Policy Briefs

Maximising Resource Efficiency and Transitioning to a Circular Economy

Task Force: Energy, Climate and Sustainable Development
Authors: Derek Hondo, Dina Azhgaliyeva, Ferhat Karaca, Piya Kerdlap, Umesh Madhavan, Nicolò Serpella, Filippo Barzaghi, Mattia Selva
Pubblication Date: May 2024

Abstract

While industrialisation, economic development, and quality of life have improved significantly over the last century, years of the traditional linear take-make-dispose economy have had adverse effects on natural capital and has pushed us closer to the triple planetary crisis – climate change, nature and biodiversity loss, and pollution. Decoupling economic development from environmental degradation will be critical moving forward and transitioning to a circular economy (CE) can help to tackle this issue, especially as global population and urbanisation continue to rise. However, this requires a transformative systemic shift, involving both the public and private sectors, consumers, and society. The Group of Seven (G7) is in a unique position to lead on this front by collaborating with each other and the Global South through knowledge sharing of effective domestic CE policies and strategies, enhancing international frameworks, increasing public investments, and promoting public-private partnership initiatives to accelerate the transition to circularity and more resource efficient business practices, including the adoption of more renewable energy systems throughout the value chain.