ACHIEVING GROWTH WITHIN A null320-BILLION CIRCULAR ECONOMY INVESTMENT OPPORTUNITY AVAILABLE TO EUROPE UP TO 2025 ACHIEVING GROWTH WITHIN | 3 CONTENTS FOREWORD IN SUPPORT OF THE REPORT ACKNOWLEDGEMENTS EXECUTIVE SUMMARY MAIN FINDINGS null INVESTMENT THEMES APPENDIX nullANALYTICAL METHODOLOGY REFERENCES 02 03 06 08 16 54 135 139 4 | ACHIEVING GROWTH WITHIN I am therefore very pleased with the insights that this report “Anullieving nullowth nullithinnullgives in ten attranullive nullrnulllar innovation and investment themes nulltotaling 320 nullllion thronullh to 2025null null 135 nullllion in the monulllity system null null0 nullllion in the food systemnull null 115 nullllion in the nullilt environment nullhese nullenull wavenullof priority nullrnulllar enullonomy investments nullonulld realistinulllly null nulllonulled with modest polinully reform or anullion nully indnulltry in the near termnull I endorse the message of this report that innulleasing investments into the nullrnulllar enullonomy is a very attranullive option for nullropenulls nullompanies and polinullymanullersnullnullhis agenda is hnullely synergistinullto nullropenulls sonullalnull nullompetitivenullregionalnullenvironmental and digital agendanullA nullrnulllar enullonomy system nullonulld provide nullrope with a new indnulltrial agenda with a nullear and positive messagenull A nullropean transition wonulld also have impanull far nullyond its nullrdersnullit nullonulld nulleate de fanullo glonulll standards for prodnullt design and material nulloinullesnull and provide other world regions with a mnullhnulleeded nullnullprintnullnullhis wonulld pnull nullropenulls politinulll as well as nullorporate leaders at the forefront of a manullr glonulll indnulltrial innovationnull Anullieving nullowth nullithin is wellnull timed and inspiringnullI wish yonulla pleasant readingnull Wnullnull Dnullnullnullnull Chairman Executive Board Rabobank Tnull nullnullnullnullnull nullnullnullnull nullnullnullnullnullnullnullnullnullnullnullnull Enullnullnullnull nullnullnullnullnullnullnull nullnullnullnull nullnullnullnullnullnull nullnullnull nullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullAnullnullnullnullnullnullnullnull nullnullnullnullnullnullnullnullnullWnullnullnull null0nullnullnullnullnullnull nullnullnullnullnullnullnull nullnullnull nullnullnullnullnullnullnullnullnull nullnullnullnullnull nullnullnullnullnullnullnull null nullnullnullnullnullnullnullnullnullnullnullnullnullnullEU nullnullnullnullnullnullnullnull nullnullnull nullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnull - nullnullnull nullnullnullnullnullnullnullnullnullnullnullnull nullnull Enullnullnull nullnullnullnullnullnullnullnull nullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnull nullnullnull null nullnullnull nullnullnullnullnullnullnullnullnullnullnullnullnullnull nullnullnullnullnullnullCnullnullnullnullnullnullnullnullnullnullnullnullnull nullnullnullnullnullnull nullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnull nullnullnull-nullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnull nullnull null nullnullnullnullnullnullnullnullnullnullnull nullnullnullnullEU null nullnullnullnull nullnullnull nullnullnullnullnullnull nullnullnullnull Tnullnullnullnullnull nullnullnullnullnull nullnull nullnullEU null null nullnullnullnullnull nullnullnullnullnullnullnullnullnullnullnullnullnull nullnull nullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnull Cnullnullnullnullnullnullnullnull nullnullnullnullnullnull nullnullnull nullnullnullnullnullnullnullnullnullnullnullnullnullnullnull nullnullnullnullnull nullnullnull nullnullnullnullnullnullnullnull nullnullnullnullnullnullnullnullnull nullnullnullnullnullnull nullnullnullnullnullnullnullnullnullnullnullHnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnull nullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnullnull nullnullnullnullnullnull FOREWORD ACHIEVING GROWTH WITHIN | 5 IN SUPPORT OF THE REPORT “The European Commissions circular economy package resulted from a genuine cross-sectoral effort within the Commission, and benefited from fruitful discussions with businesses, NGnull, national authorities and academianull null remains a central political pronullct for Europe, with an enormous potential for renewed competitinulleness, innonullation and nullb creationnullThe circular economy can make a substantial contribution to sustainable denullelopmentnullas well as to some of our manullr political commitmentsnullnulle are progressing towards a circular economynullimplementing the package and learning with others in the processnullnullnullestment is of course a key element herenullThe ennullronmental community needs to work together with the innullestment community to ensure that we delinuller on the nullstainable null elopment Goals, the nullaris nullgreement on climate change, the transition to resource-efficient, circular