To advance within the industry and reach new levels of success, one often thinks about business growth and innovation as a singular path, charging forward. The road to a richer future, however, isn't always linear, it's circular.
The circular economy is a concept in which businesses find new uses for old materials. When an operation is no longer utilizing a resource, or has seemingly exhausted the value of a product, those materials aren't disposed of, they're repurposed, finding their own second act as a resource and creating new value within a business and industry. The circular economy is key to smart business growth, and it's a proven way to reduce waste and even displace valuable environmental resources like coal.
CIRCON Environmental is built upon the concept of the circular economy, helping organizations repurpose waste materials to bring new value to the industry.
Not so long ago, a big part of this job was educating people on the idea of the circular economy. As industry has advanced and environmental, social and governance (ESG) goals have become of increasing importance in recent years, CIRCON's focus has shifted towards innovation. The increased interest from the industry in the circular economy stands as a signal that the search for smart, sustainable solutions will not slow down anytime soon.
Keeping ahead of competitors when it comes to sustainability goals will be vital for businesses moving forward. In August, the Inflation Reduction Act of 2022 (IRA) was signed into law. In addition to investing $369 billion in climate solutions, the IRA aims to create a 40-percent reduction in U.S. emissions by 2030. The impact of this new law will be significant when it comes to how businesses consider and manage their impact on the environment. Many major players within the industry have already taken meaningful steps toward minimizing their impact on the planet, and while there's plenty more work to do, the industry is on the right path.
Consider the progress made in recent years, together
In 2021, the support of CIRCON's valued partners within the industry helped it create more than 20 million gallons of fuels from materials that otherwise would have been disposed of. That fuel powers cement or lime kilns, offsets nearly 300,000 tons of net carbon, and displaces nearly 70,000 tons of coal. That's the equivalent of eliminating roughly 65,000 cars from the roadways for a year. That's not a small environmental win.
Of course, it's important to remember that the circular economy doesn't just produce sustainable results. It leads to significant business growth and supports a healthy bottom line. So what steps can be taken, both large and small, to help operations drive business growth within the circular economy?
Consider waste designation. Transporting and disposing of materials that are considered to be waste comes with a number of downsides. Not only do these materials get added to a company's EPA annual waste summary, but they're also subject to additional waste taxes.
Choosing to make these materials part of the circular economy and finding ways to recycle and repurpose them changes that. Sustainable methods of repurposing waste -- rather than sending it off to the incinerator or landfill -- can qualify those materials for valuable industry exemptions. For example, the 2911 Oil Bearing Hazardous Secondary Material (OBHSM) exemption is a refinery-to-refinery exclusion that allows qualifying refineries to ship materials and recoverable products between one another on a bill of lading, without categorizing those materials as waste. Sludges, residuals or other oil-bearing materials can be exchanged between petroleum refineries while avoiding Resource Conservation and Recovery Act (RCRA) designation.
The Commercial Chemical Product (CCP) exemption can be applied to any off-spec product that contains recoverable hydrocarbon content. These materials, under the exemption, can be transported on a bill of lading, avoiding waste designation. Unlike the 2911 OBHSM exemption, any non-refinery facility can qualify for the CCP designation, so long as the materials in transport contain recoverable hydrocarbons.
Those are just two small but significant ways that making sustainable choices can produce business wins in addition to environmental wins. Where else within businesses are opportunities hiding? Is it in choosing more efficient fleets to transport materials with fewer over-the-road loads? Is it in choosing to make the switch to renewable diesel fuel? Is it in rethinking challenging waste streams and searching for alternative uses for tricky materials?
The increased interest from our industry in the circular economy stands as a signal that the search for smart, sustainable solutions will not slow down anytime soon.
The answer is: all of the above. Inventive, creative thinking and innovation go hand in hand, and are vital components of a successful circular economy. As the public and private sectors alike continue to embrace ESG priorities, the circular economy is poised for nothing but growth. Sustainability is no longer a "nice to have" or simply a qualitative message for businesses.
Quantitative and ever-improving sustainable business practices are the new normal, the new table stakes.
As global organizations search for cost-effective methods to achieve sustainability goals, continued innovation will be necessary to keep the pace in an evolving economy. Embracing the circular economy will help organizations stay ahead of the pack, reaching new levels of success that serve both the environment and a business's bottom line.
For more information, visit circonenviro.com or call (281) 474-4210.
