Skip to main navigation menu Skip to main content Skip to site footer

Circular economy practices as a tool for sustainable development in the context of renewable energy: What are the opportunities for the EU?

Abstract

Research background: In order to tackle climate change and ensure Paris agreements are met, countries are forced to look for alternative ways of producing, consuming, and wasting and adopt a circular economy. Reduction of greenhouse gas emissions becomes one of the key elements. The demand for electricity is increasing, and most greenhouse gas emissions derive from the energy sector. Because of that, it is crucial to ensure the transition from fossil fuels to renewable energy. Renewable energy, as a part of the circular economy, also contributes to sustainable development. Only the efficient implementation of circular economy and renewable energy practices can ensure that sustainable development goals are achieved.

Purpose of the article: The study aims at determining the efficiency of European Union countries implementing circular economy practices through renewable energy to attain SDGs. The study focuses on the significance of renewable energy as a tool for the circular economy to achieve sustainable development and highlights the progress achieved in SDG through renewable energy in the EU.

Methods: For efficiency assessment of the circular economy represented by the renewable energy indicators, data envelopment analysis (DEA) was performed.

Findings & value added: This study presents a relation analysis of the circular economy and renewable energy and the importance of efficiency in achieving SDGs through a circular economy. The study helps to understand the circular economy represented by renewable energy and how it transforms into sustainable development and contributes to necessary actions needed for countries to improve. Based on the results, Sweden, Luxembourg, Ireland, Latvia, Estonia, Malta, the Netherlands and Bulgaria are considered the most efficient countries, while Austria is the least efficient. Unused solar and wind power potential can slow down sustainable development; however, EU programs and renewable energy strategies help countries move towards clean energy and ensure efficient implementation of sustainable development goals.

