Advertisement

Factor X pp 115-129 | Cite as

Circular Economy: Origins and Future Orientations

  • Riina AntikainenEmail author
  • David Lazarevic
  • Jyri Seppälä
Chapter
Part of the Eco-Efficiency in Industry and Science book series (ECOE, volume 32)

Abstract

The circular economy is increasingly attracting the attention of various actors in Europe and globally. It refers to closing material loops and prolonging the lifetime of materials; and, as such, presents a radically different socio-technological future compared to the unsustainable conventional ‘take-make-dispose’ economic model. The concepts underpinning the circular economy are not new, and ecological economics, environmental economics and industrial ecology have been highlighted as its significant antecedents. The circular economy requires involvement of all the societal actors: companies, which bring new circular economy business models; consumers, who create the demand for products and services that apply circular economy principles and decision makers, who support the transition with ‘better’ policy instruments and governance. The circular economy is expected to bring multiple benefits to the environment and the economy, but only a few examples have demonstrated the circular economy’s potential economic benefits for industrial actors. This chapter provides an overview of the concepts, principles, expectations, strategies, business models, indicators and future trends connected to the circular economy.

Keywords

Circular economy Theories Strategies Indicators Business models Future trends 

References

  1. Andersen MS (2007) An introductory note on the environmental economics of the circular economy. Sustain Sci 2(1):133–140. doi:10.1007/s11625-006-0013-6 CrossRefGoogle Scholar
  2. Ayres RU (1981) Eco-thermodynamics: economics and the second law. Ecol Econ 26:189–209CrossRefGoogle Scholar
  3. Benoît C, Mazijn B (eds) (2009) Guidelines for social life cycle assessment of products. United Nations Environment Programme (UNEP), ParisGoogle Scholar
  4. Benyus JM (1997) Biomimicry: innovation inspired by nature. William Morrow, New YorkGoogle Scholar
  5. Björklund A, Finnveden G, Roth L (2010) Application of LCA in waste management. In: Christensen TH (ed) Solid waste technology & management. Wiley, Chichester, pp 137–160CrossRefGoogle Scholar
  6. Bocken NMP, de Pauw I, Bakker C, van der Grinten B (2016) Product design and business model strategies for a circular economy. J Ind Prod Eng 33(5):308–320. doi:10.1080/21681015.2016.1172124 Google Scholar
  7. Boons F, Howard-Grenville JA (eds) (2009) The social embeddedness of industrial ecology. Edward Elgar Publishing, EnglandGoogle Scholar
  8. Braungart M, McDonough W (2002) Cradle to cradle: remaking the way we make things. North Point Pr, LondonGoogle Scholar
  9. Buclet N, Godard O (2000) Municipal waste management in Europe: a comparative study in building regimes. Kluwer Academic Publishing, DordrechtCrossRefGoogle Scholar
  10. D’Amato D et al (2016) Green, circular, bio-economy: a comparative analysis. ManuscriptGoogle Scholar
  11. Dixon P, Jorgenson DW (eds) (2013) Handbook of computable general equilibrium modeling, vol 1A and 1B. North Holland, AmsterdamGoogle Scholar
  12. Eder P, Delgado L, Neuwahl F (eds), Arnold T, Huppes G, Van Oers L, Heijungs R (2006) Environmentally extended input-output tables and models for Europe. Technical Report Series Report EUR 22194 EN. Joint Research Centre (DG JRC), Institute for Prospective Technological Studies, SevilleGoogle Scholar
  13. EEA (2016) Circular economy in Europe. Developing the knowledge base. EEA Report No 2/2016. European Environment Agency, Publications Office of the European Union, LuxembourgGoogle Scholar
  14. Ehrenfeld JR (1997) Industrial ecology: a framework for product and process design. J Clean Prod 5(1–2):87–95. doi:10.1016/S0959-6526(97)00015-2 CrossRefGoogle Scholar
  15. Ellen MacArthur Foundation (2013) Towards the circular economy: economic and business rationale for an accelerated transition. Available: https://www.ellenmacarthurfoundation.org/assets/downloads/publications/Ellen-MacArthur-Foundation-Towards-the-Circular-Economy-vol.1.pdf. Accessed 2 Feb 2017
