A circular economy
  • Understanding the circular economy

  • Circular economy model vs. closed cycle

  • The 3Rs hierarchy in the circular economy

  • Benefits and opportunities of the circular economy

  • New life of products: reuse and recycling

  • Transitioning to a circular economy. A closed loop economy in your company?

  • Greenwashing - some interesting facts

  • New EU regulations on product recycling 

Understanding the circular economy.  

Here's a word that everyone should know - Closed-loop economy. In the CE approach, if waste is already created, it should be treated as secondary raw materials and be used for re-production. The growing problem of excess garbage is already being realized not only by environmentalists, but also by business. A change in business models and a change in existing methods of obtaining and using raw materials is needed. 

A circular economy is a model of economic development in which the basic assumptions are met: 

(a) the added value of raw materials/resources, materials and products is maximized,

(b) the amount of waste generated is minimized, and the waste generated is managed in accordance with the waste hierarchy (waste prevention, preparation for reuse, recycling, other recovery, disposal). 


The situation is forcing us to change our thinking about resources, change attitudes and lifestyles. The closed loop economy needs the involvement of consumers, as much as the business sector. Our goal is to actively encourage, as broadly as possible, consumers to join in the development of the closed loop economy. 
With the growing challenges of climate change and resource constraints, the concept of a circular economy is attracting increasing attention. It is not only a new philosophy, but also a concept that is changing the way we view and do business. 
The traditional economy is based on a linear model, in which raw materials are extracted, processed, consumed and discarded, leading to overconsumption of resources and production of waste. The circular economy reverses this process, aiming to minimize waste and maximize the use of resources through continuous processing and reuse. 

What are the benefits of moving to a closed loop economy? Why is it necessary to move to a closed loop economy?  
The main goal of a closed-loop economy is to create a system in which waste becomes raw materials and production processes are optimized for efficient use of resources. This is possible through the use of advanced technologies, innovative production methods and a change in the way we think about the economy and consumption. 
Within a closed-loop economy, the principle of “reduce, reuse, recycle” plays the most important role. This means striving to reduce the amount of raw materials consumed, reuse products and materials, and recycle them to put them back into the economic cycle. 
In practice, the circular economy can take many forms and encompass various sectors of the economy, from industrial production to services. Examples of activities under this concept include designing products for reuse, developing sharing economy systems, promoting product repair and refurbishment, and developing advanced recycling and resource recovery technologies. 
The circular economy has the potential not only to reduce the negative impact of human activities on the environment, but also to stimulate innovation, create new jobs and improve economic efficiency. It is a concept that can contribute to building a more sustainable and resilient economy that is ready for the challenges of the future. 
In fact, the closed-loop economy is not just a vision of the future - many companies and organizations around the world are already implementing such solutions, gaining not only environmental, but also economic and social benefits. This is a sign that the concept of a closed-loop economy is becoming an increasingly viable and realistic response to today's challenges. 

Circular economy model vs. closed cycle 

The circular economy, or closed-loop economy, is an economic model designed in response to the limitations associated with the traditional linear model, which is based on a “produce, use, throw away” scheme.

In a circular economy, an important goal is to maximize the value of products, materials and resources through continuous reuse and recycling, thereby minimizing waste and negative environmental impact. 
The closed cycle is a fundamental element of the circular economy and refers to processes in which resources are used, recovered and reprocessed indefinitely.

Here's how it works: 
Design for durability: Products are designed to be more durable, easier to repair and upgrade. This allows them to last longer, and when they reach the end of their original life, they can be easily disassembled into parts that can be reused or recycled. 
Reducing the consumption of raw materials: The circular economy seeks to minimize the use of new raw materials. Instead, by recycling and reusing materials, the need to extract and process natural resources is reduced, which is significantly better for the environment. 
Reuse and remanufacturing: Products and materials are preserved, refurbished and recycled to create new products. For example, old cell phones are broken down into parts that can be used to build new devices. 
Recycling: At the end of the chain, when products are too worn out to be repaired or reused, the materials derived from them are recycled. The recycling process converts materials into raw materials that are reused to make new products. 
Reducing waste: By effectively managing resources and continuously reusing them, the circular economy significantly reduces the amount of waste going to landfills or incinerators. 

