Circular Economy Act must introduce binding resource targets, says taskforce

In its response to the Commission’s consultation on the forthcoming Circular Economy Act, the taskforce warned that failure to do so risks undermining the bloc’s climate ambitions, competitiveness and long-term resilience.

The group, made up of academics and policy figures from the Club of Rome, the Hot or Cool Institute and the International Resource Panel, called for a “demand-focused” approach to managing critical resources.

Lewis Akenji, Executive Director of the Hot or Cool Institute and Taskforce Co-Chair, commented: “The upcoming Circular Economy Act is an opportunity to get it right, and for the EU to pioneer a truly innovative approach to resource management.

“By embedding material footprint targets and a justice-based approach to resource governance in its strategy, Europe can set a global precedent for how to achieve prosperity and citizen wellbeing within planetary boundaries.”

Three priority measures

The Taskforce’s briefing sets out three priority measures for the Circular Economy Act.

1. Set material footprint targets: Introduce binding EU-wide reduction targets by 2028, covering 2035 and 2040
2. Prioritise resource efficiency of key systems: Shift attention to investing in housing, food, mobility and energy systems to reduce inequality whilst lowering Europe’s material footprint
3. Champion global governance: Lead efforts to create fair, transparent international rules for resource use

EU Circular Economy Act

The intervention comes at a time when the EU is drafting the Circular Economy Act, which will form part of its wider Green Deal and 2040 climate target of cutting emissions by 90%.

The Commission has previously focused on recycling and product standards, but the Taskforce warned these measures alone will not deliver the scale of change required.

Taskforce Co-Chair Anders Wijkman, Honorary President of the Club of Rome, commented: “Current EU policy has laid important groundwork, but it remains fragmented and overly focused on recycling and waste management.

“Without addressing material demand and system-level drivers of resource use, the transformation to a truly regenerative circular economy will remain incomplete.”