Keywords

circular economy, sustainable development, renewable energy

PDF

References

  1. Agovino, M., Matricano, D., & Garofalo, A. (2020). Waste management and competitiveness of firms in Europe: A stochastic frontier approach. Waste Management, 102, 528–540. DOI: https://doi.org/10.1016/j.wasman.2019.11.021
    View in Google Scholar
  2. Ahmed, S., Hasan, M. Z., Laokri, S., Jannat, Z., Ahmed, M. W., Dorin, F., Vargas, V., & Khan, J. A. M. (2019). Technical efficiency of public district hospitals in Bangladesh: A data envelopment analysis. Cost Effectiveness and Resource Allocation, 17(1), 15. DOI: https://doi.org/10.1186/s12962-019-0183-6
    View in Google Scholar
  3. Alhawari, O., Awan, U., Bhutta, M. K. S., & Ülkü, M. A. (2021). Insights from circular economy literature: A review of extant definitions and unravelling paths to future research. Sustainability, 13(2), 859. DOI: https://doi.org/10.3390/su13020859
    View in Google Scholar
  4. Arauzo-Carod, J.-M., Kostakis, I., & Tsagarakis, K. P. (2022). Policies for supporting the regional circular economy and sustainability. Annals of Regional Science, 68(2), 255–262. DOI: https://doi.org/10.1007/s00168-022-01124-y
    View in Google Scholar
  5. Aşkın, A., Kılkış, Ş., & Akınoğlu, B. G. (2023). Recycling photovoltaic modules within a circular economy approach and a snapshot for Türkiye. Renewable Energy, 208, 583–596. DOI: https://doi.org/10.1016/j.renene.2023.03.035
    View in Google Scholar
  6. Bag, S., Sahu, A. K., Kilbourn, P., Pisa, N., Dhamija, P., & Sahu, A. K. (2022). Modeling barriers of digital manufacturing in a circular economy for enhancing sustainability. International Journal of Productivity and Performance Management, 71(3), 833–869. DOI: https://doi.org/10.1108/IJPPM-12-2020-0637
    View in Google Scholar
  7. Banjerdpaiboon, A., & Limleamthong, P. (2023). Assessment of national circular economy performance using super-efficiency dual data envelopment analysis and Malmquist productivity index: Case study of 27 European countries. Heliyon, 9(6), e16584. DOI: https://doi.org/10.1016/j.heliyon.2023.e16584
    View in Google Scholar
  8. Bódis, K., Kougias, I., Jäger-Waldau, A., Taylor, N., & Szabó, S. (2019). A high-resolution geospatial assessment of the rooftop solar photovoltaic potential in the European Union. Renewable and Sustainable Energy Reviews, 114, 109309. DOI: https://doi.org/10.1016/j.rser.2019.109309
    View in Google Scholar
  9. Brundtland, G. H. (1987). Our common future: Report of the World Commission on Environment and Development. United Nations.
    View in Google Scholar
  10. Castillo-Giménez, J., Montañés, A., & Picazo-Tadeo, A. J. (2019). Performance in the treatment of municipal waste: Are European Union member states so different? Science of The Total Environment, 687, 1305–1314. DOI: https://doi.org/10.1016/j.scitotenv.2019.06.016
    View in Google Scholar
  11. Chen, J., Su, F., Jain, V., Salman, A., Tabash, M. I., Haddad, A. M., Zabalawi, E., Abdalla, A. A., & Shabbir, M. S. (2022). Does renewable energy matter to achieve sustainable development goals? The impact of renewable energy strategies on sustainable economic growth. Frontiers in Energy Research, 10, 829252. DOI: https://doi.org/10.3389/fenrg.2022.829252
    View in Google Scholar
  12. de Oliveira, C. T., & Oliveira, G. G. A. (2023). What circular economy indicators really measure? An overview of circular economy principles and sustainable development goals. Resources, Conservation and Recycling, 190, 106850. DOI: https://doi.org/10.1016/j.resconrec.2022.106850
    View in Google Scholar
  13. De Sousa, N. M., Oliveira, C. B., & Cunha, D. (2023). Photovoltaic electronic waste in Brazil: Circular economy challenges, potential and obstacles. Social Sciences & Humanities Open, 7(1), 100456. DOI: https://doi.org/10.1016/j.ssaho.2023.100456
    View in Google Scholar
  14. Desing, H., Brunner, D., Takacs, F., Nahrath, S., Frankenberger, K., & Hischier, R. (2020). A circular economy within the planetary boundaries: Towards a resource-based, systemic approach. Resources, Conservation and Recycling, 155, 104673. DOI: https://doi.org/10.1016/j.resconrec.2019.104673
