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01:00 Good morning.

01:01 Good afternoon.

01:02 Good evening to all of our attendees

01:04 who are joining us today from around the world.

01:07 My name is Nai Yun Xin.

01:09 I'm a senior consultant with the World

01:10 Bank Group working on green Competitiveness agenda,

01:14 including the topics related to the circular economy.

01:18 I'd like to welcome all of you

01:20 to the 9th session of our learning

01:22 series

01:23 on the circular economy and private sector development.

01:30 Today,

01:30 we'll be focusing on the construction industry.

01:38 And how circular economy solutions look like

01:40 across the complex construction value chain,

01:43 what has been done,

01:44 what technologies and solutions are available,

01:46 and how we might be able

01:48 to facilitate the transition towards circular construction

01:51 with well-designed policies,

01:52 regulations,

01:53 products,

01:54 technologies,

01:55 and business models.

01:56 Previous sessions from this learning series

01:59 have covered

01:59 A wide range of topics including textiles,

02:02 plastics,

02:02 digital technologies,

02:04 finance,

02:04 and others.

02:05 And future session we'll explore circularity in the food and agriculture systems.

02:10 In case you didn't have a chance to join our previous sessions,

02:14 we'd like to encourage you to visit our

02:16 dedicated website where recordings and materials from previous sessions

02:20 are available.

02:22 I'd like to um quickly share and run through the agenda for today.

02:36 As you will see,

02:37 we have a fantastic and dynamic set of experts and

02:40 speakers whom I will introduce in more detail later on.

02:44 After opening remarks,

02:45 we'll have the first presentation that will focus on

02:48 the overall landscape of the circular economy model,

02:50 applied to the construction industry value chain,

02:53 and briefly go through opportunities and challenges that

02:56 we will discuss during our panel discussion today.

02:59 The first panel will leverage the perspective of industry associations,

03:03 businesses,

03:04 and academics who are already engaged in circular construction.

03:07 We'll focus on some readily available technologies,

03:10 innovations,

03:11 and business models

03:12 that these industries are adopting to integrate the circular economy approach

03:17 and what impacts these technologies and businesses

03:21 solutions can have on the decarbonization

03:23 of the construction material manufacturing sectors.

03:26 Uh,

03:27 especially focusing on the cement and concrete sectors and those operating

03:31 in developing countries.

03:33 The second panel will leverage the expertise of researchers and practitioners.

03:37 We'll discuss the bigger picture

03:39 and how to create the ecosystem,

03:41 partnership,

03:42 demand,

03:43 and markets for circular construction.

03:45 If you,

03:45 the audience have questions,

03:47 please use the Q&A function to post them.

03:50 We'll try to cover as many questions as possible

03:52 in the open panel discussion and Q&A session later.

03:57 Finally,

03:57 uh,

03:58 before,

03:58 um,

04:00 giving,

04:00 uh,

04:01 the word to our first two speakers,

04:03 I'd like to thank my colleague,

04:04 John Anagnosto,

04:05 Evan Jacques,

04:06 uh,

04:07 Li Thu,

04:07 Marek Stennek,

04:08 uh,

04:09 Steck,

04:09 uh,

04:10 Nidal Mahmoud,

04:10 Zina,

04:11 Gemma Vivas,

04:12 uh,

04:13 Dari Carranta,

04:14 Ein Kuician,

04:15 and IT specialists for all their help

04:17 in putting this session together.

04:19 With that said,

04:20 I'd like to introduce our first two speakers,

04:23 Demetrios Papathanasio and Sabin Clark.

04:26 Doctor Papathanasio is the World Bank Group

04:29 Global Director

04:31 at Energy and Extractives Global Practice.

04:34 Demetrios has worked for more than 20 years

04:37 with the World Bank on Energy and Infrastructure

04:40 in Africa,

04:41 Latin America,

04:42 Asia,

04:43 and many other regions.

04:46 He was responsible for a portfolio

04:48 of more than $10 billion

04:50 has contributed to developing energy policies in several countries,

04:54 and worked extensively to increase renewable energy projects around the globe.

04:58 He holds a PhD in Energy and the Environment from Imperial College in London,

05:02 UK.

05:04 Sabin Shaurk is Manager at the Global manufacturing

05:07 and distribution finance at the International Finance Corporation,

05:11 a member of the World Bank Group that

05:12 focuses on private sector development in developing countries.

05:16 She worked globally on complex infrastructure investments

05:20 and as the global head of manufacturing in IFC's manufacturing,

05:24 agribusines.

05:24 And Services department

05:26 Sabin leads a diverse team responsible for

05:29 IFC investments in the manufacturing sector.

05:32 Prior to joining the IFC,

05:34 she worked in a commercial bank in Germany

05:36 and holds a master's and PhD

05:39 in Economic geography and Economics from the University of Hanover,

05:43 Germany,

05:44 Demetrius.

05:49 Thank you very much,

05:50 Nayon,

05:51 and uh good evening in Asia.

05:53 Good afternoon in Europe.

05:54 Good morning here in uh

05:56 in the Americas.

05:58 Uh,

05:58 first of all,

05:59 let me thank you for inviting me to,

06:01 to open uh this session.

06:03 And let me start by uh

06:06 trying to uh

06:08 lay down why this is really so important for us in the World Bank

06:12 and why we think that the circular economy,

06:14 and especially in construction

06:16 is an area where we need to be focusing more.

06:19 And uh I would really like to thank all

06:22 the specialists that are joining our panels and contributing

06:25 their knowledge and experience.

06:28 Uh,

06:28 so we're working hard actually these very days on

06:31 updating the World Bank's climate change action plan.

06:34 And we're looking hard at how we can help countries towards a low carbon

06:40 pathway

06:41 and how can we assist

06:43 the world

06:44 as we're moving towards a net zero by mid-century

06:48 or earlier if possible.

06:50 And clearly one of the hardest

06:54 areas of the economy

06:55 to decarbonize

06:57 is on construction.

06:59 Iron,

07:00 steel,

07:01 concrete

07:02 are major contributors

07:04 of CO2 emissions because of the way they're produced.

07:08 And

07:09 they are also a very significant part of the economy

07:13 everywhere where we work in the developing world.

07:15 Construction industry is

07:18 a key driver of economic growth

07:20 in developing countries.

07:22 It provides

07:24 millions,

07:25 probably hundreds of millions of jobs,

07:28 uh,

07:29 directly and indirectly around the world,

07:31 and it is,

07:32 um,

07:33 and it is the motto of growth.

