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GPP Training toolkit 5. GPP and the Circular Economy

GPP Training toolkit 5. GPP and the Circular Economy. GPP Training Toolkit. Module 2: Strategic Aspects of GPP. Module 3 : Legal Aspects of GPP. Module 4: Needs Assessment. Module 1: Introduction. Module 6: Market Engagement. Module 7: Operational (Key sectors for GPP).

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GPP Training toolkit 5. GPP and the Circular Economy

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  1. GPP Training toolkit5. GPP and the Circular Economy

  2. GPP Training Toolkit Module 2: Strategic Aspects of GPP • Module 3: Legal Aspects of GPP Module 4: Needs Assessment Module 1: Introduction • Module 6: Market Engagement Module 7: Operational (Key sectors for GPP) Module 5: Circular Procurement Module 5 - GPP and the circular economy

  3. Introduction to Module 5 Outline Learning Aims • What is the Circular Economy? • What is circular procurement? • Who needs to be involved? • Examples of CP in practice • What products? & exercise • Conclusions • Provide basic insights on the circular economy • Provide basic insights into circular public procurement • Understanding the steps in a circular procurement process • Recognising circular opportunities from case studies and the exercise Module 5 - GPP and the circular economy

  4. What is a circular economy? Carbon Water Materials Material extraction The more detailed Ellen MacArthur Foundation butterfly diagram with nutrient and technical material flows can be found by clicking this link Recovery Design & Production Recycling Resource Minimisation Retail & Distribution Re-use Waste Prevention Repair Use Disposal Stability Resilience Competition Module 5 - GPP and the circular economy

  5. Circular benefits Studies show the Circular Economy pays: Click on each document to go to the weblink Denmark  GDP 0.8–1.4% 7,000-13,000 jobs Finland GDP 0.33-0.66% 15,000 jobs United Kingdom ~€30 billion 200,000 jobs $630 billion (EU)through material savings (Ellen McArthur Foundation, 2013) €7.3 billion (NED)by 54.000 new jobs (TNO, 2013) France GDP 0.33-0.66% 100,000 jobs Spain GDP 0.33-0.66% 100,000 jobs Sweden 3% trade balance 15,000 jobs The Netherlands €7,3 billion 54,000 jobs +$1200 billion (EU) through additional benefits (Ellen MacArthur Foundation, 2016) Available in English, French, Ukrainian and Polish (Club of Rome, 2015) Module 5 - GPP and the circular economy

  6. What is circular procurement? Circular procurement definition Circular procurement can be defined as the process by which public authorities purchase works, goods or services that seek to contribute to closed energy and material loops within supply chains, whilst minimising, and in the best case avoiding, negative environmental impacts and waste creation across their whole life-cycle. Public procurement for a circular economy. European Commission, 2017 (p.5) Module 5 - GPP and the circular economy

  7. Procurement cycle DEVELOP MARKETS FOR RECYCLED MATERIALS DESIGN BETTER PRODUCTS Circular procurement opportunities REDUCE PROCESS WASTE INVEST IN INFRASTRUCTURE Disposal Purchasing CIRCULAR ECONOMY Use OPTIMISE PRODUCT LIFETIMES ENCOURAGE REUSE ENCOURAGE RECYCLING IMPROVE COLLECTIONS Module 5 - GPP and the circular economy

  8. Procurement cycle impacts How CP delivers circular benefits Degree to which specifications are fixed Sustainability gains Preparatory stage Stage 1: Specification • Stage 2: Selection • Stage 3: Contract • Stage 4: Order • Stage 5: • Monitor • Stage 6: • Servicing Utlisation Stage Module 5 - GPP and the circular economy

  9. Stakeholder engagement The importance of collaboration External supply chain • Who are relevant external stakeholders? • What are their Circular ambitions and Interests? • make optimal use of external knowledge, innovative ideas, out-of-the-box solutions etc during the whole project • Build a collaborative (trust) relationship • Use CP to support the interests of internal stakeholders • make sure circularity is part of the project aims as early as possible • ‘connect ‘all relevant stakeholders • What are the implications of CP for the use and end of life phases of the product? Internal stakeholders 1 2 3 4 Module 5 - GPP and the circular economy

