Projects / Programmes
Entrepreneurial path to a low-carbon circular economy: an analysis of the situation and proposals for incentives, financing and monitoring of progress
| Code |
Science |
Field |
Subfield |
| 5.02.00 |
Social sciences |
Economics |
|
| Code |
Science |
Field |
| S180 |
Social sciences |
Economics, econometrics, economic theory, economic systems, economic policy |
| Code |
Science |
Field |
| 5.02 |
Social Sciences |
Economics and Business |
low-carbon circular economy, material and energy flows, industry, indicators, sustainable regulation, social well-being
Researchers (6)
Organisations (1)
| no. |
Code |
Research organisation |
City |
Registration number |
No. of publicationsNo. of publications |
| 1. |
0502 |
Institute for Economic Research |
Ljubljana |
5051690000 |
2,472 |
Abstract
Research and proposed guidelines in the field of low carbon circular economy allow individual states and Europe to meet the challenges posed by unsustainable depletion of natural resources, with the aim of ensuring economic and social well-being and reducing environmental impacts. The transition to the circular economy is hampered by a number of barriers at the level of the company, value chain, at the local and state level, and at the level of the European Union (EU). The multifaceted objective of the project is therefore to provide a thorough overview of the sectoral situation in the area, climate and energy targets, barriers, funding opportunities, and to provide a rich set of guidelines and indicators based on statistical analyzes of companies, consumers, material and energy flows, and international comparisons of best practices.
From a legislative perspective, Closing the Loop - an EU Action Plan for the Circular Economy and Plastics Strategy, together with the available financial resources support companies in the pursuit of their low-carbon ambitions. There are also other documents and supports important for companies: EU Packaging and Packaging Waste Directive, EU labels (e.g. eco-design, energy and environmental labels), methodologies for calculating the carbon footprint of the product and organizational footprint, and various financial supports (e.g. EIB, EBRD). Such efforts are likewise supported at national and local level in strategic documents, such as in the Slovenia Development Strategy (SRS) 2030 and Slovenia’s Smart Specialization Strategy (S4) and by adopting strategic sectoral documents, such as Energy Concept of Slovenia and the Operational Program for Reducing Greenhouse Gas Emission Reduction by 2020. Nevertheless, there are still many systemic barriers, such as taxation and regulation of raw material depletion and the lack of harmonization and integrated recycling plans across the EU. Companies face similar challenges also on national and local political levels, characterized by weak waste management legislation and a lack of indicators and explicit targets for a low-carbon circular economy. As a result, projects of a circular low-carbon economy which envisage the use of new technologies and business models are inherently more risky and therefore often not of interest to or worthy of their trust. Moreover, many financiers are not familiar with the concept of the circular economy, while it is difficult to adequately assess the risks and opportunities that hinder the financing of these projects. It is therefore crucial that decision-makers understand the barriers and have an overview of the guidelines and proposals that will facilitate the transition to a sustainable future.
Based on the identified gaps in knowledge, the project aims to contribute to the achievement of the SRS 2030, thus promoting sustainable development and improving the competitive position of Slovenian companies, which will become part of a better, sustainable future in the coming years. More specifically, the project will be based on mixed methods of research work, including bibliometric methods, econometric modelling, descriptive statistical methods and case studies.
The project will be composed of three work packages (WP):
• WP 1: Project management. coordination and dissemination of results,
• WP 2: An analysis of the current situation - systemic barriers, material and energy flows in the sectors, sustainable practices of small and medium-sized enterprises, and behavior of consumers,
• WP 3: Formulating proposals for systemic measures, incentives and activities, defining indicators for achieving the goals of a low-carbon circular economy and monitoring its achievement.
Within WP 1, we will focus on project management, coordination of tasks and researchers, communication between participants in the project and clients, ensuring the achievement of milestones and objectives, and dissemination of findings to the professional an
Significance for science
Given that sustainable development is one of the fundamental goals of strategic initiatives (Energy Concept of Slovenia, UNEP, UN, Slovenia Development Strategy 2030), it is extremely important that we consider this topic in applied and scientific research. The purpose of this project is to comprehensively examine the concept of a low carbon circular economy on micro (enterprises), mezzo (economic activities) and macro (state) level. In order to achieve this, one of the goals is to contribute to current professional debates on the challenges facing industry and to improve understanding of the concept by providing new knowledge on the efficient use of raw materials, secondary materials and energy.
Our contribution will be important in professional and scientific term, as it will provide valuable information to other researchers in the analysis of material flows, barriers, incentives, and monitoring of the progress of economic activities in the field of low carbon circular economy. Furthermore, international database Eurostat will enable monitoring of trends and changes over time and possibilities for replicating the study in the future.
In the area of ??consumer behavior, we will contribute to understanding of sustainable consumption and a sustainable lifestyle, with the emphasis on addressing the "attitutude-intention-behavior" gap using our and existing knowledge in the field of psychosocial interpretation of consumption. We are aiming to contribute to the development of proenvironmental purchasing model with two important contributions: (i) newly developed feedback loop between social norms and proenvironmental purchasing behavior; and use of (ii) large European database obstained with a statistical matching method "Nearest Neighbor Distance Hot Deck" of ISSP and ESS databases. Our goal is to highlight implementation issues and solutions for the required transition in companies. This project will therefore bring new tools and approaches for the comprehensive monitoring of changes in the low-carbon circular economy at micro, mezzo and macro levels and is understood as an interaction between decision-makers in companies, policy-makers and, last but not least, consumers.
Fresh knowledge and valuable experiences derived from this project will contribute to the development of new educational content in the field of strategic management and entrepreneurship, which will be transferred to the educational process in order to guide future managers in their early careers. The project will also give opportunities to junior researchers for further career development by acquiring knowledge and experience of senior researchers. More experienced members of the team will continue to develop and strengthen links with relevant international research groups, and enrich their knowledge with innovative and original methodological approaches brought to the project by junior researchers. The results of the project will be presented in professional and scientific journals, press and other media.
Significance for the country
The fresh knowledge gained in this project will enable a better understanding of the vulnerability and potentials, good practices, specific incentives that can be expected from the regulators and, ultimately, the expectations of consumers. Based on the dissemination of results, individual companies will be able to use this knowledge in order to develop more sustainable services, thereby increasing their competitiveness. Furthermore, such knowledge will also enable the identification of new business opportunities and thus the emergence of new businesses.
Pilot projects and examples of good practices in the field of low-carbon circular economy are an invaluable source of knowledge. In addition, our goal in near future is to develop an application or web-based tool that will serve as benchmarking for companies in various branches to assess their progress towards sustainability in different areas and stages of production / consumption of their products.
The importance of this project for the economy is reflected in the perspective of different economic activities in a low carbon circular economy and a sustainable society. With the project we will find out how to promote the transition to such society, reduce the impact on the environment (industrial emissions, energy needs, raw materials, secondary materials), develop new business models and change habits of consumers. Therefore, the economic significance of the project goes beyond individual economic activities, as the new economic perspectives open up in the areas that may not be immediately evident through interaction effects in society and the environment.
We expact that a holistic analysis of the transition to a low-carbon circular economy will contribute to more sustainable and responsible production and consumption, which will lead to sustainable economic growth. Sustainability can help companies in Slovenia regain their reputation in terms of impact on the social environment and build consumer confidence, which is currently at a very low level (Flash Eurobarometer 363, 2013).
Most important scientific results
Annual report
2020
Most important socioeconomically and culturally relevant results
Annual report
2019
