CIRCULAR

ECONOMY

Group 3
Anusha Gupta (B18134)
Arya Balial (B18135)
Atul Sharma (B18136)
Avnish Gaur (B18137)
Badrinath Bhimaraj (B18138)
Bhavin Shah (B18139)
 What is Circular Economy ? ? ?
Linear Economy Circular Economy

Natural
Take Make Dispose
Resources

Looking beyond the current take-make-dispose extractive industrial model, a circular economy aims to redefine growth,
focusing on positive society-wide benefits. It entails gradually decoupling economic activity from the consumption of finite
resources, and designing waste out of the system. Underpinned by a transition to renewable energy sources, the circular
model builds economic, natural, and social capital. It is based on three principles:
- Design out waste and pollution
- Keep products and materials in use
- Regenerate natural systems
Kraaijenhagen, Van Oppen & Bocken. 2016, Ellen MacArthur Foundation,
2016
Building Blocks of a circular economy

Circular New Business

Economy Design Model

Enablers and
Reverse Cycle Favourable
system conditions
 Doing it the XEROX way!
Organisational
• Cost effective option for
the manufacturer
• Scarcity of natural
resources drives price
increases, making it
difficult to keep
production costs stable
Benefits
Environmental Societal
• Natural resource Job creation and improved
conservation economic conditions such as
• Waste reduction for those employed in the
• Lower energy consumption jobs needed to support a
circular economy.
 The Chinese Way
• Circular Economy Promotion Law in
2008 - Front runner
• Circular Production - Reduce, Reuse,
Recycle
• Circular systems across all industries
including Agriculture to aid circular
production.
• Growth of Recycling industry - to
convert urban waste streams by
remanufacturing
• Green Consumption - Guiding every
citizen towards smart, healthy and safe
consumption
Guangzhou Huada
• Gearboxes, automotive transmission
• 35k units/yr produced
• ‘Trade old for Remfg’ campaign by National
Development and Reform Commission
Gem China
• Material Recycling
• Battery recycling - EVs
• Processed over 10% batteries used -
• Ni & Co extracted and re-used
• 2016: 3m tonnes of resources recycled-
saving 14m tonnes of fossil fuel
 Indian Example - Tata Group

• Tata Sustainability Group driving the CE initiatives across all group companies
• Joined hands with Ellen Mcarthur Foundation to train executives on CE concepts and frameworks
• Tata Steel, JLR and Tata Global Beverages are working towards closed loop waste management

Tata Steel - The 3R Philosophy
• Set up Industrial By-products
Management Division in 2014
• Profit Centre - 3200 cr turnover
in FY 2018
• 9m tonnes of waste recycled to
make 25+ new products
• Entire value chain involved,
Dedicated sales team
JLR - REALCAR
• Recycled Aluminium Car
• Partnered with supplier Novelis
to use Al Alloy
• Jaguar XE- first car with
reduced virgin material usage
• 85,982 tonnes of Al scarp
recovered in FY18
• 95% less energy required in
production with Recycled Al.
TGB - Zero waste to landfill
• 2012 : Eaglescliffe factory goes
zero waste - tea dust, paper etc
recycled
• 22% energy saving by installing
passive IR sensor lighting
• Solar powered Pkg plants in
Haryana and HP - 25% energy
consumption reduction
• Project Jalodari -rainwater
harvesting systems
 Facts and Figures - Global

Types of Waste according to origin:

1. Municipal Solid Waste (MSW) from homes, institutions, small businesses
2. Industrial solid Waste – from production of consumer goods, mining,
petroleum extraction, agriculture
3. Hazardous Waste – toxic, chemically reactive, flammable or corrosive

Source:- https://theworldcounts.com
 Facts and Figures - Global

Huge economic opportunity and maximum CAGR is

forecasted for APAC region.

Source: https://www.alliedmarketresearch.com/waste-management-market
Facts and Figures- National

Source: Central Pollution Control Board, Govt. of India,

Potential Material Savings due to Circular Economy (India)
 Potential Material Savings due to Circular Economy

A few examples of potential material savings due to circular economy :

● The cost of remanufacturing mobile phones - reduction by 50% per device—

if the industry made phones easier to take apart, improved the reverse cycle, and offered incentives to
return phones.

