Harmonizing Metrics to Measure Circularity A Call to Action 2024

Circular economy measurement initiatives: Metrics and indicators TABLE 1 Circular economy measurement initiativesOrganization Objectives Target stakeholders Circular Transition IndicatorsWorld Business Council for Sustainable Development (WBCSD)Provides a framework for businesses to measure circularityBusinesses of all sizes, industries, value chain positions and geographical locations Voluntary ISO 59004 - Circular economy (ISO/TC 323)International Organization for Standardization (ISO)Defines CE concepts, principles and guidelinesAny type of organization Voluntary European Environment Agency indicatorsEuropean CommissionMonitors resource usage in EU countries through input-output flows and virgin material reduction in line with the Circular Economy Action PlanEU parliament and environmental ministries; leverages available statistical data at national and EU levels Mandated Circular economy measurement and reporting initiative Ellen MacArthur FoundationTo inform the development and revisions of voluntary or mandated CE-related reporting frameworksBusinesses, financial organizations and policy-makers Voluntary Inventory of Circular Economy IndicatorsOrganisation for Economic Co- operation and Development (OECD)To track global resource use, waste generation and recycling rates, and monitor progress of existing CE strategies across OECD member cities and countriesGovernments, to improve circular- economy policies as it leverages country, national and local survey data Voluntary Global Circularity Protocols (GCP) for Business BOX 2 GCP for Business is an upcoming global initiative spearheaded by the World Business Council for Sustainable Development (WBCSD) and the One Planet Network of the United Nations Environment Programme (UNEP). The protocols aim to provide a comprehensive framework for implementing circular principles, including design for longevity, resource efficiency and waste minimization. They offer detailed guidance for transparent reporting on circular activities, with sector-specific guidelines that address unique challenges in different industries. The GCP also include best practices and case studies to demonstrate successful implementation efforts, outline necessary data and information for accurate assessments, and ensure alignment with global sustainability standards. Emphasizing the need for ongoing updates, the protocols support continuous improvement to reflect technological advancements and evolving practices. The initiatives seek to ensure the active engagement of partners from academia, cross- sectoral businesses, NGOs and policy-makers to address the accountability and policy gaps currently impeding the scaling up of circularity initiatives. By 2026, the framework aims to guide companies in setting targets, and measuring, reporting and disclosing progress on resource efficiency and circularity, while also providing comprehensive and targeted policy guidance to accelerate the shift towards circular business models and a regenerative economy.Source: The Global Circularity Protocol (GCP) 2024 Table 2 lists more of the key challenges in advancing CE metrics and implementation, informed by a series of expert interviews.5 Harmonizing Metrics to Measure Circularity: A Call to Action 11