by Brianna Crandall — September 8, 2014—A new report with recommendations on eschewing a disposable, “throwaway” cultural mindset could lead the way for other governments attempting to increase recycling and reduce waste. Linking taxation to the environmental impact of products, a more consistent approach to recycling across Local Authorities, and investment in innovation could all help to grow a “circular economy,” according to the new report from the British House of Commons’ Environmental Audit Committee.
The report, Growing a Circular Economy: Ending the Throwaway Society , provides the committee’s recommendations to the government following an inquiry taking evidence on the subject from a number of businesses, academics and leading experts.
Some of the recommendations in the report include:
- Introducing differential value-added tax (VAT) rates based on life-cycle analysis of the environmental impact or recycled content of products, and tax allowances for businesses that repair goods or promote re-use;
- Introducing producer responsibility programs in new sectors, ensuring that businesses design products with end-of-life in mind;
- Directing local authorities to take a more standardized approach on recycling, separating food waste, banning food waste to landfill, and ensuring recyclers receive compatible sorted waste products;
- Financing innovative technologies that support a circular economy through the Green Investment Bank;
- Working closely with the E.U. to establish eco-design standards across a range of products, as well as taking steps towards a ban on products made from materials that cannot be recycled, or reducing taxes on those that can be;
- Removing trade barriers for remanufactured goods by pushing for them to be treated in the same way as new products; and
- Extending buying standards for public procurement to include a greater emphasis on the recyclability of materials, as well as the inclusion of recycled or re-used content.
Environmental Audit Committee Chair Joan Walley MP, asserted that “disposable society simply isn’t sustainable in the twenty-first century,” and stressed the need to create “a more circular economy that rewards innovative businesses, values natural capital, and is resilient in the face of rising global resource prices.”
Aleyn Smith-Gillespie, head of business model innovation at the international sustainability organization the Carbon Trust, said the ideas put forth in the report “are welcome as businesses need the right incentives from government, as well as being made to take greater responsibility for the long-term impact of their products and services.”
“Efficiency, business model innovation and product redesign are all important elements in tackling the resource challenge,” added Smith-Gillespie. “Consumer education and engagement by brands, as well as business models that deliver better value to customers must also be part of the mix. Change can only happen as scale once companies are convinced it will be better than business as usual, and the financial case stacks up. This requires clear examples proving that greener products and greener business models can be both sustainable and successful. The Carbon Trust has been working on this with Zero Waste Scotland, the High Speed Sustainable Manufacturing Institute, and corporate clients to make sure that the U.K. can reap the economic and environmental benefits of being more resource efficient.”
