18 results
Foreword
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- Amsterdam University Press
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- 08 December 2020
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- 15 July 2013, pp 9-10
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Summary
The availability of critical resources for a competitive price is a fast-growing concern for business and industry but also for governments all over the world. As the Dutch economy depends very heavily on the availability of many different resources, an early and sustainable response from business and industry is necessary. Companies can stepwise reduce their vulnerability by first analyzing their specific situation regarding critical resources, second by developing a resource strategy, and third by innovating. Innovation can result in more and further reuse or in developing alternatives for less readily available or expensive resources.
For our business and industry, these developments require knowledge and awareness about ‘what's really going on in the resource business’.
With this excellent publication Resources for our Future TNO and HCSS explore the implications of recent developments and inspire entrepreneurs to start a journey in the world of resources. The publication gives practical examples of how entrepreneurs deal with issues of scarcity of raw materials, and how they make their businesses more economically sustainable. I support their ideas on how to tackle problems with security of supply of critical resources, and I commend their creative and innovative approach with new business models.
2 - Resource Constraints
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- 08 December 2020
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- 15 July 2013, pp 23-38
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Summary
The geopolitics of natural resources are shaped by the growing demand and the more slowly growing supplies. In recent decades the demand for fossil fuels, land and mineral resources has grown exponentially as a result of drivers such as population growth, industrialization and urbanization. According to the Organization of the Petroleum Exporting Countries (OPEC, 2011: 5-8), energy demand will increase by 51% by 2035, most of it from non-OECD countries. The UN Food and Agriculture Organization expects that food production will need to increase up to 70% by 2050 to meet the demand from the world's growing population (OECD/FAO, 2009). The demand for minerals is also expected to increase at a rate of 1% per year, and by 2050 will be 60% higher than it is today (Kesler, 2007).
The demand for natural resources fell temporarily in 2007 as a result of the financial crisis. Worsening economic conditions slowed the demand for energy resources. Lower energy prices also reduced the demand for biofuels and credit limitations reduced the trade in agricultural commodities. Nonetheless, demand has recovered more strongly than expected, especially from the rapidly developing emerging economies. Shortly after the worst dip, demand returned to pre-crisis levels. The resulting imbalance between demand and supply has led to tight mineral commodity markets and an unprecedented boom in the prices of both abiotic and biotic resources.
A classification of challenges
The environmental and social challenges that face society at large and industry in particular can be classified in various ways. Here we use a categorization of resource-related challenges that has been inspired by two recent reports of the International Panel on the Sustainable Use of Natural Resources (UNEP, 2010; 2011) and a set of indicators suggested by Giljum et al. (2009) for measuring eco-efficiency, which classifies resource uses and the related constraints according to the main categories identified in an economywide material f low analysis (MFA). From the recent trends in global resource extraction shown in Figure 2.1, it can be seen that biotic resources, construction minerals and fossil fuels now make up close to 80% of all materials extracted for human use, excluding water. Note that in this analysis, as well as the typical resources identified in the MFA, we also include water and land use.
8 - Resource Efficiency in the Metal and Consumer Electronics Industries
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- Amsterdam University Press
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- 08 December 2020
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- 15 July 2013, pp 137-150
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Summary
Electronic devices and domestic appliances generally contain two types of material: plastics and metals. Most plastics are extremely durable and persist well beyond the economic lifetimes of products, yet cables, cars and consumer electronics and the large volumes of plastics they contain are dumped or incinerated as waste, even though they could be recycled. The metals – including iron, copper and aluminium – may be present in the form of alloys, immobilized in structures, dissolved in liquids or in powder form, making it difficult and expensive to recover them in the quantities and levels of quality needed for their eventual reuse.
This chapter presents examples of companies that are attempting to improve their resource efficiency by recycling metals and plastics. In its ongoing efforts to improve production processes, Tata Steel has succeeded in producing more steel from the same amounts of iron ore and coal each and every year. Even the floors of the plant are swept to collect iron and coal dust, which is fed into the sintering furnace. As part of its EcoVision programme, Philips has set itself ambitious goals, including doubling the amount of recycled materials in its products and the global collection and recycling of its products by 2015. Its showcase product is the Senseo Viva Café Eco, a coffee machine made largely of recycled plastics. Only the components that come into contact with coffee and water are still made of virgin materials, in line with European regulations.
