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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>

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Circular Cities

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Policy case

Contribution to social parity, or impact on social disparity

Equality

Reduced green house gas emissions released into the biosphere

Reduce Emissions (SDG13)

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

Reduce Energy Consumption

Providing electricity and gas services, including traditional and renewable energy generation, natural and manufactured gas and operating gas networks

Energy Utilities and Independent Power Producers

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

Rethink the business model

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

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

Renewable energy, fuels

Institutional design to enable circularity

Participatory governance mechanisms

Redesign systems to lay the foundation for circular activities and enable the transition to a circular economy 

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Rethink

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

Support closed-loop systems and cross-sectoral synergies

Cities consume about 75% of global energy and emit between 50% and 60% of global greenhouse gases (UN-Habitat). To reduce the negative impact of their energy consumption, cities need to shift away from fossil fuels and move towards renewable energy sources. Such a shift will help cities work towards their climate change mitigation and adaptation action plans. Renewable energy technologies such as wind, water, solar, and geothermal can also help improve access to energy in vulnerable and marginalised neighbourhoods through, for example, decentralised, off-grid solutions.

Renewable energy technologies can harvest the energy in nature’s processes, such as wind, and solar radiation and geothermal heat, that can be replenished within a human lifespan. In contrast, fossil fuels are materials that are not replenished within a human lifespan and are combusted for energy, losing the fuel material and resulting in emissions.

Local governments can develop sustainable energy plans, considering different energy resources and requirements, to develop a robust strategy for the development of renewable energy technologies and infrastructure throughout the city. They can also institute specific legislation and tax systems to regulate energy production and consumption, incentivise research and development of cleaner, more efficient technologies. Via Power Purchase Agreements cities can buy renewable energy from green energy providers and fix the price in order to provide security to financial institutions to finance renewable energy infrastructure. Furthermore, increasing awareness and facilitating capacity-building on planning urban sustainable energy projects can help the uptake of clean energy across the city by different stakeholders—from citizens to businesses and institutions. Facilitating collaboration, then, will be crucial, since private companies operate most of the world’s energy systems.


⚡ Energy Systems

Communities

Governments

As much as 90% of world energy use comes from fossil sources. Meanwhile in 2017, only 0.7% of global energy use derived from solar power and 1.9% from wind ([Statistical Review of World Energy, 2021](https://www.bp.com/en/global/corporate/energy-economics/statistical-review-of-world-energy.html)). Some of the highly contested issues stopping the energy transition from materialising are land requirements and high upfront investment costs. Decentralising renewable energy production through cooperatives could be a solution to both. Local renewable energy cooperatives allow the financial burden of purchasing renewable energy equipment to be spread amongst a voluntary group of people, all while relying less on new land.

Cooperatives, then, allow residents without renewable energy potential, perhaps due to lack of space or property rental restrictions, to gain the potential through others. A cooperative project, for instance, may involve a street of houses in which the participants collectively decide to install solar PV panels on the roofs of suitable participating homes, whilst all participants' equally benefit from the renewable electricity production. This enables more people to consume renewable electricity and save on costs. Furthermore, all participants have a democratic say within the decision-making of the project, unlike a traditional electricity utility contract. This type of model can also be applied for microgrids, local biogas installations, gasifiers and other projects.

Local governments can support and facilitate such initiatives. They can set up a so-called “support coalition” that can support experiments, aid cooperative agreements, mobilise resources and provide regulatory support, such as subsidising part of the energy system. Municipalities can also become cooperative members themselves, directly consuming or selling the energy produced and gaining an additional instrument to implement municipal energy policy. 

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⚡  Support local renewable energy cooperatives

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

Policy Instruments

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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

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

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

Thematic Areas

City Stakeholders

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Based on the work of [Bocken et al. (2016)](https://www.researchgate.net/publication/309699661_Product_design_and_business_model_strategies_for_a_circular_economy), the Four Flows Framework serves as a simple framework for managing resource flows in a circular economy by using less (Narrow), using for longer (Slow), using again (Cycle), and using clean, regenerative materials and energy (Regenerate).

