Are you looking for practical ways to cut your business's carbon footprint? The fundamentals of the Circular Economy form a pragmatic path to carbon reduction for small and medium sized enterprises. Let´s dive deeper into this.
The traditional ‘take-make-waste’ model of the linear economy drives climate change, generating significant greenhouse gas emissions from raw material extraction, processing, and waste disposal. The circular economy offers a powerful, actionable alternative. By redesigning systems to eliminate waste, circulate materials, and regenerate nature, businesses can significantly lower their carbon footprint.This article explores five key circular economy strategies your SME can implement to make a tangible impact on reducing greenhouse gas emissions.
Defining the circular economy and its link to carbon
At its core, the circular economy decouples economic activity from consuming finite resources. Unlike the linear model, which constantly needs new virgin materials, the circular model keeps resources in use for as long as possible. This directly tackles climate change, as a large portion of global emissions comes from material handling. The Ellen MacArthur Foundation reports that a shift to a circular economy could cut greenhouse gas emissions from key industries by up to 40%. By minimising new material extraction and processing, and reducing waste sent to landfill or incineration, businesses can achieve significant carbon reduction. This is a fundamental part of sustainable materials management and key to achieving climate goals.
Strategy 1: design for durability, repair, and reuse
Making products last longer is one of the most effective ways to reduce emissions. When an item is discarded and replaced, the energy and resources used in its creation are lost, and new emissions are generated for its replacement.Designing for durability means creating robust products that can withstand extended use. Making products easy to repair is also crucial, empowering customers to fix items instead of discarding them. Encouraging reuse, perhaps through second-hand platforms, further reduces the demand for new production. This strategy helps eliminate waste by keeping products in circulation longer.
Strategy 2: implement product-as-a-service or sharing models
The product-as-a-service (paas) model shifts the focus from selling products to providing a service. For example, offering ‘lighting as a service’ instead of selling light bulbs incentivises the provider to use the most durable and energy-efficient products, as they are responsible for maintenance. This model, combined with sharing platforms for items like cars or tools, reduces the overall number of products needed.Fewer products manufactured means directly avoiding production emissions, a core component of many circular economy strategies that significantly impacts a company's carbon footprint.
Strategy 3: focus on remanufacturing and refurbishment
Remanufacturing and refurbishment bring used products back to a like-new condition. Refurbishment typically involves repairing and cleaning a product, while remanufacturing is a more intensive process of disassembling, cleaning, and replacing components to meet original specifications.Both processes are significantly less energy- and resource-intensive than manufacturing new products from virgin materials. The European Remanufacturing Council states that remanufacturing can save 80% to 98% of raw materials and 85% to 95% of energy compared to new production. This offers a massive positive impact on waste reduction and emissions.
Strategy 4: improve material efficiency and reduce waste
This strategy focuses on optimising the production process. By using fewer materials or designing products to minimise scrap, companies can significantly reduce their environmental impact. This approach, often called sustainable materials management, reduces greenhouse gas emissions from extracting and processing raw materials.Furthermore, reducing production waste means less material ends up in landfills or incinerators, both sources of greenhouse gas emissions. This is a straightforward way to reduce emissions and often leads to cost savings.
Strategy 5: enhance recycling and design for recyclability
While the above strategies focus on keeping products in their original form, recycling remains a crucial part of the circular economy. Using recycled materials for new products almost always requires less energy than using virgin materials. For instance, recycled aluminium saves up to 95% of the energy needed to produce it from bauxite ore.For effective recycling, products must be designed for recyclability. This means using easily separable and processable materials, avoiding complex composites or contaminants. By creating a strong market for recycled materials and designing products that can enter it, we can close the loop and reduce reliance on virgin resources.
A deeper look into plastic recycling reveals the challenges and opportunities in this area.
Conclusion
The transition to a circular economy is not just an environmental imperative; it’s a vital climate action strategy. By implementing these five strategies — designing for durability, embracing service models, remanufacturing, improving material efficiency, and enhancing recycling — businesses can directly and significantly reduce their carbon footprint.The journey to a circular economy is a pragmatic, actionable path to a more sustainable, less carbon-intensive future. To understand and manage your company's carbon footprint, you can use a dedicated tool like the Hedgehog Carbon platform.