For waste processing companies such as SITA Northern Europe Waste Services there is as yet no positive business model for recycling many waste streams. Except for wood, metal and paper, recycling actually costs money. Nevertheless, SITA is determined to work in partnership with its customers to close several material loops in order to gain value from waste. The final example, again from Philips, shows the potential of new business models for achieving its ambitious targets in terms of energy savings and resource efficiency. For two breakthrough innovations – Pay per Lux and Luz Verde – the key is to provide added value for customers and other stakeholders by offering a service instead of merely products.
7 - Biotic Resources in the Process Industry
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- 15 July 2013, pp 119-136
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The chemical industry produces most of the ingredients, compounds and semi-products used in the majority of products manufactured in our society. Fossil fuels are traditionally the main resource used in the chemical process industry. However, this means that the security of oil supplies and oil prices are a major concern. Competition for access to fossil energy carriers has already caused energy prices to rise. In its 2011 World Energy Outlook the International Energy Agency states that ‘rising transport demand and upstream costs reconfirm the end of cheap oil.’ In addition, the concentration of supplies is sometimes causing supply chain disruptions – the oil embargo by the Organization of the Petroleum Exporting Countries in the mid-1970s is a classic example, while the Russia-Ukraine gas disputes over the price of natural gas and its transit to countries beyond the Ukraine are a more recent example. Another important issue related to the use of fossil fuels is climate change.
Biotic resources such as timber, straw, rapeseed, manure and organic waste streams from food production and food consumption are gradually becoming an important feedstock for energy production and chemistry. Climate policy strongly supports their use as sources of energy. The fermentation, gasification and burning of these organic resources produce heat, electricity, biogas and biocrude oil, which can be used in applications where fossil fuels were traditionally used. In the process industry these biotic resources are not being used for energy production. The characteristics of natural fibres, proteins, starch and other ingredients have proven to be extremely valuable in the manufacture of a wide range of products, from medicines to construction materials and from fine chemicals to ethanol. As more and more companies discover or rediscover the added value of biotic resources, the mobilizing concept of a biobased economy is gradually becoming reality. Some are calling it the third industrial revolution.
This chapter presents four compelling and convincing examples of new business opportunities based on biotic resources such as straw, sugar beet and meat by-products. ‘Nature does not produce waste,’ as Jalal Laham, president of Teeuwissen Group, says. The examples illustrate that we are rediscovering the value of bio-based products in new market applications.
About the authors
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- 15 July 2013, pp 189-190
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9 - Resource Efficiency in Fashion and Furnishings
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- 15 July 2013, pp 151-164
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Fashion and furnishing fabrics bring colour to our lives. Because tastes differ and styles change over time, the textile industry produces a wide range of different products with very short economic lifetimes. Resource efficiency is an issue here. Not only because even the highest-quality products are disposed of as waste within a limited time, but also because their production is energy and resource intensive. In addition, most textile companies use fresh water in their production processes to ensure the quality of the final products. This results in considerable volumes of waste water.
Closing material loops, integrated chain management, cradle to cradle production and the circular economy are just some of the many concepts that have emerged over the last two decades, and many industries are working hard to apply them in practice. Ambitious projects have led to impressive results, but all those involved acknowledge that the key to success is cooperation between all links in the production chain.
This chapter presents four examples of companies that have succeeded in closing the material loop. Three of them have been inspired by the cradle to cradle approach developed by Michael Braungart and William McDonough. These companies have demonstrated that it is possible to use recycled secondary materials to make better than standard products. They have shown that it is possible to design short-cycle products that can be ‘reincarnated’ at the end of their economic lifetime. Their experiences make it clear that it is possible to identify new business opportunities by looking at the product chain as a closed system.
For the fourth company described in this chapter, the key is water – or, rather, the substitution of water by supercritical carbon dioxide as a solvent for dyeing fabrics. This revolutionary method of dyeing fabric eliminates the need for vast amounts of fresh water and chemical dispersants, while radically reducing the use of energy and emissions of waste water.
5 - Resource Efficiency in the Built Environment
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- Amsterdam University Press
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- 08 December 2020
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- 15 July 2013, pp 87-100
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The built environment uses a substantial amount of energy and minerals. In terms of volume, construction minerals are much more important than industrial and metallic minerals. Construction minerals are not scarce: sand, gravel, stone, lime and clay can be found almost everywhere. However, producing building materials such as cement, asphalt and brick from these construction minerals is energy and material intensive. The actual use of buildings also affects overall energy use and CO2 emissions in the built environment. Technological innovations, awareness programmes and urban planning have all been deployed to reduce the consumption of fossil-based energy by residents of houses and offices. And we are making considerable progress: the zero-energy building is now within reach.
