OCTOBER 2015

MILAN CE100 ACCELERATION WORKSHOP – A SUMMARY

GLOBAL PARTNERS OF THE ELLEN MACARTHUR FOUNDATION:

Photo credit: Hjl - flickr.com

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WELCOME It was a pleasure to welcome the CE100 members to Milan for a thoroughly re-designed and refreshed Acceleration Workshop. With a surprising background in circular business models, the Lombardy region made for the ideal setting; building the skills and technology required to follow a more restorative and regenerative development path. The opening words from Mr. Stefano Firpo highlighted this level of ambition, and how understanding and support for the circular economy from government is increasing in pace.

Since the last workshop, the Ellen MacArthur Foundation has published new insight and analysis, most notably Growth Within: A Circular Economy Vision for Europe, launched at the EU’s Closing the Loop conference. We believe that the enthusiastic rejuvenation of the European Commission’s circular economy package signifies the start of another wave of circular economy momentum throughout Europe.

On a global scale, many of you will be aware that the United Nations recently published a new set of Sustainable Development Goals. Whilst the challenges are well known, with key themes around food, water, resources, energy, growth and jobs, the circular economy is increasingly becoming seen as a coherent approach that offers the innovation needed to achieve such ambitious goals. And it’s not just about mitigating negatives - within the circular economy framework lies significant opportunity for innovation and growth.

Whether a new or long-standing member of the CE100, your participation is essential in strengthening the rationale for a circular economy, and ensuring that the framework continues to become more convincing and compelling. We hope, like us, you are proud of the network that we have created together.

ANDREW MORLET CEO, ELLEN MACARTHUR FOUNDATION

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Over the last three years we have seen the Circular Economy 100 (CE100) grow into a vibrant community. It has been a journey where members have gone through very exciting and encouraging changes. The debate within and among the members is maturing. A journey where our common understanding is continuously being tested, trained, and progressed.

All this great momentum does not go unrecognised. It inspires the foundation to push the envelope. Led by members’ progress it has become clear that the CE100 is entering a new chapter. One where we move from a global reach to local impact and from talking about theory to focusing on action. This 6th Acceleration Workshop in Milan is the first proliferation of that new phase.

The renewed focus on collaboration came together in the new Collaborative Projects (Co.Project) setup, where action-focused initiatives are developed by members for the members. In addition there were Forum sessions where real cases were presented followed by active stakeholder debates, and Roundtable discussions tackling difficult but important questions. Complemented by additional networking time over breaks, beers, and breakfast, the member feedback showed a great appreciation for the new structure.

This commitment and energy buzzing in the CE100 fills me with great confidence that we are gearing up for a very productive and successful next phase in the CE100 programme, and I look forward to celebrating that progress with you in Paris in April 2016.

CASPER JORNA CE100 PROGRAMME LEAD, ELLEN MACARTHUR FOUNDATION

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CONTENTSGOVERNMENT & CITIES

PLENARY SESSIONS

CO.PROJECTS

FORUM SESSIONS

ROUNDTABLE

CE100 NEW MEMBERS

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GOVERNMENT & CITIES

The Government & Cities meeting began on the evening of October 5th, with representatives taking the first steps towards increased collaboration while enjoying Italian specialties in idyllic surroundings.

The Government & Cities day had a strong attendance from the members; Catalonia, Denmark, Haarlemmermeer, London, Nord Pas de Calais, Scotland and Wallonia, who were also joined by invited guests from Italy, Slovenia and Taiwan.

In the inspiring settings of the governmental buildings of Lombardy, Palazzo Lombardia, the growing network of CE100 governments and cities enthusiastically shared insights, discussed challenges and planned collaborative initiatives. It was a productive day with key interactive contributions from the members as well as relevant inputs from external speakers.

The day was kicked off with a warm welcome by our Italian hosts: Carmelo di Mauro, Deputy Director of Lombardy DG Environment gave a valuable overview of the Lombardy region, which has the biggest concentration of green businesses in Italy.

Delegates also heard from Pierfrancesco Maran from the City of Milan, a frontrunner in urban transport, where even scooters are shared. Both gave a warm welcome to the region and city and an insightful overview of the great circular economy plans and initiatives of the area.

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“Milano has a lot to say about circular economy

and sustainability. For example, our town is no

longer among the 10 most congested cities in Europe

and last year the OECD has awarded to Milan the

prize for having put in place the best policies on

urban transport. Thanks to sharing mobility, with bike sharing, car sharing

and scooter sharing services, Milan has created

an innovative model that is studied worldwide.

These results arise from the consideration of

the issues of mobility and infrastructure

development as key to the development of the entire

subway system”.

PIERFRANCESCO MARAN DEPUTY MAYOR OF ENVIRONMENT

CITY OF MILAN

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GOVERNMENT & CITIES CONTD.

