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Circular Economy: Policy Setting and Drivers Go Green Breakfast Meeting Dr Dominic Hogg Chairman Eunomia Research & Consulting Ltd 2 nd December 2015

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Page 1: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Circular Economy:

Policy Setting and Drivers

Go Green Breakfast Meeting

Dr Dominic Hogg

Chairman

Eunomia Research & Consulting Ltd

2nd December 2015

Page 2: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015
Page 3: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

The Hierarchy

Prevention

Preparation for Reuse

Recycling

Other Recovery

Disposal

Design

as Viewed by Designers

Page 4: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Commodity Prices as a Driver

Page 5: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

The Case

• ‘the costs of making stuff are becoming

unpredictable & expensive’… ‘resource

scarcity and tighter environmental standards

are here to stay’

Source: Ellen MacArthur Foundation 2012

• ‘In a world of high and volatile resource

prices, a CE offers huge business

opportunities’

Source: Chatham House briefing paper

Page 6: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Is the Economy ‘Linear’? - Disposal

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Page 7: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Is the Economy ‘Linear’?

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Page 8: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Commodity Prices as a Driver?

Page 9: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Why?

Page 10: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

An Alluring Identity?

Rising demand + increasing

volatility

=

high commodity prices + a circular

economy

What if prices fall?

Page 11: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

José Antonio Ocampo (2013) Super-cycles of Commodity Cycles of Commodity

Prices Since the Mid-nineteenth Century, Presentation at the IMF, March 20 2013.

Page 12: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

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Energy Non-energy Agriculture Precious Metals

Source: World Bank

2

0

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Page 13: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Source: IMF (Index, Jan 2005=100)

Page 14: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Iron Ore Prices Since Jan 05 ($/ton)

Source: IMF

Page 15: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Do we Need Policy to Drive us

Circular?

• If markets are ‘volatile’, can they drive the

behaviour we want to see?

• Policy intervention is likely to help…

• … and it’s justified

DG Env – waste targets review; DG Env – potential for

ecological tax reform in EU-28; GLA / LWARB - Route map to

a circular economy for London.

Page 16: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

The Commission Package

Page 17: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Eco-design

Working with key OEMs and contract manufacturers in the

EU, US, Korea and China on handset eco-design

requirements, taking into account WEEE and RoHS

requirements and best practice for durability, repair and reuse

Page 18: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

EMAS

Member of JRC

Technical Working

Group on EMAS for

waste management

Page 19: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Repair / Reuse

WRAP - Product

returns;

ZWS - Reverse

logistics study

Page 20: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Ecolabel / GPP

JRC - Revision of ecolabel for

paper ; OECD – sustainable

materials management; ZWS –

specifications for reuse, repair and

remanufacture

Page 21: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Plastics / Marine Litter

0.25 -

15% plastic bottles*

77Enough to

make

*@13g each

billion

DG Env – MSFD – sources of

microplastics and policies; strategies

for port reception facilities

Page 22: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Revised Waste Targets

DG Env – development of reference model on

MSW management; support to impact assessment

on 1st and 2nd CE packages

Page 23: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

Other

• Food• Improve likelihood of donation

• Labelling

• Critical raw materials• Improved recovery through design and recovery

technologies

• C&D• Pre-demolition guidelines

• Indicators for env performance of buildings

• Biomass and related products• Cascading

• Sustainability of bioenergy

Page 24: Dominic Hogg, Eunomia, Go Green Business Breakfast - The Circular Economy, St Mary Redcliffe Church, 2nd December 2015

www.eunomia.co.uk

@Eunomia_RandC

[email protected]