07:36 So,

07:36 whatever we can do

07:38 to lower the intensity of carbon emissions in the construction industry

07:44 is necessary

07:45 if the world can meet Paris Agreement targets.

07:49 I think

07:50 I can see a lot of prospect and uh I'm optimistic about what can be done

07:55 in changing the fuel in construction industry.

07:59 Uh,

07:59 we know,

07:59 for instance,

08:00 that there's already

08:01 uh major construction equipment,

08:04 um,

08:05 trucks and excavators that

08:08 are able to run already on hydrogen,

08:10 and this is really very encouraging.

08:13 But,

08:13 uh,

08:14 it is much harder to think

08:16 how we can expand the concepts of circular economy.

08:19 With the bulk material

08:22 such as concrete and iron.

08:24 These are really difficult areas,

08:27 uh,

08:27 and extremely sensitive

08:29 in the economics

08:30 for the jobs

08:31 and for politicians.

08:33 So this is why we are extremely interested in

08:36 finding out new ways to think about these challenges.

08:39 Uh,

08:40 and I'm really looking forward to hearing ideas

08:43 and experiences

08:45 that we have,

08:46 uh,

08:47 with all the experts in the panel.

08:49 About how we can help our countries with advice,

08:52 with policies,

08:53 uh,

08:54 so that they can move faster

08:56 into modernizing the way they do construction

08:59 and,

08:59 uh,

09:00 in reducing

09:01 the waste that is still enormous

09:04 across the industry.

09:05 So thank you again for having me.

09:07 Thank you for joining,

09:09 uh,

09:09 this event and looking forward to the conversations.

09:11 Thank you.

09:17 So,

09:18 uh,

09:18 good morning,

09:19 good afternoon,

09:19 good evening,

09:20 uh,

09:20 all around.

09:21 Um,

09:22 so I,

09:22 I'm also very

09:24 excited to be part and opening up this

09:26 session on circular economy in the construction industry.

09:30 And I think the private sector has to play a major role

09:34 in finding solutions in all value chains,

09:36 and construction materials are challenging

09:39 as it is such a vast sector,

09:41 depending on commodities which are usually produced at

09:44 scale and solutions need to be at scale,

09:47 and they also are used in local markets.

09:49 Construction materials are not easily to be transported and

09:53 go that easily from one place to another.

09:57 And there are many,

09:58 many private sector players along the value chain.

10:01 So that makes it really hard to find the

10:03 right place of where interventions have to be.

10:06 However,

10:06 at the core of circular economy solutions is behavioral change.

10:11 And

10:12 that at the corporate level.

10:15 We need commitment from companies

10:17 to make this change and incorporate

10:19 circular economy principles and their strategies

10:22 into their core strategies and as part of their core business,

10:26 not in corporate social responsibility.

10:29 So new technologies alone,

10:30 alternative materials

10:32 cannot

10:33 be the whole

10:35 game.

10:35 Corporate cultures and leadership is absolutely key

10:38 at the core at the company levels.

10:40 So in construction materials manufacturing,

10:42 we look at the material itself and see if there

10:45 are alternatives and materials that help us save CO2,

10:48 and we look at the use of energy uh to transfer the material from one state to another.

10:53 As we all know,

10:53 this is where the CO2 emissions are happening.

10:56 So you will hear a lot about

10:58 what can be done in reducing energy use and material use,

11:01 such as useless,

11:03 just use less

11:04 of both,

11:05 have longer lifetimes for the materials.

11:09 Repair,

11:10 reuse,

11:10 recycle,

11:11 and have alternative materials and alternative production practices like,

11:15 uh,

11:16 finalize the products,

11:17 3D printing.

11:19 Uh,

11:19 so there's a lot of opportunities,

11:21 but technology alone will not lead us to the solutions.

11:25 So more focus is needed on corporate responsibilities,

11:28 change of production practices,

11:30 and what private companies can do.

11:33 The public sector sets the frame

11:35 and not just behavior of corporate players and consumers.

11:40 The goal has to be

11:41 to reduce

11:43 the CO2 emissions per dollar of material.

11:47 So I'm so very excited to hear more of,

11:49 uh,

11:50 what the ideas are in this panel,

11:52 uh,

11:52 in these two panels,

11:53 and I'm looking forward to this webinar.

11:55 Thank you very much.

12:00 Thank you,

12:00 Demetrios and Sabin for introducing the topic and for your opening remarks.

12:11 Now,

12:12 um,

12:13 we'll dig a little bit deeper.

12:16 Into

12:17 what circular economy means for the construction sector.

12:21 And how it,

12:22 its approach looks like when it is integrated across its value chain.

12:27 For that,

12:27 I'd like to briefly introduce

12:29 Carol Lemons,

12:30 who will give us an overview of the landscape for circular construction

12:35 and raise key questions and issues

12:37 that we will explore throughout both of our panel discussions.

12:42 Carol is global advisory services leader at Arup.

12:45 He has been instrumental in Arup circular economy work to date

12:50 and coordinated Arup's work as Ellen MacArthur Foundation's knowledge partner

12:55 for the built environment.

12:57 His work focuses on.

12:58 Translating the circular economy approach and its principles into practice

13:02 by identifying challenges,

13:04 enablers,

13:05 and opportunities

13:06 available to Arro and others in the construction

13:09 and built environment sectors.

13:11 Carol,

13:12 the floor is yours.

13:19 Thank you,

13:20 Nayo,

13:21 and

13:23 Let me.

13:24 Presents

13:27 So,

13:28 hi,

13:28 everyone,

13:28 and,

13:29 um,

13:30 I'm,

13:30 I'm really privileged to,

13:32 uh,

13:32 attend your event,

13:33 and I'm also privileged to work for an organization that is really committed

13:37 to set the built environment on a circular economy path.

13:41 And

13:41 actually,

13:42 the concept of the circular economy is really

13:44 permeating all industries and that is including the built environment.

13:48 But I said,

13:48 it's a last,

13:49 large,

13:50 uh,

13:50 um,

13:50 um,

13:51 um,

13:52 industry.

13:52 So,

13:53 um,

13:53 it will take time.

13:55 And to force a circular economy,

13:56 uh,

13:57 within this sector,

13:57 I think we really need dedicated frameworks and sense

14:00 of principles to underpin the direction for our sector.

14:03 So

14:04 let me,

14:05 for those that are less familiar with circular economy,

14:08 given high

14:09 level perspective on the concept.