The CE100 Government & Cities members are active far beyond the bi-annual Acceleration Workshop. A few weeks earlier most had already met in Northern France at a two-day workshop and site visit arranged by Cd2e (the business agency of Nord Pas de Calais), an initiative that will now be continued by the Greater London Authority. This high level of engagement was also reflected during the Government & Cities day, which placed a key focus on peer-to-peer insight, best practice sharing and active exchange of ideas. This resulted in useful insights on:

• A new innovation programme and international conference on life cycle thinking in Nord Pas de Calais

• The plans, experiences and challenges of the London Circular Economy Routemap development

• Danish experiences with stakeholder engagement in circular economy roadmap development and questions for further development of this process

• The consultation process of the Scottish Circular Economy Evidence Building Programme

• New quadruple helix approach to stakeholder involvement in Haarlemmermeer

• The Walloon circular economy roadmap development and its six constituting building blocks

• Catalonian proposal for collaborative EU project on circular economy strategy development, leveraging the Ellen Macarthur Foundation policymaker toolkit

Led by Enzo Favoino, Chair of the Scientific Committee at Zero Waste Europe, the participants also held a deep dive on the role of organics in the circular economy and what there is to be learned from Milan’s approach. Favoino spoke about the prospects of a zero waste society, complemented by working local examples.

The CE100 Government & Cities group has been strengthened by its first U.S. member; City of Phoenix. Connections to the American continent are also going to be strengthened through the CE100 Satellite networks in the U.S. and Brazil.

With an increased focus on SME engagement and enrolment of SMEs in the network, development of the CE100 SME programme was a key discussion. The experience shared by the European Bank for Reconstruction and Development spurred the discussion. There was an overall agreement that integrating wider business support schemes and similar conduits in the SME programme can leverage engagement, and this should be a point of further development.

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PLENARYSTEFANO FIRPO, DIRECTOR FOR INDUSTRIAL POLICY, COMPETITIVENESS AND SMEs AT THE ITALIAN MINISTRY OF ECONOMIC DEVELOPMENT

“It is time to kick start the transition from a linear to a circular economy.”Opening the workshop, Stefano Firpo firmly stated the importance of shifting to a more circular economy, and brought delegates up to speed on both the heritage and recent progress in the Lombardy region in terms of materials and energy flows. Mr Firpo also gave his insights into the current barriers in scaling up circular activities.

Firstly, end of life criteria needs to be revisited, providing stakeholders with a better understanding of when waste could be considered a resource, as current uncertainty around this is blocking investment. Similarly, industrial symbiosis needs to be promoted to enable businesses to join the dots and formulate complementary material flows. As “the circular economy is strictly connected with innovation”, design practices for products, business models and wider systems need to be supported, and attendees were encouraged to transfer experimental pilots into more standard practice. Closing, Stefano Firpo said that he hoped to see businesses, governments and institutions from Italy and internationally build on existing success in the near future.

GROWTH WITHIN UPDATEELLEN MACARTHUR

“Can the digital revolution be applied to the circular economy?” Ellen MacArthur started out by giving her take on the European Commission’s circular economy package. Having been involved in the process since 2012, Ellen and the team at the Foundation were thrilled to see the emergence of the first plans for policy to support the transition to a circular economy. However, the 2014 decision to put the package aside to focus on growth has ultimately been a positive development in relation to the understanding and momentum of the circular economy in Europe.

Thanks to the informed input of many members of the CE100, more in-depth research and thorough debate, the European Commission have looked again at the package and opened consultation. This was launched earlier this year in parallel with the report Growth Within: A circular economy vision for a competitive Europe. This study investigated the impact of rapid developments in digital technology on the areas of food, mobility and the built environment, with compelling findings: a net benefit of €1.8 trillion by 2030, or €0.9 trillion more than in the current linear development path, and offering further environmental and societal benefits.

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GOVERNMENT AND CITIES SHOWCASEJODIE BRICOULT, CD2E AND ANDREW RICHMOND, GREATER LONDON AUTHORITY

“The circular economy framework is a useful lens for better, more focused innovation and a powerful way to engage others.”After sharing insights from the report, Ellen was joined by Jodie Bricoult and Andrew Richmond to discuss how these findings and wider circular economy momentum are playing out in a regional context. Both panellists stated that they have found the circular economy framework a useful lens for better, more focused innovation and a powerful way to engage others. London has been developing a ‘route map’ to a circular economy, with key areas in textiles, food, electronics and plastics, and there is interest in creating a venture capital fund to support new and innovative business models. Northern France has been working with cluster groups to integrate this new thinking, and the potential for social benefit has been demonstrated in some cases, for example in the regeneration of former miners’ accommodation. From both perspectives, open knowledge sharing between regions was seen as a catalyst.