    View in Google Scholar
  15. Ember (2023). Electricity demand in the European Union (EU) in 2022, by country (in terawatt-hours). Ember.
    View in Google Scholar
  16. Enevoldsen, P., Permien, F.-H., Bakhtaoui, I., Krauland, A.-K. von, Jacobson, M. Z., Xydis, G., Sovacool, B. K., Valentine, S. V., Luecht, D., & Oxley, G. (2019). How much wind power potential does europe have? Examining european wind. power potential with an enhanced socio-technical atlas. Energy Policy, 132, 1092–1100. DOI: https://doi.org/10.1016/j.enpol.2019.06.064
    View in Google Scholar
  17. EurObserv’ER (2023a). Annual volume of electricity produced from solar photovoltaic in the European Union (EU-27) in 2022, by country (in gigawatt hours).
    View in Google Scholar
  18. EurObserv’ER (2023b). Electricity generation from wind power in the European Union (EU-27) in 2022, by country (in terawatt hours).
    View in Google Scholar
  19. European Commission (2009). Photovoltaic solar electricity potential in European countries.
    View in Google Scholar
  20. European Commision (2022). EU Solar Energy Strategy.
    View in Google Scholar
  21. Eurostat (2022a). Energy productivity.
    View in Google Scholar
  22. Eurostat (2022b). Share of energy from renewable sources.
    View in Google Scholar
  23. Eurostat (2023). Industrial production statistics.
    View in Google Scholar
  24. Galán-Martín, Á., Guillén-Gosálbez, G., Stamford, L., & Azapagic, A. (2016). Enhanced data envelopment analysis for sustainability assessment. Computer Aided Chemical Engineering, 38, 817–822. DOI: https://doi.org/10.1016/B978-0-444-63428-3.50141-7
    View in Google Scholar
  25. Garcia-Saravia Ortiz-de-Montellano, C., Samani, P., & van der Meer, Y. (2023). How can the circular economy support the advancement of the sustainable development goals (SDGs)? A comprehensive analysis. Sustainable Production and Consumption, 40, 352–362. DOI: https://doi.org/10.1016/j.spc.2023.07.003
    View in Google Scholar
  26. Gatto, A. (2023). Quantifying management efficiency of energy recovery from waste for the circular economy transition in Europe. Journal of Cleaner Production, 414, 136948. DOI: https://doi.org/10.1016/j.jclepro.2023.136948
    View in Google Scholar
  27. Gebhardt, M., Spieske, A., & Birkel, H. (2022). The future of the circular economy and its effect on supply chain dependencies: Empirical evidence from a Delphi study. Transportation Research Part E: Logistics and Transportation Review, 157, 102570. DOI: https://doi.org/10.1016/j.tre.2021.102570
    View in Google Scholar
  28. Geissdoerfer, M., Savaget, P., Bocken, N. M. P., & Hultink, E. J. (2017). The circular economy – A new sustainability paradigm? Journal of Cleaner Production, 143, 757–768. DOI: https://doi.org/10.1016/j.jclepro.2016.12.048
    View in Google Scholar
  29. Giannakitsidou, O., Giannikos, I., & Chondrou, A. (2020). Ranking European countries on the basis of their environmental and circular economy performance: A DEA application in MSW. Waste Management, 109, 181–191. DOI: https://doi.org/10.1016/j.wasman.2020.04.055
    View in Google Scholar
  30. Glavonjic, B., Lazarevic, A., & Kalem, M. (2019). Assessing the firewood consumption efficiency in Serbian households by applying the methods of econometric modeling: Case study-Gornji Milanovac. In R. Chobanova (Ed.). Digitalisation and circular economy: Forestry and forestry based industry implications. Proceedings of scientific papers: 12th Woodema annual international scientific conference (pp. 213–218). Varna: Union of Scientists of Bulgaria, WoodEMA – International Association for Economics and Management in Wood Processing and Furniture Manufacturing.
    View in Google Scholar
  31. Global Carbon Project. (2022). Per capita corbon dioxide emissions worldwide in 2021, by country (in metric tons).
    View in Google Scholar
  32. Güney, T. (2019). Renewable energy, non-renewable energy and sustainable development. International Journal of Sustainable Development & World Ecology, 26(5), 389–397. DOI: https://doi.org/10.1080/13504509.2019.1595214