14:11 So it's aiming to create an ecosystem where

14:15 natural capital is being preserved and enhanced,

14:19 where we try to

14:21 optimize renewables,

14:22 where we try to

14:24 minimize waste and we,

14:25 we try to design out the negative externalities,

14:29 and the aim is to move away from a current take,

14:31 make,

14:32 and disposes.

14:34 So we embrace three principles which is

14:36 actually about designing out waste and pollution.

14:39 It is about keeping materials in use and regenerating natural systems.

14:44 And the idea is then that

14:46 assets,

14:46 products,

14:47 components,

14:48 parts of the infrastructure,

14:49 whole buildings are held in repetitive loops

14:52 with a focus on maintaining their value as high as possible,

14:55 um,

14:56 um,

14:56 as high as possible,

14:58 and that we try to minimize actually,

15:00 um,

15:01 reuse or recycling,

15:03 which are the last resort.

15:04 So

15:05 circular economy

15:06 is explicitly looking at different paradigms.

15:09 And for me,

15:10 circular economy is not just a solution,

15:12 but it's a mindset.

15:13 It's a

15:14 support to systematically reach,

15:16 um,

15:16 rethink our system where we work in our current practices,

15:19 and it's an outcome really for a more sustainable future.

15:24 So,

15:24 uh,

15:24 at high level,

15:25 uh,

15:25 looking at,

15:26 at the globe to start with,

15:27 well,

15:27 at current GDP growth,

15:29 pace of GDP growth,

15:30 we are really

15:31 crossing or exceeding the planetary boundaries in an irreversible way.

15:35 And,

15:36 uh,

15:36 some of you may already be aware,

15:37 but that's sometimes a really endangering continuity or growth of economies.

15:43 And then knowing this and the fact that we do a

15:45 relatively poor job in reusing materials should make us rethink how we

15:49 Live how we consume,

15:51 travel,

15:52 create,

15:52 behave,

15:53 and invest.

15:55 And the construction industry and that is the largest

15:58 consumer of raw materials and yet less 1/3 of

16:02 um waste coming from construction or demolition is being recycled or reused,

16:06 let alone be circular.

16:08 Um,

16:09 and it's also one of the largest,

16:11 if not the largest,

16:12 uh,

16:13 economic activity,

16:14 which is projected to grow,

16:15 um,

16:16 uh,

16:17 double the size by 2030.

16:19 And this growth is,

16:20 uh,

16:21 largely influenced by the growth in China,

16:23 US,

16:23 and India,

16:24 and those

16:25 three represent 57%

16:27 of the total volume.

16:29 And looking to an emerging economies such as India,

16:33 the construction industry represents 8% of global GDP,

16:37 and equally the carbon footprint is at the same kind of enormous numbers.

16:42 And for example,

16:42 the cement industry only

16:44 is responsible for 8% of global

16:46 carbon emissions.

16:48 So it's safe to say and fair to say that the

16:51 current global construction industry is really addicted to materials and has made

16:56 uh not sufficient progress to address the topics as mentioned earlier,

17:00 and that is then to say beyond recycling

17:03 of materials because that is fairly well developed.

17:07 But even with any feasible,

17:09 um,

17:09 assumption of 100% carbon capture and storage,

17:13 the materials industry really faces large challenges.

17:16 To give an example,

17:18 metals industry,

17:19 uh,

17:19 according to research we did in the UK

17:22 needs to achieve 43% of efficiency gains,

17:25 which should be uh additional,

17:27 uh,

17:27 added,

17:28 added with 5% through design.

17:31 And of course there's many regulations related to the price of carbon

17:35 which are now cascading into environmental standards

17:39 and driving rapid change.

17:40 And later on in panel one,

17:43 the discussion will focus on the cement and concrete industry

17:46 given their high energy and carbon intensity.

17:50 But circular economy can really by rethinking how we are,

17:53 how we are acting,

17:55 can contribute to,

17:56 uh,

17:57 uh,

17:57 carbon-related climate change,

17:59 or for example,

18:00 uh,

18:00 contributing to the ban on virgin materials.

18:04 So to apply the concept of the circular economy to the built environment,

18:08 we really need to understand

18:10 and rethink the whole system varying from

18:12 the early-stage investment decisions through design,

18:16 through

18:17 development,

18:17 construction,

18:18 through operations and divestments.

18:21 And the circular economy,

18:22 when applied at all stages of,

18:24 of,

18:24 uh,

18:25 of construction,

18:26 uh,

18:26 will address inefficiencies.

18:28 So mapping out the system really helps us to

18:32 understand where circular economy interventions

18:35 will have the biggest impact,

18:37 and this requires involvement of all public and private

18:40 stakeholders,

18:41 some of which have been displayed on screen.

18:44 And again,

18:45 coming back to India to illustrate the potential of the circular economy by,

18:49 uh,

18:49 and we did research on that one with the Ellen MacArthur Foundation,

18:52 McKinsey and Arup.

18:53 Um,

18:53 the,

18:54 the,

18:55 um,

18:55 about 60% of the people will live in,

18:58 um,

18:58 in uh urban environments uh by 2050.

19:03 And this unprecedented growth is so rapid that,

19:05 uh,

19:06 almost 70% of the building stock that will be used

19:10 in that time is yet to be built.

19:12 So the choices we make now will

19:14 really determine India's mid and long-term developments

19:17 and that

19:18 the research I was referring to

19:20 um

19:22 was actually uh indicating a potential annual benefits

19:26 for um for India of $76 billion US dollars

19:30 uh compared to current development paths.

19:32 So apart from being more sustainable,

19:34 it also develops an economic perspective which is

19:38 key in a circular economy approach.

19:42 Let me share

19:43 with you two examples of interventions from practice,

19:46 and one of them is in linear infrastructure structure

19:49 in this case for high-speed 2 in the UK.

19:52 We considered with the clients and the industry partners,

19:56 uh,

19:56 how circular economy could be applied to all stages of design,

20:00 construction and operations.

20:02 And it was applied to a depot in Calvert in Buck Buckinghamshire.

20:06 The research found out by implanting,

20:08 implementing circular economy principles,

20:10 approximately 8% of the KPE could be reduced

20:14 and,

20:15 uh,

20:15 upfront 90,000 tons,

20:17 um,

20:18 uh,

20:18 of materials could be saved.

20:20 So these interventions are super relevant to

20:23 underpin the impact of reduced carbon emissions

20:26 from optimized and reduced material consumptions,

20:29 and on the right hand side you see

20:31 some indicators over 60 years assessment period.

20:37 A second example is in property development and

20:40 concerns not only the development of property,

20:42 but also the operations.