The production, reuse and recycling of building materials are creating inspiring innovations. This chapter will present three successful business cases that illustrate the virtue of know-how combined with creativity. One example is the ClickBrick®, which eliminates the need to use cement and enables bricks to be used over and over again. Another example is ASCEM, which produces cement from fly ash and other secondary materials, substantially reducing the use of virgin materials as well as CO2 emissions. And last but not least, there is the Highly Ecological Recycling Asphalt System (HERA), which makes it possible to produce higher quality asphalt using less energy and creating fewer emissions while re-using up to 100% used asphalt.
It is not only new technology that is making breakthroughs in resource efficiency in the built environment possible. Indeed, the very concept of building is also changing. Essentially, building is a circular process in which building materials can be used and reused endlessly. However, the traditional business case in the building sector is a linear one. Each link in the chain of materials production, assembly, and the use and demolition of buildings has its own costs and benefits. Park 20/20, a business estate near Amsterdam Schiphol Airport in the Netherlands, is an example of a circular business case, in which the building is perceived as a ‘materials bank’.
Resources for Our Future
- Key Issues and Best Practices in Resource Efficiency
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Published by:
- Amsterdam University Press
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- 08 December 2020
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- 15 July 2013
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Compiling years of research into the geopolitical, economic, and ecological dimensions of material scarcity and resource efficiency, 'Resources for our Future' provides a concise analysis of international resource efficiency. Offering an inspiring account of industrial best practices, the editors have put together a broad range of case studies, which focus on the chemical, textile, and food industries.
6 - Resource Efficiency in the Food Sector
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- Amsterdam University Press
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- 08 December 2020
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- 15 July 2013, pp 101-118
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Summary
The food industry produces most of the food ingredients, food products, meals and drinks we consume on a day-to-day basis. This industry has organized our food chain in such a professional way that it has become perfectly normal to buy food at the supermarket. Most of the harvesting and production, refining and preparation has been done for us, enabling us to enjoy the final product, without wondering where it came from and whether it will be available for us tomorrow or the day after tomorrow.
Feeding society impacts large areas of farming land and uses huge amounts of fertilizer, biotic resources (crops and cattle), water and energy. With the world population expected to reach 9 billion people by 2050, food security is becoming a serious issue. At the present rate, the overall ecological footprint of food production and consumption will go beyond sustainable levels. In looking for solutions, small, medium and large companies are starting to collaborate on sustainability initiatives and generate value chain innovations. A group of eight large Dutch multinationals in particular, called the Dutch Sustainable Growth Coalition, has made it very clear how important sustainability is for companies who still want to be in business five years from now.
This chapter presents four ambitious strategies towards sustainable food production and consumption. The example of HEINEKEN breweries shows the radical steps that the company took to improve the efficiency of water and energy use throughout the entire value chain, including packaging and transport. The brewery is a front runner, not only by virtue of its water strategy – it reduced its water footprint by 25% in 2020 – but also because it encourages farmers both in the Netherlands and abroad to practice sustainable malting barley farming.
The FrieslandCampina example teaches us that a sustainable business strategy is ‘actually a way of making the business model robust against all the global challenges we are facing, such as the scarcity of natural resources and the high cost of fossil fuels.’ In close cooperation with farmers, employees and customers, the company takes a leading role in safeguarding sustainability throughout the entire dairy chain, providing a basis for interesting new business opportunities.
1 - Introduction
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- 15 July 2013, pp 17-22
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Natural resources, including minerals, water, energy and arable land, are the basis of human society. However, the levels of consumption of these resources are rising rapidly. As a consequence, Earth's climate is changing, fish stocks and forests are shrinking, the prices of energy resources and critical materials are rising, and species are becoming extinct.
According to many scholars, population size and economic prosperity are the two main drivers of human impact on natural resources and ecosystems. Consider the following equation, originally presented by Ehrlich and Holdren (1971), which is often used to describe the relation between human impact and these drivers:
Impact = Population × Affluence × Technology
The equation suggests that if the world's population grows from the present 7 billion to some 9 billion in 2050, the impacts on natural resources and ecosystems are likely to increase considerably, especially if global economic growth results in a rise in the mean level of per capita consumption. Technological innovation may weaken the combined effects of population growth and economic growth if it enables the more efficient use of natural resources.