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BUILT ENVIRONMENT AND REGIONAL INNOVATIONGUGLIELMO CARRA, ARUP

“25-30 years ago renewable energy was the new thing... What about renewable materials?” Working on some of the world’s most progressive construction projects, Arup has the opportunity to experiment with cutting-edge practices, and has identified the need to embrace circular economy thinking in a number of projects. To achieve a systems approach, this should be applied to all areas of the built environment, including waste value assessment, city planning, material information management and circular engineering and design. For this session, Guglielmo focused on the use of renewable materials such as hemp, flax, jute and cotton, all of which have a short growth cycle and can be used in construction. Plants such as this provide not only a high-performance fibre, but also a resin. Combining these two elements gives a bio-composite that can be used as a panel in the outermost skin of the building, a design choice that would enable the material to be reintroduced into a biological loop after use. Similar innovation is also underway that uses sugar cane waste, and can provide aesthetic benefits that presumably help overcome customers’ preconceptions about biological building materials. Arup is working to improve the cost-effectiveness of these techniques, and envisioning how they could form part of the wider urban system, for instance sourcing fibre and resin from tomato plants grown in a vertical farm.

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BUILT ENVIRONMENT AND REGIONAL INNOVATION CONTD.THOMAS RAU

“How to create urban spaces that actively contribute to a restorative economy?”Architect Thomas Rau began his presentation with somewhat of a call to action: we must redefine our relationship with resources, and understand that everything is temporary. That goes for our buildings and cities too, and Rau Architects recently designed the first ‘circular building’, which was claimed to be ‘80% circular’. This means that all material has either been recovered from old buildings and has found a second use, or new material that has been used has had its second use considered at the design stage. Other features of the Duiven, Netherlands construction include insulation made from end of use textiles, formerly belonging to the building occupants, and the pioneering ‘pay per lux’ business model developed with Philips integrated throughout. This smart energy practice enables the project to be a net positive energy producer overall. Thomas Rau demonstrated the creative thinking often needed to bring circular economy projects to life in a memorable anecdote. When designing the roof for this building, the natural choice for the architects would be to speak to a steel company. However, a steel company makes money by selling steel, and would therefore aim to sell more material. Instead, Rau architects worked with a rollercoaster company to design and build a structure that is completely safe, lightweight and uses the optimum amount of material.

ERIC LOGTENS, ECOR GLOBAL

“We need to take control of the integrity of the materials that we use”ECOR is a new material that can be used in construction, building interiors and consumer products, and has an impressive list of properties. Upcycled from cellulose, which can be sourced from a variety of urban, forest and farm fibres, ECOR panels have a 3-4 times strength to weight ratio, are made without use of formaldehyde or other toxins, and 99% of the water used in the manufacturing process is recycled. Eric explained how truly

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understanding the content of a material - in the case of ECOR, just water and cellulose fibre - enables manufacturers to take control of the integrity of the material. For Noble Environmental, the company behind ECOR, the challenge now is scaling up. Eric highlighted some barriers to overcome, such as obtaining defined materials flows, identifying experts and partners for further development, agreeing on a transparent set of environmental criteria, and ensuring that each use of a product acts as an effective multiplier to the next.

OWEN ZACHARIASSE, DELTA DEVELOPMENT

“There is an increasing recognition that large towns and cities act as ‘nutrient aggregators’ ”The Netherlands has long been a frontrunner in terms of embedding circular economy practices, and Owen Zachariasse of Delta Development provided an update on the lighthouse project The Valley. This project was born out of the CE100, originating during conversations in Munich in 2014, and aims to be an engine for change; a large-scale physical demonstrator for the circular economy.

The development, which comprises public and private elements and could create 7000 jobs overall, seeks to realise ‘the cleanest, most inspiring and productive working environment to date’ through the application of Cradle to Cradle principles. In order to overcome the linear entrenchment that is common across all industries including real estate, incentives have been put in place for the partners to deliver the highest quality products to the tenants, with the next use of products and materials accounted for. There is an increasing recognition that large towns and cities act as ‘nutrient aggregators’, and by taking a systemic approach at the design phase, Park 20|20 stands the best chance of harnessing flows of materials, energy and information.

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BIOPLASTICSROB OPSOMER, ELLEN MACARTHUR FOUNDATION, AND RENIER GRIMBERGEN, DSM

Rob Opsomer, lead on the Global Plastics Packaging Roadmap (GPPR) project, opened this plenary session. The vision of GPPR is to identify the steps to reach an economy where plastic packaging never becomes waste but re-enters the economy as defined, valuable, biological or technical nutrient. GPPR works with stakeholders in design, manufacturing, retail, and policy and aims to address endemic issues of the current linear plastics economy, and provide an action plan towards an economically and environmentally attractive alternative - a new plastics economy. By looking at the packaging landscape through cross-cutting segments such as collection, policy and bio-materials, the initiative targets areas around which to drive action, such as materials, formats, and designs of plastic products.

Biomaterials form an important part of this work, and Renier Grimbergen of DSM took over to provide more detail on the work that they have been doing in this area. According to DSM, bio-based polymers “have the potential to catalyse the circular economy” and can be used in many different applications, from medical to automotive. Different uses would call for different types of biopolymer, from the biodegradable (designed to regenerate natural systems) to bio-durable (designed to circulate without loss of quality). Renier emphasised the need for partnerships across the value chain, and invited delegates to consider how materials such as those described by DSM could be factored into circular solutions.

