25th congress of Polish Association of Agricultural and

Agribusiness Economists (PAAaAE)

Guest lecture: Biobased and Circular Business

11 Sept 2018, dr. Emiel F.M.Wubben, emiel.wubben@wur.nl

Associate Professor in Strategic Management, Wageningen UR

XXV Kongres

• Stowarzyszenia EkonomistówRolnictwa i Agrobiznesu (SERiA)

Contents

Intro

The problem

Educational initiatives

Some key terms

Some recent examples of new biomass valorization

Economic/innovation dynamics

Setting? Policy implications

3

Who’s who? Dr Emiel F.M. Wubben.

Jobs

● 2001- : Associate Professor Strategic Management

● 1993-’00: Assistant Professor, RSM, Erasmus U

● 1983-’93: PhD, MA, and Propadeutics in Economics, Erasmus U

Teaching

● Advanced Management and Marketing (AMM)

● Circular Economy (1st), BioBased Economy (6th period), Biobased Business/Transition (5th.

● Advanced Business Strategies: Mngt-thesis prep. Course MST31306

● PhD and thesis supervisor.

Research

● Engineering competition; bio-based business, agro-industrial parks;

● Strategic mngt, innovation mngt; ac spin-offs, het Groene Brein, etc

Live in Gouda, Married, 2 daughters.11

Is there a problem?

6

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Why Biobased & Circular Economy?

Ongoing global rise of the urban middle class.

carrying capacity of earth pressured:

● Depleting resources

● Burdening the environment

● Global warming, GHGs emissions, waste, biodiv.

● Import dependency

UN Sustainable Development Goals:

● Ecosystem protection; cleaner, resilient cities; decoupling; sustainable production & consumption

EU advantages: + 2mln jobs, + 550 Bln Euros (McKinsey)

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10

Educational initiatives for sustainability

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Education on biobased sciences at

Wageningen University

2 BBE Minors, + many courses

WU-MicroMaster MOOCs BBE, at

Edx.org

MSc program Biobased Sciences

(link to website)

● 2y Master accredited in 2018

● Started: September 2018 !!

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NEW 2018: Master Biobased Sciences.

The two-year master's programme Biobased Sciences prepares the graduate to be able to assess opportunities and challenges of the biobased economy from an interdisciplinary perspective.

The spec. Biobased & Circular Economy focuses on knowledge of economic and commercial aspects to enable the transition from a petrochemical to a biobased society.

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Master Biobased Sciences: format

120 ECTS

Internship (24)

Academic Consultancy Training project (12)

Free optional courses (12)

Spec. Biobased & Circular

Economy (24)

Spec. Biorefinery& Conversion (24)

Spec. Biomass production &

Carbon Capture(24)

Principles of Biobased Econ. (6)

Circular Economy (6)

MSc-thesis (36)

Master Biobased Sciences: Three pillars

Biomass production& Carbon Capture

Biorefinery & Conversion

Biobased & Circular Economy

From spec Biobased & Circular Economy

2 out 3 courses

1 out of 4 tracks

Some key terms: BE, BBE, CE?

Bio-economy: “The bioeconomy comprises those parts of the economy that use renewable biological resources from land and sea – such as crops, forests, fish, animals and micro-organisms – to produce food, materials and energy. “https://ec.europa.eu/research/bioeconomy/index.cfm

“A biobased economy is an economy which for a large proportion draws its resources from living nature (biomass, ‘green resources’), as an integral part of a green or sustainable economy.” http://www.biobasedpress.eu/

Main topics emerging in Bio-Economy

1 Biomass and renewables in energy production

2 Rural policies, esp. in Europe

3 Biotechnology applications in health science

4 Biotechnology applications in materials science

5 Biomass supply/demand, especially wood

6 Biosecurity, crops, species

Ref: D’Amato et al (2017) in: Journal of Cleaner Production.