  16. Ellen MacArthur Foundation (2015a) Towards a circular economy: business rationale for an accelerated transition. Available: https://www.ellenmacarthurfoundation.org/assets/downloads/TCE_Ellen-MacArthur-Foundation_9-Dec-2015.pdf. Accessed 2 Feb 2017
  17. Ellen MacArthur Foundation (2015b) Circularity indicators. An approach to measuring circularity project overview. Available: https://www.ellenmacarthurfoundationorg/assets/downloads/insight/Circularity-Indicators_Project-Overview_May2015.pdf. Accessed 2 Feb 2017
  18. Ellen MacArthur Foundation, SUN, McKinsey Center for Business and Environment (2015) Growth within: a circular economy vision for a competitive Europe. Available: https://www.ellenmacarthurfoundation.org/assets/downloads/publications/EllenMacArthurFoundation_Growth-Within_July15.pdf. Accessed 2 Feb 2017
  19. European Commission (2014) Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions: towards a circular economy: a zero waste programme for Europe. Brussels.Google Scholar
  20. European Commission (2015) Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions—closing the loop—an EU action plan for the Circular Economy. BrusselsGoogle Scholar
  21. Finnveden G, Björklund A, Ekvall T, Moberg Å (2007) Environmental and economic assessment methods for waste management decision-support: possibilities and limitations. Waste Manag Res 25(3):263–269CrossRefGoogle Scholar
  22. Georgescu-Roegen N (1971) The entropy law and the economic process. Harvard University Press, LincolnCrossRefGoogle Scholar
  23. Ghisellini P, Cialani C, Ulgiati S (2016) A review on circular economy: the expected transition to a balanced interplay of environmental and economic systems. J Clean Prod 144:11–32. doi:10.1016/j.jclepro.2015.09.007 CrossRefGoogle Scholar
  24. Hawken P, Lovins AB, Lovins LH (2013) Natural capitalism: the next industrial revolution. Routledge, LondonGoogle Scholar
  25. Hisschemöller M, Bode R, van de Kerkhof M (2006) What governs the transition to a sustainable hydrogen economy? Articulating the relationship between technologies and political institutions. Energy Policy 34(11):1227–1235. doi:10.1016/j.enpol.2005.12.005 CrossRefGoogle Scholar
  26. Hobson K (2016) Closing the loop or squaring the circle? Locating generative spaces for the circular economy. Prog Hum Geogr 40(1):88–104CrossRefGoogle Scholar
  27. Hobson K, Lynch N (2016) Diversifying and de-growing the circular economy: radical social transformation in a resource-scarce world. Futures 82:15–25CrossRefGoogle Scholar
  28. ISO (International Organization for Standardization) (2006a) ISO 14040: environmental management—life cycle assessment—principles and framework. International Organization for Standardization, GenevaGoogle Scholar
  29. ISO (International Organization for Standardization) (2006b) ISO 14044: environmental management—life cycle assessment—requirements and guidelines. International Organization for Standardization, GenevaGoogle Scholar
  30. Lazarevic D, Valve H, Kautto P (2016) What makes the circular economy? Expectations and visions of a European circular economy. In: Paper presented at the 7th international sustainability transitions conference, Wuppertal, 6–9 Sept 2016Google Scholar
  31. Lewandowski M (2016) Designing the business models for circular economy—towards the conceptual framework. Sustainability 8(1):43. doi:10.3390/su8010043 Google Scholar
  32. Lieder M, Rashid A (2016) Towards circular economy implementation: a comprehensive review in context of manufacturing industry. J Clean Prod 115:36–51. doi:10.1016/j.jclepro.2015.12.042 CrossRefGoogle Scholar
  33. Loiseau E, Saikku L, Antikainen R, Leskinen P, Pitkänen K, Droste N, Hansjürgens B, Kuikman P, Thomsen M (2016) Green economy and related concepts: an overview. J Clean Prod 139:361–371. doi:10.1016/j.jclepro.2016.08.024 CrossRefGoogle Scholar
  34. Lyle J (1996) Regenerative design for sustainable development. Wiley, New YorkGoogle Scholar
