The Circular Economy Model: Closing the Loop (Part 1)

Our world currently operates under a linear economic model, primarily based on the consumption of finite resources provided by the Earth.

The resources are taken out of Earth and turned into products, which at the end of the cycle are disposed of (wasted) and never used again. Just think about all the products you have bought and never used, or those you have purchased and used only once. For instance, fast fashion generates massive amounts of waste.

Unfortunately, the linear economic model isn’t working anymore, and if we are to preserve life on Earth, a sustainable approach to the world’s economy is essential.

The circular economy model focuses on how the product is produced and establishes whether society and the environment can benefit from it. In the circular economy model, it’s essential to understand how materials will be used in the product flow, where and how energy will be sourced to produce the product, and how it will benefit the planet once its lifecycle ends.

The main principle on which the circular economy is based and designed is that nothing is wasted, and every product and its component is either reused or repurposed. Once the product cycle is finished, recycling is the last resort in the circular economy model.

As such, the circular economy focuses on building a healthy relationship between the resources we use to make products and the longevity of those products and materials. For the circular economy to thrive on a global scale, it needs to be functional and practical for businesses of all sizes, as well as organisations and individuals at every level (internationally, nationally, and locally).

The circular economy is based on three principles:

1. Eliminating waste and pollution during the production process: reducing greenhouse gases and hazardous substances, air, land, and water pollution, and structural waste such as traffic congestion.

2. Reusing the same products and materials for different purposes (using things instead of using them up). In practice, this means developing products with durability, reusing materials, remanufacturing, and recycling to ensure the products, materials, and parts are in constant use.

3. Regenerating natural system: using renewable energies during production instead of fossil fuels and returning nutrients to the soil at the end of the product cycle.

The circular economy model values energy, labour, and materials.

The circular system uses bio-based materials and avoids non-renewable resources by pioneering multiple uses of materials throughout the cycle between the economy and the natural system.

Think about how you could develop ideas to reuse the materials you use daily instead of ending their cycle immediately in a rubbish bin.

Example of how the circular economy can/does exist in our everyday life:

1. Buying products that are known for their prolonged lifespan. Yes, they might cost a bit more, but they will save you money in the long run. If I shop for clothes, I don’t shy away from buying more expensive items when I know the quality is much better, so I’ll be able to wear them longer than fast-fashion items. Besides, usually, if you spend small amounts of money on pieces of clothing, you don’t treasure them as much as you do when you spend more. It’s in human nature; if something is cheap or free, we don’t think it has much value.
2. Reuse and redistribute items you have and don’t use; sell or buy second-hand. I don’t have clothes in mind alone, but electronics too. I recently purchased a refurbished keyboard for my iPod, and I’m planning on continuing this tradition. My granny always mended clothes, and that included tights. Of course, the everyday realities of living in a communist country were very different to those of a democratic country. The economy’s reuse aspect was driven by limited access to goods.
3. Try to find a second life for your products by redesigning them. When I was a kid, clothes that weren’t usable anymore were re-sawned or used as cleaning cloths for furniture, kitchen tables, and shoes.
4. Not buying everything that we think we need to use only once. When I was growing up, neighbours used to borrow stuff from one another. Hardly anyone had a collection of perfect tools lying around. Anything can be borrowed nowadays. And even of this writing, H&M in the UK is lending people suits for job interviews. This is pretty sweet, and ladies and gentlemen, H&M is onto something. So, watch that space.
5. Returning used materials and components to the natural environment as nutrients. Once the product or material cycle has ended, it should be returned to nature rather than creating waste—for example, organic waste can be returned directly to the soil. What else do you use that can be returned to the soil?

Think about how you could use ideas incorporated in the circular economy model to improve your everyday life or your business while focusing on becoming less wasteful and more mindful of the negative effects the traditional linear economy has on our planet and our daily lives.

Read The Circular Economy Model: Closing the Loop Part 2