Gigantic loss of recyclable materials

"The circular economy enables us to manage the resources available to us more economically," says Thomas Vellacott, CEO WWF Switzerland. The current linear make-consume-throw-away system generates vast amounts of waste and is a gigantic loss of valuable materials, according to the joint statement from the environmental organization WWF and the consulting firm PwC. About 65 billion tons of raw materials entered the global economic system in 2010. By 2020, that figure is expected to exceed 100 billion tons. But only 8.6 percent of resource consumption is circular. This means that more than 90 percent of primary resources do not return to the resource cycle.

WWF and PwC report highlights opportunities

While Switzerland recycles more waste than most of its European neighbors, it is also a nation that consumes a large amount of resources and produces a lot of waste. For example, Switzerland's material footprint of 16.8 tons per capita is much higher than the EU average of 14.5 tons per capita (2018). How Switzerland can develop a sustainable economic system thanks to the circular economy and make an important contribution to its climate goals is presented by WWF Switzerland and PwC Switzerland in the report "Circularity as the new normal: Future fitting Swiss businesses". before.

In it, the authors analyze the state and particular challenges of the circular economy for the financial, food, textile, pharmaceutical, and watch and jewelry sectors. They propose four appropriate circular strategies and innovation examples for closing, slowing, narrowing and regenerating material and energy cycles. The report identifies concrete solutions and is aimed at companies, policy makers and the general public.

Swiss companies would benefit

"Swiss companies would benefit decisively from a circular economy, as it reduces the consumption of resources and shapes a more resilient economy and society. At the same time, it reduces systemic risks for companies such as resource dependency," says Günther Dobrauz, Partner Legal at PwC Switzerland. PwC and WWF draw the following conclusions in their report: The circular economy is a multi-billion franc economic model for Switzerland, it creates less dependence on resources for Swiss companies, but also access to new markets, to innovation and investment. It is also an opportunity for the Swiss financial industry, for which it opens up new business areas.

Covid-19 has shown how fragile the balance between a healthy environment and the economy is, write WWF and PwC. It's in our hands to make the economy more sustainable and resilient. The circular economy can help cushion the looming business risks of the linear economy, they say. Now that an economic transition is taking place due to Corona, the opportunities of the circular economy must be seized, he said. Also with a view to the EU - Switzerland's largest trading partner, its circular economy strategy and the associated future regulations.

Seize the opportunity

The environmental organization WWF and the auditing and consulting firm PwC, among others, recommend:

• The development of a national circular economy strategy with measurable targets.
• Don't just recycle, plan for sustainable circular economy from the start
• Include the influence of the Swiss financial sector to promote circular investments
• Focus attention on the overall impact of Swiss industry and work toward Swiss climate goals.

Source: PwC / WWF