26 Mar 2018

The Role of Business in the Circular Economy

Markets, Processes and Enabling Policies

Vasileios Rizos / Arno Behrens / Eleanor Drabik / David Rinaldi / Katja Tuokko

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The circular economy is attracting significant interest worldwide, as evidenced by the numerous government strategies, business commitments and partnerships devoted to its development. At the EU level, the Action Plan for the Circular Economy and several other policy documents have demonstrated a strong commitment to move towards a low-carbon and circular economy. While the calls for a new economic model grow louder, it is clear that the transformation of markets and industries on a large scale will not be an easy achievement. It will require well-designed and ambitious policies to foster the transition as well as new business models.

Against this background, CEPS brought together executives from major multinational companies as well as representatives of business associations, non-governmental organisations and research institutes to form a Task Force charged with tackling the immense challenges associated with the circular economy. This report is the outcome of their deliberations, guided by the co-chairmanship of Martin Stuchtey, Founder and Managing Partner of SYSTEMIQ Ltd and Stef Kranendijk, Affiliate Partner of SYSTEMIQ Ltd. It analyses the key obstacles that need to be addressed, explores numerous policy areas at the EU and national level where support can act as a catalyst for market transformation, and puts forward actionable policy recommendations.

Vasileios Rizos is Research Fellow, Arno Behrens is Associate Senior Research Fellow and Eleanor Drabik is Researcher at CEPS. At the time the report was drafted, David Rinaldi was Associate Research Fellow, and Katja Tuokko was Researcher at CEPS.