Circular economy prospects an challenges in Africa

1. When Old is Gold:
Circular Economy Prospects in Africa
Samar H. AlBagoury
Samar.hassan@cu.edu.eg - +201223672204
Faculty of African Post Graduate Studies, Cairo University
Iraqi Afro studies center webinar on: The New Economic Strategies in Africa, 9th October 2020

2. What Does Circular Economy Mean??
Agenda
Circular Economy Vs. Green Economy
Circular Economy: Countries Experiences
Circular Economy In Africa
Challenges & Prospects

3. CircularEconomy
Definition
Circular Economy could be considered as a new
economic model to replace the traditional linear
economic model, in which raw materials are used
to make a product, and after its use any waste is
thrown away, to a non-linear circular model based
on recycling and reusing of materials, in which
there is almost zero waste. It aims to stimulate
economic growth while reducing burdens or
pressure on environment and natural non-
renewable resources. This includes lowering
material inputs and minimizes waste generation

4. CircularEconomy
Definition
Circular economy could be distinguished from any other
linear economy model by two main characteristics:
Slowing resource loops & Closing resource loops

5. Circular Economy
design of long-life goods and
product, where product and service
life extended through maintenance,
repairing and remanufacturing.
Accordingly, the utilization period of
products is extended and/or
intensified causing the slowdown of
the flow of resources.
Slowing
Resource
Loops
Closing
Resource
Loops
the loop between post-use and
production is closed, because the
waste is turned back into the
production process as secondary
resources.

6. 3 R’s Principles of CE
Reduce
Resources
Uses
Recycle or
Utilization of
Waste
Product
Reuse
Circular Economy could be seen
as a new economic model aims to
rationalize resources uses by
following what is called the 3Rs
principle: Reduce, Reuse, and
Recycle.

7. CircularEconomy
Definition

8. CircularEconomy
Definition A sustainable development strategy aims to
reduce the common production-consumption
systems’ linear material and energy flows by
applying materials cycles, renewable and
cascade-type energy flows. It combines high
value material cycles with more traditional
recycling and developed systems approaches
to the cooperation of producers, consumers
and other societal actors in sustainable
development process

9. circular economy could be distinguished from
green economy as strategies to achieve
sustainable development. Actually, green economy
could be seen as a part of the circular economy
since it usually focuses on the clean production
process that is environmentally and economically
efficient, but the after-production practices that
appear in the circular economy model does not
explicitly included in the green economy.
Circular Economy Vs. Green Economy:

10. Circular Economy Model
Private investment, jobs and
value added, no. of patent
related to waste
management and recycling
Overall recycling rate of
municipal waste, recycling
rate of specific waste
streams
Self sufficiency of raw
materials, public
environmental
requirements, municipal
waste generation, amount
of food waste….
Contribution of recyclable
materials to raw materials
demand, trade rate in
recyclable raw materials….
Production &
Consumption
Waste
Management
Secondary
raw materials
Competitiveness &
Innovation

11. Circular Economy
Globally:
8.6%
92 b.t
01
over the last five decades, the global use of materials
has more than tripled increasing by a factor of 3.5,
from 26.7 billion tones in 1970, to 92.0 billion tones in
2017.
High Rates of extraction:
48 b.t
02
materials entering the global economy every year the
majority (52.6 billion tones) are being used by society
as short-lived Products that Flow reaching their end-
of-use typically within a year. The other 48.0 billion
tones of materials enter into long-term stock, referred
to as Products that Last. These come mainly in the
form of buildings, infrastructure and capital equipment
Stock Build-up:
40%
03
recovery rates are on the increase, solid waste
recovery in Europe between 2011 and 2016
increased by an average of 11%.The yield of
secondary materials is, therefore, simply not sufficient
to feed our hungry economy on its own.
End-of-use processing and cycling:
The negative trend overall can be
explained by three related, underlying
trends: high rates of extraction;
ongoing stock build-up; plus, low
levels of end-of-use processing and
cycling. These trends are embedded
deep within the ‘take-make-waste’
tradition of the linear economy
2019
9.1% 2018

12. Circular Economy In Africa
While the environmental factors may be the main
motivation for transforming to CE in developed countries,
the economic potentials associated with CE could be a
great motivation for transforming to this model in Africa.
Circular economy has the potentials of decreasing cost of
production, reducing exposure to price fluctuations,
enhance renewable energy using, decreasing the
depletion of raw materials, and creating more value added
in manufacture sector by the reusing, recycling activities