20:44 So

20:45 our large metropoles are facing constant change.

20:48 And when there is constant change,

20:50 you know,

20:50 across the life cycle,

20:52 also this drives different ways of design and operations,

20:55 and this,

20:55 this encourages to

20:58 Uh,

20:58 flexibly meet the,

21:00 the,

21:00 the changing demands of people and organizations and ensure

21:03 that during this,

21:04 uh,

21:05 life stages,

21:05 the value of resources underneath will be preserved.

21:09 So in a recent assessment of real projects in Aarhus in Amsterdam,

21:13 London,

21:13 Milan,

21:14 and Berlin,

21:15 we explored the opportunities of applying new

21:17 business paradigms by answering the question,

21:20 where does actually value get lost?

21:22 And appreciating these were European examples of case studies,

21:27 uh,

21:27 on,

21:27 on real projects.

21:28 There's also,

21:29 they are also really relevant for emerging countries as

21:32 new models are universal to the urban development context.

21:36 And some of them are even more pressing in emerging,

21:39 uh,

21:39 economies where,

21:40 for example,

21:41 there's land scarcity

21:42 or where the,

21:44 uh,

21:44 supply of,

21:45 um,

21:46 Uh,

21:47 office space or residential space cannot keep up with demand,

21:49 and I mentioned India,

21:51 it's really apparent there.

21:53 So this research actually,

21:54 um,

21:55 revealed real,

21:56 uh,

21:57 financial gains and the numbers are shown on screen

22:00 combined with real environmental and societal,

22:03 um,

22:03 uh,

22:04 gains

22:05 and uh by just rethinking business models

22:07 and responsibilities across the value chain.

22:11 So in the past 15 years we've seen the circular economy change

22:15 from an interesting concept to a leading paradigm for governments and industries.

22:21 Circular economy is now front and center

22:24 of government agendas

22:26 globally,

22:26 and they sit across all sectors.

22:29 It is embraced by Europe,

22:30 Europe's,

22:31 uh,

22:31 new Green Deal.

22:32 It's underpinning China's 145-year plan,

22:36 and it really provides a perspective for,

22:39 for emerging economies such as India,

22:41 and I referenced to some research we've done on that one.

22:44 Circular economy and carbon-related carbon chains are fully intertwined,

22:47 and

22:48 this is one of the main themes that's called COP 26.

22:52 So we see whole industries now responding to these large agendas.

22:56 Increasingly new policies are paralleled by new

23:01 approaches and investments and

23:03 quite recently,

23:05 I'm talking about the last 12

23:06 months,

23:07 you see now

23:08 uh green financing and synonyms

23:11 move to the move towards the norm rather than being the unusual.

23:15 And also at an ever-increasing pace,

23:17 the construction industry is picking up modular construction,

23:20 exploring concepts of building material banks,

23:23 material passports,

23:25 OEMs,

23:25 uh,

23:25 rethink the products for deconstruction,

23:28 um,

23:28 they rethink

23:30 uh resources ownership

23:31 and drive new business models such as products and components as a service.

23:35 So based on many indicators,

23:37 one could expect that uh

23:39 circular economy is there to last

23:41 and will really be the,

23:42 the norm in,

23:43 in the built environment too.

23:46 So

23:47 In my view,

23:48 the proof of concept is there,

23:49 and it is supported by many example of projects,

23:52 and on screen you see the building called Haut which is

23:55 really challenging the status quo of building in wood and concrete

23:59 and at least

24:01 make a plea for applying much more wood in

24:04 those places where you typically wouldn't see that before.

24:07 And it's not only about bending,

24:09 but also making better use of,

24:11 for example,

24:11 existing

24:12 materials as steel and concrete.

24:14 So for follow up in the panel discussion,

24:16 I'd like to address 3 questions,

24:17 and they're,

24:18 they're also projected on screen.

24:21 So I think it's really relevant that we

24:24 start understanding what we need to do

24:25 to upscale circular economy to the standard that

24:28 approach in the constructed world.

24:30 And as mentioned before,

24:32 also better understand

24:33 what role do governments play and,

24:35 and potentially also,

24:37 um,

24:37 um,

24:38 uh,

24:38 where they cannot play a role and where the private sector is uh on the ball.

24:43 What is the competitive advantage of a circular economy

24:46 that is needed to compete with current predominantly unsustainable forms of

24:51 construction of manufacturing materials,

24:53 design,

24:53 construction,

24:54 operations,

24:54 and demolition of today?

24:56 And finally,

24:58 we do recognize that the financial sector

24:59 is mission critical in achieving goals too.

25:02 They are an important driver for the constructed world.

25:05 So

25:05 what does it take to turn circular solutions into

25:08 really attractive investments?

25:10 And not just better,

25:12 but much better than existing ones.

25:14 And then,

25:14 of course,

25:15 what is the role of the World Bank in this?

25:17 Thank you for listening and I'm looking forward to the discussions.

25:28 Excellent presentation.

25:29 Thank you very much,

25:30 Carol,

25:30 for providing the overview of the circular construction value chains,

25:33 highlighting some of the potential opportunities and solutions

25:37 and the role of various stakeholders,

25:39 public and private,

25:40 and the need for a systematic thinking for scaling up the circular economy

25:44 for the construction sector in both the global North and the global South.

25:48 The questions you raised at the end of the presentation were also very on point,

25:53 which I think we'll come back to,

25:55 uh,

25:55 during our panel discussion.

25:58 I'd like to

26:00 Move along and introduce

26:03 our first panel speakers,

26:05 starting with our moderator,

26:07 Robert Madera,

26:09 who's kindly offered to manage and inspire dynamic discussions in the first panel,

26:14 as well as in the open panel discussion and Q&A session after the 2nd panel.

26:19 Robert Madera is the founder and uh managing director

26:23 and head of research of the Global CW Group.

26:26 He's responsible for all intellectual capital,

26:29 project management,

26:30 research,

26:30 and client relationships at the group.

26:33 He holds an MBA from the.

26:35 Harvard Business School

26:36 and graduated from Brown University.

26:39 He works with heavy building material companies worldwide,

26:43 including Global Cement Groups,

26:44 equipment vendors,

26:45 and sector investors,

26:47 stakeholders who are all relevant and important to this topic.

26:51 And now,

26:51 uh,

26:52 to our panelist,

26:53 Jeremy Gregory is a research scientist in

26:55 the Department of Civil and Environmental Engineering

26:58 at the Massachusetts Institute of Technology MIT.

