According to the OECD, the size of the world economy is expected to double and world population to grow by one-third by 2030.
With rising income and living standards, global consumption of fossil fuels, minerals, metals, timber and food crops is also growing, generating pressures on natural resources and the environment.
But prosperity does not mean that the amount of materials consumed need to increase. By reducing, reusing and recycling materials, economies can reduce the need for virgin materials and improve resource efficiency.
Resource productivity is used as a benchmark in many areas and industries
- E.g. Beverage industry: Carlsberg Group
The Raw Material Commitment (RMC)-Covenant Circular Economy 2022 is focused on Resource Productivity related to
- Critical Raw Materials (CRM)
- Other resource value chains such as construction, demolition and food waste
This initiative is based on a common vision and multi-stakeholders action plan developed on regional and local level.
Member Regions, Cities and Companies of the Covenant will prepare an Action Plan in support to the Strategic Implementation Plan (SIP) and in view of a circular economy.
Each Region will establish a link with the Structural Funds Operational Plan a Region has to adopt. Regions and Cities will activate their procurement power. Companies and Citizens will make use of their purchasing and investment powers, while Universities and Clusters will contribute to technological and non-technological innovation.
The Power of Many
This initiative is an open-coordination system between actors of value chain and agents of local development to unlock the power of many actors in the field of Circular Economy.