Watch the webinar replay here, or scroll down for a summary and a preview.
In this webinar, we shared insights into the recently published report, Impacts of Circular Approaches on Emissions, Jobs, and Other Factors.
This report was prepared by the Sustainable Business Network (SBN), thinkstep-anz and Aurecon for New Zealand’s Ministry of Business, Innovation and Employment (MBIE).
Together with MBIE’s Katherine Silvester, SBN’s James Griffin and Aurecon’s Jodie Briocut, our Head of Circular Economy Jim Goddin explored circular strategies for resource-efficient buildings and infrastructure, sustainable agriculture and managing critical materials in manufacturing.
About the project
Katherine provided an overview of the research project. MBIE commissioned the report to explore the circular economy's potential to reduce emissions and improve material efficiency in New Zealand.
"We knew that there would be challenges and that this research would have to bring in both quantitative and qualitative insights, and inevitably be part of an ongoing process of developing that evidence base," Katherine said.
Significant challenges in material flows and waste management
Jim presented a deep dive into the project's findings. He presented the flow of materials through New Zealand's economy, waste management and the opportunities for increasing circularity. Sectors examined in the study included food and beverage, energy, construction, and critical materials.
"Overall, there were 182,000 kilotons of material flowing through the economy in 2019. Biomass was the most significant flow, which is perhaps unsurprising given the focus of New Zealand on the bio-economy." Jim said.
Non-metallic minerals, including aggregates and concrete, were also significant. The recovery rate of materials from waste is alarmingly low at less than 1%, highlighting a major area for improvement in waste management and material recovery. Predominantly, metals are recovered and often exported for reprocessing. The report also showed that 66% of energy consumed was non-renewable, with a strong reliance on imported fossil fuels for transport.
"We're not very circular as an economy at the moment. There's a huge amount of economic value in materials that we're losing, and that's part of what we need to focus on and where some of the opportunities are," Jim said.
Insights into advanced manufacturing
Jodie from Aurecon shared a sneak peek into a parallel project focused on advanced manufacturing. She emphasised that detailed emission and waste flow mapping within a sector was important.
The soon-to-be released project report identified data gaps and provided recommendations for improvement for seven sub-sectors.
"The project provided baseline data and identified opportunities for enhancing circular practices in manufacturing, with an emphasis on supply chain resilience and decarbonisation." Jodie said.
Collaborative efforts and legislative support are crucial
Achieving a circular economy requires strong collaboration across industries, supported by robust legislative frameworks. Government procurement policies, business model innovation and public-private partnerships play pivotal roles in driving systemic change.
James highlighted the importance of collective responsibility and action following the research findings.
"We have a collective responsibility to use this research as a springboard for action because that's why this consortium put our hand up to do this work, not just for the sake of the numbers, but we want to drive action." James said.
Economic and environmental benefits
Adopting circular economy practices can lead to significant reductions in greenhouse gas emissions and resource consumption. These practices also enhance economic resilience, create jobs and reduce dependency on imported materials.
The construction, agriculture, technology, and energy sectors present significant opportunities for circular practices. For example, the use of shared spaces in buildings, sustainable water management in agriculture, and increased durability, reuse, remanufacturing and recycling can substantially reduce environmental impacts and economic risks.
Starting point for ongoing improvement
Inconsistent and incomplete data is a major barrier to fully understanding and improving material flows and circularity. We need better data collection on material use, waste and the recovery processes to be able to make informed decisions and develop effective intervention strategies.
The current research and findings are just the beginning. Continuous improvement, iterative processes and further research are needed to refine strategies, close data gaps, and fully realise the benefits of a circular economy in New Zealand. This approach requires long-term commitment and action from all stakeholders.
"Achieving circularity in the New Zealand economy requires a strong legislative framework, design innovation and collaborative efforts to drive systemic change and realise the full economic potential of sustainable practices," Jim concluded.
For more detailed insights and to access the full reports, click here.