    View in Google Scholar
  33. Holechek, J. L., Geli, H. M. E., Sawalhah, M. N., & Valdez, R. (2022). A global assessment: Can renewable energy replace fossil fuels by 2050? Sustainability, 14(8), 4792. DOI: https://doi.org/10.3390/su14084792
    View in Google Scholar
  34. Intergovernmental Panel on Climate Change (2018). Global warming of 1.5°C.
    View in Google Scholar
  35. Ji, L., Sun, Y., Liu, J., & Chiu, Y. (2023). Analysis of the circular economy efficiency of China’s industrial wastewater and solid waste - Based on a comparison before and after the 13th Five-Year Plan. Science of The Total Environment, 881, 163435. DOI: https://doi.org/10.1016/j.scitotenv.2023.163435
    View in Google Scholar
  36. Karaeva, A., Magaril, E., Torretta, V., Viotti, P., & Rada, E. C. (2022). Public attitude towards nuclear and renewable energy as a factor of their development in a circular economy frame: Two case studies. Sustainability, 14(3), 1283. DOI: https://doi.org/10.3390/su14031283
    View in Google Scholar
  37. Khajuria, A., Atienza, V. A., Chavanich, S., Henning, W., Islam, I., Kral, U., Liu, M., Liu, X., Murthy, I. K., Oyedotun, T. D. T., Verma, P., Xu, G., Zeng, X., & Li, J. (2022). Accelerating circular economy solutions to achieve the 2030 agenda for sustainable development goals. Circular Economy, 1(1), 100001. DOI: https://doi.org/10.1016/j.cec.2022.100001
    View in Google Scholar
  38. Khan, K., Su, C. W., Rehman, A. U., & Ullah, R. (2022). Is technological innovation a driver of renewable energy? Technology in Society, 70, 102044. DOI: https://doi.org/10.1016/j.techsoc.2022.102044
    View in Google Scholar
  39. Kirchherr, J., Reike, D., & Hekkert, M. (2017). Conceptualizing the circular economy: An analysis of 114 definitions. Resources, Conservation and Recycling, 127, 221–232. DOI: https://doi.org/10.1016/j.resconrec.2017.09.005
    View in Google Scholar
  40. Kirikkaleli, D., & Sowah, J. K. (2023). The asymmetric and long run effect of energy productivity on quality of environment in Finland. Journal of Cleaner Production, 383, 135285. DOI: https://doi.org/10.1016/j.jclepro.2022.135285
    View in Google Scholar
  41. Kılıç, U., & Kekezoğlu, B. (2022). A review of solar photovoltaic incentives and policy: Selected countries and Turkey. Ain Shams Engineering Journal, 13(5), 101669. DOI: https://doi.org/10.1016/j.asej.2021.101669
    View in Google Scholar
  42. Knäble, D., de Quevedo Puente, E., Pérez-Cornejo, C., & Baumgärtler, T. (2022). The impact of the circular economy on sustainable development: A European panel data approach. Sustainable Production and Consumption, 34, 233–243. DOI: https://doi.org/10.1016/j.spc.2022.09.016
    View in Google Scholar
  43. Korhonen, J., Nuur, C., Feldmann, A., & Birkie, S. E. (2018). Circular economy as an essentially contested concept. Journal of Cleaner Production, 175, 544–552. DOI: https://doi.org/10.1016/j.jclepro.2017.12.111
    View in Google Scholar
  44. Kotzebue, J. R., & Weissenbacher, M. (2020). The EU’s clean energy strategy for islands: A policy perspective on Malta’s spatial governance in energy transition. Energy Policy, 139, 111361. DOI: https://doi.org/10.1016/j.enpol.2020.111361
    View in Google Scholar
  45. Kristensen, H. S., & Mosgaard, M. A. (2020). A review of micro level indicators for a circular economy – Moving away from the three dimensions of sustainability? Journal of Cleaner Production, 243, 118531. DOI: https://doi.org/10.1016/j.jclepro.2019.118531
    View in Google Scholar
  46. Magazzino, C., Toma, P., Fusco, G., Valente, D., & Petrosillo, I. (2022). Renewable energy consumption, environmental degradation and economic growth: The greener the richer? Ecological Indicators, 139, 108912. DOI: https://doi.org/10.1016/j.ecolind.2022.108912
    View in Google Scholar
  47. Majeed, M., & Luni, T. (2020). Circular economy indicators and environmental quality: A global evidence of 131 countries with heterogeneous income groups. Pakistan Journal of Commerce and Social Science, 14, 866–912.
    View in Google Scholar
