THE CIRCULAR ECONOMY

The circular economy is an economic system that tackles global challenges like climate change,
biodiversity loss, waste, and pollution. Beyond product design innovations, it also means changing
the way we consume and use goods and services, and rethinking consumerism as a society.

Principles of  Circular Economy

The concept is based on three (3) main principles:

#1 Minimization of waste and pollution

The concept suggests the minimization of waste and pollution by reducing damages from  economic
activities.

 #2 Extension of the useful life of products and materials

A circular economy aims to extend the useful life of the products and materials by creating the loops
of the materials and products circulating in the economy. The goal is achieved through the active
reuse, repair, and remanufacturing of the products and materials utilized in the economy.

  #3 Regeneration of natural systems

The regeneration of natural systems is one of the fundamental concepts of a (circular) economy. It
enhances natural capital and creates the necessary conditions for the regeneration of natural
systems.
Linear vs. circular economy

The linear economy is the term for our current globalized economy in which we extract resources,
manufacture products, use them, and then throw them away. It is based on mass production and
consumerist lifestyles of short-life disposable products such as mobile phones, fashion items such as
trainers and clothes, and luxury items such as washing machines and cars.

The reason the linear economy has thrived in the past is because it offers high profits for
manufacturers around the world and cheap prices for consumers in developed nations.

Benefits of circular economy

- By maximizing the lifetime of our products and materials and designing out waste, circularity
reduces both our demand for raw materials and the environmental impact associated with
obtaining them. And using recycled raw materials will, in most cases, use less energy when
manufacturing products, therefore reducing carbon emissions.
- The circular economy, if done right, both reduces harmful activities such as carbon emissions,
air pollution, and toxicity exposure, and increases positive actions such as habitat restoration,
renewable energy, and cleaning the air.
- The circular economy also offers social benefits particularly in low-income economies,
because integrating informal waste pickers into formal waste collection provides job security
and fair wages.

Disadvantages of circular economy

- There are millions of employment associated with this linear, high-waste economy, many of
which are in low-income nations, thus transitioning to a circular economy will take time.
- Certain materials have a limited life-cycle. Some plastics can become brittle if recycled too
many times. There will also be an increased strain on component parts if they are repeatedly
accessed. Whatever the benefits of the circular economy, there is a need to ensure this
doesn’t jeopardise quality.