What are the best practices for circular economy in the transportation sector?

Encouraging a consolidated logistic system that minimises individual trips is a way to reduce the demand for mobility. Another way is to promote or enable remote working options, which could lead to fewer vehicles on the road.

A core principle of a circular economy is to avoid excessive production, reduce waste and promote the sharing of resources. In transportation, this means working on two frontiers: Reducing demand for transportation capacity by: 1. Improve utilisation of vehicles and infra via solutions such as Mobility-as-a-Service – ridesharing, car-sharing, and using public transport. 2. For private fleets – improve fleet management and right-sizing vehicles to improve utilisation rates. Reducing demand for materials by: 1. Keep materials in cycle by adopting remanufacturing, repairing, and recycling end-of-life vehicles, tires, batteries, etc. 2. Optimise design of vehicles and components to make them more durable, modular, and energy efficient.

Reducing demand for mobility is a crucial step towards fostering a circular economy in the transportation sector. By promoting alternatives like public transport, car-sharing, biking, and walking, we not only alleviate the strain on resources but also mitigate the environmental and social impacts associated with excessive car usage. Moreover, embracing concepts such as teleworking and digitalization not only reduces the need for physical travel but also optimizes space and infrastructure usage. Embracing these measures not only promotes sustainability but also leads to more efficient, equitable, and livable urban environments.

Cycling in large cities offers numerous benefits, including reducing traffic congestion, improving air quality, and promoting physical fitness. Bicycles provide a sustainable and efficient mode of transportation, reducing carbon emissions and reliance on fossil fuels. Additionally, cycling infrastructure, such as bike lanes and paths, enhances urban mobility and accessibility, creating safer and more livable cities for residents.

Designing for durability requires considering aspects of modularity, repairability, and recyclability of components - useful as part of circular economy application in transportation as it extends the lifespan of vehicles and infra, reducing need for new materials and energy. Durability also improves amortisation, as the initial investment can be recovered over a longer period. A long useful life also enables the integration of green technologies into existing vehicles, such as hybridizing diesel vehicles to lower their environmental impact. Similarly, a long asset useful life also favours high CAPEX but OPEX saving solutions such as electric vehicles, which have lower operating costs + environmental impact than conventional vehicles.

Long-term planning in urban mobility is essential for creating sustainable, efficient, and equitable transportation systems. It involves identifying future transportation needs, anticipating demographic and economic changes, and developing integrated strategies to address them. By prioritizing investments in public transit, cycling infrastructure, pedestrian-friendly spaces, and smart mobility solutions, cities can reduce congestion, improve air quality, and enhance quality of life for residents over the long term.

Embracing modular design principles, as exemplified by electric vehicles with swappable batteries, represents a paradigm shift towards sustainable practices. Such innovation minimizes downtime and waste by allowing for the replacement or upgrading of individual components rather than the entire product. This not only enhances efficiency but also aligns with the principles of circular economy, where resources are utilized more efficiently through reuse and recycling.In essence, prioritizing durability in design is not just a pragmatic choice but a strategic one in tackling environmental challenges and fostering sustainable development in the transportation sector.

Vehicles powered by green hydrogen offer a promising solution to decarbonize transportation and reduce greenhouse gas emissions. Using hydrogen produced from renewable sources, such as wind or solar power, these vehicles emit only water vapor when in use, contributing to cleaner air and mitigating climate change. Green hydrogen vehicles have the potential to revolutionize the automotive industry by offering zero-emission transportation options for a sustainable future.

One of the ways to apply the circular economy principles in transportation is to use recycled and recovered materials in the design and construction of vehicles and infrastructure. Vehicles, ships and shipping containers can be made from recycled steel, which reduces the environmental impact of mining and energy use for processing iron ores. Recovered materials from demolition waste and industrial by-products can also be used to build roads - think asphalt, concrete and glass for example. On a related note, Singapore plans to recover landfill waste (mix of incinerated waste and wastewater sludge, among others) from Semakau landfill to be part of mixed materials to form part of the foundation for Tuas port expansion.

This point applies not only to the use of renewable materials. Maintaining vehicles and extending their useful life can reduce the need for new ones and the associated resource consumption.