These different principles of circular economy can be applied to our socioeconomic metabolism: we can design stocks like buildings, infrastructure, machinery, and vehicles to be rich resource mines for the future, and design manufactured goods and consumables to be cycled and made regenerative. Furthermore, the focus must also centre on getting more value out of fewer materials. Achieving the aims of a circular economy—minimising material use, regenerating the Earth, and preventing material losses—can be done through these four key strategies mentioned above.

Source: Circle Economy. (2023). *[The circularity gap report 2023](https://www.circularity-gap.world/2023)* (p.22). Amsterdam: Circle Economy. 

Four Flows Framework

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The Commons Transition Plan describes the role and possibilities for the City of Ghent in reinforcing citizen initiatives. From March to June 2017 peer-to-peer expert Michel Bauwens conducted a three-month research and participation project in Ghent on the ‘commons city of the future’. The result of that research is this Commons Transition Plan, describing the possibilities and role of the City of Ghent (as a local authority) in reinforcing citizen initiatives. With this, the City wishes to give further shape to a sustainable and ethical economy in Ghent.Michel Bauwens (58) has already been working for over ten years on the theme of the commons-based economy and society. He is solicited all over the world as a speaker or to give workshops, and is the author of the bestseller ‘Saving the world: With P2P towards a postcapitalist society'. Bauwens led a similar research and transition project in Ecuador. The major French newspaper, Libération, referred to him as the leading theorist on the theme of the economy of cooperation, following the French edition of the book.The commons is a way to describe shared, material or immaterial property that is stewarded, protected or produced by a community – in an urban context often by citizens’ collectives – and managed according to the rules and standards of that community. It is fundamentally distinct from state bodies – government, city, state – but also from market actors. The commons is independent of, but of course still holds relationships to, the government and the market. Commons as a new form of organisation is exemplified by a variety of initiatives based around production and consumption with the idea of achieving a more sustainable society. This can for example be the set-up of energy cooperatives or shared work spaces for co-working. Examples in Ghent are EnerGent, LikeBirds, Voedselteams, Wijdelen, etc.All of these initiatives show that ‘urban commons’ is alive and kicking today in the city.Aim of the researchFor the City of Ghent, the central question of this research and participation project was: how can a city respond to this and what are the implications of this for city policy? The goal was to come up with a synthesised Commons Transition Plan that describes the possibilities for optimal public interventions while also offering answers to the question of what Ghent’s many commoners and commons projects expect from the city.The intention of this assignment is therefore to investigate the possibility of a potentially new political, facilitative and regulatory relationship between the local government of Ghent and its citizens so as to facilitate the further development of the commons.With this work the researchers have tried to find out what kinds of institutionalisation is fitting to handle the commons well. This means essentially a shift from a top-down approach and old organisational principles such as ‘command and control’, towards a new way of thinking and an approach as a ‘partner city’, in which the city facilitates and supports projects. Of course, sometimes the city must also regulate projects, in the role of a more facilitative government.Structure of the Commons Transition PlanIn the first part, the report gives a general introduction to the commons which serves to explain why the commons are important in the context of urban development.In a second part, the researchers look at the global context in which the revival of the commons is taking place, but most of all at the reality of the urban commons in a number of other European cities, which may possibly serve as a benchmark for the city of Ghent.Part 3 presents the findings in Ghent itself.Finally, in Part 4, the researchers give their recommendations to the city council.At the end of this study there are a series of appendices, including an English-language overview of the commons in European cities, written by the Greek urbanist Vasilis Niaros, who was a Timelab resident during the period of our research. The authors of the report, Michel Bauwens and Yurek Onzia, are responsible for parts 1 and 4. Vasilis Niaros wrote the comparative study. 

Ghent

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Municipality of Ghent

EnerGent

Ghent, Belgium, actively supported the setup of a renewable energy cooperative, EnerGent. Through collective ownership of homeowners’ solar panels, members can share energy efficiency, so that even homes with less sunlight can benefit from the cooperative.