Main topics emerging in Green Economy

1 Sustainable development

2 Green investments, especially in urban context

3 Tourism, business, education, employment

4 Biomass and renewables in energy production

5 Recycling, re-use, reduction in products life cycle

6 Conservation and land use

Ref: D’Amato et al (2017) in: Journal of Cleaner Production.

Main topics emerging in Circular Economy

1 Sustainable development in industrialization and urbanization

2 Recycling in products life cycle for waste reduction

3 Industrial symbiosis, especially in EU

4 Efficiency evaluation techniques in logistic/supply chain management systems

5 Carbon emission and energy in production plants

6 Greening the supply chain

Ref: D’Amato et al (2017) in: Journal of Cleaner Production.

Circular Economy is:

...an economic system that is based on business models which replace end-of-life-concept..

with reducing, reusing, recycling, and recovering materials

in production, distribution and consumption processes,

.. operating at micro, meso and macro levels,

with the aim to accomplish sustainable development, which implies creating environmental quality, economic prosperity, and social equity,

to the benefit of current and future generations.

Ref: Kirchherr et al (2017), in Resources, Conservation and Recycling, 221-232

Sounds complicated...21

Sugarbeet

by Suikerunie, Sudzucker, British sugar

Valorization potential of Sugarbeets

BBE- potential?

Biobased economy is circular

Afvalbranche ziet brood in biochemicaliën

Based

on

the B

utterfly m

od

el by th

e Ellen M

acArth

ur fo

un

datio

n

Service provider

Product manufacturer

Parts manufacturer

Energy recovery

Land fill

Biological cycles

UserConsumer

Technical cycles

Butterfly model

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Energy recovery

CollectionMaintenance

User

Reuse/redistribute

Refurbish/remanufacture

Recycle

Land fill

Mining/materials manufacturing

Based

on

the B

utterfly m

od

el by th

e Ellen M

acArth

ur fo

un

datio

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Technical cyclesIncreasingly poweredby renewable energy

Cascades

Consumer

Service provider

Product manufacturer

Parts manufacturer

Biochemicalfeedstock

Restoration

Biogas

Anaerobic digestion/Composting Extraction of

biochemicalfeedstock

Biological cycles

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Biosuccinium™ succinic acid, by Reverdia.

Reverdia final product-markets

But is goes slowly, ...

what can we learn from history?

For innovation and agg policies

36

Ref: Bos et al. (2008) 25 years of agrification, in: BioFPR

Conclusions

Drivers at the regime/industry level and the quality of the

processes at the niche/micro level have increased considerably

since y2000.

The trend towards a much wider use of renewable resources

for non-food applications thus seems more robust than it was

in the previous century.

Ref: Bos et al. (2008) 25 years of agrification, in: BioFPR

Other lessons from agrification. Ref: Bos et al. (2008) 25 years of agrification, in: BioFPR

There is a mismatch between the time it takes to develop

technological niches (and deliver tangible results) and the

perishability of expectations (hype-status)

Many insights necessarily follow on from each other, and cannot be

gained simultaneously (accept ‘evolution’)

Policy can have an important role in creating interaction between the

niche and the regime level

CE 2050: Priority Biomass and food

Biomass circular by nature

Keep produce in cycles at high grade

Replace fossils

Renew production and consumption patterns

Promote sustainable biomass (trade) value chains

Regional cultivation of soy, algea (sea/fish farms).

Optimal utilization of biomass and food

● Consumption, food waste, residues,

Closing loops

● soil restoration, close nutrient cycles, precision farming, green chemistry, raw materials plant

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Overall conclusions?

There is a real need to valorize and recover biomass and its wastestreams better

Biobased and circular are 2 sides of the coin

A lot is common practice already,

...but also creating vested interests/resistance

Combine different sciences, exact and social, both in research and education.

Specialize according to national and regional qualities

It takes innovations, money, lots of time and supportive policies

There is no clear recipe to reap the fruits of the transition to the biobased & circular economy!!

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Mr BbSc:

Become an expert in one specialization –

with an overview on other disciplines in Biobased.

emiel.wubben@wur.nl