By shifting away from finite resources like fossil fuels, metals, and plastics, we not only reduce environmental harm but also foster innovation and value creation. Embracing bio-based materials such as bamboo, hemp, or algae presents exciting opportunities for creating components and fuels. Furthermore, repurposing waste materials like tires, plastics, or metals into new products minimizes landfill burden and promotes circular economy principles. Prioritizing renewable materials not only mitigates environmental impact but also paves the way for a more resilient and resource-efficient society.

When an EV battery reaches the end of its initial life cycle, it need not go straight into the junkyard. Repurposing EV batteries offers a powerful solution. By integrating them into battery energy storage systems, we breathe new life into their chemistry and materials. These rejuvenated batteries continue to serve, reducing the need for fresh production. This creates a virtuous ripple effect: fewer raw materials extracted, less energy consumed, and a lighter carbon footprint. The use of repurposed batteries is also highly cost effective. By incorporating these batteries into energy storage systems, we cut costs significantly. It’s a win-win for both business and environment —financially prudent and ecologically responsible.

Shifting from traditional product-centric approaches to service-oriented solutions not only fosters innovation but also aligns with the imperative of resource efficiency. By offering services instead of mere products, businesses can forge stronger bonds with customers, bolstering loyalty through ongoing engagement. Moreover, this transition introduces diversified revenue streams, enhancing financial stability. Take, for instance, car manufacturers adopting leasing or subscription models, complete with maintenance and insurance, which not only align with evolving consumer preferences but also promote sustainable usage patterns.

Recover and regenerate here can refer to both energy and materials. For energy, this means recovering wasted energy or storing excess energy. In practical terms, possible solutions include: 1. Regenerative braking can convert kinetic energy (from the braking) into electrical energy (via batteries or capacitors). 2. Smart grids can store excess solar energy generated during solar peak into swappable battery packs for use by compatible vehicles (such as motorcycles). For materials, this translates to recovering useful non-renewable materials from end-of-life vehicles and infra including roads. Recoverable materials are aplenty, including steel, aluminium, asphalt, rubber and concrete. These can be put into new vehicles and infra.

Renewable energy sources, such as solar, wind, hydroelectric, geothermal, and biomass, are essential components of a sustainable energy transition. These sources harness naturally replenished resources and produce minimal greenhouse gas emissions, offering cleaner alternatives to fossil fuels. Renewable energy technologies continue to advance, becoming more efficient and cost-effective, and play a key role in mitigating climate change, enhancing energy security, and promoting economic growth.

By implementing robust collection, sorting, and recycling systems, we can transform waste into valuable resources, simultaneously reducing our environmental footprint. Furthermore, integrating renewable energy sources like solar, wind, and hydro into transportation infrastructure holds promise for minimizing reliance on finite fossil fuels while curbing emissions. Embracing carbon capture and storage technologies further reinforces our commitment to mitigating climate change. In essence, prioritizing recovery and regeneration not only fosters resource efficiency but also paves the way for a greener and more resilient transportation ecosystem.

Implementing a circular economy approach is a complex task. For example, to repurpose EV batteries into a battery energy storage system would entail an ecosystem effort involving many, including manufacturers, suppliers, regulators and policymakers. To make this happen, both vertical and horizontal collaborations would be needed: Vertical collaboration refers to the alignment of activities and incentives along the value chain - such as battery pack design, material data sharing, handling standards, logistics and end-of-life management. Horizontal collaboration refers to the cooperation among different companies at the same value chain strata, enabling them to pool demand or supply and achieve synergies via the collaboration.

In today's interconnected world, collaboration and innovation are paramount for addressing complex challenges like sustainability in the transportation sector. The call to collaborate and innovate across industries reflects an understanding that no single entity can tackle these issues alone. By fostering partnerships among governments, businesses, civil society, and academia, we can harness diverse perspectives, resources, and expertise to drive meaningful change. Sharing knowledge, data, and best practices facilitates learning and accelerates progress towards a circular economy in transportation. Moreover, investing in research, education, and policy development creates an enabling environment where innovation can thrive.