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Photo credit: Gorupka - flickr.com

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HUGO SPOWERS, RIVERSIMPLE

“The breakthroughs that we need now are to be found at the system level - you can’t jump a chasm in two leaps.”Hugo Spowers is the Founder and Company Architect of transportation company Riversimple, but his presentation was about much more than the “fun, affordable” hydrogen fuel cell cars that are currently in development. At the heart of Riversimple is an appreciation of the way that systems work, and an understanding that complex systems do not follow a linear path of evolution, but rather are prone to significant leaps in times of substantive change or chaos. Many businesses today assume that optimising the business as usual model is the only answer, but Spowers called for a more fundamental shift, stating that “changing one thing at a time is prudent in a period of stability, but can be catastrophic when context and constraints change”. When it comes to the business of Riversimple itself, access is offered instead of ownership: mobility is sold as a service as opposed to cars being sold as products. Hugo Spowers believes that this offers a more resilient business model, and resilience should be a higher priority than profit in today’s context.

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MOBILITYALEXANDER LAW, MICHELIN BIBENDUM CHALLENGE

With tyres on vehicles all over the world, Michelin is well placed to give an overview of what it sees as the five major challenges facing the transport sector:

• Health problems due to pollution, noise and lack of road safety

• Limited public funds to finance transportation infrastructure necessary for economic growth

• Congestion and related economic losses

• Rising greenhouse gas levels. Fossil fuel dependency and trade deficits

• Non-inclusive mobility

Fortunately, five game changers were also identified, ranging from setting ambitious emissions targets to utilising mobile apps to create smarter transport solutions. At the crux of the presentation were the leverage points: innovative mobility ecosystems, winning technologies, targeted public policies and new economic instruments were highlighted as the main opportunities for improving global mobility. Members were reminded to balance current technologies and realistic needs during their circular economy transition, and provided a practical example: what if car companies offered a set number of days of car rental each year with the purchase of a new car?

JERRY SAUNDERS, SKYTRAN

“It’s really, really cool.”Giving attendees a view into the future city, Jerry Saunders described the SkyTran concept, a personal rapid transportation system developed in conjunction with NASA. While current forms of urban transport such as cars, buses, trains and bikes all demand space on the ground, the modular SkyTran solution would be suspended above the city. Currently in the pilot stage, SkyTran is based on technology that is similar to but cheaper than the ‘MagLev’ trains being deployed elsewhere. Tracks are based on a neural network, and can learn transport patterns across a city to provide mobility on demand, predicting where the system’s ‘virtual private vehicles’ will be needed next. The first full scale pilots are currently being constructed in Tel Aviv, with more to come in Israel, Paris Airports and Atlanta. Those behind SkyTran don’t expect a smooth ride, with Jerry commenting that “people hate modernity. But people in cities don’t open their windows and look out on a pasture - urban spaces must change”.

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CO.PROJECTS

REMAN / EEE

The Reman and EEE charter groups were originally merged back in Copenhagen to capitalise on the apparent opportunities that exist across the participating organisations represented.

Initially the group began with a sole focus on remanufacturing but subsequently integrated other aspects more broadly relating to the reverse cycle e.g. refurbishment, parts harvesting, reverse logistics, etc. It was noted that this group may need to be renamed to encompass the full spectrum of potential focus areas to be explored collectively.

Reverse Logistics Maturity ModelThe aim of this co.project is to understand the underlying conditions which impact and influence the design of a reverse logistics model, as well as the actionable next steps to achieve best practice. The co.project is chaired by Jonathan Spearing from DHL with research being undertaken by Serhan Alshammari, a PhD student from Cranfield University. Daniella Spiessmann from DHL is also providing project support.

• In Milan, the team presented back to the group the various archetypes evaluated as part of the maturity model and validated the key driving factors and associated characteristics that determine a company’s reverse logistics model.

• Following a positive feedback session, participating members such as Philips and IBM have volunteered to test the Reverse Logistics Maturity Model by using it to assess their internal operations.

• The final version of the model intended for a corporate audience is expected to be delivered in time for the next acceleration workshop.

Policy Vision for RemanThe aim of this co.project was to create a vision of a market in which regulation creates a level playing field where REMAN can compete on an equal footing with NEWMAN. The co.project is led by John Platko from Antea and Seigo Robinson from the Centre for Reuse and Remanufacturing (CRR).

• In Milan, John Platko presented back the group’s progress in relation to the completion of ‘Reman factbooks’ across 9 key markets. These factbooks adopted a standardised format covering key data points such as: market size and segmentation; relevant

definitions; policy levers enabling or serving as obstacles to remanufacturing; identification of each market’s notable industrial practitioners; and academic thought leaders and advocacy groups/relevant trade associations. It was proposed that the next phase of development should focus on maintaining and building upon this database by creating an open online clearing house which would be hosted by CRR.