  48. Merli, R., Preziosi, M., & Acampora, A. (2018). How do scholars approach the circular economy? A systematic literature review. Journal of Cleaner Production, 178, 703–722. DOI: https://doi.org/10.1016/j.jclepro.2017.12.112
    View in Google Scholar
  49. Mihai, F.-C., & Minea, I. (2021). Sustainable alternative routes versus linear economy and resources degradation in Eastern Romania. Sustainability, 13(19), 10574. DOI: https://doi.org/10.3390/su131910574
    View in Google Scholar
  50. Mohd Chachuli, F. S., Ahmad Ludin, N., Md Jedi, M. A., & Hamid, N. H. (2021). Transition of renewable energy policies in Malaysia: Benchmarking with data envelopment analysis. Renewable and Sustainable Energy Reviews, 150, 111456. DOI: https://doi.org/10.1016/j.rser.2021.111456
    View in Google Scholar
  51. Molinos-Senante, M., & Maziotis, A. (2021). The cost of reducing municipal unsorted solid waste: Evidence from municipalities in Chile. Sustainability, 13(12), 6607. DOI: https://doi.org/10.3390/su13126607
    View in Google Scholar
  52. Morseletto, P. (2020). Targets for a circular economy. Resources, Conservation and Recycling, 153, 104553. DOI: https://doi.org/10.1016/j.resconrec.2019.104553
    View in Google Scholar
  53. Murshed, M., Apergis, N., Alam, M. S., Khan, U., & Mahmud, S. (2022). The impacts of renewable energy, financial inclusivity, globalization, economic growth, and urbanization on carbon productivity: Evidence from net moderation and mediation effects of energy efficiency gains. Renewable Energy, 196, 824–838. DOI: https://doi.org/10.1016/j.renene.2022.07.012
    View in Google Scholar
  54. Mushtaq, Z., Wei, W., Sharif, M., & Chandio, A. A. (2021). Evaluating energy consumption efficiency in tobacco production: Applying Data Envelopment Analysis. E+M Ekonomie a Management, 24(3), 23–39. DOI: https://doi.org/10.15240/tul/001/2021-03-002
    View in Google Scholar
  55. Nhan, D. T. T., Pho, K.-H., Anh, D. T. Van, & Mcaleer, M. (2021). Evaluating the efficiency of Vietnam banks using Data Envelopment Analysis. Annals of Financial Economics, 16(2), 2150010. DOI: https://doi.org/10.1142/S201049522150010X
    View in Google Scholar
  56. Okorie, O., Salonitis, K., Charnley, F., Moreno, M., Turner, C., & Tiwari, A. (2018). Digitisation and the circular economy: A review of current research and future trends. Energies, 11(11), 3009. DOI: https://doi.org/10.3390/en11113009
    View in Google Scholar
  57. Østergaard, P. A., Duic, N., Noorollahi, Y., & Kalogirou, S. (2022). Renewable energy for sustainable development. Renewable Energy, 199, 1145–1152. DOI: https://doi.org/10.1016/j.renene.2022.09.065
    View in Google Scholar
  58. Palea, V., Santhià, C., & Miazza, A. (2023). Are circular economy strategies economically successful? Evidence from a longitudinal panel. Journal of Environmental Management, 337, 117726. DOI: https://doi.org/10.1016/j.jenvman.2023.117726
    View in Google Scholar
  59. Pata, U. K., Erdogan, S., & Ozcan, B. (2023). Evaluating the role of the share and intensity of renewable energy for sustainable development in Germany. Journal of Cleaner Production, 421, 138482. DOI: https://doi.org/10.1016/j.jclepro.2023.138482
    View in Google Scholar
  60. Prieto-Sandoval, V., Jaca, C., & Ormazabal, M. (2018). Towards a consensus on the circular economy. Journal of Cleaner Production, 179, 605–615. DOI: https://doi.org/10.1016/j.jclepro.2017.12.224
    View in Google Scholar
  61. Robaina, M., Murillo, K., Rocha, E., & Villar, J. (2020). Circular economy in plastic waste - Efficiency analysis of European countries. Science of The Total Environment, 730, 139038. DOI: https://doi.org/10.1016/j.scitotenv.2020.139038
    View in Google Scholar
  62. Rodríguez‐Lozano, G., & Cifuentes‐Yate, M. (2021). Efficiency assessment of electricity generation from renewable and non‐renewable energy sources using Data Envelopment Analysis. International Journal of Energy Research, 45(13), 19597–19610. DOI: https://doi.org/10.1002/er.6959
    View in Google Scholar
  63. Ryberg, D. S., Caglayan, D. G., Schmitt, S., Linßen, J., Stolten, D., & Robinius, M. (2019). The future of European onshore wind energy potential: Detailed distribution and simulation of advanced turbine designs. Energy, 182, 1222–1238. DOI: https://doi.org/10.1016/j.energy.2019.06.052