  35. Murray A, Skene K, Haynes K (2015) The circular economy: an interdisciplinary exploration of the concept and application in a global context. J Bus Ethics. doi:10.1007/s10551-015-2693-2 Google Scholar
  36. OECD (2009) The Bioeconomy to 2030: desingning a policy agenda. OECD Publishing, Paris.Google Scholar
  37. OECD (2011) Towards Green Growth: Monitoring Progress. OECD Indicators, OECD Green Growth Studies, OECD Publishing, ParisGoogle Scholar
  38. Pauli G (2010) The blue economy. Paradigm Publications, TaosGoogle Scholar
  39. People’s Republic of China (2008) Circular economy promotion law of the People’s Republic of ChinaGoogle Scholar
  40. Rosenström U (2009) Sustainable development indicators: much wanted, less used? Monographs of the Boreal Environment Research 33. Finnish Environment Institute, Helsinki. http://urn.fi/URN:ISBN:978-952-11-3414-2
  41. Simmonds PL (1862) Undeveloped substances: or, hints for enterprise in neglected fields. Robert Hardwicke, LondonGoogle Scholar
  42. Sitra (2016) Leading the cycle Finnish road map to a circular economy 2016–2025. Sitra studies 121. http://wwwsitrafi/julkaisut/Selvityksiä-sarja/Selvityksia121pdf. Accessed 2 Feb 2017
  43. Stahel WR (2013) Policy for material efficiency-sustainable taxation as a departure from the throwaway society. Philos Transact A Math Phys Eng Sci 371:20110567. doi:10.1098/rsta.2011.0567 CrossRefGoogle Scholar
  44. Stahel WR (2015) The performance economy: business models for the functional service economy. In: Misra KB (ed) Handbook of performability engineering. Springer, London, pp 127–137Google Scholar
  45. Stahel WR (2016) Circular economy. Nature 531:435–438CrossRefGoogle Scholar
  46. Stahel WR, Clift R (2015) Stocks and flows in the performance economy. In: Clift R, Druckman A (eds) Taking stock of industrial ecology. Springer, HeidelbergGoogle Scholar
  47. Su B, Heshmati A, Geng Y, Yu X (2013) A review of the circular economy in China: moving from rhetoric to implementation. J Clean Prod 42:215–227. doi:10.1016/j.jclepro.2012.11.020 CrossRefGoogle Scholar
  48. Swarr TE, Hunkeler D, Klöpffe W, Pesonen HL, Ciroth A, Brent AC, Pagan R (2011) Environmental life cycle costing: a code of practice. Society of Environmental Chemistry and Toxicology (SETAC), PensacolaGoogle Scholar
  49. The Ministry of Infrastructure, the Environment and the Ministry of Economic Affairs, also on behalf of the Ministry of Foreign Affairs and the Ministry of the Interior and Kingdom Relations (2016) A circular economy in the Netherlands by 2050. Available: https://wwwgovernmentnl/binaries/government/documents/policy-notes/2016/09/14/a-circular-economy-in-the-netherlands-by-2050/17037+Circulaire+Economie_EN.PDF. Accessed 2 Feb 2017
  50. The Scottish Government (2016) Making things last—a circular economy strategy for Scotland. Available: http://www.gov.scot/Resource/0049/00494471.pdf. Accessed 2 Feb 2017
  51. Tukker A (2015) Product services for a resource-efficient and circular economy—a review. J Clean Prod 97:76–91. doi:10.1016/j.jclepro.2013.11.049 CrossRefGoogle Scholar
  52. UNEP (2011) Towards a green economy: pathways to sustainable development and poverty eradication. United Nations Environment Programme, NairobiGoogle Scholar
  53. Velis C, Wilson DC, Cheeseman CR (2009) 19th century London dust-yards: a case study in closed-loop resource efficiency. Waste Manag 29(4):1282–1290. doi:10.1016/j.wasman.2008.10.018 CrossRefGoogle Scholar
  54. Wijkman A, Skånberg K (2015) The circular economy and benefits for society jobs and climate clear winners in an economy based on renewable energy and resource efficiency. Club of Rome. Available: https://www.clubofrome.org/wp-content/uploads/2016/03/The-Circular-Economy-and-Benefits-for-Society.pdf. Accessed 8 Feb 2017
  55. Yuan Z, Bi J, Moriguichi Y (2006) The circular economy: a new development strategy in china. J Ind Ecol 10(1–2):4–8. doi:10.1162/108819806775545321 Google Scholar

Copyright information

© Springer International Publishing AG 2018

Authors and Affiliations

  • Riina Antikainen
    • 1
    Email author
  • David Lazarevic
    • 1
  • Jyri Seppälä
    • 1
  1. 1.Finnish Environment InstituteHelsinkiFinland

Personalised recommendations