EnerGent renewable energy cooperative in Ghent 

Impact on the health and happiness of human populations

Well-being

Direct and indirect reduction in economic costs

Cost Savings

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 providing leisure and personal products and services for consumers, such as cleaning products, sports equipment and toys, personal and beauty care products, as well as domestic and personal services such as caretaking, cleaning, hairdressing and other beauty treatment, funeral and related activities

Personal Products and Services

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

Alternative bio-based materials and inputs

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

Material efficiency

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 

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

Using materials that can be easily reused or recycled after use

Reusable, recyclable materials and inputs

Designing products to remove any barriers to recycling and enable easy recyclability

Design for recycling

Develop circular criteria for public procurement of assets

Manufactured goods, such as vehicles, textiles, appliances and equipment and their associated production processes are big employers but:
- production processes often rely on fossil fuels and currently drive one-third of the overshoot on the climate change planetary boundary due to its GHG production, 
- material- and energy-intensive industrial activities are linked to deforestation and drive 15% on both the land use and freshwater planetary boundaries, 
- manufacturing goods results in substantial amounts of hazardous industrial waste and leaks chemicals into the environment.

Here, circular solutions must tackle the full value chain, but material demand must also shrink: this will necessitate a societal shift to favouring sufficiency over excess and reducing consumption to sustainable levels. Our four key solutions for manufactured goods are:
- Mainstream industrial symbiosis and efficiency : Achieve process improvements, scrap diversion and reduction in yield losses through greater industrial symbiosis and efficiency. Foster tighter collaboration within and between industries to deliver powerful material and emissions savings.
- Extend the lifetime of machinery, equipment, and goods: Maximise the lifetime of goods that serve our daily needs to bring a number of environmental benefits. 
- Buy what's needed: Reduce the number of purchases of common electronic goods, appliances, and other equipment to sufficiency levels. 
- Eschew fast fashion in favour of sustainable textiles: Drastically reduce new clothing purchases. All used clothing should go on to be repaired, reused or, if needed, recycled appropriately. Prioritise natural and local textile manufacturing, as well as higher-quality and more durable garments. 




👕📱 Consumer Goods

As a result of its cheapness, durability, and range of uses, plastics have become ubiquitous with contemporary life. However, these same characteristics are contributing to a global challenge of plastic pollution, in large part driven by an influx of single-use plastic products, most notably used for packaging and bags. Much of this plastic packaging and bags, which can take hundreds of years to decompose, are not disposed of correctly and pollute and degrade ecosystems.  

Where packaging is absolutely necessary, alternatives can be made from bio-based materials that are sourced from renewable sources that can readily decompose. There are a range of types of biobased materials, from mycelium, starch, and even discarded fruit, which can be used as alternatives to conventional fossil-fuel derived plastics.

Local governments can support use of such packaging and goods made from alternative bio-based materials by banning or creating a bio-based plastic content mandate on single-use plastic packaging. Governments can simultaneously support the uptake of alternatives through incentive schemes such as subsidising their production as well as encouraging further research, innovation and development through incubator schemes or eco-design competitions. A good first step in creating the demand for such products is by integrating such criteria within the local public procurement strategy to supply, for example, municipal canteens.

It is important to note that, if local governments plan to support the uptake of this packaging type, they must also educate residents about the correct way to dispose of biobased plastics based on their waste management plan. Bioplastics often cannot be disposed of with normal plastics as they would contaminate their recycling. Moreover, if they plan to incentivise this type of packaging they should adapt the waste management practices accordingly (such as having an aerobic digester where compostable plastics can be disposed of with organic waste).

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👕📱  Packaging and goods made from bio-based materials

In 2016, the City of Ghent established a four-year framework agreement for the supply of cleaning and polishing products. It was required that products in certain categories, including cleaning products and hygiene products (soap) met the criteria of the C2C ‘Bronze’ label or equivalent.

Using Cradle 2 Cradle (C2C) certification for cleaning products in Ghent

Contributing to the improvement of biodiversity including species diversity, total number of protected species, and ecosystem health

Biodiversity

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

Agriculture

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

Prioritise regenerative resources

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

'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

 Convene Towards Action

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

Incentivise

Subsidies

Do better with less by using and supporting infrastructure, processes and products that are designed to minimize material, water and energy use and waste generation from production to end of use


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Reduce

Includes a variety of actions (e.g. campaigns, information sharing, public events) that encourage city residents and visitors to build sustainable practices into their daily lives

Enable sustainable lifestyles

Increase efficiency and promote local economic growth by shortening supply chains and connecting local producers to consumers.