    View in Google Scholar
  64. Sachs, J. D., Lafortune, G., Fuller, G., & Drumm, E. (2023). Implementing the SDG stimulus. Sustainable development report 2023. Sustainable Development Solutions Network.
    View in Google Scholar
  65. Sariatli, F. (2017). Linear economy versus circular economy: A comparative and analyzer study for optimization of economy for sustainability. Visegrad Journal on Bioeconomy and Sustainable Development, 6(1), 31–34. DOI: https://doi.org/10.1515/vjbsd-2017-0005
    View in Google Scholar
  66. Shao, X., & Fang, T. (2021). Performance analysis of government subsidies for photovoltaic industry: Based on spatial econometric model. Energy Strategy Reviews, 34, 100631. DOI: https://doi.org/10.1016/j.esr.2021.100631
    View in Google Scholar
  67. Škrinjarić, T. (2020). Empirical assessment of the circular economy of selected European countries. Journal of Cleaner Production, 255, 120246. DOI: https://doi.org/10.1016/j.jclepro.2020.120246
    View in Google Scholar
  68. Titko, J., Stankevičienė, J., & Lāce, N. (2014). Measuring bank efficiency: DEA approach. Technological and Economic Development of Economy, 20(4), 739–757. DOI: https://doi.org/10.3846/20294913.2014.984255
    View in Google Scholar
  69. Tsaples, G., & Papathanasiou, J. (2021). Data envelopment analysis and the concept of sustainability: A review and analysis of the literature. Renewable and Sustainable Energy Reviews, 138, 110664. DOI: https://doi.org/10.1016/j.rser.2020.110664
    View in Google Scholar
  70. Učkar, D., & Petrović, D. (2021). Efficiency of banks in Croatia. Zbornik Radova Ekonomskog Fakulteta u Rijeci: Časopis Za Ekonomsku Teoriju i Praksu/Proceedings of Rijeka Faculty of Economics: Journal of Economics and Business, 39(2), 349–379. DOI: https://doi.org/10.18045/zbefri.2021.2.349
    View in Google Scholar
  71. Ünal, E., & Sinha, V. K. (2023). Sustainability trade‐offs in the circular economy: A maturity‐based framework. Business Strategy and the Environment. Advance online publicaiton. DOI: https://doi.org/10.1002/bse.3386
    View in Google Scholar
  72. United Nations Environment Programme (2022). Emissions gap report 2022: The closing window - climate crisis calls for rapid transformation of societies.
    View in Google Scholar
  73. United Nations Framework Convention on Climate Change (2015). Paris agreement.
    View in Google Scholar
  74. United Nations General Assembly (2015). Transforming our world: The 2030 agenda for sustainable development.
    View in Google Scholar
  75. Vasylieva, T., Pavlyk, V., Bilan, Y., Mentel, G., & Rabe, M. (2021). Assessment of energy efficiency gaps: The case for Ukraine. Energies, 14(5), 1323. DOI: https://doi.org/10.3390/en14051323
    View in Google Scholar
  76. Wang, M., Hossain, M. R., Si Mohammed, K., Cifuentes-Faura, J., & Cai, X. (2023). Heterogenous effects of circular economy, green energy and globalization on CO2 emissions: Policy based analysis for sustainable development. Renewable Energy, 211, 789–801. DOI: https://doi.org/10.1016/j.renene.2023.05.033
    View in Google Scholar
  77. Yang, J., & Chen, B. (2021). Energy efficiency evaluation of wastewater treatment plants (WWTPs) based on data envelopment analysis. Applied Energy, 289, 116680. DOI: https://doi.org/10.1016/j.apenergy.2021.116680
    View in Google Scholar
  78. Yildizbasi, A. (2021). Blockchain and renewable energy: Integration challenges in circular economy era. Renewable Energy, 176, 183–197. DOI: https://doi.org/10.1016/j.renene.2021.05.053
    View in Google Scholar
  79. Yousefi, S., Hassanzadeh, A., Saen, R. F., & Mousavi Kashi, Z. (2021). Assessing sustainability of Islamic countries via data envelopment analysis (DEA). Clean Technologies and Environmental Policy, 24, 1129–1143. DOI: https://doi.org/10.1007/s10098-020-02002-x
    View in Google Scholar

Downloads

Download data is not yet available.

Similar Articles

1-10 of 269

You may also start an advanced similarity search for this article.