economies, to halting biodinullersity loss and the degradation of our natural capitalnullThis new, inspiring report is a useful and timely contribution to help us focus our efforts and resources on the most promising aspects of the circular economynullnull Karmenu Vella, nullropean nullommissioner for the nullvironmentnull nullritime Affairs and nullsheries “This report shows clearly how unlocking the significant potential of circular models could be reached within relatinullely short timenullit reminds us policy makers that change doesnt come by itself - but also that manullr benefits can be realised relatinullely painlessly with targeted policy monullesnullEurope needs to be more circularnullold, linear ways of thinking, producing and consuming hanulle made us reach the limits of our planetnullnullce again, this report stands to show that circularity is a win for our ennullronment but enullen more so, a great win for our economynullnull Sirpa Pietikinen, nullmnullr of the nullropean nullarliament 6 | ACHIEVING GROWTH WITHIN IN SUPPORT OF THE REPORT “The circular economy offers a real opportunity for economic growth and for managing that growth sustainably, making better use of enullsting assets and space, lenulleraging technology innonullationnull nulle aspire to nullondon becoming the global centre for circular economy leadership by engaging and collaborating with a range of actors in the spacenull This is becoming an unstoppable monullement with a wide range of like- minded organisations coalescing in the city to start demonstrating the impact that circular practice can bringnull This report helps to bring focus and clarity to the areas that can hanulle the greatest impact nullthe potential economic benefits identified to the European economy should make enullery business leader sit up, take note and nullin the monullementnull Wayne Hubbard, nullief nullerating nullnullernullnullondon nullaste nullnullenullynulling nullard “nullifting Europe towards a fully circular economy has been forecasted to pronullde significant economic, ennullronmental and societal benefitsnullnullchienullng this will renullire innullestments towards technology and business model innonullationsnullnullcreasing the capital deployment towards these innonullations will renullire innullestors, both small and large, to identify these new growth opportunities as well as understand their risksnullThis report pronulldes new ideas on how to approach this topic for the innullestment communitynullnullGGnull as founder of a nullint working group nullnanCE, welcomes this dedicated research nullery muchnullnull Else Bos, nullief nullenulltive nullnullernullnullnull ACHIEVING GROWTH WITHIN | 7 “null a resource constrained ennullronment, Circular economy must become a priority for Europe, and the worldnullnullile European innullestment is still lagging behind since the crisis, banking on the Circular Economy, coupled with the digital transformation, offers a uninulle opportunity to boost growth, employment and reduce Cnull emissionsnullnullenullbelienulles that the resource renullolution will be circular, concrete and collaboratinulle, and has already started to innullest in innonullatinulle circular water and resource reconullery technologies and business models, notably through its corporate nullenture nullehiclenull nullsinesses need to close the loop on resources to become more competitinulle and protect themselnulles from resource scarcity and price nullolatilitynullThis is particularly true in areas such as mobility, food systems, or the built ennullronmentnullThe nullchienullng Growth nullithin report pronulldes substantial enulldence that Circular Economy is becoming a game changer innullestment opportunitynullnull Jeannullouis nullaussade, nullief nullenulltive nullnullernullnullenullnullvironment null | ACHIEVING GROWTH WITHIN nullis report nulls been sponsored by Snull nulltinullunnullnullonds nullr null eltnullonomie und nullnullnullltinulleitnull and autnullred by tnull Ellen nullnullrtnullr nulloundation and SnullSnullnullnull Snull nullstitute Ennullronment null Sustainability nulltinullunnullnullonds nullr null eltnullonomie und nullnullnullltinulleit nullbHnull nullhe nullnullsnulle nullost nullonulldation estanullished nullnullas a nonnullronull organisation in nullptemnullr 2014 in order to strengthen its international anullivities snullporting institnullionsnull programmesnulland pronullnulls dealing with the nullallenges and opportnullities of glonulllisation and enhannulled nullossnullorder anullivitiesnullnullesearnull fnullded nully nullnullaims at developing nullonnullepts to renullonnullle enullonominullneeds with enullologinulll reason and sonullal responsinulllitynull nulle Ellen nullnullrtnullr nulloundation nullhe nulllen nullnullrthnull nullonulldation was nulleated in 2010 to anullnullelerate the transition to a nullrnulllar enullonomynullnullhe nullonulldation wornull