• Seigo Robinson then provided an overview of the EU funded European Remanufacturing Network (ERN) which is being established with support from CRR, TU Delft and other parties. Some of the key deliverables for the ERN include: a market study; reman toolkit & case studies; reman network of key stakeholders across Europe; and to influence policy with a European Reman Council.

• Given the strong overlap in objectives and activities, the group decided to complete the co.project and share its findings to date with the ERN so that it could leverage these learnings.

Co.Project IncubatorIn light of the fact that the current pipeline of initiatives were nearing completion, the group spent the final session exploring common challenges and opportunities which would lend themselves to the new co.project format.

• Potential themes to be explored by the group include: Reman best practice; the business case for reman; reverse logistics; market development; policy barriers and enablers

• It was agreed that a group call would be scheduled shortly after Milan to identify and develop relevant co.project opportunities. John Platko (Antea) and Jonathan Spearing (DHL) agreed to schedule and facilitate the opening call, with strong voices of support also coming from Nestor Coronado (Philips) and Kirstie McIntyre (HP).

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SCHIPHOL CO.PRO

The most robust challenge facing the proponents of the Circular Economy is the transformation of good ideas and similar intentions into real life business cases.

The CE100 companies and global opinion moulders are geared towards making these changes happen. Initial solutions and best practices have been developed, but these need to be further developed and brought to scale.

To address this problem, a CE Hotbed is now being developed by SADC and Delta Development Group. This is a physical location next to Schiphol International Airport where like-minded trailblazers may collaboratively and pre-competitively develop new circular economy business models from a systems perspective and exemplify the fact that circular economy business

models fare better at creating true sustainability, but moreover, that they offer a much better return on investment.

Rather than costs at End of Product Life, related to Deconstruction, Demolition or Waste Management, products show residual value, based on their design paradigm, material and component composition.

As a result, circular economy business models offer growth opportunities that traditional linear models fail to sustain in the long run. The CE Hotbed at Schiphol will allow these to be conceptualised and developed in the most structured way yet available.

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CO.PROJECT RE-TEX

Re-Tex has worked over the course of five acceleration workshops to establish a co.project team with a clear collective interest: to bring raw materials from the textile industry into circular flows. The long-term objective is to trigger circular projects in the textile industry by creating a positive business case and increasing the volume of textiles in circular cycles.

The Re-Tex group had a productive pre-meeting in Milan to confirm objectives and set the agenda for the workshop sessions. With group leadership from Soex, Ikea and the Cradle to Cradle Products Innovation Institute the co-project sessions were used to provide workstream updates, clarify channels of communication, align objectives and define an action plan for the next six months. Re-Tex has the following three workstreams in progress:

1. Mapping of circular economy initiativesThe group has started building a website that maps relevant initiatives globally and could later function as a catalogue for innovators and suppliers of secondary raw materials. They now aim to invite more innovators to join the platform, strengthening its reach, accuracy and connectivity.

2. Create a catalogue of secondary materialsIn Milan, the Cradle to Cradle Products Innovation Institute presented the initial draft report: ‘Mapping of Parties’ Requirements for Suppliers of Cotton and Polyester’, which will allow the group to optimise the search for innovators supplying secondary raw materials with the respective specifications and amounts.

3. Regional pilotThe group has identified pilot projects in Spain and Northern Europe from which they hope to draw useful insights and lessons for their own regional pilot. To push this initiative forward, they are determined to meet again in early December so that progress can be maintained between Acceleration Workshops.

The group is now well underway to agreeing on their joint expectations of the Co.Project and facilitating negotiations for an NDA to enable successful collaboration in the future. The clear sense of purpose and community is now driving action and innovation, highlighting the potential of pre-competitive collaboration.

FinanCE CO.PROJECT

Formed in December 2014, the FinanCE Co.Project is unusual in that it comprises financial firms that are not (yet) members of the CE100. The full group conducts regular in-person meetings between the Acceleration Workshops and, in Milan, the smaller group of CE100 members held a short session to align on next steps and progress.

The overarching aim of FinanCE is to explore the role of money in the transition to a circular economy, in particular understanding the impact of the circular economy on the financing of companies, the economy and on the role of investors and banks. The group’s ambition is to reach a point in three years’ time at which every major financial institution is aware of the circular economy, knows what advantages it brings to its business and is contributing to the transition.

To achieve this aim, the group is working in several areas:

• Gathering knowledge related to finance in a circular economy and provide to CE100 members

• Analysing and documenting case studies that focus on the financial implications of circular business models

• Extending the existing macroeconomic analysis on the circular economy with a particular focus on transaction costs

• Reaching out to public institutions, e.g. the European Union

The Co.Project has already reached huge progress on those topics. Documents have been collected to share in the CE100 library and the group will continue to look for relevant publications to be shared. Members of the group will be participating in an event on circular economy and money, organised by the Luxembourg EU presidency in December.