13. Circular Economy In Africa

14. - The implementation of circular economy has the potential to create
many employment opportunities to local communities. Since circular
economy implementation need more investments and operators in
new areas and fields as recycling and maintenance and
refurbishment. These activities could be an opportunity not only for
large firms and entities but also for small and medium enterprises.
Thus, it creates more job opportunities.
- Circular Economy could increase firms’ profitability by reducing
production costs through sustainable supply chain and end-of-life
managements, decrease input prices and reduce waste generation.
Firms also could sell their wastes instead of disposing them
generating more profits
Economic
&
Political:
CE Opportunities & Prospects in Africa

15. - Circular Economy also enable the protection of natural resources
by reduce the amount of new (virgin) raw materials used in the
production and the utilization of waste and waste streams in the way
that also reduce pollution generation. Such environmentally sound
management practices offer operational and supply chain resilience
and make it easier to penetrate into new developed markets.
- Circular Economy improves the utilisation of waste and waste
streams, in the way that enable preserving natural resources, water,
energy and minerals. Respectively, it increases the productivity of
materials by rework and recycling, extends their life cycles and
decreases the need for land-fill sites. It also reduce consumption of
fossil fuel and the emission of greenhouse gases and toxic
substances. Therefore contribute to climate change mitigation
Technical
&
Environmental:
CE Opportunities & Prospects in Africa

16. Circular economy could enhance public health and
environmental awareness. People become more
aware about unsafe materials and prefer more
environmentally friendly and safe products
Social
CE Opportunities & Prospects in Africa

17. - Circular economy requires a considerable amount of
upfront investment. And it has a long pay-back period.
Correspondingly, with the lack of financial support
mechanisms and tax incentives firms will avoid the
implementation of circular economics.
- circular economy may hinder the growth of African
economies especially in countries that are dependent on
the exports of natural resources. There is also the risk or
concerns about health and environmental impacts of
secondary materials such as e-waste that are imported
into the countries
Economic,
Political
&
Regulatory
CE barriers & Challenges in Africa

18. - Lack of data and statistics to build policies and planes for
circular economy and conduct the market studies needed to
start the new firms for circular economy activities.
- The lack of regulatory framework organizing circular
economy practices within and between African countries as
the regulation for trade in waste for example and its
environmental and health constraints.
- The lack of integrated circular economy plans as an
integrated regional waste management plans for example
that could promote sustainable business models, as
mentioned during the regional meeting on integrated waste
management in Africa, held in accra on June 2019.
Economic,
Political
&
Regulatory
CE barriers & Challenges in Africa

19. - Infrastructure availability and waste valorisation rates are lower
than those observed in developed countries. Therefore, the
circular economy concept and its implementation in industry and
country level is an approach to minimize and manage waste
effectively and efficiently.
- The existing waste resources management systems in Africa are
generally low-tech and they limit maximum utilisation of recovered
materials. The land-filling and incineration activities also lack
adequate technologies; as a consequence, these activities cause
huge environmental losses which cannot be reverted back.
Additionally, scavenger and decomposer companies lack capacity
to create new fields due to existing policies
Technical
CE barriers & Challenges in Africa

20. - Cultural, political and economic aspects, such as the
utilitarian buying behaviour, and anthropocentric attitude
toward waste disposal, unawareness of the customers
and entrepreneurs, and lack of environmental laws and
regulations
- The lack of environmental and health standards and
regulations concerning recycling and reusing activities
may reverse the effect of such model to be a real threaten
to environment and cause a serious health issues in the
African countries.
Social
CE barriers & Challenges in Africa

21. Circular Economy In Africa
Successfully implementation of CE in Africa should start from micro level with firms
and enterprises. Then, macro level, this could be done through:
1st: Introduce financial and non-financial incentives that can support the transition towards the
circular economy.
2nd: Establish strict environmental and sustainability requirements for firms and companies to
overcome the resistance during the transition towards a circular economy model.
3rd: Support having indicators of progress those take into account the sustainability of that
growth in an environmental and social context.
4th: Create a suitable legislative and regulations framework to support the transition towards
circular economy.
5th: Enhance Research and invention in the 4Rs aspects of circular economy.

22. Thank
You