity, water and soil

• Climate change mitigation effect equivalent to 13% of CO2emissions

• Main source of non-food, non-feed renewable biological resources

13.11.2018 | WWW.EFI.INT

Page 8: Circular economy and bioeconomy concepts and implications

Climate Smart Forestry (CSF)

• Use triple S impacts – sink, substitution and storage.

• Country differences: tailoring policies and incentives at the regional level – one sizedoes not fit all.

• Finding synergies between climate and other benefits (e.g., bioeconomy,biodiversity, recreation).

13.11.2018 | WWW.EFI.INT

Page 9: Circular economy and bioeconomy concepts and implications

What CSF could contribute

• Current annual mitigation effect from EU forests via contributions to the forest sink, material substitution and energy substitution is estimated to be 569 Mt CO2/yr(i.e. 13% of total EU emissions).

• According to Nabuurs et al., it would be possible to achieve an additional mitigation impact through CSF of 442 Mt CO2/yr by 2050.

13.11.2018 | WWW.EFI.INT

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Substitution and circular economy

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The emissions of a product depend on all life cycle stages:

• Production: emissions during the production stage of wood-based products and functionally equivalent non-wood products.

• Use: emissions during the use and maintenance stages of wood and non-wood products.

• Cascading: effects of recovery of materials from end-of-life products.

• End-of-life: impacts of end-of-life management of wood and non-wood products.

All life cycle stages can be important and should be taken into account!

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3 examples of transformational potential of forest bioeconomy

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Wood construction

• For each ton of wood products used instead concrete, there could be an emission reduction of 2 tons of CO2.

• When assuming 100% market share of all buildings in Europe with 50% share of wood of building mass, this implies a 3.5% reduction of total EU CO2 emissions.

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Wood-based fibres for a sustainable textile industry

• Global production of textile fibres: • 93 Mt (2016)• 250 Mt (2050)

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• Carbon footprint from wood-based textile fibres can be significantly lower than synthetic ones

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• Global production of plastics: 311 Mt• Resulting in 390 Mt CO2 and 8 Mt of

plastics to the ocean every year

• By 2050, demand for plastics 400% higher: • 20% of oil consumption

• 15% of CO2 emissions

• More plastic than fish in oceans

The plastics economy: an inconvenient truth?

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Our view of Circular Bioeconomy: How does it look?

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Circular bioeconomy is not an end itself,but a necessary tool to achieve the global targets

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13.11.2018

Role of circularity in bioeconomy: Case textiles (Lauri Hetemäki)

➢ Bioeconomy alone is not enough, but the recycling and circularity has to be built already at the design states of new products and businesses

➢ Textile industry is a big sector, in which recycling is in a bad shape, or it does not even exist

➢ Circular bioeconomy requires that those businesses, like forest industry, which areentering the sector, have to start to establish recycling institution, together with customers and policy makers (c.f. paper recycling)

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Policy objective: seek to maximize synergies and minimize trade-offs between bioproducts and other ecosystem services

Source: Hetemäki, L., Hanewinkel, M., Muys, B., Ollikainen, M., Palahí, M. and Trasobares, A. 2017. Leading the way to a European circular bioeconomy strategy. From Science to Policy 5. European Forest Institute.

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Units of ecosystem service

7

6

5

4

3

2

1

1 2 3 4 5 6 7

Frontier in 2015 Frontier

in 2030

This requires max. synergiesand min. trade-offs!

Units of bioproduct

e.g. biodiversity or carbon sink

e.g. wood products or bioenergy

trade-offs

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Substitution

• Climate substitution impacts of wood-based products compared to alternative materials?

• Textiles, plastics, wood construction, …

• Update of e.g. Sathre & O’Connor (2010) review.

• Displacement Factors (DF) into policy context:

• Trade-offs/synergies with other tools in mitigation?

• ThinkForest event 4 December (Brussels).

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Page 21: Circular economy and bioeconomy concepts and implications

Thank you!For more information:

Pekka Leskinen

Yliopistokatu 6, 80100 Joensuu, Finland

+358 50 337 2562

[email protected]