A multi-level approach to circular economy progress: Linking national targets with corporate implementation

Abstract

An integrated top-down methodology for assessing and promoting progress towards a circular economy at macro (national) and micro (company) levels is presented. It is based on the MICRON (MIcroCirculaR ecOnomy iNdex) framework developed by Baratsas et al. (2022) for companies. In this paper, it has been extended to enable a consistent assessment for companies and countries. The methodology facilitates the analysis of key categories: energy, emissions, water, materials, and waste. A quantitative analysis of circularity, including a sensitivity analysis, is conducted at the macro level, identifying critical areas and the most influential factors for the circular economy. Based on this analysis, existing national strategies are evaluated, and implementation plans with specific measures are developed. This is followed by micro-level implementation, which involves techno-economic assessment of circular projects. Using this methodology, coordinated improvements in circularity are achieved at all levels.

The methodology was tested in Slovenia, where the national circularity index revealed stable performance over five years, averaging slightly above 50 points out of 100. Analysis identified significant improvement potential in areas such as energy and emissions, aligning with the country's focus on decarbonization and energy efficiency in its climate strategies. At the company level, circularity assessments highlighted critical challenges in renewable energy use and overall energy efficiency. The proposed measures showed potential for significantly improving circularity and reducing emissions, while the results provided valuable insights into the economic feasibility of these transitions.