Talking today about the circular economy and energy transition means touching a focal point of the international debate on sustainable development.
Protecting the environment without, however, limiting economic development: the goal is clear, especially in this post-Covid-19 era in which the environment has been defined as a central issue.
The sustainable development of national economies is a priority, which is why we are concretely witnessing a trend that aims to reconcile the energy transition needs with economic and social ones. That is why we talk about the circular economy.
It changes, therefore, paradigms and production cycle. By definition, the circular economy is an economic development model aimed at reducing waste and environmental impact by exploiting the redesign of the production processes.
This type of economy is based on basic concepts such as recycling, reuse, and regeneration of products and materials, to promote the creation of long-lasting products and the use of renewable energy.
Differences between the circular economy and a linear economy
During a typical linear economy production process, there is the generation of production excess, which is classified as waste. This is the first difference between circular economy and linear economy.
It changes the very concept of production excess no longer seen as waste to be disposed of but rather as a resource that is fed back into the production cycle, making it environmentally sustainable.
It seeks to create a system in which materials and resources are continuously used and reused, minimizing the consumption of new resources and waste generation.
While the linear economy has greatly impacted the future of generations to come, with the paradigm shift, catastrophe can be avoided. The goal of the circular economy is to create a sustainable and resilient system that can secure present needs without compromising the possibilities of future generations.
Some steps in the transition from linear to circular economy
In March 2020, the European Commission presented the Action Plan for a New Circular Economy that aims to reduce waste and harmful emissions and make the production process of resource-intensive sectors more sustainable.
Subsequently, in February 2021, additional measures were called for to achieve a key goal: that of creating a zero-carbon economy by 2050, the deadline that will see the completion of the transition from a linear to a circular economy.
The benefits of the circular economy and its relationship to the energy transition
The transition to a circular economy is urgent, both to protect the environment and biodiversity and to reduce greenhouse gas emissions.
Recent data from the European Environment Agency makes it clear that industrial processes cause 9.10 percent of greenhouse gas emissions in the European Union, while waste management is responsible for 3.32 percent.
Here, then, considering production waste as a resource and no longer as waste is a huge step forward in ecological terms.
From this point of view, it is also important to avoid excessive packaging and make it more functional and less impactful. Some estimates tell us that each year a European citizen produces 180 kg of packaging waste. This is an alarming figure that requires a reversal.
Another benefit of the circular economy concerns the use of raw materials. Europe imports most of the resources it uses in its various production cycles, resulting in a double-knotted dependence with some producing countries. Recycling raw materials reduces this dependence and, more importantly, makes it freer from the various price increases and poor availability that occur at certain times.
More responsible use of natural resources also has a positive impact on climate and the environment. By reducing the CO2 emissions that characterize the extraction and processing of raw materials, there are benefits of no small magnitude, proving that a sustainable approach is always to be preferred.
We can say that the relationship between the circular economy and the energy transition starts right here. The linear economy is closely linked to environmental unsustainability, while the circular economy tends to preserve natural resources and the environment while favoring renewable sources and materials.
Added to this is the extension of product life cycles and the encouragement of recycling and reuse, common factors that serve to achieve the climate goals that must take place between now and 2030.
The pillars of the circular economy are also useful, then, for improving energy efficiency. In the face of the pressing demand for circular infrastructure innovation related to the use of renewables, storage and distribution systems turn out to be a key tool to use.
Storage facilities (BESS) allow excess energy to be stored and then reused later, just as circularity requires. In addition, all this also pushes on the accelerator of the energy transition as it entices the use of renewable energy, overcoming the problem of grid instability related to the temporary unavailability of some sources such as sun or wind.