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The built environment sector largely exists to serve our universal need for shelter, and as such is one of the most important consumers of raw materials in the world.

We believe the built environment should be a ‘living’ system in which building materials and products are optimally used and reused— a system that operates within the boundaries of our planet, preserves the (business) value of its resources, and ensures the well-being of its inhabitants.

Tremendous opportunities to reverse the tide and prevent a state of lock-in from happening exist for regions where the built environment sector has yet to mature. There is also still hope for those regions where the fate of the construction sector may seem set in stone.

This is why two key strategies stand out: 

- Preventing lock-in through thoughtful design
- Optimising (material value) through transformative re-design

Built environment

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This collection features a selection of case studies, mainly based on the [2024 Circularity Gap Report](https://www.circularity-gap.world/2024). 

In this year’s Report, we shift from exploring the what to the how: exploring the different ways that we need to ‘change the rules of the game’ and create a set of conditions that discourage the overshoot of planetary boundaries and ‘undershoot’ of human development. This process has resulted in us spotlighting 12 of the original 16 solutions, highlighting the country profile that they are most relevant to, as well as placing people at the centre of this story for the first time. Based on extensive interviews and desk research, this Report aims to show governments and industry leaders that if they want to turn theory into action and scale an economy that delivers on needs within the safe limits of the planet, they need to dismantle harmful entrenched processes and align enabling elements. 

[Circle Economy](https://www.circle-economy.com/) is a global impact organisation with an international team of passionate experts based in Amsterdam. We empower industries, cities, and nations with practical and scalable solutions to put the circular economy into action. Our vision is an economic system that ensures the planet and all people can thrive. To avoid climate breakdown, our goal is to double global circularity by 2032. 

Through the *Circularity Gap Reporting Initiative*, our mission is to deliver an annual global Circularity Metric that measures the state of the world economy and identifies key levers to transition to global circularity. 

To learn more about these interventions to accelerate the circular transition, read the [latest Circularity Gap Report 2024](https://www.circularity-gap.world/2024), as well as previous editions of the global [Circularity Gap Reports](https://www.circularity-gap.world/global).

Global Circularity Gap Report 2024

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Business case

Impact on the availability of resources as well as their effect on living organisms, ecosystems, and components of the environment.

Ecological Impact

Impacts on the social fabric of the community and well-being of the individuals and families.

Social Impact

Impact on increased knowledge and understanding as a result of the case study

Increase Awareness

Reduced green house gas emissions released into the biosphere

Reduce Emissions (SDG13)

Reduced use of virgin materials and/or an increase of the use of secondary and bio-based materials

Reduce Material Consumption (SDG12)

Minimise waste through diversion: Instead of sending waste to landfill, it is redirected into other industrial processes for handling, treatment, recycling, recovery, or reuse in various forms. 

Minimise waste through design: At the outset of a process of project, plan and design such that there is zero waste or minimal waste during production, use, and at end of life. 

Minimise Waste (SDG12)

Producing building materials and providing services to create residential and non-residential infrastructure and real estate


Construction and Infrastructure

Producing building materials and finished and semi-finished building products for construction

Construction Materials and Products

Ensure renewable, reusable, non-toxic resources are utilised as materials and energy in an efficient way

Prioritise regenerative resources

Utilise bio-based, reusable, non-toxic and non-critical materials

Regenerative materials

Using materials that can be easily reused or recycled after use

Reusable, recyclable materials and inputs

Make collected and sorted recyclables available for use by citizens, small businesses up to large scale industrial processes. 

Use recyclables

Other

These countries are home to around a quarter of the global population, yet consume over one-third (34%) of raw materials. Shift countries’ material footprint per capita is 4.6 times that of Build countries (largely due to the overconsumption of consumer goods imported from Grow counties) and 1.6 times that of Grow countries.

These are high-income countries in the Global North, as well as in the Gulf, Australia, and Oceania. Examples include:
- Member States of the EU
- the US
- Japan
- the UK
- Canada
- Argentina, ...

While much of their infrastructure is already built, they still contribute heavily to the overshoot of planetary boundaries: they contribute 42% of climate change, 27% of nitrogen, 18% of phosphorus, 16% of freshwater use and 38% of land use change.

To find out what country profile your country belongs to, explore [this interactive story](https://circularity-gap.world) and search for your country on the final map.  


Shift

The built environment, including housing, commercial buildings, and the necessary infrastructure for mobility, is essential for our livelihoods, but:
- the extraction of minerals used to produce construction materials is responsible for a quarter of global land use change,
- approximately 40% of global GHG emissions can be attributed to buildings’ construction, use and demolition, and
- construction and demolition processes drive nearly one-third of all material consumption. 