● High-end washing machines - leased instead of being sold— Over a 20-year period,
replacing the purchase of five 2,000-cycle machines with leases to one 10,000-cycle
machine would also yield almost 180 kg of steel savings.

● The U.K. could save USD 1.1 billion a year on landfill cost by keeping organic food waste out of
landfills—this would also reduce greenhouse gas emissions by 7.4 million tonnes p.a. and could
deliver up to 2 GWh worth of electricity and provide much-needed soil restoration and specialty
chemicals.
Potential Material Savings due to Circular Economy
 Economic Opportunity in India due to Circular Economy

• A circular economy development path in India could

create annual value of ₹14 lakh crore (US$ 218
billion) in 2030 and ₹40 lakh crore (US$ 624 billion) in
2050 compared with the current development
scenario – a benefit equivalent to 30% of India’s
current GDP.
• Greenhouse gas emissions would be 44% lower in
2050 compared to the current development path.
• Businesses will capture part of the value created by
following circular economy, and it would boost Around half-a-trillion dollars worth of India's
disposable income. GDP value could be protected through
• The lower costs will help India implement initiatives Circular Economy business models by 2030 in
such as Pradhan Mantri Awas Yojana (Housing for All) India and $4.5 trillion globally
and the National Food Security Mission.

Source : http://ficci.in/spdocument/22977/FICCI-Circular-Economy.pdf
 Indian Government’s Policy

• India ratified the Paris Agreement on 2nd STANDARDIZATION OF CIRCULAR ECONOMY

October 2016
• Zero Defect, Zero Effect scheme aims to
improve the quality of Indian manufacturing
while minimizing negative externalities.
• National Action Plan on Climate Change
(comprising of National Solar Mission, National
Mission for Enhanced Energy Efficiency, National
Water Mission and others) aims to reduce
environment footprint of the economy.
• MoEFCC established established the Indian
Resource Panel to partner with other
governmental ministries and private / public
organizations to facilitate the use of recycled
materials.
BS 8001: 2017 - first practical framework and guidance
of its kind for organizations to implement the principles
of the circular economy
ISO 323-CE – India among 22 participating members in
ISO. Standardization in the field of circular economy to
develop requirements, frameworks, guidance and
supporting tools related to the implementation of
circular economy projects
ISO 207 – Includes Eco-design and lifecycle assessment
concepts

Source: -https://www.ellenmacarthurfoundation.org/assets/downloads/publications/Circular-economy-in-India_5-Dec_2016.pdf
 Smart City Mission & Swachh Bharat Mission
̶ SCM under progress in India since 2015.
̶ Program envisions digitally enabled cities with sustainable development as a central focus, circular economy can
be embedded into it from the planning phases
̶ smart practices in different sectors like transport, waste management, energy management and so on
̶ Waste to energy targets and door-to-door waste collection system.
̶ RFID tagging of household bins and Vehicle Tracking and Monitoring System
▪ Internet of Things: Ensures a well-connected digital
infrastructure for the city
▪ Smart Mobility: Ensures efficient and time saving transport
solutions
▪ Sustainable Water Use: Enables prudent use of limited
water resources, water recycling and reuse
▪ Products as Services: Enables new business model for
resource recirculation, supporting 6Rs
▪ Renewable Energy: Integrates clean energy to all activities
▪ Materials Tracking: Supports productivity and ways to
conserve resources
▪ Waste=Resource: Ensures smart waste management,
resource recovery and 6Rs to achieve zero-waste goals
Functional Integration of Circular Economy
▪ Entire value chain needs to be
redesigned keeping in mind circular
economy
▪ Feedback mechanism will help
environment as well as company:
▪ Recycling will result in lesser strain on
dwindling resources
▪ Raw material usage will go down and by-
products will help in reducing costs for
the company
▪ Stakeholders include businesses, end
consumers, suppliers, producers and
manufacturers
▪ Government has the responsibility to
lead from the front by designing policies
conducive to circular economy
(sustainable future, less dependence on
other economies)
▪ Following this, companies need to
innovate to improve resource
productivity (triple bottom line)
▪ Finally, consumers also need to respond
to these changes and affect changes in
their lifestyles to making greener cost-
effective choices everyday
Functional Integration of Circular Economy

▪ Moving from linear to circular

economy requires strategies
to improve products lifespan
▪ A closed loop system will
involve useful application of
materials by recycling and
recovering