Circular Economy – Environmentally Friendly And Sustainable

The paradigm of the current economic model for the production and management of resources, goods and services based on “produce, use and disposal”, may be outdated. Some dat actually support this hypothesis. Thus, one must adopt the model of circular economy.

You can see how the current system collides with the idea of ​​long-term sustainable development due to its dynamics and that it is also a risk to nature. This is especially due to the fact that there is no waste in nature. All elements have a continuous function and serve a purpose in their various stages.

This is how people eventually embraced the idea of ​​a circular economy, the new paradigm that could replace the current one. The aim of this article is to study its characteristics, principles, importance and benefits.

What exactly is a circular economy?

A circular economy is based on the cyclical model of nature. In this way, the system recommends the use of resources by reducing production to the indispensable minimum and reusing elements. Production of goods with biodegradable materials is encouraged so that the materials can return to their natural state without causing damage or reducing their lifespan.

In case there are no biodegradable materials, the goal would be to perform a decoupling where the components of a product can reassemble during the production cycle. If this is not possible, they should be recycled in an environmentally friendly way.

Thus, the essence of a circular economy is restorative and regenerative. In fact, the term “circular” is particularly relevant because it is a continuous cycle of positive development that preserves and enhances natural capital.

Principles of a circular economy

A circular economy is based on the reconstruction of capital, economic, produced, social, human or natural elements. Thus, it guarantees an improvement in the flow of goods and services. This “value circle” is based on the following principles :

• Preserve and improve natural capital. That is, it improves the flow of nutrients in the system. For example, these new conditions improve the regeneration of the earth.
• Optimize the use of resources. These are products, components and materials to achieve maximum usability at all times. This reduces the speed of rotation, increases their service life and helps them to be reused.

• Promote system efficiency. It reduces human damage by eliminating negative external factors.

Benefits

As we mentioned above, the linear production system that currently dominates the world economy is limited in terms of resource use in addition to having a large social and environmental impact. Many experts have thus expressed their concern and claimed that reducing the use of resources and the use of renewable energy will not be enough in contrast to current environmental challenges.

Linear models are based on varying prices and contribute to the deterioration of the environment, which affects the basic principles of development. As you can see, circular economy offers many benefits based on innovation and long-term resilience.

First, it is because it benefits both consumers and businesses. Companies that have adopted the circular system proved that reusing resources is much more profitable than creating them from scratch. This thus leads to a reduction in production costs. As a consequence, sales prices will also fall, which is to the benefit of the consumer both socially and financially.

In the EU alone, the measures that come from a circular economy could save them around NOK 6 billion for companies in the region. In fact, the extraction of raw materials today has important environmental consequences. These companies will reduce the total annual emissions of greenhouse gases by 2-4%.

A few words at the end

With the growth of the world population, the demand for raw materials increases, which is very limited. A circular economy can help reduce the pressure on the environment and improve the security of the supply of raw materials. In fact, the system may also make other countries less dependent on raw materials.

It will also increase competition, growth, innovation and work. The creation of up to 580,000 jobs in the EU is estimated if the use of this system is improved. The same goes for the production of innovative and more durable goods. Elimination of planned obsolescence can improve people’s quality of life.