Benefits of the Circular Economy 

  • Saving natural resources: Reducing dependence on natural resources helps conserve them for future generations. 
  • Reducing harmful emissions: Less waste and more efficient use of materials leads to reduced emissions of CO2 and other harmful substances. 
  • Stimulating innovation: The requirement to adapt to the circular model encourages innovation in design, processing technologies and logistics systems.
  • Increased competitiveness: Companies that manage resources efficiently can reduce costs and increase their competitiveness in the market. 


The circular economy is not only a response to environmental problems, but also represents an opportunity to develop new economic sectors and increase operational efficiency in businesses. 

The 3Rs hierarchy in a circular economy 

The 3Rs hierarchy in the circular economy is an approach that emphasizes three key strategies for reducing waste and maximizing resource efficiency.

Here is a discussion of each of these strategies: 


Reduce: The first step in the 3R hierarchy is to reduce the amount of raw materials consumed and waste generated by reducing consumption and minimizing waste. This approach requires awareness and a change in habits, both at the individual and organizational levels. Examples of reduction activities include avoiding buying unnecessary items, minimizing single-use packaging, and rationally managing energy and water consumption. 


Reuse: The second step is to promote the reuse of products and materials to minimize waste. This is the process by which a product or material is reused in such a way that it performs the same or a different function. This can include repairing, renovating, refurbishing or turning products into new, useful items. Examples of reuse include donating clothes or furniture to second-hand stores, using reusable packaging, and refurbishing and upgrading electronic devices. 


Recycle: The final step in the 3R hierarchy is recycling, which is the process of turning waste and unused materials into raw materials or products that can be reused in production. Recycling aims to reduce the amount of waste going to landfills and reduce the consumption of natural resources by using materials that already exist. Examples of recycling include converting plastic into pellets for new packaging, converting glass into container glass, and recycling paper and cardboard to produce new paper products. 


The 3Rs hierarchy in a closed-loop economy promotes a sustainable approach to resource and waste management by minimizing waste, maximizing the use of raw materials, and promoting the reuse and recycling of materials. This approach creates more efficient and environmentally friendly production and consumption systems that contribute to environmental protection and sustainable development. 

Benefits and opportunities of the circular economy 

The circular economy, also known as the closed economy, refers to an economic system in which products, resources and materials are used as efficiently as possible, minimizing the generation of waste and the consumption of natural resources.

The benefits and opportunities of a circular economy are numerous: 


Optimal use of resources: The circular economy is based on the reuse, recovery and reclamation of resources, making better use of available natural resources. 


Reduction of waste: By reusing and recycling materials, the circular economy reduces production and municipal waste, which contributes to reducing environmental impact. 


Increasing production efficiency: By designing products for later use and by optimizing production processes, the circular economy can increase production efficiency. 


New business opportunities: The circular economy opens up new business opportunities, such as maintenance services, leasing products, trading in secondary materials, or designing products for later remanufacturing. 


Reducing dependence on raw materials: By recycling and reusing raw materials, the circular economy reduces dependence on imports of natural resources, which can contribute to the country's economic security. 


Improved corporate image: Companies practicing circular economy principles often enjoy a better image among customers and communities, which can bring marketing benefits and increase customer loyalty. 


Reducing greenhouse gas emissions: By reducing the consumption of natural resources and reducing waste, the circular economy can help reduce greenhouse gas emissions associated with waste production and disposal. 

