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Presentation for CE100 Brasil member use

Learn about the risks and opportunities associated with transitioning to a circular economy, where new products are made from recycled materials. Discover how a regenerative economy can preserve natural resources, optimize resource yields, and minimize negative externalities. Explore the New Plastics Economy initiative and its five interconnected blocks for redesigning the plastics system.

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Presentation for CE100 Brasil member use

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  1. Presentation for CE100 Brasil member use

  2. TODAY’S TAKE-MAKE-DISPOSE ECONOMY New products = new raw materials Recycling at “end-of-pipe” Waste is chronically high

  3. A COMBINATION OF RISKS AND OPPORTUNITIES A further 3 billion middle-class consumers will enter the market by 2030 fuelling demand ...

  4. A COMBINATION OF RISKS AND OPPORTUNITIESSocioeconomic development

  5. A COMBINATION OF RISKS AND OPPORTUNITIESLiving Systems

  6. Faults in the linear model means great economic losses and negative externalities A MODEL WITH EMBEDDED STRUCTURAL LOSSES BUILT ENVIRONMENT MOBILITY FOOD • Cars remain parked 92%of the time • When moving, they usually carry 1,5 people at a time • 30.000 lives are lost in accidents and, 1 out of 4 times, this results in irreversible lesions • 30% of waste sent to landfill in Europe originates from construction (in Brasil, approximately 50%) • Offices are occupied only 40-50% of the day on a working day • 11 million empty homes in Europe • >100Mi tonnes of food lost annually in Europe • 50% lost along the production chain • 97% of global food residue is sent to landfill or~USD 300 bn • Soil degradation is around30-80% in Europe SOURCE: “Growth Within: A Circular Economy Vision for a Competitive Europe”, Ellen MacArthur Foundation, SUN (Stiftungsfonds für Umweltökonomie und Nachhaltigkeit) and McKinsey Center for Business and Environment, 2015

  7. THE NEW PLASTICS ECONOMYA structured approach The New Plastics Economy is an ambitious, three-year initiative to build momentum towards a plastics system that works. Applying the principles of the circular economy, the initiative brings together key stakeholders to re-think and re-design the future of plastics, starting with packaging. With the aim to create an effective after-use plastics economy; drastically reduce leakage of plastics into natural systems and other negative externalities and decouple plastics from fossil feedstocks, the New Plastics Economy works with five interconnected blocks to create the necessary conditions for redesigning the system: DIALOGUE MECHANISM Cross-value chain collaboration is at the heart of the New Plastics Economy. GLOBAL PLASTICS PROTOCOL A common target state to innovate towards, to overcome existing fragmentation and enable the creation of effective markets. OUTREACH Engaging stakeholders to learn, to inform, and to amplify what works. EVIDENCE BASE A robust evidence base to guide improvement and inform the global debate. INNOVATION MOONSHOTS Mobilising innovations that can scale across the system, to re-define what’s possible and create the conditions for a new economy. WORLD ECONOMIC FORUM, ELLEN MACARTHUR FOUNDATION, MCKINSEY & COMPANY, THE NEW PLASTICS ECONOMY ELLENMACARTHURFOUNDATION.ORG/PUBLICATIONS

  8. FIND OUT MORE Visit our website: www.newplasticseconomy.org Follow us onTwitter: @newplasticsecon WORLD ECONOMIC FORUM, ELLEN MACARTHUR FOUNDATION, MCKINSEY & COMPANY, THE NEW PLASTICS ECONOMY ELLENMACARTHURFOUNDATION.ORG/PUBLICATIONS

  9. Various factors challenge the linear model DRIVERS FOR CHANGE ECONOMIC AND STRUCTURAL LOSSES PRICE VOLATILITY DEMOGRAPHIC TRENDS

  10. Various factors challenge the linear model DRIVERS FOR CHANGE ACCEPTANCE OF NEW BUSINESS MODELS URBANISATION TECHNOLOGICAL ADVANCES

  11. CIRCULAR ECONOMY: REGENERATIVE AND RESTORATIVE BY DESIGN

  12. BUILDS ON SCHOOLS OF THOUGHT

  13. A REGENERATIVE ECONOMY …keeping products, components and materials at their highest utility and value, at all times …eliminating the concept of waste, with materials ultimately re-entering the economy at end of use as defined, valuable technical or biological nutrients

  14. Three guiding principles to the circular economy RETHINKING VALUE CREATION Preserve and enhance natural capital by controlling finite stocks and balancing renewable resource flows. Optimise resource yields by circulating products, components, and materials at the highest utility at all times in both technical and biological cycles. Foster system effectiveness
 by revealing and designing out negative externalities.

  15. Farming/ collection Biochemical feedstock Regeneration Recycle Refurbish/remanufacture Reuse/redistribute Biogas Cascades Anaerobic digestion/ composting Extraction of biochemical feedstock A REGENERATIVE ECONOMY BY DESIGN 1 Serve and enhance natural capital by controlling finite stocks and balancing renewable resource flows Renewables Finite Renewable flow management Stock management Parts manufacturer 2 Optimise resource yields by circulating products and materials at the highest utility at all times in both the technical and biological cycles. Product manufacturer Service provider Maintenance 3 Foster system effectiveness by revealing and designing out negative externalities. Collection Collection Minimize systematic leakage and negative externalities

  16. €1.8 tri in benefits for Europe by 2030 in mobility, food and the built environment in a circular economy development path THE COMPELLING BUSINESS RATIONALE Trajetória de desenvolvimento atual Circular development path Current development path OVERALL BENEFITS EUR 0.9 trillion1 EUR 1.8 trillion1 DISPOSABLE INCOME 7% 18% GDP 4% 11% RESOURCES AND EXTERNALITIES 31% emissions 22% primary material consumption 48% emissions 32% primary material consumption 1 Reduction in resource, non-resource and externality cost SOURCE: “Growth Within: A Circular Economy Vision for a Competitive Europe”, Ellen MacArthur Foundation, SUN (Stiftungsfonds für Umweltökonomie und Nachhaltigkeit) and McKinsey Center for Business and Environment, 2015

