What if the goods we consume never became a waste? A circular economy envisions a system where everything has value and nothing is wasted. With the increasing issue of resource overconsumption, companies have a big role to play by designing products for extended use and continually reusing materials to keep them in the value chain as long as possible.
We posted last week that we have reached Earth Overshoot Day on Aug 1st this year. Earth Overshoot Day marks the point every year when humanity has used more from nature than our planet can renew in the entire year.
This year, it is 1 day earlier than 2023, a stark reminder of how unsustainable the current linear economy is.
Only about 7% of the current global economy is circular and to reach the ambitious Net Zero targets we need to bump this up to around 45-65%. This huge task requires everyone, from big companies to governments to each one of us, to pitch in and change how we think about how to use our stuff.
So how can companies become more circular?
According to the Ellen MacArthur Foundation, we can break the circular economy down into three principles:
- Design out waste: rethink how products are designed and reduce waste throughout the production cycles
- Keep materials in the value chain: products should be designed to be reused, recycled and recovered
- Regenerate nature: adopting regenerative practices and restoring nature
By turning the 3 principles into actions, we are not just slowing down the drain on Earth’s resources but also tackling overconsumption head-on.
Our Net Zero+ Masterclass dives deeper into circularity in practice, amongst other strategies. So join us in our upcoming sessions or contact us for more information.
