The Circular Facade.pdf

Business case

Facilitate cross-collaboration by engaging city departments, industries and businesses on ambitious, closed-loop circular projects.

Support closed-loop systems and cross-sectoral synergies

Archetypes

CE Materials

Materials

Nace Sectors

Whilst no two countries are the same, there are still obvious similarities between some of them, with discernible development patterns and parallels in evidence. Common problems and shared solutions help place unique country identities and individual issues in context.

Whilst this classification is far from clear-cut and exhibits some overlap, it does underline how the discourse on transitioning to a circular economy needs to account for both differences and commonalities, if we are to arrive at a more strategic and instructive analysis. It also allows to highlight a set of key themes that are likely to be central to the countries that fall under the respective profiles. 

Country profiles (Build, Grow, Shift)

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A framework to distinguish between different country profiles and their circular transition needs.

Browse case studies by type of implementing stakeholder.

Implementing stakeholders

The Circular City Actions Framework provides urban changemakers with five complementary strategies they can use to start working towards a more circular system. 

The framework is action-based to provide users with concrete strategic directions and showcase the desired outcomes of each strategy. 
The framework consists of five complementary **strategies**, under which **sub-strategies** provide further detail. Finally, each sub-strategy consists of a diversity of tangible **solutions** which are framed in relation to key thematic areas. 

Note: solutions are currently focused on:
- 🍏 **Food systems**
- 🏢  **Built environment**
- 👕📱  **Consumer goods**
- ⚡ **Energy Systems**
- 🚌 **Mobility Systems**
- 💧 **Water Systems**

More thematic areas are coming soon...

'Click through each of the five strategy cards below to explore the framework and circular economy case studies in more depth!'



This framework was developed in collaboration with ICLEI, Metabolic and Ellen MacArthur Foundation with support from the MAVA Foundation. Read more about it [here]( https://circulars.iclei.org/action-framework/). 



Circular City Actions Framework

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An action-based framework for local governments working towards circular cities

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ABN AMRO Bank

 Rabobank 

OUR MISSION IS TO ACCELERATE THE PRACTICAL AND SCALABLE IMPLEMENTATION OF THE CIRCULAR ECONOMY

At Circle Economy, we believe in a visionary future for our planet — one in which we do not have to compromise in order to achieve economic, social, and environmental prosperity. As an impact organisation, we connect and empower a global community to create the conditions for systemic transformation. With nature as our mentor, we work alongside businesses, cities and governments to identify opportunities to make the transition to the circular economy, and provide a powerful combination of practical and scalable solutions to turn these opportunities into reality.
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Our mission is to empower a global community of businesses, cities and governments to accelerate the transition to the circular economy through practical and scalable insights and solutions that address humanity’s greatest challenges.

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Circle Economy

Nyenrode Business University

Avans Hogeschool

Triodos

Invest-NL

KPMG

De Groot en Visser

Alkondor

Allen & Overy

Sustainable Finance Lab

Blitta

In its second whitepaper, the Coalition Circular Accounting (CCA) explores Facades-as-a-Service as a method to battle waste and increase the circularity of buildings. The Facades-as-a-Service will provide a customisable, dismantable facade that provides a building with ventilation, sunlight regulation and energy generation, all adjustable by remote control. The Product-as-a-Service business model benefits circular construction by incentivising manufacturing companies to retain responsibility for their product and their performance before, during and after its lifespan.&nbsp;‍However, current financing models can present major barriers for companies with circular business aspirations. Asset ownership for example, characterized by an extended balance sheet, is unpopular amongst financiers and suppliers, whilst essential for incentivising a long term business perspective.‍In light of these current and persistent financing barriers, the Coalition Circular Accounting has launched a white paper that elaborates on the opportunities and risks of Product-as-a-Service business models. The paper proposes a new contractual structure as an enabler and raises the issue of the misfit between current financing structures and circular business models.

The Circular Facade: Building a sustainable financial reality with Facades-as-a-Service

Valorising Residual Resources.pdf

Valorising Residual Resources: Mitigating food waste - how cooperatives can boost the circular economy


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Circle Economy and ICLEI have partnered up to initiate the go to knowledge hub of case studies about the circular economy in cities. The Cities Collection is a repository of case studies that demonstrate the role of cities in the circular transition, and includes policies, business cases and research articles. Cases in the Collection flow into an ecosystem of digital products which support users in transitioning cities to circularity, for example [Ganbatte](https://ganbatte.world/cities/) and <a href="https://circulars.iclei.org/" target="_blank">ICLEI Circulars</a>, both part of the <a href="https://circulars.iclei.org/circle-lab-for-cities/" target = _blank">Circle Lab for Cities Programme.</a>

