Circular economy against climate change

What is the circular economy?

The circular economy could be defined as an economic model that aims to minimise the waste generated while seeking a sustainable use of natural resources through the design of smarter products, which can have a longer life span and higher recycling rates.

In contrast to this circularity is the so-called ‘linear economy’, based on a model that extracts raw materials from nature, creates resources from them and then disposes of them as waste.

Thus, we could say that the circular economy seeks economic growth that respects the limits of the planet with a more efficient and sustainable economic model.

The relevance of this circular economy is underpinned by data such as the fact that, in order to meet current consumption needs, the equivalent of three planets would be needed to produce in 2050.

A reality that is more palpable with numbers in hand. According to UN data, in 2019 alone “approximately 13% of food intended for human consumption was lost after harvest, and another 17% was wasted in households, food services and retail trade”.

If we look at the generation of electrical and electronic waste, 7.3 kg per capita were produced in the same year. Moreover, they are generally not managed safely, with consequent damage to both our health and the environment.

The five ‘Rs’ of the circular economy

With the strategic objective of achieving zero net emissions by 2040 and neutralising emissions from its main operations by 2025, Telefónica has also set itself the goal of being a Zero Waste company by 2030 through the five ‘R’s’ of the circular economy:

• Redesign. Re-think the development of a product after incorporating environmental design criteria, which allows the reduction of its environmental impact by incorporating recycled materials or increasing its durability, repair possibilities and energy efficiency. As stated in our Consolidated Annual Report 2023, “introducing environmental criteria in the design of equipment helps us to improve the quality and efficiency of products by taking into account concepts such as repairability and recyclability. This allows us to have more durable and environmentally responsible equipment by reducing the consumption of raw materials, energy and emissions associated with manufacturing. An example of this is that thanks to the reuse and/or repair of fixed equipment from our customers’ homes, we will avoid the purchase of 3.7 million new pieces of equipment in 2023”.
• Reduce. There is no better waste than that which is not produced. Telefónica therefore advocates both extending the useful life of devices and equipment and avoiding programmed obsolescence.
• Reuse. In line with the previous idea, Telefónica also seeks to extend the aforementioned useful life of equipment by reusing it. Thanks to this, almost five million pieces of electronic equipment have been reused, thus avoiding the emission of 381,569 tonnes of CO2. The circular economy is also integrated into the transformation of the network, where many pieces of equipment have a new useful life within the company’s own network. Thanks to the MAIA digital platform, each operator can visualise the equipment available and connect with others in the group to encourage reuse.
• Repair. The company offers a second-hand phone service, after a reconditioning process to return them to the market in the best conditions after an exhaustive process of repairs, checks and tests. Of the 102 tonnes of mobile phones collected, 99.8% were reused and recycled.
• Recycle. When there is no more capacity for reuse, there is no better option than recycling. Each device has a series of metals that can be used as resources in new products. In 2023, Telefónica recycled 97% of all its waste.

Telefónica’s Climate Action Plan

In its Climate Action Plan, Telefónica is blunt about climate change: “Undoubtedly, one of the most important challenges we currently face as a society”.

The operator is fully aware of its role as a driver of change in the economy and society through digital transformation and big data and Internet of Things (IoT) services as solutions to help reduce emissions.

But Telefónica must lead by example and reduce both its own emissions and those of its value chain. Therefore, in 2020, the company increased its climate ambition and announced new Energy and Climate Change targets for 2025, 2030 and 2040, mentioned above, aligned with the 1.5ºC scenario of the Paris Agreement and validated by the SBTi initiative.

To ensure that these targets are met, the Climate Action Plan is integrated into the company’s governance model “and provides for the quantification of emissions, the implementation of specific actions with verifiable indicators and the definition of responsibilities for supervision and accountability in the organisation”.

How the circular economy helps us to combat climate change

Now that we know exactly what the circular economy is and how it can be practically applied, let’s take a look at how it can help us combat climate change.

The UN, in fact, considers the circular economy “essential” to combat climate change.

SDGs, Targets, and Indicators

1. SDG 12: Responsible Consumption and Production

   • Target 12.2: By 2030, achieve the sustainable management and efficient use of natural resources.
   • Indicator: Waste generated per capita.

2. SDG 13: Climate Action

   • Target 13.2: Integrate climate change measures into national policies, strategies, and planning.
   • Indicator: Greenhouse gas emissions.

3. SDG 15: Life on Land

   • Target 15.2: By 2020, promote the implementation of sustainable management of all types of forests.
   • Indicator: Forest area as a proportion of total land area.

Analysis

1. Which SDGs are addressed or connected to the issues highlighted in the article?

The issues highlighted in the article are connected to SDG 12 (Responsible Consumption and Production), SDG 13 (Climate Action), and SDG 15 (Life on Land).

2. What specific targets under those SDGs can be identified based on the article’s content?

Based on the article’s content, the specific targets that can be identified are:

• Target 12.2: By 2030, achieve the sustainable management and efficient use of natural resources.
• Target 13.2: Integrate climate change measures into national policies, strategies, and planning.
• Target 15.2: By 2020, promote the implementation of sustainable management of all types of forests.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

Yes, there are indicators mentioned or implied in the article that can be used to measure progress towards the identified targets:

• Indicator: Waste generated per capita (Target 12.2).
• Indicator: Greenhouse gas emissions (Target 13.2).
• Indicator: Forest area as a proportion of total land area (Target 15.2).

Table: SDGs, Targets, and Indicators

Behold! This splendid article springs forth from the wellspring of knowledge, shaped by a wondrous proprietary AI technology that delved into a vast ocean of data, illuminating the path towards the Sustainable Development Goals. Remember that all rights are reserved by SDG Investors LLC, empowering us to champion progress together.

Source: telefonica.com

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