The new life of products: reuse and recycling

Recycling is not a new invention. The first attempts to recycle materials dates back thousands of years, when people reused scrap metal or used fabrics into new products. Many companies incorporate reuse practices into their manufacturing processes. For example, used wooden pallets can be repaired and reused, reducing wood consumption and production costs. Thanks to technological advances, more and more advanced recycling methods are being developed. It is now possible to recycle materials that were previously considered difficult to recycle, such as mixed plastics and used batteries. 
In everyday life, there are many ways to reuse items. For example, food containers can be used to store other products, and clothes can be transformed into new DIY projects. Today's design trends increasingly focus on creating products with long-term use in mind and the ability to regenerate resources. Designers are striving to create products that are aesthetically pleasing, functional and environmentally friendly. 
Despite advances in recycling and reuse, there are still challenges related to the efficiency of recycling processes, lack of infrastructure in some regions and excessive waste production. 

Transitioning to a circular economy. A circular economy in your company? 

Nowadays, customers are looking not only for quality products and services, but also for companies that are committed to environmental and socially responsible activities. Practicing circular economy principles can be a key element in building a positive image for your company and gaining customer loyalty. 
Companies that practice circular economy principles minimize their environmental impact, which attracts the attention of environmentally conscious customers. 

Benefits for your Company: 
 
Better Image: Practicing circular economy principles demonstrates your company's commitment to environmental efforts, which builds a positive brand image. 
Green Marketing: Circular economy provides an excellent topic for promoting your company in marketing campaigns. Customers are eager to support companies that care about the environment. 
Increase Customer Loyalty: Customers increasingly appreciate companies that take steps to protect the environment. Improving your image through circular economy practices can increase customer loyalty. 

Greenwashing - some interesting facts 

The term “greenwashing” first appeared in the 1980s, when environmental organizations noticed that some companies were using marketing strategies to suggest that their products or operations were more eco than they actually were.

Greenwashing can take many forms, from using a green color scheme in advertisements, to placing small icons or lettering on products or packaging to suggest that a product is eco, even though there is no real evidence of this. 
Greenwashing does not only apply to consumer products. It can also extend to services, food, energy, fashion and many other sectors where companies seek to use a green image to boost sales or improve their image. Sometimes greenwashing is linked to a corporation's Corporate Social Responsibility (CSR) activities. Companies may promote their commitment to environmental activities while ignoring other aspects of their business that may negatively impact the environment. 
In the age of social media, greenwashing can be more easily exposed by consumers. Through social media platforms, consumers can quickly share information and discuss the real environmental impact of companies' actions.

As the environment becomes more important to consumers, more people are aware of greenwashing and increasingly suspicious of companies' claims. Companies that engage in greenwashing can face consequences in the form of declining customer confidence and reputational damage. NGOs such as Greenpeace and Friends of the Earth play a key role in exposing greenwashing and educating consumers about real environmental challenges and actions that can be taken to solve them. 
Greenwashing is a serious challenge for consumers, companies and society as a whole. Therefore, it is crucial to maintain a critical approach and carefully analyze information before making purchasing decisions. 

New EU regulations on product recycling

Recently, the European Union has applied a series of new recycling regulations that are a key part of its strategy to increase the efficiency of the circular economy and reduce waste in Europe. However, it is important to emphasize that the EU is placing a great deal of emphasis on compliance with these rules, and is constantly planning new measures to strengthen these efforts. 
 
The EU's recycling regulations not only set standards for member states, but also become the foundation for further sustainability initiatives and strategies. The European Union is constantly monitoring the progress of the implementation of these regulations and taking steps to enforce them effectively. 
 
In addition, the European Union is planning new developments that could further tighten the rigor of recycling and the circular economy. The development of innovative technologies, support for research into alternative materials and the promotion of public education and awareness activities are anticipated. 
 
Finally, the European Union seeks to work with member states, the private sector, NGOs and others to jointly develop effective strategies and actions for sustainable waste management. Adopting and enforcing recycling legislation is therefore a priority for the European Union, and the planned new measures aim to further strengthen these efforts.