Challenges to the transition to a circular economy: understanding of the web of constraints to more efficient use of resources

The concept of the circular economy has attracted the attention of policy makers and businesses in recent years. However, changing current patterns of resource use is a complex task. This paper aims to shed some light on the understanding of why resources are being used inefficiently and the factors that contribute to explain patterns of resource use. Based on the research undertaken under FP7 project on Policy Options for Resource Efficiency (POLFREE), the authors propose to move from the concept of barrier to resource efficiency, that seems to point to some concrete single factor that impedes more optimal use of resources, to the notion of ‘web of constraints’, that highlights the complex web of interlinked factors that interact with each other dynamically and simultaneously. To illustrate how different factors interact and feedback loops are generated leading to inefficient use of resources, the authors have selected two main areas from where to draw conclusions: buildings and mobility. In both cases, they represent areas of intensive use of resources and, where the feedback loops and interaction of supply and demand contribute to create conditions that drive and/or hamper resource efficient practices. Based on the analysis of the web of constraints, the paper draws some conclusions on the role of policy in tackling inefficient use of resources in these two sectors.