{"id":40624,"date":"2021-07-20T05:36:24","date_gmt":"2021-07-20T09:36:24","guid":{"rendered":"https:\/\/www.kaspersky.com\/blog\/?post_type=emagazine&#038;p=40624"},"modified":"2023-07-13T04:04:46","modified_gmt":"2023-07-13T08:04:46","slug":"circular-economy-tech-covid","status":"publish","type":"emagazine","link":"https:\/\/www.kaspersky.com\/blog\/secure-futures-magazine\/circular-economy-tech-covid\/40624\/","title":{"rendered":"How the post-COVID economy can change from a line into a circle"},"content":{"rendered":"<p>Around the globe, government thinking is turning to how to rebuild national economies after long closures during the pandemic. This rethink means a chance to restructure economies, aiming for a swift bounce-back but also addressing greater challenges, like climate change and waste.<\/p>\n<blockquote><p>Even before the pandemic, many in the sustainability sphere were discussing a circular economy \u2013 one that rewards using resources for as long as possible, rather than facilitating resource extraction and waste.<\/p>\n<\/blockquote>\n<p>Alongside the post-Covid economic rethink, it may be the right time to \u2018go circular,\u2019 with emerging and proposed technology on the horizon that could speed the transition.<\/p>\n<h2>What is a circular economy?<\/h2>\n<p>Today, economic growth has a \u2018take-make-waste\u2019 pattern: We extract resources from the environment, use them to make products, then dispose of products and manufacturing waste in landfill. Circular economies by contrast, incentivize reusing resources and reducing waste at each step.<\/p>\n<p>Co-Chair of UN International Resource Panel Janez Poto\u010dnik said a <a href=\"https:\/\/ec.europa.eu\/commission\/presscorner\/detail\/en\/SPEECH_12_710\" target=\"_blank\" rel=\"noopener nofollow\">circular economy is how we could achieve \u201cprosperity in a world of finite resources.\u201d<\/a> And it\u2019s a big change, as Georgia Sherwin, a director at investment firm Closed Loop Partners told me: \u201cThe circular economy is the most significant restructuring of global commerce since the industrial revolution.\u201d<\/p>\n\t\t\t<div class=\"c-promo-product\">\n\t\t\t\t\t\t<article class=\"c-card c-card--link c-card--medium@sm c-card--aside-hor@lg\">\n\t\t\t\t<div class=\"c-card__body  \">\n\t\t\t\t\t<header class=\"c-card__header\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t<p class=\"c-card__headline\">Kaspersky small business security <\/p>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<h3 class=\"c-card__title \"><span>Secure your growing business<\/span><\/h3>\n\t\t\t\t\t\t\t\t\t\t\t<\/header>\n\t\t\t\t\t\t\t\t\t\t\t<div class=\"c-card__desc \">\n\t\t\t\t\t\t\t<p>With the ease of use of a home system, our set-and-forget cybersecurity gives your growing business the security it needs.<\/p>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<div class=\"c-card__aside\">\n\t\t\t\t\t<a href=\"https:\/\/www.kaspersky.com\/small-to-medium-business-security\" class=\"c-button c-card__link\" target=\"_blank\" rel=\"noopener nofollow\">Secure business<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t\t<\/article>\n\t\t<\/div>\n\t\n<p>Leading circular economy proponents <a href=\"https:\/\/www.ellenmacarthurfoundation.org\/circular-economy\/what-is-the-circular-economy\" target=\"_blank\" rel=\"noopener nofollow\">The Ellen MacArthur Foundation<\/a> say the circular economy has three parts. First, it limits natural resource extraction to what is needed, reducing the release of greenhouse gases and other pollution in the process. Second, it makes sure products and materials stay usable for as long as possible. Third, once goods are no longer usable, it has mechanisms to safely return biological resources to the natural environment and to make sure technical resources (like electronics) are reused in other products.<\/p>\n<h2>New technology reducing industry waste<\/h2>\n<p>It sounds great, but how does the circular economy work in practice?<\/p>\n<p>In construction, <a href=\"https:\/\/www.sciencedirect.com\/science\/article\/abs\/pii\/S0959652620348988%23!