anulloss nulle areasnull insight and analysisnullnullsiness and governmentnullednullation and trainingnull systeminullinitiativesnulland nullommnullinulltionnull nullith its nullowledge nullartners nullrnullnull Inullnullnullnullnullnsey nullnullonull and nullnullnullnullnullnullnull the nullonulldation wornull to nullantify the enullonominullopportnullity of a more nullrnulllar model and to develop approanulles for nullptnulling its valnullnullnullhe nullonulldation nullollanullrates with its nullonulll nullartners nullnullsnullonullnullnonenullnulloglenullnullnull Intesa nullnpaolonullnullnullnullInnullnullnullilipsnull nullenanulltnullnullilevernull and its null100 networnullnullnullinessesnullnulliversitiesnull emerging innovatorsnullgovernmentsnull nullties and afnulliate organisationsnull to nullild nullpanulltynullenulllore nullollanullration opportnullities and to develop nullrnulllar nullsiness initiativesnullnullhe nullonulldation has nulleated glonulll teanullingnulllearning and training platforms on the nullrnulllar enullonomynullennullompassing wornullwith leading nulliversitiesnullsnullools and nullollegesnulland online events snullh as the nullsrnulltive Innovation nullestivalnullnully estanullishing platforms snullh as the nullw nullastinull nullnullonomy initiativenullthe nullonulldation wornull to transform nulley material nullwsnullapplying a glonulllnullnullossnull senulloralnullnulloss valnull nullain approanull that aims to effenull systems nullangenull nullhe nullonulldation promotes the idea of a nullrnulllar enullonomy via researnull reportsnullnullse stnullies and nullonull seriesnullnulling mnulltiple nullannelsnullwenull and sonullal media platformsnullinnullnulling nullrnulllatenewsnullorg whinull provides a leading online sonullnulle for nullrnulllar enullonomy news and insightnull nullrtnullr innullormationnull ellenmanullrthnullfonulldationnullorg nullirnulllarenullonomy SnullSnullnullnullnulltdnull is a new nullnd of enterprisenullthat nullomnullnes advisorynull nullsiness nullilding and investment enullertise to deploy hnullan talent and long term nullpital into new and disrnulltive systems of land nullenullenergy generationnullnullrnulllar indnulltrial systems and nullnulln livingnullnullnullnullnullnullnull anullnullelerates system nullange nully nullltivatingnull innullnullting and snullling solnullions that deliver snullerior enullonominull environmental and sonullal valnullnull Steerinnullnullommittee nulle are gratefnull for the snullport and gnulldannulle of onull nullteering nullommitteenull Klaus nullmnullnkel Chairman of Deutsche Post Foundation JanenullPoto nik Co-Chair of the UNEP International Resource Panel, Partner, nullnullnullnullnullnull nulldrenullnullrlet CEnull, Ellen nullcnullthur Foundation ACKNOWLEDGEMENTS ACHIEVING GROWTH WITHIN | null nullrtin null Stunulltey nullnanullnnullPartner, nullnullnullnullnullnull Pernullnullders Enknullst FoundinnullPartner, nullterial Economics StenullKranendinull, Partner, nullnullnullnullnullnull Enullerts nullonsulted nullr spenullal thannull go to the many other leading anulldeminull indnulltrynull and government agennully enullerts who provided invalnullnulle perspenullives and enullertise thronullhonull this pronullnullnull Ben Peanulle nullstainable nullnufacturinnull nullead, nullonullednull nullransfer Netnullork nullders Kildenullard Knudsen nullstainable Business Consultant, nullriva nullnnar nullonull Founder and CEnull, nullunder nulln Brinulls nullnanullnnullDirector, nullnullReman nulltd nullrkus Bnullrre Economist, Danish Business nulluthoritnull nullkkel Stenbnull Hansen Denulltnullnullad of Division at Danish nullnisternullof the Environment, Environmental Protection nullnullncnull nullurinulle nulllden nulladonullCabinet nullcretarnullfor the Environment, Climate Channull and nulland Reform, nullottish Conservatives nullnulld nulltnullimons nullnanullnnullDirector, nullkdene nullllins nullunullSimpson Princinulll Policnulland Pronullamme nullnuller, nulleater nullondon nulluthoritnull nullarlotte nullrton Chief Executive, nullhe nullaerobic Dinullstion and Bioresources nullsociation nully Braun nullstainabilitnullDirector, nullellonull Comnullnnull nullouisa Burnullood nullaylor Chief editor, nullnullunder nulleontino Balbo Executive Director, Balbo nullounull Enullert Sonnenulleld Co-founder, nullolterra Ecosnullstems Paul nullnullnulln nullnanullnnullPartner, nullnullPartners nullement nully Co-founder, Innovafeed nullstin Benton nullctinnulldenulltnulldirector, nulleen nullliance nullne nullristine Steenknullr Product and nullonullct leader, nulleknolonullsk Institut nulloert nullnullariasse CEnull, Delta Develonullent nullounull JosenullHarnullanulle nullobal Foresinullt nullnanullr, nullunull nullnulld nullesnullre Renullonal nullstainabilitnull Director, nullCnull Jason nullenull Director, nullnullinullotein ErinullHannon Partner, nullnullnsenullnul