  17. THE COMPELLING BUSINESS RATIONALE Net material savings in billions of USD per year1 Durable Goods Fast Moving Consumer Goods $145 Motor Vehicles $ 98 Equip. and Machinery $ 67 Electric Machinery $ 39 Other Transport $ 29 Furniture $ 82 Others $194 Packaged Food $ 111 Clothing $ 87 Drinks $ 70 Fresh Food $ 45 Others $ 630 $ 706 1 Net material cost savings SOURCE: “Towards the Circular Economy – vol. 1 and 2, Ellen MacArthur Foundation and McKinsey Center for Business and Environment, 2011, 2013

  18. VALUE IN LOOPS The power of circling longer The power of the inner circle The power of cascading The power of pure inputs

  19. BUILDING BLOCKS OF A CIRCULAR ECONOMY Circular Economy Design New Business Models Reverse Cycles Enabling System Conditions

  20. THE ReSOLVE FRAMEWORK ReGENERATE • Regenerate and restore natural capital SHARE EXCHANGE Select appropriate resources and technologies Maximize asset utiisation OPTIMISE VIRTUALISE Avoid resource use and deliver utility virtually • Optimise system performance LOOP Keep products and materials in productive cycles SOURCE: Adopted from: ‘Growth Within: a circular economy vision for a competitive Europe’, Ellen MacArthur Foundation, SUN, McKinsey Center for Business and Environment

  21. THE ReSOLVE FRAMEWORK

  22. THE ELLEN MACARTHUR FOUNDATION The Ellen MacArthur Foundation works across four areas, with the aim of accelerating the transition towards a circular economy: INSIGHT & ANALYSIS EDUCATION & TRAINING Catalysing circular activities across the global economy Inspiring learners to re-think the future through the circular economy framework Providing robust evidence about the benefits of the circular economy transition Developing the conceptual framework and celebrating best practice BUSINESS & POLICY COMMUNICA-TIONS & PUBLISHING

  23. INSIGHT & ANALYSIS Providing robust evidence about the benefits of the circular economy transition Further research published in 2015 confirmed the positive effects of a circular model on the economy, society, and the environment, and looked at enablers: Previous analyses outlined a trillion dollar opportunity: • 1st report focused on the medium lived complex goods and detailed a USD 630 billion of net material cost savings per year in the EU. • 2nd report focused on the fast-moving consumers good and detailed a USD 706 billion of net material cost savings per year, globally. • 3rd report, in partnership with the World Economic Forum, focused on actions to accelerate the scale up across global supply chains. • Growth within – A circular economy vision for a competitive Europe: Outlining opportunities for three core human needs (housing, mobility, food), with a potential of 7% additional GDP growth by 2030 vs current development path and a reduction of CO2 emissions by 48%vs 2012 levels. • Delivering the circular economy – a toolkit for policymakers: Providing a set of tools for policymakers who wish to embark on a circular economy transformation, and a concrete example for a pilot country (Denmark). • The New Plastics Economy – launched in Davos at the 2016 WEF, as one of the results of the partnership with WEF and McKinsey & Company on Project Mainstream, the report outlines the future of plastics in a circular economy • Intelligent Assets: unlocking the potential of a circular economy – one of the results of the partnership with WEF and McKinsey & Company on Project Mainstream, the report analyses the opportunities of digitalization in the 4th digital revolution in the transition to a circular economy. Ongoing / in scoping • Biocycle analysis: Opportunities and economic value assessment for the biological cycle,with emphasis on cities as nutrient concentrators.

  24. EDUCATION & TRAINING Inspiring a generation to re-think the future Pioneer Universities Pioneering new approaches to teaching, learning & research programme around CE Schmidt MacArthur Fellowship Programme Building a global partner university ‘network of excellence’ in the top design engineering and business schools Disruptive Innovation Festival Exploiting informal education as a global ideas dissemination model in an online month long festival /MOOC

  25. BUSINESS & POLICY Catalysing circular activities across the global economy Global Partners Close collaboration of the Foundation with its Global Partners Google, Cisco, Kingfisher, Philips, Renault, Intesa Sanpaolo, H&M, Unilever and Nike. Goal: Demonstrate circular solutions at scale. CE100 (international and local networks) Global innovation platform bringing together leading corporations, emerging innovators, governments & cities, SMEs, and academic institutions, working both internationally (CE100) and regionally (CE100 Brasil and CE100 USA). Goal: Build capacity, share knowledge and best practices, and develop cross-company, cross-sector, pre-competitive collaboration initiatives. Project MainStream A World Economic Forum hosted, multi-industry initiative in collaboration with the Ellen MacArthur Foundation and supported by McKinsey & Co. Goal: Unlock the stalemates that individual organisations cannot resolve.

  26. COMMUNICATIONS & PUBLISHING Developing the conceptual framework and celebrating best practice Publications A series of publications written by the Foundation’s Head of Innovation, Ken Webster that explore and develop the conceptual framework of the circular economy. These books propose that the time is right to move towards a circular economy and provide a stimulating overview of this emerging framework for economic prosperity reinvented. Circulate A new online location for editorial, news and insight on the circular economy and related subjects. Circulate is the go-to location for circular economy related news and insight. Publishing fortnightly featured articles, regular updates from a team of international correspondents, daily news pieces and recommended reading from other writers and publications.

  27. Global Partners of the Ellen MacArthur Foundation:

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