Making the built environment more circular must prioritise a heavy reduction in material use—while also closing the loop on materials and bringing secondary and renewable material choices to the fore. Our four key solutions for the built environment are:
- Make the most of what already exists: Make the most of existing materials by reusing, repurposing, upgrading and renovating following circular approaches. Where new builds are needed, use secondary materials and be as efficient as possible with urban planning solutions that follow circular design principles so that buildings can be reused, repurposed, and easily disassembled in the future.
- Be as energy efficient as possible: From the design phase, utilise circular strategies to create material- and energy efficient buildings. Couple these designs with a rollout of clean energy solutions, and prioritise energy-efficient appliances and retrofitting. 
- Utilise secondary materials: Maximise the high-value reuse of buildings and components where possible. Ideally, enable the utilisation of construction and demolition outputs and ensure that as much of it as possible is recycled to avoid the need for virgin materials, such as sand and gravel.
- Prioritise circular materials and approaches: Transition to using renewable wood, timber or cross-laminated timber instead of steel and concrete, or move to other locally available materials. Utilise mainstream modular construction and prioritise lightweight frames and structures to reduce cement and steel use, as well as green roofs where possible.



🏢 Built Environment

The built environment, including housing, commercial buildings, and the necessary infrastructure for mobility, is essential for our livelihoods, but:
- the extraction of minerals used to produce construction materials is responsible for a quarter of global land use change,
- approximately 40% of global GHG emissions can be attributed to buildings’ construction, use and demolition, and
- construction and demolition processes drive nearly one-third of all material consumption. 

Making the built environment more circular must prioritise a heavy reduction in material use—while also closing the loop on materials and bringing secondary and renewable material choices to the fore. Our four key solutions for the built environment are:
- Make the most of what already exists: Make the most of existing materials by reusing, repurposing, upgrading and renovating following circular approaches. Where new builds are needed, use secondary materials and be as efficient as possible with urban planning solutions that follow circular design principles so that buildings can be reused, repurposed, and easily disassembled in the future.
- Be as energy efficient as possible: From the design phase, utilise circular strategies to create material- and energy efficient buildings. Couple these designs with a rollout of clean energy solutions, and prioritise energy-efficient appliances and retrofitting. 
- Utilise secondary materials: Maximise the high-value reuse of buildings and components where possible. Ideally, enable the utilisation of construction and demolition outputs and ensure that as much of it as possible is recycled to avoid the need for virgin materials, such as sand and gravel.
- Prioritise circular materials and approaches: Transition to using renewable wood, timber or cross-laminated timber instead of steel and concrete, or move to other locally available materials. Utilise mainstream modular construction and prioritise lightweight frames and structures to reduce cement and steel use, as well as green roofs where possible.


🏢 Built environment

Based on extensive interviews and desk research, this Report aims to show governments and industry leaders that if they want to turn theory into action and scale an economy that delivers on needs within the safe limits of the planet, they need to dismantle harmful entrenched processes and align enabling elements - policy, finance, and people

- Get the economics right: Adjust fiscal policies and practices to create true prices and ensure that circular solutions are funded so that they can replace linear norms.





Finance

Regenerate strategies phase out hazardous or toxic materials and processes and substitute them with regenerative biomass resources. A circular economy aims to mimic natural cycles—by shifting to more regenerative farming practices, for example—while also maximising the share of circular biomass that enters the economy. Regeneration can happen both at the systems level (by designing regenerative processes) as well as at the product level (by switching synthetic to organic fertilisers, for example).

Regenerate

Employ online platforms to connect and improve information sharing between stakeholders

Digital platforms

Engage with the local community where facilities or offices are located

Community collaboration

Designing products that can easily breakdown and degrade in the environment

Design for bio-degradability

Replace energy sources with less impactful alternatives and enact energy efficiency measures

Regenerative energy

Using <a href="https://echa.europa.eu/information-on-chemicals" target="_blank">materials that are not toxic or hazardous</a>.

Non-toxic materials and inputs

Integrate principles of circularity into primary, secondary and tertiary curriculum and conduct workplace trainings

 Education and Curriculum

Account for the systems perspective during the design process, to use the right materials, to design for appropriate lifetime and to design for extended future use

Design for the future

Selling parts of modular products that can be exchanged or replaced

Sale of exchangeable parts

Enacting measures that optimise energy use

Energy efficiency

Working together with stakeholders and parties in other unrelated industries to implement circular economy strategies and opportunities

Cross-industry projects, pilots

Recover waste energy or generate fuels and energy from waste streams

Energy recovery from waste

Converting fossil fuel based operations to electric

Electrification

Collection programmes that process products and parts for reuse or recycling within the same industry

Closed loop collection

Designing to enable multiple uses and lifecycles of a product and its materials

Design for cyclability

Engaging in discussions with government bodies and policymakers to push for regulations that support the circular economy

Advocacy for circular economy policy

Using renewable energy like solar, wind, etc. or renewable fuels like biomass, etc.

Renewable energy, fuels

Selling high quality, long-lasting products

Sale of durable, long-lasting goods

Designing products of multiple parts that can be easily exchanged

Design for modularity

Employing artificial algorithms and robotics to identify, enable and/or implement circular strategies (eg. effective resource use & logistics planning, circular business models & design)

Advanced robotics, artificial intelligence

Working together with industry peers to engage in business activities or exploratory projects that advance the circular economy

Joint industry ventures, projects, pilots

Connecting products and services into the internet of things to identify, enable and/or implement circular strategies (eg. effective resource use & logistics planning, circular business models & design)

Internet enabled, connected operations

Utilise waste streams as a source of secondary resources and recover waste for reuse and recycling

Use waste as a resource

Providing products through sharing between consumers, customers, etc.