We should mention that the equation itself has engendered heated debate, especially regarding the relative importance of the three factors. Neo-Malthusians such as Paul Ehrlich believe that population is the number one problem. Ecological economists, like Herman Daly, believe that exponential population growth combined with increased consumption is the real culprit. Biologist Barry Commoner, however, focused on the amount of pollution resulting from economic growth, and concluded that population and affluence would contribute much less pollution than the technology of production (Commoner et al., 1971). Other commentators argue that economic growth is not the problem but the solution. One of them is Julian Simon (1980), who suggests that increasing populations and decreasing resources will boost technological innovation.
Drivers of resource use
Although opinions differ as to the precise relation between population, affluence and technology, the overall conclusion stands. Throughout the 20th century, the growing population has led to an increase in the use of fossil fuels by a factor of 12, and to the extraction of 34 times more material resources. If the population grows as expected and the mean per capita consumption doubles by the year 2050, it is most probable that humanity will experience the limits to growth.
References
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- Resources for Our Future
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- 15 July 2013, pp 177-188
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Contents
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- 15 July 2013, pp 5-8
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3 - The Geopolitics of Resources
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- 15 July 2013, pp 39-68
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Population growth, economic development and changing consumption patterns are putting tremendous pressure on the demand for natural resources. Whereas demand is growing rapidly, supply is growing much more slowly due to a complex mix of factors, such as technological challenges, financial barriers or hindering legislation. The imbalance between booming demand and limited supply has resulted in high prices and increased competition between countries over access to natural resources. At the same time, the international system is in transition. The relative power of the West is declining and the influence of emerging economies is growing. Slowly, the world is moving from a Western-dominated order to a multipolar world in which state capitalist tendencies are becoming prominent, especially in the natural resource sector. Concerns about mitigating climate change, depletion of fossil fuels, economic competitiveness and innovation have pushed governments around the world to formulate natural resource strategies. Securing resources has become a priority for policy makers and companies.
The policy measures countries take vary. Whereas import dependent countries, including some of the emerging economies, aim to secure the necessary resources for economic growth, producing countries aim to reap the benefits from their natural resource endowment and rising resource prices. Certain policy measures have negative effects on international trade in resources. Increasing protectionism and other trade barriers pose a real challenge for the European Union (EU), which is to a large degree dependent on imports, and for European companies.
This chapter describes the international trends that are shaping the geopolitics of natural resources and looks at the implications for Europe and the Netherlands. First, it looks at the position of Europe and the Netherlands in international trade f lows of natural resources and the vulnerability associated with import dependence for certain resources, including energy, minerals and food commodities. Second, the chapter looks at the changes in the international system that are shaping the current economic and political world order in which trade in natural resources takes place. Third, the chapter identifies challenges and opportunities for the EU and the Netherlands.
International trade flows of natural resources
Natural resources are geographically unevenly distributed over the globe. Whereas some countries enjoy a rich resource endowment, others have limited or no domestic supplies. Trade has helped alleviate some of these disparities (OECD, 2011b).
10 - The Challenges Ahead
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- 15 July 2013, pp 165-174
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Summary
Mankind has long enjoyed the abundant food, arable land, water, energy, metals and minerals provided by planet Earth. We have come a long way from the primitive biobased economy in which mankind depended on the crops, prey, water, timber and tools that Earth's ecosystems handed to us. We learned to mine metals and minerals, developed new means and processes to apply them and gradually worked our way into the present minerals-based economy. The industrial revolution enabled a large jump in terms of quality of life, but it also marked a steep rise in the exploitation of metals, minerals and fossil fuels. Also, it became clear during the 20th century that our need for food, feed and fuel has profound effects on forests, land use, fish stocks and biodiversity.
The main challenge in managing natural resources for our future is to enable prosperity for everyone without crossing planetary boundaries. The world's population, which is expected to grow from 7 billion in 2012 to 9 billion by 2050, will experience the limits to growth if we continue to consume and produce at the same rate as we do today. And, as we witness in the rising number of conflicts over food, water, land and minerals, resource scarcity is not a problem in some vague future, but something we have to deal with right now. However, many questions remain to be answered. What do we really know about (constraints on) the use of natural resources and the related risks of over-exploiting scarce and vulnerable supplies? What new opportunities may arise for business and how can we identify and make use of them? And what can governments and international bodies such as the United Nations do to create the necessary economic and societal conditions for realising greater prosperity for more people with less resource extraction?
