The ambition for a circular economy is simple – the minimisation of waste through the design of more efficient products and the maximisation of value extracted from resources. This signals a departure from the linear take-make-waste model which assumes abundant resources that are easily sourced and subsequently cheaply discarded with few ramifications. Numerous data points suggest the latter model is unsustainable. Reasons to strive for a more circular economy are wide-ranging, incorporating significant environmental and socioeconomic issues.
The circular economy is now a key part of the solution as we all strive for a more sustainable future and should no longer be considered a niche concept with limited application. It will be interesting to see how the regulatory landscape develops, with increasing calls to place circularity at the forefront of green agendas, including the use of tools such as carbon pricing to incentivise a transition away from take-make-waste models.
Sasha Thompson, investment analyst, Walter Scott
Doc ID: 674958