Opportunities and barriers to implementing circular economy in a - - PowerPoint PPT Presentation

Opportunities and barriers to implementing circular economy in a big city Wednesday 5 July 2017

Background to LWARB

LWARB has three objectives, prescribed by the GLA Act: To promote and encourage, so far as relating to Greater London:

• the production of less waste
• an increase in the proportion of waste that is re-used or recycled and
• the use of methods of collection, treatment and disposal of waste which are more beneficial to

the environment

The Board must:

• act in accordance with provisions of the London Environment Strategy dealing with municipal

waste management

• act in general conformity with the London Plan

The Board may:

• ‘Do anything that it thinks will facilitate, or is incidental or conducive to, the carrying out of its

functions…’ - (except borrow money)

Background to LWARB

• The London Waste and Recycling Board (LWARB) was introduced following a review
• f Mayoral and Assembly power
• LWARB was established in the GLA Act 2007 and other matters were prescribed in

the London Waste and Recycling Board Order 2008

• The Board is chaired by the Mayor of London or his/her representative the current

chair is Liz Goodwin (until 2016 the chief executive of WRAP).

• The first Chair of LWARB was Boris Johnson (2008- 2010) followed by James

Cleverly AM until 2012 and then Richard Tracey AM until May 2016

• LWARB has received c.£76 million in grant funding from government and GLA/LDA

between 2008 – 2015

• LWARB is not currently in receipt of grant income from government with future

programmes being funded by returns on investment.

Delivery programme working in partnership with business, local government, academia, and other cities Existing programme supplemented by additional £1 million contribution to an intensive ‘flats recycling taskforce’ programme.

• 3 year Circular

Economy Business Support programme;

• Accelerator /

Incubator with VC fund;

• LGF circular

economy start up fund

Stand alone business to increase revenues for LA commercial

• waste. Wholly owned

by LWARB capitalised with £850,000 loan

boroughs, business, GLA boroughs, GLA boroughs, business boroughs, business

£175,000 pa to 2020 (plus EU and other contributions) £1,500,000 pa (plus WRAP and EU funding) £1,000,000 to 2020 (flats) £850,000 commercial loan

Support £650,000 (+ EU) LGF £7,000,000 (+ EU ) Accelerator £1,500,000 (+ match)

LWARB Programmes

• Investment and business support to catalyse development of the circular economy.
• Supporting SMEs, from start up to maturity, with the aim of reducing London’s waste

footprint and creating economic benefits for the city, including new jobs.

• A partnership model with funds being deployed to draw in capital and resources from

the private sector.

• Risk diversification policy via fund or intermediary investment rather than direct

investment.

• Investment budget to 2020 (excluding overheads but including business support

programme) is c.£10.65m.

Portfolio Management New Investment Activity Collaboration Business Support

Advance London will support businesses to develop, pilot and implement new and innovative circular business models (based on research by Accenture) : 1. Circular supplies 2. Resource recovery 3. Product life extension 4. Sharing platforms 5. Product as a service

What?

Over the 3 years Advance London will be focussed on:

• Providing 100 SMEs with at least 3 hours of support
• Providing 80 SMEs with at least 12 hours of support
• Helping SMEs create at least 48 new jobs
• Enabling SMEs to introduce 30 new product offerings

How?

The programme will be primarily targeted at SMEs active in five priority sectors :

• Built environment
• Food
• Textiles
• Electricals
• Plastics

For who? Advance London Business Support is a three-year programme jointly funded by the ERDF and LWARB.

• Market research
• Business Planning
• Financial modelling
• Networking (i.e. supply chains)
• Facilitating access to investment and funding

• A circular economy is one that keeps products, components and materials at

their highest use and value at all times.

• Five key focus areas: built environment; food; textiles; electricals; and

plastics.

• Accelerating a circular economy in London will contribute to the reduction of

the city’s waste, increase recycling and re-use, create jobs in re-use, remanufacturing and materials innovation and contribute to London’s zero carbon city aspirations.

• Moving to a circular economy within these focus areas, could bring London

net benefits of at least £7 billion every year by 2036 and 12,000 net new jobs.

• LWARB has published a route map to a more circular economy in London

which will help direct our activities in this area in June this year.

13 | www.lwarb.gov.uk

What does the route map cover for each focus area?

