CIM Webinar: Circular Economy; how do we tell a Brand new story

With the COP27 conference recently coming to an end it has left many of us wondering what we can do to help with the climate crisis, but is it our responsibility to change? No matter how many green and recyclable products we buy, more consumption will not solve anything. The issue stems from the cycle of what we consume from. take, make, waste. We take resources from the earth. Consume them and then throw them away when we are done. It is the foundation of modern consumer economics. From the industrial revolution where we produced as quickly and as cheaply as possible to the Phoebus cartel in 1925, who tampered with the lifespan of their lightbulbs to make them run out faster to sell more.

This concept of planned obsolescence has fueled consumerism, we buy more, and businesses make more money to make more products for us to buy, use, and then waste.  Even during the financial crisis of 2008, we were encouraged to buy more to rebuild the economy. Now with modern technology, it is even easier, faster and trendier to consume as much as possible all over the world. Planned obsolescence is based on the idea that new must always replace the old as quickly as possible. So why is it that global economic models haven’t changed in 300 years? How can we solve modern problems when our economic ideologies are hundreds of years behind? These are the questions discussed by James George from PYXERA Global, during the most recent CIM webinar on the circular economy.

Just use less, recycle more?

We are commonly told when it comes to saving the environment to just use less and recycle more, however this is too simple to solve the problem. With the current linear economy model that we see globally value is extracted, used and wasted. Circular economy suggests that value can be created and circulated through many life cycles of use. It is based upon the three key principles of elimination, circulation and regeneration. Instead of creating waste, why can't we stop it being generated in the first place by keeping products and resources circulating and creating value from waste?

This model benefits not only the environment but also creates employment opportunities and is economically smarter as instead of buying resources value is created from reusing ‘waste’. We are beginning to see this economic concept being implemented into businesses more and more. One example is the collaboration between Lucozade and Notpla, a sustainable company making plastic out of seaweed for ‘edible water capsules’. After working together during the 2019 London marathon, where they replaced the use of over 30,000 plastic water bottles with Notpla’s capsules, they were able to significantly reduce the amount of waste produced by the event. The success of this collaboration has led to Lucozade using Notpla’s capsules for events they sponsor around the globe.

Is the Circular Economy the solution?

From an economic standpoint, circular economy seems like the perfect solution to the economic crisis, however there are many problematic social implications which were brought up during the webinar by George. Circular economies are not accessible to everyone such as those in countries with low levels of local resources and those who don't have easy access to global commodities. How can they adapt to meet today's environmental issues? “Perfect is not the evil of good” suggests George, it's a transition of consumers and businesses mindsets. Education is an important aspect of sustainability. Informing people about consumerism and environmental issues as well as encouraging business to make small yet impactful changes is better than the continuation of value extraction, even if a circular economy is not currently achievable.

There is also the ethical issue about whether developing countries should have to make the same changes as western countries who are the ones fuelling the climate crisis. In many developing nations they haven’t even been given a chance to build up their economy before being asked to make the same sacrifices as us in the west which seems unfair. It would make sense for western countries to take on the burden of handling the climate crisis whilst allowing developing nations to consume, just like the west has for centuries. However, we all must make sacrifices for the planet. “There is no business on a dead planet” was George’s justification for this. If we all don’t make changes then we will all suffer.

Businesses must adapt

Consumerism is ingrained into our society, the linear idea of value extraction where we use and discard over and over again is very familiar. We as individuals cannot solely take on the responsibility of changing. We need business to force us to change our consumption habits, the issues facing today's society are constantly evolving, therefore we can no longer continue to use systems developed hundreds of years ago to take action. Despite the issues, a circular economy is the future. It doesn’t just push the blame onto consumers to buy less and waste less, it causes businesses to adapt to today and for the future.

 Alice Clarke, UEA Marketing student