The Department of Environment and Natural Resources (DENR) has called on the business sector to increase adoption of the circular economy concept, moving away from traditional linear models. The agency emphasized that this shift extends beyond environmental sustainability and brings economic benefits such as cost reduction, brand enhancement, and the creation of new opportunities.
This call was reiterated at the concluded International Conference on Connecting the Dots On Circular Economy for Sustainable Development held in Muntinlupa City, where the DENR showcased research and solutions from experts spanning countries such as the Philippines, India, South Korea, Thailand, Lao PDR, Vietnam, Malaysia, Singapore, and Ethiopia.
“It’s essential to grasp that traditional linear and extractive economic systems, while once generating prosperity, have proven to be unsustainable. They pose significant threats to biodiversity, fuel resource scarcity, and exacerbate economic inequalities. In response, a circular economy emerges as the answer,” said DENR-Environmental Management Bureau Assistant Director Esperanza Sajul.
The DENR advocates for circularity, stressing that strategic waste management can lead to stable livelihoods, economic growth, and increased disaster resilience.
“The circular economy isn’t a mere concept; it is a profound solution where waste is transformed into a valuable resource, and sustainability serves as the bedrock of progress,” she added.
The DENR underscored the potential of the circular economy paradigm, aiming to replace the traditional take-make-dispose model with a focus on resource efficiency, sustainability, and waste minimization. By extending the life cycle of products and strategically managing waste, this approach offers not only environmental benefits but also economic gains.
The circular economy transition may involve strategies like product-as-a-service models, take-back programs, and innovative product design approaches, necessitating investments in technology and infrastructure.
The DENR said that even micro, small and medium-sized enterprises (MSMEs) play a significant role in driving social and environmental progress, especially considering that these enterprises dominate the business landscape in the country.
According to a 2019 data from The World Bank, around 70% of the material value of plastics is lost to the Philippine economy each year. This is equivalent to roughly a value loss of around USD 790-890 million per year.
Republic Act 11898, known as the Extended Producer Responsibility (EPR) Act of 2022, holds producers accountable for products throughout their life cycle, encouraging eco-friendly design and recycling efforts.
While not mandatory for MSMEs, the DENR encourages them to register their EPR programs. This collective effort aims to reduce waste, conserve resources, and minimize environmental impact, fostering sustainability and economic opportunities for businesses in the Philippines. #