• the opportunity the circular

economy presents

• what the key challenges are
• what’s happening already
• what practical actions could move

us forward in London

14 | www.lwarb.gov.uk

Cross cutting themes in the route map

• Communications
• Collaboration
• Policy
• Procurement
• Finance
• Business support
• Innovation
• Collaboration
• Demonstration

Communication Collaboration Demonstration Funding

Resource London

• London waste authority support programme established in April 2015 as a

jointly funded partnership between LWARB and WRAP.

• Budget of £9.3 million between 2017-20 (including LWARB, WRAP and EU

funding).

• By 2020, London will have more harmonised, consistent and efficient waste

and recycling services that will:

• Reduce the city’s waste footprint and reinvigorate recycling to make a

significant contribution towards the Mayor’s ambition for London to achieve 65% recycling by 2030; and

• make a significant contribution towards England achieving its 50%

household waste recycling target in 2020.

Minimising the amount of waste produced and maximising re-use Increasing and improving the capture

• f unavoidable food

waste Improving the yield and quality of dry recycling Restricting residual waste

• support delivered through three work-streams:
• Service support – to recycle greater volumes of higher quality materials

whilst reducing costs;

• Behaviour Change – London wide and borough level communications

and behaviour change activity

• Innovation and development – Developing expertise within waste

authorities to reduce identified skills gaps and enable progressive solutions to be implemented.

• €3.2 million three year innovative food waste intervention project;
• £1 million Flats Taskforce
• £2.4 million three year Recycle for London regional behaviour change

campaign

• Background to London Waste and Recycling Board

Context to London’s recycling performance

Unique challenges facing the capital

• 8.7 million residents, forecast to reach 10 million by the 2030’s;
• Flats accounting for up to 80% of housing stock in some boroughs, and

purpose built flats account for 37% of London total housing stock. GLA projections show this figure rising to 46% by 2030 (with an additional c.1.89million purpose built flats being built by that date);

• London is a city of transience and movement – 32% of households in

London’s private rented sector have moved in the last year and 70% have lived in their current home for less than two years.

• Huge swell of daytime visitors;
• London is also culturally diverse, with more than 100 different languages

spoken in almost every borough across London

• Significant budget constraints, resent cuts to central government grants since

2009-10, have reduced spending per London resident on average 31.4%.

• These are set within the context of a complex service provision landscape,

with 33 local authorities operating their own separate recycling collection approaches.

Social challenge

0,0% 10,0% 20,0% 30,0% 40,0% 50,0% 60,0% 2000 4000 6000 8000 10000 12000 14000 16000 Recycling Rate Popuation Density (/km^2) 0% 10% 20% 30% 40% 50% 60% 10 15 20 25 30 35 Recyling Rate Index of Multiple Depivation 0,0% 10,0% 20,0% 30,0% 40,0% 50,0% 60,0% 20 30 40 50 60 70 80 REcylcing Rate % Homes owned outright or with mortgage

London Waste disposal and collection arrangements

London performance

52,0 14,7 14 19 24 29 34 39 44 49 54 12/13. 13/14. 14/15. 15/16

Recycling Rate

London England Bexley Newham 15 17 19 21 23 25 27 29 31 33 35 12/13. 13/14. 14/15. 15/16

% Landfilled

London England 957,2 395,4 300 400 500 600 700 800 900 1000 12/13. 13/14. 14/15. 15/16

Household Waste (Kg per HH)

London England Barking Ealing 0,00% 10,00% 20,00% 30,00% 40,00% 50,00% 60,00%

Borough Recycling Rates 2012-2016

2012/13 2013/14 2014/15 2015/16

London 2014-15 fact sheet

9% 64% 27%

Refuse frequency

more than weekly weekly fortnightly 58% 42%

Refuse containers

containers sacks detac hed ; 6,26 % semi; 18,67 % terrac e ; 22,99 % purpo se ; 37,60 % conve rted ; 12,63 % flats in comm ercial; 1,85 %

Property types

48% 1% 24% 25% 2%

Housing ownership

Owned; Total Shared Ownership Social Rented; Total Private Rented; Total Living Rent Free

82% 12% 6%

Recycling collection

comingled twin stream source separated 49% 27% 21% 3%

Recycling containment

Bins boxes sacks 58% 15% 30%

Food collections

food mixed organics

Chargea ble with separate food Free plus separate food Free - combine d

• rganics

free with no food chargabl e with no food Separat e food no garden None

Green waste collections

Recycling Residual Property

Recycling Collection Service Providers

Recycling Collections with organics

• Nb. Both LB

Residual Collection

www.lwarb.gov.uk www.resourcelondon.org.uk @LWARB