What is the circular economy and why is it good for us?
We've all heard that the dream of continuous economic growth is unsustainable in many ways, but fortunately there is an alternative. And that is none other than the circular economy. What is this new economic model all about, what are its foundations, and how can both consumers and companies benefit from it? Read our blog post and learn the basics of the circular economy model.
What is the circular economy?
The circular economy model offers an alternative to the unsustainable, continuous consumption model. A system that minimizes the amount of production made from non-renewable materials by using various forms of recycling, and where waste is either returned to the cycle or harmlessly returned to nature.
The circular economy model prioritizes the use of biodegradable raw materials over fossil fuels, single-use plastics, and the like, so that waste can be returned to the economic cycle without harming the environment. It is an environmentally friendly production method where all non-renewable raw materials circulate in a closed loop.
The best friends of the circular economy:
- Closed circles
- Renewable energy
- Systems thinking
Principles of the circular economy model
We can break down the circular model into ten principles:
- Waste is a resource. Waste is not just waste! Degradable raw materials are returned to the environment (think composting) or reused. CYCLE also uses waste to produce its cleaning products, recycling biomass.
- Renewal of ingredients. In the circular economy model, products are renewed and redesigned so that the ingredients they contain do not become simple waste.
- Reuse . Products can be used again and again, either as part of other products or as components.
- Use of damaged products . Some products are damaged but can be repaired. Many products are simply thrown away if a part is damaged, even though they could be repaired.
- Recycling . In all cases, the possibility of recycling a product should be investigated before throwing it away. It may be possible to make a new product from it or, if disassembled, it can become useful waste.
- Recovering energy from non-recyclable products . In specialized power plants, energy can be extracted from most waste.
- Renting instead of owning. The circular economy aims to produce as few products as possible, so it favors renting over owning. This way, products can be used more optimally, and at the end of their life cycle, the true owner can recycle them or incorporate the components into other, similar products.
- Use of renewable energy. In the circular economy model, the goal is of course to use renewable energy sources (such as solar, wind, geothermal energy) as opposed to simple, fossil energy sources.
- Eco-conscious thinking during design. Circular economy considerations should be prioritized when designing products – so that we can pay attention to minimizing the ecological footprint throughout the life cycle as early as the product concept.
- Rethinking the business model and using digital technology. Companies that support the circular economy model subordinate their entire business model to these goals, so they think not only in terms of products and services, but also keep the entire supply chain in mind. An important element of this is digital technology
Why is the circular economy model good for everyone?
The circular model is not only good for our planet, but also for individuals and businesses. The benefits of a circular economy include:
- The cost of raw materials is reduced. Reused raw materials are available to us at a cheaper price than if we had to create them from scratch.
- Production costs will decrease. For reasons similar to the first point, production costs will also be lower.
- Selling prices will also decrease. If the production cost is lower, the final product will clearly be cheaper.
- An environmentally friendly solution. If we protect nature, it will reward us for our care. The circular economy reduces the environmental burden.
How can we utilize circular thinking in our own lives?
As a consumer, we can also help the circular economy gain more and more ground by supporting sustainably operated businesses with our purchases that follow the principles of the circular economy model. These are companies that recycle or reuse products or waste. For example, CYCLE is a good choice in the field of cleaning products, as CYCLE's cleaning products are made from recycled biomass, without using a drop of drinking water, and do not contain harmful chemicals produced in chemical plants. Moreover, the bottles are also made from recycled plastic - so there is no need to produce new plastic for them.
And at home, we strive to repair, recycle, or donate our everyday items when we no longer need them.
The circular economy offers a win-win vision, and we can all take small steps to make our planet a better, more livable place.