Circular Cities

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Article / Report

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

Increase Awareness

Direct and indirect reduction in economic costs

Cost Savings

Direct and indirect effects that increase revenues or the potential for new revenues, for example from new products, customer segments, partnerships or business models

Revenue Potential

Impact on the ease of innovation, and facilitating uptake of innovations

Innovation

Scalability

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 and gathering crop and animal products from land and water through farming, hunting, and fishing

Agriculture

Processing and producing food and beverages for consumption

Food and Beverage

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

Use waste as a resource

Work together throughout the supply chain, internally within organisations and with the public sector and communities to increase transparency and create joint value

Team up to create joint value

Reuse, repurpose, and recycle waste streams within other industries

Valorise waste streams - open loop

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

Industry collaboration

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

Guidance, dialogue with industry stakeholders

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

Joint industry ventures, projects, pilots

'Mobilise' sets the direction of and builds momentum towards long-term change, while also determining how this direction is determined and governed.

Mobilise

Govern the Transition

Cross-departmental collaboration and engagement

'Incentivise' sends market signals and support to businesses, citizens and governments to promote certain activities.

Incentivise

 Fiscal Frameworks

Maintain and repair city-owned spaces and infrastructure to increase longevity, and support opportunities for residents to do the same for privately owned items and property

Support reuse, repair, remanufacturing, maintenance of existing resources, products, spaces & infrastructure

The food system nourishes populations and employs 50% of the global workforce, but:
- it currently drives a quarter of the overshoot on the climate change planetary boundary due to its greenhouse gas (GHG) production, 
- animal farming alone uses over one-quarter of all land, equivalent to the size of the Americas,
- nearly a quarter of freshwater resources are lost due to rampant food waste, and
- it is the single largest driver of biodiversity loss.

A circular food system must address the whole value chain, from production to consumption to waste management. The four key solutions for the food system are:
- Put healthier, satiating foods first: Prioritise satiating and healthy foods with a lower environmental impact—ideally shifting calories from meat, fish, and dairy towards cereals, fruits, vegetables, and nuts.
- Go local, seasonal, and organic: Prioritise the production and consumption of local, seasonal, and organic produce (sometimes in combination with GMO to reduce pests and disease loss on crops), which can lead to a significantly reduced need for chemical inputs, fuels, and processing services that contribute to environmental impacts.
- Mainstream regenerative agriculture: Scale up agricultural practices that regenerate ecosystems, recirculate nutrients and sequester carbon by design. 
- End avoidable food waste: Minimise food loss and valorise waste following the food waste hierarchy along the supply chain and at the consumer level through better management of transport and storage, more refrigeration and smart planning, and technology at the consumer and food service levels.



🍏 Food Systems

Businesses

Impacts

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Industries

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A framework of policy instruments that enabled and encourage the transition to the circular economy

Policies

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A framework of policy instruments that enable and stimulate the transition to the circular economy

The principles of a circular economy concern designing out waste, regenerating ecosystems and keeping items in use. Decoupling the economy from material flows—improving the rate of resource productivity faster than the economic growth rate—is also a consistent guide. By evolving with the growing number of applications of circular economy principles, and consolidating these strategies across thematic areas, Circle Economy’s Key Elements Framework (KE) renders the elements of the circular economy salient and serves as a basis to derive contextual strategies and interventions. 


The Framework consists of:
- Core Elements: Activities directly handling product or material flows; and uniquely,
- Enabling Elements: those that remove obstacles for core actors.


Key elements of the circular economy

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Circle Economy's framework of strategies and activities that define the circular economy

Thematic Areas

City Stakeholders

This report by the Coalition Circular Accounting (CCA) finds that residual resources, which are now often categorised as 'waste', can be reused at their highest potential value if fair pricing is ensured. Using the example of IntelligentFood, a cooperative that turns residual biscuit dough into new products, the report shows how value chain partners can collaborate to add value and mitigate food waste, working together towards common circular goals. The report further provides insights into the financial, accounting and legal aspects of valorising food waste and the organisational challenges of being circular in a linear world.‍About the Coalition Circular AccountingThe Coalition Circular Accounting has been founded by the Royal Netherlands Institute of Chartered Accountants (NBA) and Circle Economy to identify accounting related challenges in the circular economy. The coalition includes experts and scientists in the field of finance, accounting and law, who together create solutions to overcome barriers to circularity. Learn more about the coalition in this launch article. Previous publications of the CCA‍The Circular Phone | Facades-as-a-service | The Circular Road