This last chapter will not present the final answers to these and related questions. It will, however, present some food for thought and action, based on the knowledge and experiences summarized in the previous chapters.
Understanding the challenges
Although general knowledge about resource challenges is essential to raise awareness among companies, governments and society, more detailed and specific data and expertise are required to assess vulnerabilities and develop robust strategies that will ensure sufficient, timely and affordable access to resources for the future.
Acknowledgements
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- Resources for Our Future
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- 15 July 2013, pp 175-176
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Management summary
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- 08 December 2020
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- 15 July 2013, pp 11-16
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Summary
Natural resources, including minerals, water, energy and arable land, are the basis of human society. Throughout the 20th century, the growing population has led to an increase in the use of fossil fuels by a factor of 12, and to the extraction of 34 times more material resources. As a consequence, Earth's climate is changing, fish stocks and forests are shrinking, the prices of energy resources and critical materials are rising, and species are becoming extinct. If the population grows as expected and the mean per capita consumption doubles by the year 2050, it is most probable that humanity will experience the limits to growth.
Improving resource efficiency is about improving the quality of life while limiting environmental degradation by using resources more wisely and changing patterns of production and consumption. The main ambition is to enable prosperity for a growing population without exceeding planetary limits. In order to support economic growth with fewer resources we need to improve the efficiency of resource use, in terms of the economic value per unit of resources used. This is exactly what has been achieved in recent years: the world economy in 2005 extracted some 30% fewer resources to produce € 1 of GDP than it did in 1980. In absolute terms, however, global resource extraction is still rising. Population growth and economic growth have obviously outweighed the improvements in resource efficiency.
Key issues
Scarcity of natural resources is a largely a dynamic concept. The availability of natural resources is a function of current market conditions and technological means. The imbalance between booming demand and limited supply has resulted in high prices and increased competition between countries over access to natural resources. In July 2008, crude oil prices averaged 133 USD per barrel which represented a price increase of 94% from a year earlier. World food prices went from an all time low in 2002 to a record-high in 2008. Commodity prices have not only become higher but more volatile as well. At the same time, the international system is in transition. The relative power of the West is declining and the inf luence of emerging economies is growing.
Frontmatter
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- 15 July 2013, pp 1-4
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4 - Resource Strategies
- Edited by Rob Weterings, Ton Bastein, Arnold Tukker, Michel Rademaker, Marjolein de Ridder
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- 15 July 2013, pp 69-86
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Improving resource efficiency is about improving the quality of life while limiting environmental degradation, using resources more wisely and changing patterns of production and consumption. In a world that is reaching the physical limits of consumption, ensuring the more efficient use of natural resources is essential. The fact that resource efficiency is one of the flagship elements of the European Union's framework programme Horizon 2020 is evidence of the increasing awareness of the urgent need to improve resource efficiency.
In the 30-year update to The Limits to Growth, Meadows et al. (2004: 236) call for action along two lines: improving the eco-efficiency of our present production and consumption patterns, and changing these patterns by influencing the underlying causes of overconsumption in society.
This chapter discusses a variety of strategies that could contribute significantly to improving overall resource efficiency, as indicated in Table 4.1. They range from steps that can be taken on the basis of current societal, economic and technological models and know-how, to more radical steps that may only be possible under new and different economic, political and societal structures.
Mining primary resources
For most natural resources the patterns are similar: the demand for commodities has increased sharply over the last three decades. The increase has been particularly spectacular for some specific minor elements, such as the rare earth elements that are used in high-tech applications such as cellphones and batteries. Although one might expect increased demand to lead to higher resource prices, thus providing an incentive for mining companies to intensify their output, this has evidently not happened. In relation to the mining of metals, there are a number of complicating factors:
• The costs of extraction have increased over the years as sources have become smaller, more remote and less concentrated, requiring more energy, time and capital to develop.
• Many metals are obtained as by-products of the extraction of other materials. An increase in the demand for a by-product therefore does not necessarily lead to increased supply, as this will depend on the market dynamics of the primary product. Mining companies are often not inclined to extract small quantities of minor elements from mining waste.