Procurement: Advancing the Circular Economy through Buying Power
Leveraging buying power and sustainability-driven product or service specifications are direct and effective methods that drive circular economy outcomes. Commercial relationships can shift markets and drive greater innovation in product design and service offerings that are restorative and resource efficient.
There is also an on-going shift in consumption models that considers investing in service rather than product (purchasing light instead of light bulbs); sharing resources to maximize utilization (leasing floor cover instead of buying carpet); and incentivizing innovative partnership (ride sharing instead of car buying). These market responses demonstrate economic, social, and environmental gains while influencing how we buy and consume goods and services.
Directly linking procurement and sustainability functions within organizations drives economic and environmental objectives. Specific to waste reduction, purchasing agreements that require suppliers and producers to extend their responsibility and provide consumers/buyers end-of-life product management options while structuring waste/recycling contracts to drive reduction can lead to immediate market responses.
Specific to waste reduction, purchasing agreements that require suppliers and producers to extend their responsibility and provide consumers end-of-life product management options will lead to immediate market responses.
As part of the Waste-Free Ontario Act the Ontario Ministry of the Environment and Climate Change released Strategy for a Waste-Free Ontario: Building the Circular Economy, which includes government commitment to lead by example utilizing sustainable procurement to drive waste reduction outcomes.
Recycling Council of Ontario is committed to Ontario’s transition to a circular economy, and is pleased to host a one-day forum that spotlights supply chain efficiency, procurement, and buying power as pivotal instruments to achieving it.