Support local low-impact circular economies

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

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

   © Annamarie Rizzello   Ghent aims at realizing more green areas in response to climate change and actively seeks citizen involvement to achieve this. This is in line with the city being very social and creative with many citizens actively developing bottom-up initiatives. Many of these small scale projects however have difficulty developing into a successful project through the available financing mechanisms. Therefore, Ghent has developed a crowdfunding platform that allows citizens to propose and finance their ideas for the city.
Today, two projects addressing climate adaptation have been successfully realized with support of the crowdfunding.gent platform; one project encouraging urban farming and the other realising edible streets. The projects might seem small when it comes to addressing climate change challenges. However, the crowdfunding platform is found to be an excellent instrument to realise small ‘drops’ of climate adaptation measures that have the opportunity to generate larger ripple effects.   Ghent, like many cities in North West Europe, is faced with the impacts of climate change. The city is experiencing negative effects due to excessive rainfall and rising temperatures. The average temperature in Belgium has increased with 2.2 °C since the pre-industrial period (source: city of Ghent website). The average number of heatwaves in Belgium has increased from once every 3 years to once a year. The city of Ghent itself is experiencing problems with heat-stress. A study on the urban heat-island effects in Ghent has demonstrated that additional green areas can help in addressing these effects (source: Maiheu et al., 2013). The city is therefore actively developing policies to enhance its number of green areas. Examples of measures that are especially encouraged are green roofs and urban trees.
To realise these measures Ghent is looking for opportunities to actively involve its citizens. Ghent is a very social and creative city where citizens are actively involved in developing bottom-up initiatives. However, many of these projects have difficulty developing into a successful project due to a lack in financial means and know-how. While both the city and society have funds available, the challenge is to make these funds accessible for small scale projects. Mainstream funding mechanisms, such as subsidies or tax incentives, is less suitable for these types of projects due to the required knowledge and conditions involved. At the same time the city wants to stimulate co-creation partnerships rather than fully funding the initiatives. In addition, the city wants to ensure that the initiatives that do receive funding are supported by the community. The challenge for the City of Ghent lies therefore in developing an instrument through which small scale initiatives can be financed, while keeping it accessible and offering the opportunity to involve multiple stakeholders. The city of Ghent has set out to develop a policy instrument to support the facilitation of co-creation, including its application for climate change adaptation. The instrument should be able to generate wider (financial) impact compared to subsidies or tax-incentives. Co-creation entails the involvement of multiple stakeholders. These stakeholders should have the opportunity to either contribute financially, through volunteer time or advertising the project. All these elements are crucial to a project’s success. The objective for the city of Ghent is therefore to develop an instrument that allows for the identification of ideas from the community as well as contributing to their realisation.  Adaptation Options Implemented In This Case  The city of Ghent developed a crowdfunding platform that allows citizens to share their ideas and raise the necessary funds to realize them. Ideas can vary and include the increase of the city’s adaptation capacity. The person submitting an idea becomes a ‘project initiator’. This person needs to provide a short description and a funding goal for the project. People who provide financial backing to a project are known as ‘supporters’. Their minimum donation is €5. The donated amount per idea is viewed as an indicator of community support; only the projects with sufficient community support will become financially viable. The focus of crowdfunding.gent is on projects with a societal benefit, which sets the platform apart from other crowdfunding platforms. The platform was launched on March 16th in 2015.
Projects can be published on the platform through a straightforward process. Each citizen of Gent or person with an idea located in Ghent can submit a project by completing the crowdfunding.gent application form. The project becomes visible on the platform once it is approved by the platform manager, who is appointed by the city. He checks whether the project proposal meets a set of pre-defined requirements. Examples are “The project makes a positive contribution to the city or one of its neighbourhoods” and “The project must transcend individual interests”. The platform manager can provide feedback to applicants on how to enhance their project’s chance of success. The project is published once the applicant has made the necessary modifications. From this moment supporters can donate to the projects during a pre-defined period of time. Projects receive their collected donations within one month after the funding deadline as long as the amount is higher than €20. It is not a requirement to meet the pre-funding goal as past experience has demonstrated these projects can still be successfully implemented with a few amendments. In case of any modifications, the applicant is required to communicate to the supporters how their money will be spent.
