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Get Wasted, Session 1: Waste to Wealth - The Circular Economy Advantage - 01/03/17

This is the slide deck presented at our 1st event of a pressing Series on 'Circular Economy & Waste Management' in Asia. 8 million tonnes of plastic leak into the oceans each year, and more than 80% is from Asia! If we don't act now, there will be more plastic in the oceans than fish by 2050. It is time for individuals, companies and governments to rethink waste, especially in Asia. Today's linear ‘take, make, dispose’ economic model relies on large quantities of cheap, easily accessible materials and energy, and is a model that is reaching its physical limits. Today 80–120 billion USD of plastic materials is lost to the economy every year (plastic which is used just one time and then incinerated, landfilled or leaked into ocean). This is not just a business loss, but one of the biggest environmental challenges of our time. An attractive and viable alternative that governments and businesses are exploring is the Circular Economy. This session - specifically focusing on plastic - brought insights from global business leaders, to social entrepreneurs and waste pickers who are all beginning to see waste not as trash, but as a resource. In emerging countries, managing waste has even become a solution to uplift people out of poverty. As the issue keeps growing, new regulations (such as Extended Producer Responsibility) have started to come into effect across Asia, making brands & producers responsible for recycling their post-consumer waste. Our speakers shared what it implies for big brands and each of us.

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Get Wasted, Session 1:  Waste to Wealth - The Circular Economy Advantage - 01/03/17
Get Wasted, Session 1:  Waste to Wealth - The Circular Economy Advantage - 01/03/17
Get Wasted, Session 1:  Waste to Wealth - The Circular Economy Advantage - 01/03/17
Get Wasted, Session 1:  Waste to Wealth - The Circular Economy Advantage - 01/03/17
7 TYPES OF PLASTICS
LET’S DIVE RIGHT IN
BY LOOKING AT PLASTICS TO UNDERSTAND WHY CIRCULAR
ECONOMY IS IMPORTANT
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Get Wasted, Session 1: Waste to Wealth - The Circular Economy Advantage - 01/03/17