Another big project in the group is to produce a report on “The Role of Money in a Circular Economy”. This report will contain further information on the role of finance in a circular economy, several case studies of circular economy examples with relevance to finance, and additional macroeconomic analysis on the circular economy. A draft of the first part of the report is planned for December and an event is planned to be held at the European Investment Bank to gather further input.

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DELL - SCALING CROSS-SECTORIAL PRODUCT RECYCLED PLASTICS

A result of the new Co.Pitch format, this is one of two new Co.Projects elected CE100 members in Milan.

The original pitch by Jonathan Perry from Dell asked how we can close loops on common materials at scale, with the idea to map their pathways and focus on closing the loops on those materials.

After a two-hours long brainstorming session with potential CE100 members interested in the topic, the group decided to focus its attention especially on plastics and more specifically on scaling cross-sectorial product recycled plastics (this became Co.Project title). Here are the first conclusions and next steps:

• The aim is to map material pathways and loops of PVC, PC-ABS, ABS & PP used in cross sectorial products and focusing on closing the loop in those 4 materials

• The Project Lead is Jonathan Perry from Dell. Dell is willing to dedicate some resources to the project and will allocate a Project Manager

• CE100 Participants confirmed: Dell, Veolia, Lexmark, DHL, Envotherm and Schneider Electric, with possible insight/input from the National Materials Marketplace (a common project between WBSCD & CEF).

• The timeline is 12-18 months with a 2/3 weeks conf. call frequency

Immediate next steps are to set up the initial call, look at academic connections within the CE100 to help map the pathway, to connect with plastics associations focused on products to gain some insights, and to review interest of possible other CE100 members.

BUILT ENVIRONMENT CASE STUDIES CO.PROJECT

Meeting for the fourth time, the Built Environment Case Studies Co.Project began its meetings in Milan by discussing the group’s progress to date.

The aim of this Co.Project has been to create a library or collection of case studies on circular practices in the built environment sector. As a starting point, the group had developed a list of characteristics that describe circularity in the built environment. The group had also worked with a Masters student from Cranfield University, and a Graduate from BRE, in order to compile a long list of examples of circularity in the built environment, predominantly focused on buildings. Finally, the group had developed both an extended template and a shortened template for how the case studies could be written up. A few of the collected case studies had been written up in more detail.

The team recognised that the scope of the project we had initially laid out was significantly more than those involved had capacity for, and so the decision was made to redirect efforts towards a shorter-term, more impactful deliverable. The Co.Project is now aiming to produce a pack of (at least) 10 built environment case studies sourced from CE100 members. The pack of case studies will also include the list of characteristics that describe circularity in the built environment. The case studies will look to cover examples ranging from infrastructure, building projects, material usage, and relevant ‘programmes’. This pack of case studies will both act as a showcase of CE100 activities in the built environment, as well as a useful ‘overview’ document for those who want to better understand what circularity in the built environment encompasses. The group plans to release this pack before the next workshop in Paris. Depending on the level of interest that then emerges from the CE100 membership or external parties, our Co.Project would consider further developing these efforts.

BRE representative and PhD student Katherine Adams will be project managing the delivery of this pack of case studies, and the team has engaged a Schmidt-MacArthur Fellow from St. Petersburg State University to further support the collection and write-up of case studies. The broader Co.Project team includes representatives from cd2e, Turntoo, Ouroboros Works, and the London Waste and Recycling Board.

The Ellen MacArthur Foundation will support the curation of the studies, as well as provide editorial and publication support.

If you have case studies that your organisation would like to contribute, please get in touch with our co.project via our EMF Facilitator, Ashima (ashima.sukhdev@ellenmacarthurfoundation.org).

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BIOMIMICRY: NEW CO.PRO

After the Co.Pitch on the Biomimicry Design challenge, several CE100 members expressed interest in participating in a new Co.Project on the topic. A short meeting was held between some of the interested parties in Milan with the plan to properly kick off the project in a call with the whole group in November. One aim of the Co.Project is to create a biomimicry design challenge relevant to businesses and interesting at scale. Some ideas were discussed and the aim is to agree on a theme by the Paris workshop.

FMCG

Based on the conclusions of the Copenhagen workshop, the group had identified three major strands of work:

1. FMCG 2025 project to generate a future vision for the circular economy as it may develop in the FMCG sector

2. A strong interest in Project MainStream, focused on the Global Plastic Packaging Roadmap project

3. The idea to create a new project, focused on the area of returnable secondary packaging as most consumer products today are delivered to retailers in cardboard cases - the challenge is whether these could be replaced by a modular system of returnable crates, as already used in the beverage sector.

Before Milan it was decided to bring the FMCG 2025 project to completion with final materials now available in the CE100 Library. Based on the new Co.Project format, the FMCG group has evolved into a more project-oriented group focusing on the area of returnable secondary packaging.

The first hour of the breakout session in Milan was used to share the vision and intention of this project with various participants including Brambles, WRAP, SAB Miller and Antea Group. These conversations will be taken offline so relevant parties can progress in exploring collaboration opportunities on potential bilateral projects.