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Amsterdam

Impact Institute

IntelligentFood

Europastry

Alfa Accountants & Adviseurs

Residual resources, such as food processing surplus streams—now often categorised as ‘waste’—can be reused at their highest potential value if fair pricing can be ensured, finds the third report of the Coalition Circular Accounting. In their&nbsp;Valorising Residual Resources&nbsp;report, they elaborate on the financial, accounting and legal aspects of valorising food waste and the organisational challenges of being circular in a linear world.&nbsp; Annually, 88 million tonnes of food is wasted in the European Union alone. An estimated third of that waste occurs before food items even hit the shelves. In some food categories, waste is particularly hard to avoid because of a lack of knowledge, logistical challenges or expiration dates. But in a time when climate change and hunger threaten millions of livelihoods around the world, minimising food waste is a must, resulting in higher food security and a reduced industry footprint.&nbsp; A current go-to solution for many food manufacturers is to downcycle and sell waste streams as animal feed. But when these resources are of premium quality and fit for human consumption, this is a massive loss. To ensure efficient resource use, the circular economy aims to maintain the highest possible value of resources for as long as possible. But producers need a stronger incentive to valorise all their waste streams—an incentive the linear economic system does not provide. The Coalition Circular Accounting (CCA), led by the Royal Netherlands Institute of Chartered Accountants (NBA) and Circle Economy, has identified opportunities to salvage and valorise residual resource streams before they are turned into input for the production of animal feed or waste. Using biscuit dough as an example, the coalition teamed up with cooperative&nbsp;IntelligentFood&nbsp;to explore the challenges they are facing and identify promising pathways for circular ways of working that can be applied to a multitude of other types of residual streams.&nbsp;‍The cooperate as circular enabler‍IntelligentFood is organised as a cooperative that receives residual biscuit dough from Europastry—a leader in the frozen bakery dough sector—and joins forces with value chain partners to add value and create new products. Members can contribute either as an employee, as an organisation, in cash or in-kind. All members that have contributed value share in the profits, following a distribution key.&nbsp; The CCA has found that the cooperative governance structure of IntelligentFood offers great incentives for partners to collaborate, create value and share risks. As a cooperative, IntelligentFood does not own production facilities, nor employs chefs or has any logistical capacities. Their primary role is to develop new food concepts that use residual food streams and connect different external parties—from resource input to final product sales—on its platform. They take on the role of a&nbsp;Circular Value Chain Director, connecting and redirecting resources between stakeholders, processes and industries to ensure their highest potential and value.&nbsp; Fair pricing is key‍The CCA once again confirmed that what gets valued, gets managed. The business case proved that residual resources should also have financial value. However, determining a fair price for these resources has sparked a debate about valuation theory versus market value. Moreover, the report provides potential options for accounting for the residual resources, based on a situation where profit margins&nbsp;after sales&nbsp;of the final product constitute the value of the resources used.&nbsp;&nbsp; Accounting for true impact‍Lastly, it becomes clear from the research that our current accounting models do not incorporate impact. Currently, accounting models and investors focus too much on profit and do not take environmental or societal aspects into account.&nbsp; The Coalition Circular Accounting will tackle this topic in their next case study. Together with Impact Institute, they will investigate how accounting can standardise impact assessment in order to better reflect the environmental and societal impact. This report is scheduled to appear in the first quarter of 2021.&nbsp;

Impact on the quantity or quality of jobs, and shifts in the labour market

Jobs

Impact on the health and happiness of human populations

Well-being

Efficiency gains on operations or transactions either through cultural or technological shifts

Productivity

Reduced green house gas emissions released into the biosphere

Reduce Emissions (SDG13)

Reduced use and withdrawal of water and rate of recycling and reuse of water

Save Water (SDG6)

Reduced use of fossil fuel energy sources and/or increased use of renewable energy

Reduce Energy Consumption

Collecting waste from households and businesses by means of refuse bins, wheeled bins, containers, etc., and providing treatment, incineration, materials recovery and reclamation, and disposal of hazardous and non-hazardous waste

Waste Management

Enacting measures that optimise material use such as 3D printing, etc.

Material efficiency

Using materials that can be easily reused or recycled after use

Reusable, recyclable materials and inputs

Enacting measures that optimise water use

Water efficiency

Enacting measures that optimise energy use

Energy efficiency

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

Renewable energy, fuels

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

Closed loop collection

Collection programmes that process products and parts for reuse or recycling within other industries

Open loop collection

Transforming waste products, materials for reuse within other industries

Open loop upcycling

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

Generating energy from waste

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

Processing waste into fuel

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

Recovery and reuse of waste energy

Designing products that can easily breakdown and degrade in the environment

Design for bio-degradability

Utilising data and models to to identify, enable and/or implement circular strategies (eg. effective resource use & logistics planning, circular business models & design)

Data analytics, modelling

Meerlanden

This white paper details the importance of measuring circular impact and using it to steer decision making in business. Using the case study of Meerlanden, the paper shows how data on circularity can bolster profitability in business while limiting negative environmental and social externalities through two avenues: integrated profit and loss and multiple balance sheets. Next steps and recommendations are provided for companies, financiers and accountants.&nbsp;