\" target=\"_blank\" rel=\"noopener nofollow\">Building Information Modelling technology helps builders make more accurate models of buildings to be demolished<\/a>. This makes it easier to salvage valuable materials and reuse parts of an existing structure.<\/p>\n<p>Aviation is developing a similar solution. \u201cWe\u2019re working with an aircraft engine manufacturer to develop a digitally enabled \u2018passport\u2019 that helps identify and value materials, components and parts,\u201d <a href=\"http:\/\/business-school.exeter.ac.uk\/about\/people\/profile\/index.php?web_id=Fiona_Charnley\" target=\"_blank\" rel=\"noopener nofollow\">Professor Fiona Charnley, Associate Professor of Circular Economy at University of Exeter, UK<\/a> tells me. \u201cIt means more intelligent decision-making based on economic and environmental value of materials, and more effective use of aircraft parts between lifecycles.\u201d<\/p>\n<p>A circular economy would also ensure less food waste. Some estimates suggest <a href=\"https:\/\/www.epa.gov\/international-cooperation\/international-efforts-wasted-food-recovery\" target=\"_blank\" rel=\"noopener nofollow\">reducing food wastage could be worth at least 155 billion US dollars by 2030.<\/a> Now in 15 countries, <a href=\"https:\/\/toogoodtogo.org\/en\" target=\"_blank\" rel=\"noopener nofollow\">Too Good To Go<\/a> is an app that lets companies like restaurants, bakeries and hotels sell surplus food cheaply online when it would otherwise have to be thrown away. <a href=\"https:\/\/www.kaspersky.com\/blog\/secure-futures-magazine\/dynamic-pricing-food-waste\/39823\/\" target=\"_blank\" rel=\"noopener nofollow\">Dynamic pricing uses AI to adjust supermarket prices, automatically discounting short-dated goods<\/a>, reducing food waste 39 percent and increasing takings 10 percent in one supermarket chain.<\/p>\n<p><a href=\"https:\/\/eps.leeds.ac.uk\/civil-engineering\/staff\/850\/dr-anne-velenturf\" target=\"_blank\" rel=\"noopener nofollow\">Dr. Anne Velenturf, circular economy researcher at University of Leeds, UK<\/a> says tech solutions must go beyond consumers. \u201cIn big business, digital solutions are key to keeping track of qualities of products that can be reused, remanufactured or recycled,\u201d she explains. Take for example, <a href=\"https:\/\/www.rnz.co.nz\/programmes\/the-detail\/story\/2018800028\/a-modular-solution-to-the-housing-crisis\" target=\"_blank\" rel=\"noopener nofollow\">smart factories that can manufacture products like modular housing<\/a>.<\/p>\n<blockquote><p>Smart factories can calculate the optimum use of material inputs and records the size and shape of offcuts for later reuse, reducing waste by two-thirds compared with traditional methods.<\/p>\n<\/blockquote>\n<h2>Reducing the burden of packaging<\/h2>\n<p>The Ellen MacArthur Foundation projects the market for <a href=\"https:\/\/www.ellenmacarthurfoundation.org\/assets\/downloads\/Plastic-Packaging.pdf\" target=\"_blank\" rel=\"noopener nofollow\">returnable packaging \u2013 packaging that\u2019s washed and refilled \u2013 will grow by 60 percent to 59 billion US dollars between 2018 and 2026<\/a>. The European Commission plans to make <a href=\"https:\/\/www.ifst.org\/news\/all-plastic-packaging-eu-market-be-recyclable-2030-0\" target=\"_blank\" rel=\"noopener nofollow\">all plastic packaging in the EU market reusable or cost-effective to recycle by by 2030. <\/a><\/p>\n<p><a href=\"https:\/\/www.polymateria.com\" target=\"_blank\" rel=\"noopener nofollow\">Polymateria<\/a> has developed a new plastic called Cycle+. This plastic has unique qualities, being biodegradable after three years but recyclable during its lifespan.<\/p>\n<p>Georgia Sherwin of investment firm Closed Loop Partners also talks of AMP Robotics, who are <a href=\"https:\/\/www.amprobotics.com\/\" target=\"_blank\" rel=\"noopener nofollow\">using \u201cartificial intelligence and robotics to make sorting recyclables more efficient<\/a>.