Development and application of a composite circularity index.

Resource depletion and environmental pollution are increasingly a matter of concern for their adverse effects on ecosystems, human health, and the economy. Circular Economy (CE) practices can help us address these challenges. This paper proposes a composite circularity index (CI) to assess the level of implementation of CE practices. The main advantage of the proposed index is its ability to combine multiple indicators of circularity for different units operating in a given sector (given as inputs), using a 'Benefit of the Doubt' model. This new model is innovative in the manner it deals with ordinal scales and also by considering both relative and absolute performance indices. These indices are computed using mathematical programming tools, building on ideas from Data Envelopment Analysis models. Although the model can be applied to any sector, this work addresses the hotel industry in particular. The selection of indicators for this CI was based on seven blocks of the Circular Economy Action Plan and a literature review of circular practices. An application of the proposed index is performed by using data from Portuguese and Spanish hotels. The proposed CI allows the identification of the organizations with the best and worst performance in implementing the CE practices and clarifying the benchmarks they could follow to improve their level of circularity. Moreover, the index analysis also provides specific targets for improvement, indicating which circular practices should be improved for the lower performers to reach the implementation levels of the best performers.

From the circular economy to the sustainable development goals in the European Union: an empirical comparison.

The European Union (EU) is trying to accelerate the transition from the current linear economy to a circular economy (CE). In fact, the CE is considered a tool to attain sustainable development goals (SDGs). In this sense, this paper aims at analysing the interaction between the CE and SDGs in the context of the new 2030 Agenda and the European CE strategy; thus contributing to the scarce empirical literature that links the potential of the European CE strategy to the achievement of the SDGs set by the 2030 Agenda. Three specific research questions have been formulated. First, could the objectives defined in the 2030 Agenda be considered homogeneous, and could they uniquely measure the concept of sustainability? Second, are there significant correlations between the implementation of a CE in the EU and the SDGs? Finally, is the behaviour of the 28 countries that make up the EU homogeneous in terms of the results of the initiatives aimed at the implementation of a CE? From these questions, nine hypotheses are put forward concerning the possible relationships between a CE implementation and the fulfilment of SDGs in the EU. Using a correlation analysis, an exploratory factor analysis, and a cluster analysis, it has been demonstrated that (a) SDGs do not univocally measure the concept of sustainability; (b) there are significant relationships between CE and SDGs in the EU; (c) the behaviour of these European countries is not homogeneous.

The Role of Institutional Engagement at the Macro Level in Pushing the Circular Economy in Spain and Its Regions.

Currently, the European Union is promoting the circular economy, a change that involves moving the foundations of actual economies toward the most sustainable production and consumption periods, in which the reuse of resources predominates, mainly through recycling, reuse, and reduction, among other strategies. This study, through the application of institutional theory, analyzes the role that institutional pressure has in the diffusion and adoption of the circular economy from the state to the regions inside through coercive, normative, and mimetic pressures. A matrix of institutional positioning was developed that analyzes the number and diversity of circular economy initiatives. The results show that coercive pressure followed by mimetic pressure are the most relevant in explaining the development of the circular economy in Spain in relation to the closest other European countries in Southern Europe, while there is low normative pressure. The results obtained provide relevant information on how to accelerate the development of the circular economy throughout the European Union through the adequate exercise of different types of institutional pressure.