Brazilian president Luiz Inácio Lula da Silva signs the decree
On the 17th of June, Brazilian President Luiz Inácio Lula da Silva signed a decree creating the country’s first National Circular EconomyCircular EconomyA systems solution framework that tackles global challenges like climate change, biodiversity loss, waste, and pollution. It is based on three principles, driven by design: eliminate waste and pollution, circulate products and materials (at their highest value), and regenerate nature. Strategy (ENEC). The strategy aims to promote the economic transition from the current linear model to a circular economy, to create lasting and more conscious economic growth.
The drafting of the ENEC was inspired by circular economy principles and reports published by the Ellen MacArthur Foundation. The process directly involved representatives of the Foundation’s Latin America team, along with UNEP, in dialogue with the Brazilian ministries.
The Strategy is based on the three pillars of the circular economy – elimination of waste and pollution, circulation of materials and products at their highest values, and regeneration of nature. The following points of focus stand out in the ENEC, when compared to other circular economy strategies:
Create a regulatory and institutional environment favourable to the circular economy;
Promote innovation, culture, education and skills generation to reduce, reusereuseThe repeated use of a product or component for its intended purpose without significant modification. and redesign how products are made, with the circular economy in mind;
Reduce the use of resources and the generation of waste, in order to preserve the value of materials;
Propose financial instruments to support the circular economy;
Promote inter-federative coordination and the involvement of workers in the circular economy.
The Foundation’s Latin America Lead, Luisa Santiago (pictured above), celebrated the launch of the ENEC as a path to long-lasting, low-carbon economic development for the country.
"The signing of the decree that establishes the National Circular Economy Strategy for Brazil demonstrates the government's commitment to directing the country towards development capable of facing the main environmental crises, such as climate change, loss of biodiversity and pollution.
The strategy presents a complete vision of the potential of the circular economy, far beyond recycling. It focuses on circular design and productive regeneration of nature, crucial aspects to unlock faster economic growth in sectors and business models aligned with a circular economy.
Another important point of the strategy is the emphasis on a just transition, which recognises the relevance and need for policies that ensure that the many workers in the circular economy are effectively included in the remanufacturing, reuse, maintenance and recycling markets, as well as agricultural workers and natural ecosystems who impact the health of natural systems.
The launch of ENEC is an important step. It will now be essential for the government to create long-term plans specific to sectors of the economy, with clear goals, so that the transition to a circular economy can take place effectively and fairly."
Santiago adds that a circular economy, made possible by the technological revolution, could allow resource productivity to grow by 3% annually.
“In the European Union, for example, we already know that the circular economy has the potential to generate total benefits of 1.8 trillion euros by 2030. This would translate into an increase in GDP of up to 7 percentage points in relation to the current development scenario, with additional positive impacts on employment.”
