White paper focuses on developing organisation-level performance indicators in the transition to the circular economy
Infrastructure organisations must have measures to demonstrate and communicate the value of the circular economy to internal and external stakeholders, according to a white paper published on 14 March by the AECOM-led Major Infrastructure – Resource Optimisation Group (MI-ROG). The white paper, “Measuring circular economy performance – suggestions for infrastructure organisations”, notes that one of the challenges with the circular economy, along with other approaches that promote whole life approaches, is that actual value may only be realised many years into the future. Hence, monitoring both outcomes and enablers is gaining credence.
The white paper recommends that productivity-based metrics would be a good basis for a measure of actual performance relating to the circular economy. The white paper notes that productivity-based metrics cannot be used alone as they are retrospective and do not capture effort going in to activities to reduce material use and waste generation in the future. It may be possible to negate this by forecasting impacts before and after certain interventions and setting targets, but this requires a great deal of effort in baselining data and monitoring performance.
The white paper therefore proposes that material use and residual value metrics are complemented by a suite of enabler-based and asset management metrics applicable to the functions and stage of an organisation’s transition towards a circular economy model. How proportions are defined will need to be reflective of each organisation’s function and circular ecomomy maturity.
Embedding circular economy principles in infrastructure projects will generate positive environmental impacts and help build greater resilience in supply chains. With numerous infrastructure schemes in the pipeline, there is increasing pressure on the local availability of construction materials and associated logistical pinch-points. A whole life approach to the development of critical infrastructure, with assets and materials kept at their highest value for as long as possible, has huge potential to deliver cost efficiencies, waste reduction and a lower carbon footprint on these major projects.
Many organisations are looking to the United Nations’ 17 Sustainable Development Goals (SDGs) to help define and prioritise their sustainable development aspirations for 2030. The SDGs call for worldwide action among governments, business and civil society to end poverty and create a life of dignity and opportunity for all, within the boundaries of the planet. Goal 12, with its focus on responsible production and consumption, provides an anchor for infrastructure organisations developing circular economy strategies and performance monitoring.
Robert Spencer, Sustainability Director at AECOM and MI-ROG Chairman, said: “With ambitious new infrastructure projects and major renewal programmes in the pipeline, the UK is in an ideal position to accelerate its transition to the circular economy. Measuring progress is critical to this process. MI-ROG’s proposal of a mix of productivity and enabling indicators provides a clear way forward for infrastructure operators and owners seeking to improve performance.”
Infrastructure services firm AECOM founded MI-ROG in 2013 to foster collaboration and circular economy best practice in order to help meet the challenges of delivering infrastructure in a constrained economy. MI-ROG participants include representatives from the Environment Agency, Highways England, National Grid, Network Rail, Heathrow Airport Ltd and Tideway, among others. The white paper is the culmination of discussions within MI-ROG about the risks and opportunities associated with changes in procurement processes that help promote a circular economy approach.
To access the white paper, click here: http://www.aecom.com/uk/projects/circular-economy-action-major-infrastructure-resources-optimisation-group-mi-rog/