  • 5. 7 TYPES OF PLASTICS
  • 6. LET’S DIVE RIGHT IN BY LOOKING AT PLASTICS TO UNDERSTAND WHY CIRCULAR ECONOMY IS IMPORTANT
  • 7. 1907 2007 IMAGE: Mission BlueIMAGE: Photo Researchers Inc
  • 8. HOW DID WE GET HERE?
  • 9. ONLY OTHER THING THAT HAS GROWN AS FAST - SINGAPORE!
  • 10. 8 MILLION TONNES EVERY YEAR INTO OCEANS = 1 LARGE GARBAGE TRUCK PER MINUTE IMAGE: Why Files IMAGE: EarthZine
  • 11. IMAGE: CNN 85% OF MISMANAGED PLASTIC IS FROM ASIA
  • 12. PLASTIC ENDS UP IN GIANT OCEAN GYRES IMAGE: NASA
  • 13. IMAGE: Ellen MacArthur Foundation USED FOR DAYS, TAKES 100’S OF YEARS TO DECOMPOSE
  • 14. IMAGE: Guardian YOU ARE EATING PLASTIC
  • 15. HOW DO WE FIX IT? GOING CIRCULAR
  • 16. THE LINEAR ECONOMY WASTES RESOURCES WASTE IS “DESIGNED OUT” IMAGE: spenditrightubc.wordpress.com
  • 17. BIOLOGICAL MATERIALS - RETURNED TO THE SOIL OR USED AS ENERGY IMAGE: Ellen MacArthur Foundation
  • 18. TECHNICAL MATERIALS (LIKE PLASTICS) - DESIGNED TO BE RECOVERED, UPGRADED, REPAIRED, ETC IMAGE: Ellen MacArthur Foundation
  • 20. Household ‘Waste’ Landfill OrganicPlastic Metal Paper Glass Non-Recyclable Recycling CURRENT HOUSEHOLD ‘WASTE’ Electronics
  • 21. Household ‘Waste’ Landfill Organic Non-Recyclable Recycling Biogas WE WOULD HAVE MATERIAL FLOWS Plastic Metal Paper Glass Electronics
  • 22. THE CIRCULAR ECONOMY ISN’T NEW IT’S JUST THAT THE PRESSURE IS NOW GREATER THAN EVER
  • 23. WE ARE USING 1.6 TIMES THE EARTH’S CAPACITY
  • 26. $1 TRILLION OF FOOD IS WASTED EACH YEAR
  • 27. WASTE GENERATION IS GROWING EXPONENTIALLY
  • 28. GOVERNMENT TAX - EXTENDED PRODUCER RESPONSIBILITY IMAGE: OECD
  • 29. $80-120 BILLION OF PLASTIC PACKAGING THROW AWAY YEARLY IMAGE: SALT
  • 30. THAT’S EQUIVALENT TO 6 TIMES CAMBODIA’S ECONOMY
  • 31. BECAUSE THE VAST MAJORITY OF PLASTICS ARE NOT RECYCLED
  • 33. BY CURRENT RATES - OUR COSTS WILL QUADRUPLE IMAGE: Ellen MacArthur Foundation
  • 34. CAN PLASTIC PACKAGING BE CIRCULAR?
  • 35. HERE’S HOW WE GET THERE - REDESIGN, REUSE, RECYCLE
  • 37. “DESIGN OUT” WASTE & DESIGN FOR AN END USE REPLACE PS/EPS & PVCINNOVATE REDESIGN / DESIGN OUT SCALE UP
  • 38. WORLD’S FIRST RECYCLABLE FLEXIBLE POUCH
  • 39. REUSE
  • 40. REFILLABLE PRODUCTS SAVING PACKAGING, TRANSPORT & ENERGY COSTS
  • 41. OTHER WAYS OF RETHINKING REUSE
  • 44. EASIER TO COLLECT FROM CITIES THAN OCEANS IT’S ALSO A LOT CHEAPER
  • 45. WASTE TO WEALTH - UPLIFTING THE INFORMAL SECTOR
  • 46. OTHER KEY STEPS FOR RECYCLING IN ASIA LEGISLATION & INFRASTRUCTURE EDUCATION/ INVENTIVES LABELLING + +
  • 47. A NEW MINDSET: WHERE WASTE BECOMES RESOURCE URBANISATION -> 3X GROWTH IN URBAN WASTE IN ASIA BY 2025! SIGNIFICANT ECONOMIC, SOCIAL & ENVIRONMENTAL RETURNS QUICK RECAP
  • 48. RISING PER CAPITA WASTE IN ASIA - ‘GARBAGE TSUNAMI’
  • 49. WE NEED TO COLLABORATE & THINK SYSTEMICALLY Fossil Fuel Eg. Shell Polymer Supplier Eg. Dow Plastic Manufacturer Eg. Amcor FMCG Company Eg. P&G Consumer Waste Management Companies Govt
  • 50. SYSTEMS THINKING TO GO CIRCULAR
  • 51. Introducing Forum for the Future Forum for the Future is an independent, international non-profit with a 20 year track record in driving sustainable development. Our purpose is to accelerate the big shift to a sustainable future by transforming whole systems.
  • 52. What we do with partners to reinvent the way the world works 1Innovate solutions to systemic challenges 2Develop and deliver transformational strategies 3Equip people to drive systemic change
  • 53. We partner with pioneering companies who recognise that sustainability issues are already shaping their business context today, and want to actively create the conditions for their future success.
  • 54. Business opportunity • Drive business and industrial innovation • New sources of value creation • Aligns with business priorities (i.e. eco-efficiency, risk management, decarbonisation, lean thinking, resilience) Why circular economy? external pressures + business opportunity External pressures • Rising costs for material, energy, land and water • Risk of resource constraints and price volatility • Growing legislation placing responsibility on business
  • 55. Forum for the Future, 2015 However… barriers to achieving CE are complex & systemic
  • 56. Forum for the Future (2015) Barriers are complex & systemic requiring action across several spheres
  • 57. “The systemic nature of the circular economy requires both the ecosystem and its individual components to change. This means that governance, regulation and business models could potentially be even more important to achieving the transition than design and engineering.” Gregory Hodkinson, Chairman, Arup (September 2016) It’s not just about the technology trust an engineer!
  • 58. Forum for the Future, 2015 Where to start??
  • 59. Our circular economy investigations revealed the need for a value network perspective Disruptive innovation requires new relationships to access to a greater variety of assets and capabilities. Circular business models requires re-aligned interests so there is a new flow of value to drive the more sustainable performance. To get started you need a dynamic community of interested parties – the ‘source material’ for new relationships The main barriers to a circular economy are not primarily technical There are circular business models Thinking in terms of ‘business model’ is useful Yes! Sort of As it turns out, not really! = value network
  • 60. Value network? here’s an example • Industrial aluminium company, HQ-ed in the US, subsidiary of Aditya Birla (Indian conglomerate) • World’s largest producer of rolled aluminium sheet • Serves customers in automotive, beverage cans, consumer electronics and construction sectors • World’s largest aluminium recycler • 2020 targets: • Zero waste to landfill (from 60 K mt baseline) • 80% recycled metal content (up from 30% baseline announced in 2011, achieved 53% in 2016) • Minimise primary aluminium input • 95% reduction in GHG emissions associated with primary aluminium production • Minimise aluminium waste generated by customer production processes and consumer use of end-product
  • 62. Novelis an example To close the loop on materials, there is a huge amount of knowledge transfer required between different players in the value network Blue arrows → where Novelis cannot make change happen on its own
  • 65. A value network perspective not a simple feat • Challenges traditional areas of control and influence - and encourages greater collaboration • For some this may mean relinquishing control and sharing the ownership (and value) of the results • “Giving up part of the pie to grow the pie”
  • 66. Source: McKinsey ReSOLVE framework Almost every company has a role to play
  • 67. Impact first: As an NGO, we exist to catalyse change, and that’s our sole motivation. Positive and ambitious: We believe a sustainable future is possible - we’re tracking signals all the time - but we’ll only work with people who share our appetite for bold leadership. Partnership and collaboration: System change is only possible when ‘unusual suspects’ work together – we make that happen. Forum for the Future is an independent, global non-profit with a 20 year track record in driving change towards a sustainable future. www.forumforthefuture.org @forum4thefuture Jiehui Kia