Crowdfunding.gent additionally offers initiators the opportunity to apply for a municipal subsidy of the project. The city has provided a fund of €55.000 per year specifically assigned to the crowdfunding platform. The request for municipal funding needs to be indicated in the original application form. Initiators can choose to apply for 25, 50 or 75% of municipal funding. To be eligible for funding, the pre-defined amount of co-funding needs to be raised. For example, a project that has applied for 50% of municipal funding with a funding goal of €1000 needs to raise at least €500 in donations by supporters. This condition is a means for the city to ensure that the project has sufficient community support. Whether or not a request is honoured is decided by an independent jury consisting of local experts. Per project the maximum amount of municipal subsidy that can be obtained is €5.000. The amount of municipal funding is at all times based on the pre-defined funding goal.
So far two initiatives that have been submitted through the crowdfunding platform can be considered contributions to the city’s climate adaptation goals. These projects focus on sustainable food production and enhancing green areas. The first project “Lekker dichtbij!” establishes mini-gardens on balconies of social housing. Through urban farming more green areas are created contributing to mitigate extreme temperatures in urban areas. In addition, local food production reduces the need for long-distance transportation and therefore prevents an exhaust of carbon dioxide emissions. Urban farming also often requires less intensive agriculture as the farming is carried out on a smaller scale. In addition, Lekker dichtbij! enhanced social integration by stimulating cooperation between the residents from various cultural backgrounds. The project was successful in raising the pre-defined funding goal.
Another project, “the Edible Street”, set-out to transform the traditional stone facades into vertical gardens to create additional green areas while stimulating local food production. Similar to the “Lekker dichtbij!” project, it contributes to the enhancement of green areas and the reduction of carbon dioxide emissions. Although this project was not successful in raising the complete pre-defined funding goal, it was successfully implemented by scaling down the project. Instead of placing 100 planters in 5 streets, 88 planters were placed in 3 streets.
The small scale of the crowdfunding projects evidently only has limited impact in the context of addressing climate change adaptation. Indeed, these types of projects can mainly be seen as successes for the city’s ambition to realise more co-creation with citizens. Certainly, the crowdfunding platform seems an excellent way to realise small ‘drops’ in the context of climate adaptation that can generate larger ripple effects. Relevance  Case mainly developed and implemented because of other policy objectives, but with significant consideration of CCA aspects  Additional Details  Crowdfunding.gent was developed by the City of Ghent with the support of an existing crowdfunding platform developer. No other stakeholders were involved in the development phase of the process. The citizens of Ghent and private investors are considered end-users of the platform. They can participate as either initiator of a project or end-user. The City of Ghent has appointed one policy officer to manage the platform. The city’s platform manager functions as the person to connect to the end-users. He reviews the project applications, takes care of communication with the citizens and manages the contact with the platform developer. His activities do not include financial transactions or platform maintenance activities. Maintenance activities are carried out by the platform developer. With regard to the municipal subsidies, the city has appointed a jury of local experts. The final decision on the composition of this jury is taken by the City Council.
The platform mainly targets an online audience due to its set-up. However, ‘offline’ citizens do have the opportunity to reach the platform manager by phone or mail. He is available to fill-out the application form with them in person. A variety of communication channels have been utilized by City of Ghent to inform the citizens about the platform. These include flyers, the city’s official social media accounts and an article in the city magazine.   The crowdfunding platform has been successful in identifying ideas that are less suitable to be financed by subsidies. Reasons for this ineligibility can be the small amount of requested budget or a mismatch with the requirements or objective of existing subsidies. To ensure the maximum output, the city of Ghent did not define specific criteria that the projects need to meet. They rather focused on defining the types of projects they would not support. These definitions were then translated to a set of minimum conditions that the projects need to meet to be included on the platform. For example projects with a commercial aim or with an explicit religious, philosophical or political nature are not eligible for funding. Each application is manually reviewed by a policy officer to ensure the projects meet these requirements prior to publication.
The fact that the crowdfunded projects have the potential to create larger ripple effect is demonstrated by ‘the Edible Street’ project. The implementation of this project was quickly followed by a similar project in Kortrijk; Groene Straat (Green Street). This initiative finances the realisation of planters and other forms of ‘vertical green’ by offering bulk purchasing. The initiator based the project on a quick assessment of the core elements of the Ghent project that would allow a scaling-up of the project to a city level. The Groene Straat website describes 22 projects where additional (edible) green has been realised. Another project that followed the Ghent example is ‘Groenselare’ in the city of Roeselare, which started providing information to citizens on ways to create green facades after the city was named the most ‘grey’ cities of Flanders in 2014.