In the medium term, key insights could potentially be fed back to the group following the confirmation and subsequent delivery of relevant pilots/research programmes.

The Co.Project was redefined, other relevant members were identified and a project organisational structure was set up. Value Propositions for the Built Environment from the Growth Within report, the project plan is to identify and provide (supported) examples and/or solutions of value propositions for each action.

BUILT ENVIRONMENT BUSINESS MODELS

The goal of the Built Environment Business Models Co.Project is to produce an initial value proposition coupled with a business plan for non-type specific and non-location specific real estate. The group is applying the RESOLVE format, identifying value propositions and SMART criteria in order to show:

1. VALUE TO USER

2. ASSET VALUE (e.g. also investor)

▪ Taking into account building to suit and speculation considerations

3. SUPPLY CHAIN VALUE

▪ To manufacturers ▪ To contractors

The next actions for this Co.Project are to generate new data on the above topics, by engaging with academic research, analysis from the Growth Within report, built environment case studies and outreach to the wider CE100 membership network.

DESIGN PRINCIPLES

Now in the second meeting, the Design Principles Co.Pro identified the need for action for three main reasons:

• The emergence of new projects via the Co.Pitch session that could benefit from a shared circular economy design insight

• Literature review gave an appreciation that a lot of ground has been covered previously by other agencies and organisations in developing complementary design guidelines

• An understanding that the wider CE100 network is a valuable test bed for these design insights, and can feedback to suggest further developments

With this in mind, the group have set the aim to conclude the Co.Project prior to the next Acceleration Workshop, leaving an ongoing bank of design insights available to all CE100 members. To achieve this goal, members of the Co.Pro will:

• Take another pass at the existing design principles before sharing them with the CE100 network via the Library

• Define criteria for inclusion and aggregate the best and most useful design guidelines that complement the central set of principles

• Incorporate software that encourages exploration and enables feedback from the wider network.

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GROWTH WITHIN

The Ellen MacArthur Foundation’s report, Growth Within: a circular economy vision for Europe, was presented in two forum sessions, with around 30 participants from business, government and academia. Interesting insights sprang from discussions on the circular economy visions for the three sectors assessed: mobility, food systems, and the built environment.

While most were inspired by the circular scenarios presented for 2030 and 2050, questions arose around the role of consumer behaviour in realising these scenarios. In addition, the groups discussed how a transition to a circular economy might impact urban life – both positively and negatively.

Two main requests for further research came out of these discussions: more detailed estimations on the effects on jobs (both quantitative and qualitative), and a more detailed understanding of transition costs.

Finally, the groups discussed the current status of the European Commission’s circular economy package: noting that the consultation process for the package had been successfully completed, and that the Commission would be presenting their new, more ambitious, package in early December.

TOOLKIT FOR POLICYMAKERS

The Forum session on Ellen MacArthur Foundation’s recently published Toolkit for Policymakers report was a chance for both business and public representatives to get together and get a brief introduction to the report’s content and findings. The session culminated in a lively breakout in which the business and public representatives pinned down their main motivations to drive a circular agenda, the role and perspectives of policymakers, and finally what they saw as the critical challenges for circular economy policymaking. This breakout generated many interesting insights that will help the Ellen MacArthur Foundation focus its work in this field. For example, there was a clear call for capability building within public entities, both to be able to identify and communicate circular economy opportunities, and to promote circular economy principles in public procurement.

ESTABLISHING CIRCULAR SUPPLY CHAINS – SCALING UP THE MATERIALS MARKETPLACE

US BUSINESS COUNCIL FOR SUSTAINABLE DEVELOPMENT

Amy O’Meara (Corporate EcoForum), Andrea Brown (World Business Council for Sustainable Development) and Andrew Mangan (US Business Council for Sustainable Development) presented the transnational material market place – a pilot project driven by all three organisations to facilitate material trading between companies. The pilot is a crowd-based platform that currently involves 22 companies in 78 locations, with 2.3 million tons of materials available and 12 material transactions between companies underway. The facilitating software, hosted by US BCSD, allows companies to upload specifics of the materials they can offer as well as contributing to a material wish list. While some companies use the marketplace to reach their zero waste targets, it has also proven a useful tool to observe value-creation through material trading.

Forum participants questioned the trading policy for materials in the marketplace. Should toxic sands for example be passed on to another company for use rather than designed out of the system from the beginning?

MEASURING AND REPORTING IN A CIRCULAR ECONOMY

As circular economy approaches gain more and more traction, the question arises how to properly measure and report on the progress towards achieving circular economy objectives. Although some tools exists (e.g., the Circularity Indicators), the areas where measurements are important and the objectives of measurement and reporting vary widely - from looking at details for individual products or projects to more simple high-level company level targets - this scope cannot be covered by a single approach.