Peer to peer sharing

Developing or utilising online platforms to enable circular economy opportunities through information, product or service offering

Online platforms

Transforming waste products into materials and lower value products within other industries

Open loop downcycling

Putting in place purchasing guidelines for procurement departments and evaluating suppliers on circular economy principles

Circular procurement

Providing DIY repair kits or spare part programmes for enabling self-repair

Self-repair, spare part service

Providing upgrade programmes or upgrade services for products or parts of products

Product upgrade

Transforming waste products into materials and lower value products within the same industry

Closed loop downcycling

Engage and guide customers and consumers to ensure circular use of products

Customer / consumer collaboration

Designing products to increase consumer’s emotional attachment and ensure longer use

Design for product attachment, emotional durability

Transforming waste products, materials for reuse within the same industry

Closed loop upcycling

Designing to reduce waste during production and use

Design out waste

Allowing customers to alter and modify certain features of the product

Customisation

Facilitate discussions and meetings between internal team members to identify circular opportunities

Dialogue with internal stakeholders

Generating energy from waste through processes such as anaerobic digestion, gasification, incineration, etc.

Generating energy from waste

Use digital, online platforms and technologies that provide insights to track and optimise resource use, strengthen connections between supply chain actors, and enable the implementation of circular models



Incorporate digital technology

Replace freshwater with less impactful alternatives and enact water efficiency measures

Regenerative water

While resources are in-use, maintain, repair and upgrade them to maximise their lifetime and give them a second life through take back strategies when applicable

Stretch the lifetime

Industry peers to industry peer collaboration to create joint value and identify synergies

Industry collaboration

Preserving and conserving biological products such as food, forests, etc.

Preservation, conservation

Working together with the community and engaging them in the company operations

Joint product development

Reuse, repurpose, and recycle waste streams within the same industry

Valorise waste streams - closed loop

Providing repair services or maintenance services for products or parts

Product maintenance, repair

Ensure that biological products are properly managed and preserved

Maximise lifetime of biological products

Consider opportunities to create greater value and align incentives that build on the interaction between products and services

Rethink the business model

Replacing freshwater use with rainwater, fogwater, seawater, etc.

Alternative water use

Developing or utilising online marketplaces to enable the peer-to-peer exchange of products and services

Peer-to-peer online marketplaces

Initiatives with disadvantaged communities, minorities, people distanced from the labour market

Give-back programmes

Processing waste streams into fuels such as biogas, biofuels, pellets, etc.

Processing waste into fuel

Using bio-based materials such as bioplastics, mushroom-based materials, etc.

Alternative bio-based materials and inputs

Engaging in discussions with industry stakeholders to share circular economy best practices and push the industry towards greater circularity

Guidance, dialogue with industry stakeholders

Using waste materials that have been processed and recycled to produce new products within other industries

Using open loop recycled materials

Employ technologies to gather and analyse data to provide insights on resource use

Data and insights

Designing products so they produce as little waste as possible during production

Design for minimal waste

Takeback and return of products from customers after end-of-use

Takeback programmes

Recovering and reusing waste heat, gas, etc. for energy

Recovery and reuse of waste energy

Participating in government programmes that support and advance the circular economy

Government programmes

Selling parts of modular products that can be refilled

Sale of refillable parts

Designing products to be reused for the same or different purposes in multiple lifecycles

Design for reuse

Designing products to resist damage and wear, and serve a long and useful life.

Design for physical durability

Transforming waste products, materials for reuse within other industries

Open loop upcycling

Using waste materials that have been processed and recycled to produce new products within the same industry

Using closed loop recycled materials

Upgrade, repair, and maintenance while in-use

Maximise lifetime of products in-use

Using <a href="http://ec.europa.eu/growth/sectors/raw-materials/specific-interest/critical_sv" target="_blank">materials that are not considered critical</a>.

Non-critical materials and inputs 

Designing products with a single material type to more easily recycle them after use

Design for recycling - mono-materials

Managing and enriching biological products such as soil, land, etc.

Management, enrichment

Designing products so they use as little materials, water, energy, etc. as possible during use

Design for resource efficiency

Working together with customers to jointly create products fit for them

Co-creation

Provide guidance or professional training to educate employees to use circular economy principles

Training on the circular economy

Providing services through a subscription plan with regular payment schemes

Subscription-based services

Enacting measures that optimise water use

Water efficiency

Key elements of the circular economy

<p>A calculation model that provides insight into the financial residual value of a construction product. With the advantage that the owner prefers to recycle it circularly for a high-quality application, rather than processing it into low-value raw material. That is the Residual Value Calculator that TNO is developing together with partner C2C ExpoLAB.</p>