This document discusses barriers and drivers towards achieving a circular economy in the Netherlands. It identifies several types of barriers, including institutional, cultural, financial, technological, and regulatory. Specific regulatory barriers mentioned include a lack of harmonized standards and definitions, conflicting regulations between energy/waste policies, and preferential treatment for reuse and repair in policies. The document recommends improving education around circular economy principles, incentivizing new business models, removing subsidies that support linear economies, and ensuring policy tools are coherent and do not create unnecessary administrative burdens. It argues that transitioning to a circular economy will be challenging and last 1-2 generations.
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Barriers & drivers towards a circular economy
1. Towards
a
Dutch
Circular
Economy
Hotspot!
Barriers
&
Drivers
towards
a
Circular
Economy
Freek
van
Eijk,
Managing
Director
AcceleraAo
2. We have a decent theoretical model (courtesy EMF)
3. Drawing:
Geanne
van
Arkel
But making resources circle in reality is slighty more fuzzy
AEB:
vision
on
the
Future
4. What are the Barriers & Drivers towards a Circular Economy?
A complex picture emerges out of the inventory
Source:
EU
Scoping
Study
2014
5. Reducing the complexity using several lenses
Barriers and drivers along the
various stages of the value-chain
Different geographical levels for
action for the recommendations
Type of barriers
Barriers & Drivers
Institutional
Cultural
Acceptance
Policy & Regulation
Access 2 Financing
Technological
Infrastructural
0-1
1-3
3-5
>10
8. Barriers &
Drivers
General
Framework
Design & Production Con-
sumption
Recycling & Recovery Logistics
Policy &
Regulation
(Value-chain)
collaboration
versus
Antitrust
Harmonisation
of standards
and definitions
Certification & Industry
Standards
Dynamic standards; from
prohibition to effect based
controls
Eco-Design (of for example
non electrical appliances,
link with resources and
energy efficiency)
Substitution of critical
substances or substances
of high concern
Extended Producer
Responsibility
Certification & Industry
Standards
Dynamic standards
Waste status review
Legal clarity/standards for
EoW and ByProducts
Preferred position in
hierarchy for re-use-repair-
refurbish-remanufacture
Conflicting regulation &
subsidies energy-waste/
recycling
Status of Bio-fuels in waste
hierarchy: energy recovery
or recycling?
Lack of Resource Passport
No tradable permits
Anti-trust
in joint
logistics
concepts
for inner
cities/
between
cities
10. Stretch the preferential Treatment Staircase:
More focus on Re-use, Repair, Refurbish & Remanufacture
Courtesy: De Groene Zaak et all 2015
11. Barriers &
Drivers
General
Framework
Design &
Production
Consumption Recycling &
Recovery
Logistics
Cultural
Acceptance
Green Public
Procurement
Reaching the SME
target Group
Vested interests/
incentives support
Linear Economy
Eco-label
Awareness &
behavior
Education
Consumer
acceptance of
models based on
service and
usage instead of
ownership
Lack
of
EducaAon
Consumer
acceptance
of
“access
to
service”
Lack
of
(internaAonal)
standardisaAon
of
methodologies
for
labelling
products
Food waste: best
before and use by
confusion
Industrial
Symbiosis
Bio-
degradable
versus bio-
based
confusion
Consumer
apps
Lack of
standardization
and
collaboration
between cities
14. General Framework Design &
Production
Consumption Recycling & Recovery Logistics
Access 2
Financing
Removal of distorting
subsidies
Alternative funding
Private funding (not only
focus on governmental
subsidies)
New risk & business models
Impact of stranded assets
Transparency, Integrated
Reporting and more ESG
consideration
Liability, insolvency and
insurance challenges with
lease models
Lack of VAT
differentiation based
on sustainability (for
example no reduced
VAT for recycled
content)
15. Barriers &
Drivers
General
Framework
Design & Production Consumption Recycling &
Recovery
Logistics
Technological
Infrastructural
Lack of Competences
& Knowledge
Importance of new
Business Models and
Design for sustainable
footprint (eco-design,
circular design, design
for reuse- repair-
refurbish-
remanufacture-
recycling, design for
services instead of
ownership)
Lack of Specific
Skills
16. The importance of Education: create the leaders for tomorrow
Specific for Businesses
• Support programmes for
businesses investing in eco-
innovation
• Support programmes for
companies that avoid using
combinations of materials and
include reusable parts in the
design of products (eco-design)
– e.g. Framework Programme
Renewable Resources
(Germany, € 800m fund).
• The development of an
extensive raw materials
information service
• The promotion of cleaner
production methods in SMEs
17. Barriers &
Drivers
General Framework Design &
Production
Consumption Recycling &
Recovery
Logistics
Institutional Linear Accountancy Rules
Mandatory/accountable integrated reporting
New economic indicator beyond GDP
Independent data/certification systems
Increased collaboration versus antitrust, data
protection and security
Pricing in externalities
- Economic incentives
- Tax measures
- Subsidies
Regulatory options
- Extended Producer responsibility
- Choice Restriction
19. Shift in tax from labour to resources: quantify the impact
20. We are at the start of a transition towards a Circular Economy
A transition with winners and losers that might last 1 or 2 generations
Courtesy: Drift
We
are
not
in
an
era
of
change
but
in
the
change
of
an
era
22. Five non-profit organizations have joined forces with our government in
the RACE coalition: Realizing Acceleration towards a Circular Economy
They have set up an ambitious program with seven themes to realize the benefits of a Circular Economy. Acceleratio
coordinates theme 3: inventory of barriers that hamper investments and a transition towards a Circular Economy
They communicate under the name of:
24. What
role
to
play
for
government
in
cultural
issues?
• AWARENESS
• OPPORTUNITIES
TREATS
VISION
• TRUST
INTERDEPENDANCY
SYMBIOSIS
• COLLABORATIVE
CO-‐CREATION
• DIVERSITY
EXPERIMENTATION
GIVE
THE
EXAMPLE
• BUILT
DEMOLISH
RESILIENCE
• EDUCATION
MAKE
IT
EASY
• CREATE
CONDITIONS
25. RegulaKon
in
general
“We are looking with old spectacles
to new initiatives”
Barriers
• Some
ineffecAve
or
insufficient
policy
tools,
• Unaddressed
implementaAon
problems,
• Lack
of
coherence
between
policy
instruments
• creaAon
of
administraAve
burden
and
barriers
• Lack
of
harmonised
definiAons
&
standards
• The
present
regulatory
system
is
pre-‐dominantly
sectorial
and
has
a
one
sided
orientaAon
on
risks.
• We
tend
to
be
late
and
reacAve
in
our
adjustments
of
regulaAon
which
is
frustraAng
new
iniAaAves.
• Pre-‐dominant
focus
on
“end-‐of-‐pipe”