The session was very well attended and featured a short overview of existing measurements and some potential approaches and a lively discussion on different ways to approach measuring and reporting in a circular economy. Several members expressed interest in having a very simple measurement that can be used throughout, though it was also recognised that it might be useful to have customised sector measurements. There was encouragement to explore the area further.

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IBM CIRCULAR ECONOMY INSIGHTS: OPTIMAL REUSE LOOPS SELECTION

In this session IBM has presented their “Circularity Insights as a Service” tool which aims to scale up the transition to circular economy through leveraging the power of IT.

IBM shared their experience for an effective circular economy transition and implementation, enabled by data and advanced analytics and in the context of the right business model.

As Jad Oseyran from IBM puts it: “With our newly developed tool we support making reuse loops decisions based on facts and data in order to maximise value. Digitising your product technical specifications as well as its journey through for example the internet of things is important but not enough. You need to highlight that matching between supply and demand at various product levels, regulations data that will constrain the flow of goods and financial data that will monetise market value and costs”

IBM first started by defining the critical circular economy capabilities in the context of the appropriate maturity framework.

One of the key capabilities identified to execute a circular business model is the “Reuse Selection”: the intelligent reuse loop channelling centre or “Circularity Insights as a Service” (CaaS)

IBM then did a live demo of its tool and shared the latest insights on the CaaS software platform, which integrates the relevant data sources, performs advanced analytics (optimisation and demand forecasting) and generates suggestions and insights for the product managers about the optimal reuse of products as well as the financial implications (GP, Turnover, etc.) of the tool suggestions. The suggestions were shown on a user friendly mobile device screen.

IBM highlighted at the end its wish to collaborate with partners to bring this tool further to life, through implementing it in various company contexts and start generating further value from the circular economy.

For further information please get in touch with Jad Oseyran (jad.oseyran@nl.ibm.com).

CE100 LIBRARY AND CASE STUDIES

The first objective of this forum session was to provide an introduction to the CE100 Library as a repository of all useful information and insights about circular economy, including both CE100 exclusive and publicly available documents. Recent additions to the Library include a set of case studies focusing on the implementation challenges for companies, an introductory guide to funding, and the outcome of the FMCircularG 2025 co.project, now finalised, which is a set of stories illustrating a vision for the FMCG sector.

The participants also provided requests for future developments of the Library. They expressed the wish to be able to organise all circular economy knowledge in an effective way, for example with smart search and filtering functions. Being able to link people in the CE100 with their specific expertise was also brought up as a means to improve connections. Finally, the attendees showed interest in seeing case studies of failures as well as more focus on how to embed circular economy in company culture.

Recovering Pre-owned Assets to enable a Circular Business ModelGianluca Menni and Phil King of De Lage Landen presented the findings of the recent DLL study into product recovery. The white paper looks at the potential opportunities and barriers to the successful recovery and utilisation of used assets by manufacturers. It offers a model, which manufacturers can follow to successfully retrieve value from their products.

In particular, DLL identified financing as a critical enabler for the reuse, refurbishment and remanufacturing markets. The white paper puts forward four main motivations for businesses and manufacturers to recover used assets:

• Economical – Increased revenues and profits from products

• Environmental – Fewer raw materials extracted and response to legislation

• Customer – Potential for increased customer service and retention

• Information – Gather more detailed information and data on product performance and opportunities for better design.

It also presents a ‘checklist’ for an effective process for manufacturers to follow when recovering used assets. This research offered delegates further clarity around what the product recovery process involves and how manufacturers might approach the development of their own closed loop supply chains.

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ROUNDTABLE

TOPICS DISCUSSED

ARNOLD STRUIK, AHREND

What is the role of social entrepreneurship in circular economy?

COLIN ROSE , UCL

What opportunities to improve cross-industry exchange of by-products? Possible focus on the construction sector and data centres.

GIACOMO LUCCHESE SERGI , MIP

What types of measurement tools are needed to drive circular economy in policy or private organisations?

KIM TIPA AND LAURY ZWART, FLOOW 2

What B2B sharing economy opportunities could help drive circular economy?

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MARC FROWIJN AND JOOST VAN FAASSEN, HAARLEMMERMEER

How to drive circular economy change internally in organisations?

ANGELA FISCHER, PGGM

What opportunities for circular economy in the agri-business?

LIUDMILLA KOKOULINA, ST PETERSBURG STATE UNIVERSITY

What is the role of information and technologies to support circular economy business models?

CHRISTOPHE SCIUS, SUEZ

How to integrate environmental externalities (negative and positive ones) in our economic system?

FRANCINE TURCK AND NICOLAS REGINSTER, WALLONIA

How to engage industry in circular economy as a public body?

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NEW MEMBERSCorporations

• Intesa Sanpaolo

• eBay

• Dell

• Schiphol Nederland

Emerging Innovators• Bundles

• Noble Environmental Technologies

Government & Cities• London

Affiliates• MERA (Motor & Equipment Remanufacturers Association)

• EPEA (Environmental Protection Encouragement Agency)

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