A limiting factor of this type of instrument is financial resources needed to build and maintain the platform. In addition sufficient man hours need to be made available for a city staff member to manage the content of the platform. Currently the City of Ghent has assigned one part-time platform manager. The platform is considered successful if 1 out of 3 projects reach their pre-defined funding goal. A 100% success rate would not be realistic as several success factors are beyond control of the city. For example, the project initiator is not necessarily an experienced project manager. In addition, it is difficult for the city to control the policy topics that the project proposals on the crowdfunding platform address. For example, more cultural than environmental projects were proposed in the first year of crowdfunding.gent. The use of crowdfunding as a policy instrument implies acceptance of the fact that the exact outcome cannot be controlled. On the other hand it offers a great opportunity to enhance innovation, cooperation and solidarity in a city.   The first year (2015) of the crowdfunding.gent platform has been successful in generating total revenue of €70.000. Of the total number of projects, 80% raised enough funding for implementation. So far 2 projects received an additional municipal subsidy. This subsidy amounted to a total of €1.480. The development of the platform involved both fixed and regular costs. Both costs have been covered by the city of Ghent. The costs were lower than the first year revenue collected by the crowdfunding projects. The specific IT-know-how necessary for the development and maintenance of a crowdfunding platform required the involvement of an external party. Next to the fixed costs, the city needs an internal project manager who can act as the central contact point on behalf of the city. This policy officer needs to be continuously involved in the project on at least a part-time basis in order for the project to run smoothly.
Private investors can become eligible to fiscal benefits when supporting a project of their choice. Organisations, such as companies, foundations, associations, are able to make a direct deposit onto the account of the project. This allows them to bring the expenses in as their tax deduction in a similar fashion as non-crowdfunding donations. A "regular" donation to a crowdfunding campaign is run through a platform account and therefore is not eligible for tax deductions.
The city of Ghent provides €55.000/year in funds to co-finance non-profit projects that achieve their funding goal through the crowdfunding platform. A jury of local experts takes the final decision on whether a project receives funding. The maximum amount of funding that can be assigned per project is €5.000. Projects that have successfully raised their pre-defined funding goal are still eligible for additional funding. An example is the project ‘Lekker dichtbij!’ This project ran for several weeks; it submitted its application in the spring of 2015, reached its funding deadline on June 14, 2015 and was implemented on June 19th, 2015. The project set €735 as its funding goal, but during the funding period it exceeded this amount by raising €822. The city of Ghent then co-financed the project for an additional €480. Even though the opportunity of additional public funding is offered, it does not seem to be an important motivator for project initiators to submit an application. In the first year of the crowdfunding platform only 2 projects applied for and received additional funding. Other benefits, such as publicity through the publication of the project on the platform, seem to be a more decisive factor in the consideration whether or not to submit an application.  Legal Aspects The system of the crowdfunding platform is set-up in a way that it runs financially independent from the city. The city of Ghent has hired an external contractor to develop and maintain the platform. All transactions concerning the donations are handled by this external developer. The municipal fund of €55.000 (per year) is handled by the external contractor to ensure that it runs smoothly. The decision on whether to assign additional funding is taken by an independent jury of local experts. Project initiators who have been granted additional funding need to meet a set of requirements with regard to justification of the money spent. Within 2 months and 1 year of the end of a project, the responsible for the project needs to submit 3 types of documents. These include invoices of relevant items, a report that demonstrates the funding was used for the agreed purpose and an overview of revenues and expenses of the project. In addition, the city has the right to check at the project implementation site whether the funding is spent appropriately. In case the funding is found to be misused, the city can place sanctions on the project responsible. These sanctions include a recovery of the assigned amount of funding or even to exempt the beneficiary of the funding from receiving any funding in the future. The detailed conditions are laid down in the ‘Subsidiereglement voor het cofinancieren van non-profit crowdfundingprojecten “Wijs van Gent”’ (or: Subsidy scheme for funding non-profit crowdfunding projects "Crazy about Ghent"), which is publicly accessible on the crowdfunding.gent website.  Implementation Time The necessary regulation to realise crowdfunding.gent was implemented on April 1st, 2015. It is evaluated every 2 years. The project “Lekker Dichtbij” submitted its application to the crowdfunding.gent platform in the spring of 2015. The funding deadline was reached at June 14, 2015. The project was implemented on June 19th, 2015. The project ‘The edible street’” reached its funding deadline around the same time. The first “planter-placement-day” was already held in May 2015, before the end of the funding deadline. The money that was raised through the platform was later used to reimburse the participants.  Life Time Crowdfunding.gent was launched in 2015 and will run at least till 2019. Reference Information Jelle MonstreyProject officer crowdfunding GentPolicy Participation officeCity of GhentStadhuis, Botermarkt 1, 9000 Gent (for correspondence only)Tel.: +32 (0)9 266 84 34E-mail: Jelle.Monstrey@stad.gent
Generic e-mail: info@crowdfunding.gent  Ghent crowdfunding platform  Please contact us for any other enquiry on this Case Study or to share a new Case Study (email climate.adapt@eea.europa.eu) 