27:02 And the executive director of the Concrete Sustainability Hub.

27:06 He studies the economic and environmental implications

27:09 of engineering and system design decisions,

27:12 particularly in the area of materials production and recovery systems.

27:16 Andrew Minson is the director of concrete

27:19 and sustainable construction at the Global Cement

27:22 and Concrete Association,

27:24 where he leads the work on a global

27:26 roadmap for the sector towards carbon neutral concrete

27:30 by 2050.

27:31 Andrew has a PhD in engineering from the University of Oxford

27:36 and worked with Arup for 10 years on various projects around the world.

27:40 He's a fellow of both the Institution of Civil Engineers

27:43 and the Institution of Structural Engineers.

27:46 Eric Brudon is the deputy CEO of Industrial and Innovation at VCAT,

27:50 a global cement manufacturer that is implementing

27:53 innovative solutions and offerings

27:56 to increase resource recovery,

27:58 waste minimization,

27:59 and decarbonization.

28:04 Great,

28:05 good morning.

28:06 Good afternoon,

28:07 good evening around the world.

28:09 Um,

28:09 thank you for that,

28:10 uh,

28:10 introduction.

28:11 Um,

28:12 Nayon,

28:13 and I'm very excited to be here today and be part of this,

28:16 um,

28:17 opportunity to share some of the latest thinking on the

28:20 circular economy and in particular as it

28:21 relates to the construction materials sector.

28:25 So the panel today will talk about

28:28 different ways to rethink the circularity of the construction materials,

28:32 in particular supply side,

28:34 uh,

28:34 which

28:35 generates a lot of the

28:37 greenhouse gas emissions and has the environmental impact that

28:41 we just heard from Carol discussed in the previous,

28:44 uh,

28:45 presentation.

28:46 We're focusing on cement and concrete given there

28:50 are the intrinsic energy intensive,

28:52 the carbon

28:53 emission,

28:54 um,

28:55 and CO2 generation that is inherent in the product,

28:58 and both the manufacturing and,

29:00 and sort of the intrinsic materials,

29:02 as well as the resource intensity by which

29:06 the material supply side essentially consumes.

29:10 So we'll focus in on,

29:12 on these two segments,

29:13 although there are many other uh materials of course

29:16 as well that are important for the construction sector

29:19 and today we have,

29:20 as Nayun was,

29:21 um,

29:22 introducing three panelists that are real true experts in this area,

29:26 both from a research perspective

29:28 as well as an industry,

29:29 um,

29:30 perspective

29:31 and a true practitioner from VCAT.

29:34 So with that uh brief introduction,

29:36 we'll start off with a,

29:38 a little bit of an insight

29:40 into

29:41 some of the technologies,

29:43 the solutions,

29:44 the strategies,

29:44 innovation that's taking place in this space

29:47 and really think about what

29:49 we can do as an industry to move ahead towards uh improved targets,

29:55 better overall environmental performance,

29:58 and the overall

30:00 um circularity enabling of this industry.

30:03 So with that,

30:04 I'll turn it over to Doctor Jeremy Gregory to give us a,

30:07 a presentation,

30:08 a 10-minute presentation on this,

30:10 and then we'll continue

30:11 picking up where he leaves off and,

30:13 and dive into some interesting conversations and share our ideas.

30:16 So on that note,

30:17 I'll turn it over to you,

30:18 Jeremy.

30:21 Great.

30:21 Thank you very much.

30:22 Let me just share my screen.

30:28 OK.

30:30 All right.

30:31 Um,

30:32 so I'm delighted to,

30:33 to,

30:33 to be here today to talk to you about um some

30:36 of the work that we're doing in the concrete sustainability hub

30:39 and more importantly to,

30:41 to sort of give you a foundation for the rest of our um discussions here today

30:46 about,

30:46 uh,

30:46 cement and concrete and what are opportunities to lower the environmental impact.

30:51 Um,

30:52 so just in terms of a

30:53 basic definition,

30:54 you know,

30:55 Concrete is a mixture.

30:56 It's a mixture of these five,

30:58 basic ingredients,

31:00 coarse aggregates or gravel,

31:02 fine aggregates or sand,

31:04 uh,

31:04 a binder that I'll get into,

31:06 um,

31:07 where there's many different options.

31:08 That binder you mix with water and it hardens and it keeps those

31:11 aggregates together.

31:13 And then we also use admixtures,

31:14 uh,

31:14 which are chemicals that can be used to slightly alter the,

31:17 um,

31:18 the performance of the concrete.

31:20 What a lot of people don't realize

31:22 is that,

31:22 you know,

31:23 there's almost infinite different combinations of

31:25 these basic ingredients that we can make

31:28 to meet many different performance requirements.

31:30 Um,

31:31 sometimes we're looking for strength

31:33 after just a high strength after just a couple

31:35 of days and we call that early strength.

31:38 Some Sometimes it's more important for us to meet what we call late strength,

31:41 which would be strength after about 28 days or 56,

31:44 something like that.

31:45 And sometimes,

31:46 uh,

31:46 constructability,

31:47 durability,

31:48 or other um drivers.

31:50 So,

31:50 so the key thing is that,

31:51 you know,

31:51 we can make these in many different ways

31:53 to uh meet different uh performance requirements.

31:57 Um,

31:57 kind of diving into this component on the,

31:59 uh,

31:59 binders.

32:00 There are many different binders that we can use in,

32:02 in concrete.

32:03 Um,

32:04 probably the one that you're most familiar with is,

32:06 uh,

32:06 is cement or we call it,

32:08 uh,

32:08 uh,

32:08 Portland cement.

32:09 Um,

32:10 and,

32:10 uh,

32:10 that's the,

32:11 the manufactured product that we

32:13 mostly think of as being used as a binder,

32:15 but there are some others

32:17 including natural posolons,

32:18 that's what,

32:19 uh,

32:19 the Romans were using thousands of years ago.

32:22 There's also calcine clays is another material that we can use,

32:26 and,

32:26 uh,

32:26 you know,

32:27 Relevant to this discussion about circular economy,

32:29 there's many different waste materials that we can use as well,

32:32 including fly ash from coal-fired power plants,

32:35 granulated blast furnace slag from steel and iron production,

32:39 uh,

32:39 and,

32:40 uh,

32:41 sometimes now also crushed up uh post-consumer glass.

32:45 The key thing to know is that,

32:46 you know,

32:47 the composition

32:48 of all these things and their availability really varies significantly,

32:52 and also the way they affect the performance in,

32:55 in concrete also varies.