\u201d<\/p>\n<h2>The electronic waste problem<\/h2>\n<p>Technical materials, such as many electronic components, don\u2019t fit as neatly into the circular economy as others. According to World Economic Forum and UN report A New Circular Vision for Electronics, <a href=\"https:\/\/www.weforum.org\/reports\/a-new-circular-vision-for-electronics-time-for-a-global-reboot\" target=\"_blank\" rel=\"noopener nofollow\">electrical goods waste (e-waste) represents 2 percent of waste but 70 percent of hazardous waste bound for landfill<\/a>.<\/p>\n<p>Electronic goods manufacturers could play a role. Computer hardware firm Dell commit to a circular economy by <a href=\"https:\/\/www.dell.com\/en-us\/blog\/working-together-to-eliminate-e-waste\/#:~:text=Dell%20Reconnect%20(US%20Only)%3A,will%20recycle%20them%20for%20free.\" target=\"_blank\" rel=\"noopener nofollow\">making their products easier to repair and letting consumers and businesses return Dell e-waste for free<\/a>. They\u2019re also <a href=\"https:\/\/www.dell.com\/en-us\/dt\/corporate\/social-impact\/advancing-sustainability\/accelerating-the-circular-economy.htm\" target=\"_blank\" rel=\"noopener nofollow\">working to increase how much recycled material their new products contain<\/a> \u2013 their new plastic components are about 35 percent recycled.<\/p>\n<h2>Global economy only 8.6 percent circular<\/h2>\n<p>While these innovations are promising, there\u2019s still much work to build a truly circular economy. <a href=\"https:\/\/assets.website-files.com\/5e185aa4d27bcf348400ed82\/5e26ead616b6d1d157ff4293_20200120%20-%20CGR%20Global%20-%20Report%20web%20single%20page%20-%20210x297mm%20-%20compressed.pdf\" target=\"_blank\" rel=\"noopener nofollow\">The Circularity Gap Report 2020 found the global economy is just 8.6 percent circular<\/a>, meaning we use only 8.6 percent of resources more than once. Circularity has fallen from 9.1 percent circular in 2018, and demand for resources is expected to grow hugely in the coming years.<\/p>\n<p><a href=\"https:\/\/www.bradford.ac.uk\/staff\/smair1\" target=\"_blank\" rel=\"noopener nofollow\">Dr. Simon Mair, ecological economist at University of Bradford, UK<\/a> thinks we need to broaden our thinking to achieve a circular economy. \u201cA truly circular economy must transform the goal of the system,\u201d explains Mair. \u201cAs long as the goal is to make as much money as possible, it will be hard to keep resource use down.\u201d<\/p>\n<p>It\u2019s also challenging to implement a circular economy, according to Professor Charnley. There must be new policy and legislation to encourage system-wide change, and common measures of progress. This change must come from leaders in government and business. \u201cWe must equip our future leaders and professionals with understanding of the circular economy and give them skills and capabilities to change systems.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Technology is ready to help us get a lot more out of fewer resources, and make less waste. But can the economy adapt?<\/p>\n","protected":false},"author":2637,"featured_media":40625,"template":"","coauthors":[4156],"class_list":{"0":"post-40624","1":"emagazine","2":"type-emagazine","3":"status-publish","4":"has-post-thumbnail","6":"emagazine-category-emerging-tech","7":"emagazine-category-tech-for-good","8":"emagazine-tag-environment","9":"emagazine-tag-sustainability","10":"emagazine-tag-waste"},"hreflang":[{"hreflang":"x-default","url":"https:\/\/www.kaspersky.com\/blog\/secure-futures-magazine\/circular-economy-tech-covid\/40624\/"}],"acf":[],"_links":{"self":[{"href":"https:\/\/www.kaspersky.com\/blog\/wp-json\/wp\/v2\/emagazine\/40624","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.kaspersky.com\/blog\/wp-json\/wp\/v2\/emagazine"}],"about":[{"href":"https:\/\/www.kaspersky.com\/blog\/wp-json\/wp\/v2\/types\/emagazine"}],"author":[{"embeddable":true,"href":"https:\/\/www.kaspersky.com\/blog\/wp-json\/wp\/v2\/users\/2637"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.kaspersky.com\/blog\/wp-json\/wp\/v2\/media\/40625"}],"wp:attachment":[{"href":"https:\/\/www.kaspersky.com\/blog\/wp-json\/wp\/v2\/media?parent=40624"}],"wp:term":[{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.kaspersky.com\/blog\/wp-json\/wp\/v2\/coauthors?post=40624"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}