Crowdfunding.gent

In 2015 the city of Ghent launched a crowdfunding platform (Crowdfunding.gent) that allows citizens to share their ideas and raise the necessary funds to realize them. The focus of crowdfunding.gent is on projects with a societal benefit. The platform additionally offers initiators the opportunity to apply for a municipal subsidy of the project. In particular, the city has provided a fund of €55.000 per year specifically assigned to the crowdfunding platform and initiators can choose to apply for 25, 50 or 75% of municipal funding. One of the projects that has been funded under citizens' initiative is the “Lekker dichtbij!”, which establishes mini-gardens on balconies of social housing. Another project, “the Edible Street”, set-out to transform the traditional stone facades into vertical gardens to create additional green areas while stimulating local food production.

Crowdfunding platform and municipal subsidy for urban greening

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This collection features a selection of case studies, based on the global *Circularity Gap Reports*, that can mitigate climate breakdown by reducing virgin material consumption, waste and greenhouse gas emissions. The latest **[Circularity Gap Report 2023](https://www.circularity-gap.world/2023#download)** reveals that the global economy is now only 7.2% circular and outlines how circular solutions across four sectors can bring global planetary boundaries back within safe limits. 

In the six years of the *Circularity Gap Report*, the global economy has extracted and used unprecedented amounts of materials. The first edition of the *Report *in 2018 found that global circularity was 9.1% and it has decreased every year since—leaving a Circularity Gap of over 90%. If this trend continues, we will have to find more and better solutions to combat the negative effects of climate change. This is why we have identified case studies from across the globe—based on the needs of society and planetary health—that serve as real-world examples of the circular economy in action.

Circle Economy is a not-for-profit organisation working to accelerate the circular transition. 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. With nature as our guide, we work alongside cross-sector stakeholders from academia, businesses, NGOs and governments to provide a powerful combination of practical and scalable interventions that transform circular opportunities into realities. 


To learn more about these interventions to accelerate the circular transition, read the latest [Circularity Gap Report 2023](https://www.circularity-gap.world/2023#download), as well as previous editions of the global [Circularity Gap Reports](https://www.circularity-gap.world/global).

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Global Circularity Gap Report 2023

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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

Impacts on the financial condition of a company, as well as the the economicconditions of its stakeholders and on economic systems at local, national, andglobal levels.

Economic Impact

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

Increase Awareness

Producing agricultural products and processing them into food and beverageproducts for consumption

Agri/Food

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

Engage with the government on circular policies and programmes

Government collaboration

Participating in government programmes that support and advance the circular economy

Government programmes

'Inform' increases the overall levels of awareness and builds the necessary skills and knowledge around the circular economy to foster long-term change.

Inform

Visions and Ambitions

Through participative governance models, including a food policy council, Ghent’s food policy has evolved from a range of small-scale initiatives to enable widespread structural change to the city’s food system. The policy called “Ghent en Garde” aims to strengthen short food supply chains, increase sustainable production and consumption, while also allowing for better access to food and decreasing food waste.&nbsp;