  10. Workwear & textiles • Benefits: • Innovation in design • Reduces carbon impacts • Reduces toxicity • Increases durability • Increases reuse and recycling at end of life • Rawicz Hospital, Poland – nurses uniforms • Herning, Denmark – emergency services uniforms • Rijkswaterstaat, Netherlands – lock-keepers uniforms • Wales, UK - nurses uniforms Module name + number Sustainable Global Resources Ltd Click on each case study to go to the weblink

  11. ICT & electricals • Benefits: • Design for repair • Recycled content • Multiple REBMs - e-recovery, take-back, pass or sell on • Lifetime optimisation • End of Life – resource security • Utrecht, Netherlands – IT take-back; secure re-use • Schiphol Airport, Netherlands – lighting as a service • DRZ, Netherlands – e-recovery, IT-donations • UniGreenScheme, UK - Laboratory equipment re-sale and re-use Module name + number Sustainable Global Resources Ltd

  12. Construction • Opportunities: • Design for deconstruction • Recycled content • Multiple REBMs • CO2 reduction • End of Life - closing material loops • Refurb & maintenance • Cost savings • Brummen, Netherlands - circular Town Hall • Netherlands – DBFM, Rapid circular contracting • BAR HQ, Portsmouth, UK – Whole Life Costing & BIM • Viaduc de Millau, France - build, fund & operate (BFOT) Module name + number Sustainable Global Resources Ltd

  13. Furniture • Benefits: • REBM – furniture as a service • Resource efficient design • Circular products & Cradle2Cradle • Lifetime optimisation • Reuse & refurbishment opportunities • Community benefits • ProRail, Netherlands – furniture and carpeting • Aalborg, Denmark – school furniture • Public Health Wales, UK – desk reuse & repurposing • Netherlands - circular office furniture Module name + number Sustainable Global Resources Ltd

  14. Food & catering • Opportunities: • Waste prevention • Storage & preparation • Plate waste • Reuse • Recycling - composting & packaging • Nutritional & healthy diets • Ghent, Belgium - catering contracts (INNOCAT) • Torino, Italy - healthy sourcing • Copenhagen, Denmark - organic • UK Public sector catering, waste prevention • Rijkswaterstaat, Netherlands - food waste recycling Module name + number Sustainable Global Resources Ltd

  15. Product categories Selecting initial high potential product groups The highertheproduct complexity, the harder to re-useexistingmaterialsandcomponents Circular procurement Quick Wins are typically: average product complexity average technical lifetime Product complexity The longer the technical lifetime, the harder to close the circle after the product lifetime Low complexity and low technical lifetimes favour closing material loops Technical Lifetime Module 5 - GPP and the circular economy

  16. Exercise What are your organisations high-potential product groups? Spend • How big is the category spend? Risk • What level of risk does this category pose? Scope • What scope have you to improve sustainability? Influence • What influence have over this market and supply chain? Product complexity Technical Lifetime Use the knowledge you have to assess your own high potential product groups on the chart above Module 5 - GPP and the circular economy

  17. Some examples Product complexity vs technical lifetime • Well-suited for circular procurement: • Average product complexity e.g. furniture • Average technical lifetime e.g. workwear Product complexity Technical Lifetime Module 5 - GPP and the circular economy

  18. Conclusions Three key points: Process – challenge the need, consider circularity early and collaborate Technical – market engagement to understand what is possible as well as what is available Finance – circular business models help facilitate circular procurement GPP Helpdesk For further support on GPP, contact the EU’s free Helpdesk Toolkit developed for the European Commission by ICLEI - Local Governments for Sustainability Module Author: Sustainable Global Resources Owner, Editor: European Commission, DG Environment, 2019 Photos: courtesy of Pixabay.com under Creative Commons CCO Disclaimer: This toolkit is an indicative document of the Commission services and cannot be considered binding to this institution in any way. Neither the European Commission nor any person acting on behalf of the Commission is responsible for the use that might be made of theinformation in this document. Module 5 - GPP and the circular economy

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