{"id":39410,"date":"2022-01-19T12:28:53","date_gmt":"2022-01-19T06:58:53","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=39410"},"modified":"2022-01-19T12:31:29","modified_gmt":"2022-01-19T07:01:29","slug":"circular-economy-in-india","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/circular-economy-in-india\/","title":{"rendered":"Circular Economy in India: All You Need to Know"},"content":{"rendered":"\n<p class=\"has-drop-cap\">A\ncircular economy entails markets that facilitate incentives to reuse items\ninstead of disposing of them and then extracting new resources. In a Circular\neconomy, all types of waste, such as scrap metal, clothes, and expired\nelectrical appliances are returned to the economy or used more wisely.<\/p>\n\n\n\n<p>The\nnotion of circular economy depends on practices, strategies, policies &amp;\ntechnologies to achieve principles relating to recycling, reusing, redesigning,\nremanufacturing, recovering water and nutrients to protect natural resources\nfrom unwise treatment. It facilitates the necessary conditions to incentivize\neconomic and social sectors to opt for strategies that ensure sustainability.\nBut, the increasing intricacy of sustainability implies that conventional and\nmanagement\/economics may be unable to confront emerging challenges and come up\nwith apt solutions.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/circular-economy-in-india\/#Role_of_Circular_economy_in_reversing_the_environmental_crisis\" >Role of Circular economy in reversing the environmental crisis<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/circular-economy-in-india\/#Why_are_businesses_reluctant_to_adopt_a_circular_economy_in_India\" >Why are businesses reluctant to adopt a circular economy in India?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/circular-economy-in-india\/#Potential_Barriers_to_Circular_Economy_Resource_Efficiency\" >Potential Barriers to Circular Economy\/ Resource Efficiency<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/circular-economy-in-india\/#How_can_a_circular_economy_help_India_reverse_the_environmental_crisis\" >How can a circular economy help India reverse the environmental crisis?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/circular-economy-in-india\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Role_of_Circular_economy_in_reversing_the_environmental_crisis\"><\/span>Role of Circular economy in reversing the environmental crisis <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>Circular economy sought to reuse material and effective utilization of expired products to minimize environmental impact. Apart from that, it encourages apt utilization of natural resources and extended service life of environmentally hazardous products such as plastic, electronic appliances, etc. <\/li><li>The scope of Circular economy is not only confined to reversing environmental crisis; it also seeks to create job opportunities across key sectors, thereby imparting more value to the economy. <\/li><li>There is concern among the OEMs and manufacturers that adopting a Circular economy may lead to compromised ROI. However, that is not the case as the government strives to help companies with tax incentives promote a circular economy. <\/li><li>Since the Circular economy revolves around the notion of expired recycling products, it held manufacturers accountable for accumulating waste generated by their products. <\/li><li>In India, MoEFCC, i.e. Ministry of Environment, Forest and Climate Change, plays a pivotal role in promoting circular economy across all key sectors. Given this, a regulatory authority like CPCB has mandated waste-prone industries (plastic and electronic manufacturer in particular) to secure the EPR authorization.<\/li><li>EPR authorization holders are needed to develop an EPR plan under which specific targets have been laid out by the authority to procure waste generated by their products. Apart from that, they also must comply with several other guidelines to ensure effective treatment of such wastes to reduce environmental damage. Thus, it can be said that <a href=\"https:\/\/corpbiz.io\/epr-authorization-for-e-waste\"><strong>EPR authorization<\/strong><\/a> is a giant leap toward a circular economy in India. <\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Why_are_businesses_reluctant_to_adopt_a_circular_economy_in_India\"><\/span>Why are businesses reluctant to adopt a circular economy in India? <span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Following\nare the reasons that are preventing businesses from entirely relying on\ncircular economy in India.<\/p>\n\n\n\n<ul><li>Bland\npolicies and unclear vision<\/li><li>Supply\nchain limitations<\/li><li>Lack\nof clear pricing signal<\/li><li>Access\nto capital<\/li><li>Physical\nlimitation<\/li><li>Thresholds\nin technologies and infrastructure capacity<\/li><li>Lack\nof target and benchmark<\/li><li>Lack\nof expertise<\/li><li>Negative\ncustomer perceptions of remanufactured products<\/li><li>High\ncost, low ROI<\/li><li>lack\nof standards for refurbished products<\/li><li>Incentives\nto invest<\/li><li>Competing\npriorities<\/li><li>Weak\nincentives<\/li><li>Lack\nof internalization of external costs<\/li><li>Lack\nof public information to support participation in reuse \/ recycle \/\nremanufacturing<\/li><li>Complex\nrecycling process<\/li><li>Issues\nin probing product quality throughout its service life<\/li><li>Maintaining\nproduct quality with remanufactured materials.<\/li><li>Issues\nin tracking material composition of products before initiating recycling\nprocess<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Potential_Barriers_to_Circular_Economy_Resource_Efficiency\"><\/span>Potential Barriers to Circular Economy\/ Resource Efficiency<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li>Lack\nof awareness has restrained end-users from making resource-efficient choices.<\/li><li>Some\nresource efficacy gains can be attained by improving synergies and syncing\nmaterials and supply chains between various actors- but pre-existing habits and\nabsence of co-ordination can hamper the identification of such opportunities<\/li><li>Effective\nwaste treatment and remanufacturing is a costly affair for the industries\nbecause it seeks an entirely new setup of equipment and other resources. Thus,\nsuch downsides may slow down their effort in this context and compel them to\nprioritize other focus areas. This may significantly affect the growth prospect\nfor those already experiencing a financial crisis.