32:56 So,

32:57 a big reason why we use so much uh

32:59 of this uh cement is because we,

33:01 we can really tailor exactly what the chemistry is and hence the uh performance,

33:06 whereas sometimes that's a bit more difficult than these alternatives.

33:10 Now when it comes to environmental impact,

33:13 um,

33:14 you know,

33:14 cement is really what's,

33:15 uh,

33:16 a big driver in concrete's environmental impact.

33:19 Um,

33:19 and this right here,

33:20 this,

33:20 this pie chart is showing,

33:22 uh,

33:22 uh,

33:22 a mass distribution of a,

33:24 a typical concrete mixture and what you can see is by,

33:27 by weight or mass,

33:29 you know,

33:29 mostly it's the aggregate and the cement isn't that big,

33:32 it's usually gonna be 10 to 15%.

33:35 Whereas when we look at the greenhouse

33:36 gas emissions associated with producing that concrete,

33:39 you can see it's mostly about uh the cement and sometimes that number can be,

33:43 you know,

33:44 90% uh as well.

33:46 So,

33:47 um,

33:47 so,

33:48 so a lot of times when we talk about

33:49 the environmental impact of concrete and reducing it,

33:53 uh,

33:53 this is the reason why cement is often the,

33:56 the target.

33:57 Now,

33:58 producing cement

33:59 is a really capital,

34:01 uh,

34:01 and energy-intensive process.

34:03 This is showing,

34:04 um,

34:05 kind of a,

34:06 a,

34:06 a,

34:06 a high-level view of what happens at a cement plant.

34:09 They're basically

34:10 mining,

34:11 uh,

34:11 uh,

34:11 limestone,

34:12 crushing it and heating it up to very high temperatures,

34:15 about 1500

34:17 °C.

34:18 It goes into a kiln

34:20 where,

34:20 um,

34:21 uh,

34:21 we have emissions associated with,

34:23 with,

34:23 uh,

34:24 with generating the energy to get at such a high temperature,

34:27 and then there's also a transformation that occurs where

34:29 that limestone is turned into what we call clinker,

34:32 and that,

34:32 that,

34:33 uh,

34:33 has process emissions associated with it.

34:36 Um,

34:36 then it's cooled,

34:37 and then we can blend it with some other materials,

34:41 uh,

34:41 as well sometimes,

34:42 and then we grind it,

34:43 uh,

34:43 with a,

34:44 a product that comes out right here.

34:46 So when it comes to reducing emissions in the production of cement,

34:50 there are basically 4 things we generally talk about.

34:53 One is,

34:54 uh,

34:54 the,

34:55 the improving the energy efficiency of the plant.

34:58 Two is,

34:59 uh,

34:59 is,

35:00 is switching the kind of fuels that we use generally to get those high temperatures,

35:04 we need to use fossil fuels

35:06 and there's

35:07 a lot of proposals to use,

35:08 uh,

35:09 other,

35:09 other fuels like uh waste materials or,

35:12 um,

35:12 uh,

35:12 bio-based materials.

35:14 Um,

35:15 when I,

35:15 uh,

35:16 it,

35:16 it,

35:16 the,

35:16 the,

35:17 the clinker as I mentioned,

35:18 that's what's generally creating,

35:20 uh,

35:20 a process emissions.

35:22 So when we blend here,

35:23 if we can mix in other kinds of waste

35:24 materials or other materials that will lower emissions.

35:27 And then lastly,

35:28 there are also opportunities to use carbon capture um here as well.

35:33 Um,

35:33 in,

35:34 in kind of,

35:34 uh,

35:35 just a high-level summary of what are the different solutions,

35:38 many of which can be used today

35:40 for lowering cement and concrete's environmental impact.

35:43 You know,

35:43 I just mentioned several of them when it comes to cement,

35:46 and,

35:46 uh,

35:47 I put in bold here the things that are used today.

35:49 Uh,

35:50 there's,

35:50 there's a lot of work that's already being done in these spaces.

35:53 Another one I didn't really talk about is that there are

35:55 different formulations of cement that we can use that have a,

35:58 a,

35:58 a,

35:59 a,

35:59 a different chemistry and have different

36:01 Uh,

36:01 have lower

36:02 environmental impacts associated with production

36:05 and as I mentioned,

36:06 we,

36:06 we can do,

36:06 um,

36:07 carbon capture.

36:08 On the concrete side,

36:10 there's all kinds of different opportunities to use low-carbon binders.

36:13 Some of those are different forms of cement,

36:15 like we'll,

36:15 we'll talk about Portland limestone cement.

36:18 Uh,

36:18 is one option or other kinds of blended cements,

36:20 um,

36:21 but there's also those,

36:22 uh,

36:22 alternative binders which is sometimes

36:24 called supplementary cementitious materials.

36:26 Um,

36:27 but I think one that's kind of undersold is just,

36:31 is simply trying to optimize mixtures more to have a lower,

36:35 uh,

36:35 environmental footprint and I'll,

36:37 I'll talk a little bit about,

36:38 about how we can achieve that through performance-based specifications,

36:42 um,

36:42 as opposed to more prescriptive specifications that say what's in the mixture.

36:46 Um,

36:47 there's also some opportunities I'll talk about,

36:49 uh,

36:49 to produce concrete using captured carbon.

36:52 So it can actually be really a sink for any kind of,

36:55 uh,

36:55 uh,

36:56 captured carbon that we use.

36:57 Uh,

36:58 in the future,

36:58 there's also some opportunities

37:00 to create,

37:01 uh,

37:01 aggregates using captured carbon as well.

37:04 Now the

37:05 Two key barriers to increasing adoption of these,

37:08 I think are really risk aversion

37:10 and cost,

37:11 and I put them

37:12 in that order intentionally,

37:14 um,

37:15 and the reason is that,

37:16 uh,

37:17 you know,

37:17 not all of these solutions have to,

37:19 to cost very much.

37:20 If anything,

37:21 sometimes they can cost less,

37:23 but oftentimes there's an aversion

37:25 to try

37:26 something new,

37:27 uh,

37:27 and that's gonna be a significant barrier.

37:30 Um,

37:31 I mentioned,

37:31 uh,

37:32 this,

37:32 this captured carbon,

37:33 uh,

37:34 which is,

37:34 is really been particularly intriguing to many people,

37:37 including people outside of the

37:39 construction sector who are just interested

37:41 in what are different opportunities to use captured carbon.

