Circular is the New Green
Here’s a pop quiz for anyone curious about one of the most interesting yet least understood sustainability strategies being talked about today: What do the following scenarios have in common?
A manufacturer of packaging machinery and materials sends teams to a customer’s plant to replace the now-obsolete electronics in aging equipment, thus extending the useful life of the machines.
Under its “energy-as-a-service” lease program, a maker of lithium-ion forklift batteries helps customers optimize energy use, then finds new uses for batteries once they have outlived their original application.
A maker of reusable plastic pallets and totes follows products through their lifecycle, then takes them back for remanufacturing or reuse and gives customers a credit they can apply to new containers.
The answer: All are examples of the “circular economy” business model, a sustainability strategy that is all about decoupling economic growth from resource consumption and the increase in global greenhouse gas (GHG) emissions, waste and other forms of environmental degradation that go with it…