<\/li><li>Sticking\nto a circular economy may benefit the companies in longer terms. Still, there\nis no clarity on how it will work out in future considering the dynamism of the\ncurrent economic structures. This ambiguity may prevent companies from making\nthe required investment needed for remanufacturing, recycling, and systematic\nwaste processing.<\/li><li>Although\nCE practice may facilitate economic benefits by saving material costs, benefits\nmay not be evenly distributed. Sectors or nations dependent on the extractive\ncompanies would stand to lose, as would entities needed to make efficiency\ninvestments from which they are saved in the status quo, owing to split\nincentives. Such entities may thus slow down the transition, building another\nbarrier which shall also need to be negotiated.<\/li><li>Companies\ncould spend cost savings via CE measures on energy-intensive products,\nultimately negating the energy efficiency savings.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_can_a_circular_economy_help_India_reverse_the_environmental_crisis\"><\/span>How can a circular economy help India reverse the environmental crisis?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ol><li>Our country desperately needs a development model that ensures optimum utilization of resources. With an ever-rising population, swift urbanization, environmental pollution and climate change, India must speed up its effort to adopt a circular economy.<\/li><li>Circular economy facilitates a new principle that emphasizes the requirement to take an extensive view of processes and products. <\/li><li>Our production systems must opt for practices that revolve around the circular economy notion to minimize resource dependency and gain a competitive edge. <\/li><li>A circular economy path opted by our nation could bring in substantial annual benefits. In addition to that, it can ensure a significant reduction in congestion as well as pollution, which would eventually have a snowball effect on the economy.<\/li><li>Our ability to improve our resource efficacy, reduce the consumption of prevailing resources and the advent of new business models will incentivize our transition towards self-reliance.<\/li><li>The Government of India has been proactively figuring out policies and incentivizing projects to drive the nation towards a circular economy. Following rules have been notified in this direction to achieve sustainable economic growth; <ul><li>Plastic Waste Management Rules<\/li><\/ul><ul><li>e-Waste Management Rules<\/li><\/ul><ul><li>Construction and Demolition Waste Management Rules<\/li><\/ul><ul><li>Metals Recycling Policy<\/li><\/ul><\/li><li>The government has formed 11 committees managed by the respective line ministries to speed up the transition from a linear economy to a circular economy. It comprises personals from NITI Aayog and MoEFCC, SMEs and industry representatives- for eleven focus areas (Annexure 1). <\/li><li>The committees shall underpin extensive action plans from transitioning from a linear to a sustainable economy in their concerned focus areas. They will also take necessary measures to ensure the efficient implementation of their recommendations and findings. <\/li><li>The focus areas entail 11 end-of-life recyclable materials\/wastes\/products that either keep posing significant challenges or are emerging as new areas that should be addressed holistically. While increased production and an ever-changing consumption pattern will create more jobs and escalate per capita income, the effects of such an increased production rate on the environment must also be seamlessly managed and obliterated. <\/li><li>With only two per cent of the global landmass and four per cent of potable water resources, a linear economy model &#8216;Take-Make-Dispose&#8217; would hamper India&#8217;s manufacturing regime, and consequently, the whole economy. Thus, it is vital to acknowledge and revolutionize the supply chain in the manufacturing process and swiftly move toward a circular economy, which facilitates multipronged economic and environmental benefits. <\/li><\/ol>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p> Sustainable development seeks disruptive transformations in the way our businesses and societies are organized. The circular economy model facilitates an opportunity for innovation and synchronization between natural <strong>ecosystems<\/strong><sup><a href=\"https:\/\/en.wikipedia.org\/wiki\/Ecosystem\"><strong>[1]<\/strong><\/a><\/sup>, businesses, our lifestyle, and waste management. Though the circular economy in our nation is at a nascent phase yet, most industries have stepped forward to expedite their effort in adopting the same. This is helping the government to create Social Innovation in the way we reuse and recycle our precious resources. <\/p>\n\n\n\n<p class=\"text-left\"><b>Read our Article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/cpcb-suspends-the-registration-process-for-pibos-for-three-months\/\">CPCB Suspends the Registration Process for PIBOs for three months<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>A circular economy entails markets that facilitate incentives to reuse items instead of disposing of them and then extracting new resources. In a Circular economy, all types of waste, such as scrap metal, clothes, and expired electrical appliances are returned to the economy or used more wisely. The notion of circular economy depends on practices, [&hellip;]<\/p>\n","protected":false},"author":22,"featured_media":39416,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[153],"tags":[2081],"acf":{"service_id":"498"},"authorName":"Pankaj Tyagi","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/MicrosoftTeams-image-42.jpg","authorDescription":"Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.","postViews":6446,"readingTime":5,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/39410"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=39410"}],"version-history":[{"count":16,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/39410\/revisions"}],"predecessor-version":[{"id":39427,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/39410\/revisions\/39427"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/39416"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=39410"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=39410"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=39410"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}