37:44 Um,

37:44 and the way that this happens is that

37:46 we can capture carbon from any industrial source,

37:49 uh,

37:49 usually that's,

37:50 that's,

37:50 that's,

37:50 uh,

37:51 uh,

37:51 a power plants or,

37:52 you know,

37:52 that are generating electricity,

37:54 but of course it could be cement plants.

37:56 Then we combine them with some type of alkaline reactant

37:59 and there's a,

38:00 a process that,

38:01 that takes place called mineralization.

38:03 Um,

38:04 and from that we can create different types of construction products.

38:07 It can be,

38:08 uh,

38:08 binders,

38:09 it can be aggregates,

38:10 it can be precast products or

38:13 ready-mix,

38:13 uh,

38:14 concrete as well.

38:15 And I think one of the neat parts about this

38:17 is that this carbon sequestration in the concrete is permanent.

38:22 And what's interesting is that there are folks who have looked at

38:25 what are some different ways that we can utilize uh captured carbon.

38:29 Like you maybe hear people talk about CCUS which is carbon capture,

38:33 utilization,

38:34 and storage.

38:35 Um,

38:35 and on the storage side,

38:36 they're usually talking about our sequestration,

38:38 geologic sequestration,

38:39 whereas on this utilization side,

38:41 they're talking about different alternatives like,

38:43 uh,

38:44 you know,

38:44 obviously using it in concrete and aggregates,

38:46 but also fuels,

38:47 polymers,

38:48 chemicals.

38:49 And this assessment was done to show projections for

38:52 what can be the global market size and then the size

38:55 of the circles is about how much CO2 could be mitigated.

38:58 And what you can see is that concrete clearly has

39:01 a significantly higher market value for use of this captured carbon

39:05 and aggregates has the highest uh mitigation potential,

39:08 and that's because they can be used not just in concrete but in also

39:11 other things like asphalt pavements or just uh

39:13 any application that just uses aggregate.

39:16 Um,

39:17 so there are many different strategies that

39:19 can contribute to potentially creating carbon negative,

39:22 uh,

39:22 certainly net zero but possibly carbon negative concrete.

39:25 So,

39:25 To summarize those,

39:27 you know,

39:27 we can use

39:28 captured carbon,

39:29 uh,

39:29 in the concrete mixture itself,

39:32 um,

39:32 and then,

39:33 but we can also,

39:34 as I mentioned,

39:35 use,

39:35 uh,

39:36 captured carbon to create what we call synthetic limestone aggregates,

39:40 and those are those,

39:40 uh,

39:41 mineralized aggregates.

39:43 In the binder space,

39:44 there's all kinds of different options.

39:46 We can create blended cements.

39:48 Use those supplementary cementitious materials I mentioned.

39:51 I,

39:51 I,

39:52 I also mentioned there's alternative cement formulations that can be done,

39:56 um,

39:56 and,

39:57 uh,

39:57 we can also create binders from captured carbon,

39:59 and then we can produce cement with captured carbon as well.

40:02 Um,

40:03 and one thing I didn't touch on very much,

40:04 but I think admixtures have a really,

40:06 uh,

40:06 important role to play because if we start Creating

40:09 more unique mixtures with different kinds of binders,

40:12 admixtures,

40:13 um,

40:13 can,

40:13 can help play a role in terms of,

40:16 uh,

40:16 improving,

40:17 uh,

40:17 certain kinds of performance that might change.

40:19 I,

40:20 I think the key thing is,

40:21 it's not gonna be any single one of these.

40:23 We're really gonna,

40:24 um,

40:25 have to use

40:26 many different types of strategies to create those lowest carbon mixtures.

40:31 Um,

40:31 the other thing I just touched upon,

40:33 uh,

40:33 uh,

40:33 briefly was that performance-based specifications are going to be important

40:38 to spurring,

40:39 uh,

40:39 innovation and low low-impact concrete.

40:42 That is,

40:42 you know,

40:43 when we design concrete mixtures,

40:44 we're used to thinking about trade-offs between performance.

40:47 Performance and costs.

40:48 Now we need to also think about environmental impacts and so we need to ask people

40:53 to start measuring that and um reporting it and that will better allow us to sort of

40:58 try and optimize among all three of these to

41:00 create mixtures that really achieve those three objectives.

41:04 So just in,

41:04 in closing the recommendations that I have at least

41:07 for reducing uh the embodied uh impacts of,

41:10 of concrete,

41:11 um,

41:11 and cement,

41:12 you know,

41:12 it's really trying to address those barriers of risk and cost.

41:16 Um,

41:16 uh,

41:17 what we need,

41:17 uh,

41:18 is more just request of what is the environmental footprint of cement and concrete

41:23 that can allow us then to spur more

41:26 innovation in low-carbon cement and concrete mixtures,

41:29 uh,

41:29 in conjunction with more performance-based specifications.

41:32 Um,

41:33 you know,

41:33 thinking long-term,

41:34 we need to have more support in terms of,

41:37 uh,

41:38 uh,

41:38 development and deployment of carbon capture at

41:40 cement plants and other industrial sources,

41:43 um,

41:43 and for those that kind of deeper decarbonization

41:47 of low-carbon technologies for cement.

41:48 And concrete and aggregate production that use uh captured carbon,

41:52 we're also gonna need more uh support for that.

41:54 So,

41:55 so these top ones can help mitigate the risk a little bit,

41:58 I think that,

41:59 that people are concerned about trying something new

42:01 and these will help to mitigate some of the concerns around cost.

42:04 So,

42:05 um,

42:05 with that,

42:06 uh,

42:06 here's our,

42:07 our website and uh contact information if you have questions,

42:10 but now I'll be glad to participate in the,

42:12 the panel.

42:14 Great.

42:15 Thank you so much,

42:16 Jeremy.

42:16 This was a

42:17 very interesting presentation and I think,

42:19 um,

42:20 you know,

42:20 no doubt that there is a

42:23 lot of

42:23 good thinking that has gone into this

42:25 space already and there are emerging technologies.

42:28 There are also existing technologies.

42:30 But

42:31 together

42:32 they will help us transform the value chain and

42:35 really enable the circularity of the construction sector,

42:39 which is

42:40 clearly something that has been,

42:42 you know,

42:42 thought about for a long time,

42:43 but I think it's accelerating at the pace

42:46 that is very grateful to see,

42:47 frankly,

42:48 in the last couple of years and,

42:50 and of course you and

42:51 MIT sustainability lab has been,

42:53 you know,

42:54 at the forefront of that.

42:55 Um,

42:56 I would.

