Circular Economy: spinning the wheel of fortune. Jorge DIAZ DEL CASTILLO European Commission DG Environment

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1 Circular Economy: spinning the wheel of fortune Jorge DIAZ DEL CASTILLO European Commission DG Environment

2 Food for thought ( to be taken with a pinch of salt!) 600 bn savings through Circular + full lex implementation jobs available % material-labour-energy costs in manufacturing industry new daily arrivals on this planet 80/20(75) % most unfair and unsustainable ratio in the world 15 t resources used pc/year (5 t waste - 50% disposal) 500 kg municipal waste pc/year 100 kg of food waste pc/year 40 % of a ton of carbon is turned into electricity 15 % of a liter of petrol is turned into driving energy 13 MS still bury more than 50% of their municipal waste 1 % of the 17 rare earth are recycled in the EU who cares when we are thinking of asteroid mining?! (planetaryresources.com)

3 Brussels, we have a problem! Municipal Waste Management, % 90% 80% 70% 60% 50% 40% Landfilling Incineration Recycling Composting 30% 20% 10% 0% Source: Eurostat

4 From a Linear Economy NATURAL RESOURCES TAKE MAKE DISPOSE WASTE WASTE WASTE 4

5 to a Circular Economy (CE) Spin resources in the economy for as long as possible Security of supply Boosting the EU economy by up to 7% GDP Creating jobs in the EU Reduction of waste and associated impacts (GHG emissions, leachate) 5

6 examples of CE measures: Lex: Product eco-design, waste and fertilisers Communications/strategies: waste to energy, plastic strategy Implementation/enforcement: clamping down on illegal waste shipments Guidance and best practices: on waste management/resource efficiency in industry Standards: for recycling electronic waste, batteries, and C&D waste Indicators: to measure food waste and energy performance of buildings Financing instruments: EFSI and Cohesion policy funds for the CE 6

7 New targets: municipal waste recycling 70% 60% 60% 65% 50% 44% 40% 30% 20% 10% 0% 2014 (current status) Target 2025 (1 method) % Prep. For reuse and recycling Target 2030 (1 method) 7

8 New targets: municipal waste landfilling 35% 30% 28 % 25% 20% 15% 10% 10% 5% 0% 2014 Objective 2030 % Municipal waste in landfill 8

9 New targets: recycling packaging waste % Prep for resue and recycling 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Plastic Wood Ferrous metal Aluminium Glass Paper and cardboard Existing targets Target 2025 Target (latest data) Overall 9

10 Current rules: Separate collection Separate collection for at least paper, metal, plastic and glass since 2015 to promote high quality recycling (Art. 11 WFD) New proposals: MS to ensure separate collection of bio-waste MS to promote sorting systems for C&D waste 10

11 Economic Instruments Current rules: Polluter-pays principle: the costs of waste management shall be borne by the original waste producer or by the current or previous waste holders (Art. 14 WFD) New proposals: MS to put in place economic instruments to promote waste hierarchy (landfill tax, PAYT) General requirements for EPR schemes

12 IBA in the CE Objectives Improve waste management systems across the EU to close the existing implementation gap. Provide a long-term vision and drive investments towards recycling. Key actions Avoidance of incineration over-capacities. Ensure that EU and national financial aid contributes to EU waste legislation, guided by the EU waste hierarchy. Recognise recovery of metals from incineration bottom ashes as recycling

13 Incineration rate of municipal waste in Dark Red: >40% Red: 30%-40% Orange: 10%-30% Green: <10% Blue: 0% Source: EUROSTAT, 2015 Cyprus & Malta

14 IBA in the Single Market for secondary raw materials Objectives Increase the use of secondary raw materials and the trust of operators in their quality. Improve knowledge of secondary raw material sources. Reduce the presence and risk of chemicals of concern in product cycles. Key actions Develop quality standards for secondary raw materials - Green Deal; Innovation Deal for IBA (?) Facilitate waste transfers between Member States and take further actions to reduce illegal shipments. Further development of the EU raw materials information system; research on flows and stocks. Analysis and options on the interface between chemicals, product and waste legislation.

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