Linear economy model: The consequences
Climate change and global warming are mainly caused by the burning of finite fossil resources, where carbon dioxide, among other pollutants, is released into the atmosphere. Additionally, the traditional linear economy model, where raw materials are transformed into products, used and then discarded, contributes both directly and indirectly to the climate crisis.
The EU economy is no exception to the above pattern. It is dependent on non-renewable sources which are being recklessly exploited through linear production systems and then products are disposed after use. Additionally, industrialisation and urbanisation have intensified the linear and fossil-dependent working principle of the economy. First of all, automated production lines take advantage of the economies of scale, manufacturing single-use non-repairable products, and therefore leave little room to apply the reduce reuse recycle principle as a consumer. Also, the high proportion of urbanisation has elongated supply chains and associated resources to cover basic needs such as food (packaging, transportation etc.), but also making it harder to manage waste and residues because consumers reside far away from the collection/production source.
Circular Bioeconomy (CBE)
Switching to a more circular and sustainable lifestyle will minimise the effects of climate change and contribute to resource security. Biomass is expected to be in the centre of this paradigm shift, hence the use of the term bioeconomy. It includes land and aquatic ecosystems (animals, plants etc.) utilised to produce food, products, services and energy. However, bioeconomy does not necessarily include the concept of sustainability and circularity as discussed above. For instance, using firewood for heating qualifies as a bioeconomy activity (bioproduct), but can be unsustainable at the same time if the forest is not managed properly. Therefore, the term Circular Bioeconomy (CBE) is commonly used to include the sustainability and circularity aspect. In such a concept, outputs of production and consumption processes (traditionally seen as waste) become productive inputs into other economic processes (such as compost made out of organic waste or cardboard made out of recycled paper). Hence, bioeconomy related activities should shift from the current status of being linear and possibly unsustainable to become circular and sustainable.
To achieve this transformation, energy and product efficiency must be increased while reducing waste production and pollution, but also entire value chains need to be redesigned around circularity. This is highlighted in EU and national policies such as the EU Green Deal, CAP and Bioeconomy Strategy Action Plan. It can be achieved by investing and testing new innovative technologies, but also through up-scaling of proven business models in the biomass sector. There is some progress shown, but one of the key actions currently needed as shown by BioRural, is to spread the knowledge and lessons learned from small scale rural applications to commercial level in the rest of the union.