42:57 Turn to the panelists,

42:59 um,

42:59 and,

43:00 and building on the presentation that we just heard here.

43:03 And maybe ask Andrew a little bit to see,

43:07 you know,

43:08 how does the GCCA

43:10 take some of these concepts that uh Jeremy shared with us right now

43:15 and translate that into

43:17 an actionable sort of roadmap for the cement and concrete industry worldwide,

43:23 and what are some of the initiatives that uh you

43:25 and your members are undertaking to sort of build upon,

43:28 um,

43:29 some of the ideas that Jeremy shared and potentially others as well.

43:37 I don't know if we have

43:38 Andrew.

43:42 On here.

43:45 Uh,

43:45 thank you very much,

43:46 Robert.

43:47 And thank you for those,

43:49 uh,

43:49 those words,

43:50 Jeremy,

43:50 a great introduction to us.

43:51 Um,

43:52 just,

43:52 just,

43:52 just briefly,

43:53 the Global Cement and Concrete Association has been

43:56 in existence for,

43:58 uh,

43:58 3 years now.

43:59 It was formed,

44:00 uh,

44:00 by the major cement and concrete producers from all around the world,

44:04 got members,

44:05 uh,

44:05 from every continent.

44:06 Um,

44:07 that was one of the fundamental,

44:09 um,

44:09 uh,

44:10 things that the founder members wanted to achieve was this global representation.

44:15 Many of you will be familiar with,

44:16 uh,

44:17 local or regional cement and concrete organizations,

44:20 and we work very closely,

44:22 uh,

44:22 with those organizations.

44:24 And,

44:24 uh,

44:25 and our purpose

44:26 is to,

44:27 uh,

44:27 both support the industry

44:29 in their progress

44:31 to being more sustainable

44:33 and also

44:34 to,

44:34 uh,

44:35 enable and equip those who use the products

44:38 to

44:39 be more sustainable in how the products.

44:42 Are used.

44:43 We've,

44:43 we've heard already that,

44:44 the,

44:44 of the challenges that spent in concrete

44:47 industry have and,

44:47 and why it is the subject of this panel.

44:50 Um,

44:50 I guess I,

44:51 I would add

44:52 a,

44:52 a few things to that.

44:53 One is,

44:54 uh,

44:54 why are the emissions

44:55 7% of global emissions?

44:57 It's,

44:57 it's actually because it's the most widely used

45:00 material.

45:01 And why is it the most widely used material?

45:03 It's,

45:03 it's widely used because it's,

45:05 it's locally available.

45:07 It's uh manufactured from product,

45:09 from raw materials that are

45:11 um commonly available uh almost everywhere.

45:16 We've already heard from,

45:17 from Jeremy just how versatile it is in terms of mix,

45:21 um,

45:22 uh,

45:22 infinite mixes,

45:23 Jeremy said.

45:24 And in addition to that,

45:25 there's a whole range of different formats.

45:28 So we can think of a concrete paving slab,

45:30 a concrete masonry block,

45:33 we can think of a concrete bridge.

45:35 And we can think of a concrete skyscraper and,

45:37 and all those concretes are actually

45:39 versatile,

45:41 a,

45:41 a,

45:41 a result of the versatility of the mix,

45:43 but also

45:44 a result of the versatility in the form.

45:46 So it can be cast

45:48 in the factory,

45:48 it can be cast on site,

45:49 it can be cast

45:51 in different shapes.

45:52 It can be

45:52 reinforced,

45:53 it can be pre-stressed,

45:55 and that versatility in mix,

45:57 the versatility in form.

46:00 Mean that it's very suitable to be used

46:02 widely.

46:03 And

46:03 in addition to that,

46:05 in addition to that,

46:06 it's got a range of benefits that some of which we just take for granted,

46:09 you know,

46:09 it's very hard,

46:10 it's durable.

46:12 It's strong,

46:14 it's flood resilient.

46:15 If you want to build a safe part of your house to protect you from hurricanes.

46:20 Concrete is the way to go.

46:22 Um,

46:23 It's fire resistant.

46:26 So with all these performance benefits

46:29 in the hands of designers,

46:31 they can use the material with the versatility as well,

46:35 in a really efficient way,

46:36 and I know that this first panel is concentrating on the production side,

46:39 and I'll move on to that in a second,

46:41 but in terms of the use of the material,

46:44 And it's already been alluded to by uh with,

46:47 with Jeremy,

46:47 we're talking about um environmental considerations need to

46:51 come into the thinking of the designer.

46:53 Up until now,

46:53 it's,

46:54 it's performance,

46:55 it's cost,

46:55 in terms of the construction,

46:57 the design side,

46:58 it's also speed of construction because that's cost.

47:02 Many of the design solutions that you and I

47:04 will see today and tomorrow in concrete.

47:08 Are driven by speed of construction and cost,

47:11 they're not yet driven

47:13 by environmental considerations,

47:15 considerations of circularity,

47:16 which Carol has already

47:18 introduced to us,

47:19 considerations of

47:20 material efficiency.

47:22 Because

47:23 of the versatility of concrete.

47:25 It is ideally placed to respond to that additional design constraint

47:30 that we should all be placing

47:32 on our

47:33 engineers and our architects

47:35 when they are designing new projects.

47:38 So

47:38 it's a material that's got fantastic scope to be used in a really sustainable way.

47:43 But we recognize as an industry that we have a challenge

47:46 in the way we produce that.

47:48 Now we're not starting from a standing start here.

47:50 Since 1990,

47:51 there's been almost a 20% reduction in CO2 emissions.

47:55 The increased alternative fuels,

47:57 that was one of the levers that Jeremy,

47:59 Jeremy made mention of.

48:00 So alternative fuels,

48:01 so waste products

48:03 from other industries,

48:04 so the,

48:04 the cement and concrete industry enables

48:06 other industries

48:08 to address their circularity.

48:10 We know in the waste hierarchy,

48:11 we wanna

48:12 reuse

48:13 at its highest level as much as possible,

48:16 and we know at the bottom of the hierarchy would be landfill,

48:19 and just above that would be an incineration.

48:23 Burning waste products from other industries in

48:25 cement kilns is above that in co-processing.

48:28 And that co-processing is because it's 100% energy recovery and 100%

48:33 raw material recovery as well.

48:35 And so products like tires,

48:37 waste oil,

48:39 Solvents which,

48:40 you know,

48:41 are a problem otherwise for society can be burnt in

48:44 cement kilns,

48:45 um,

48:46 in a,

48:46 in a really efficient circular economy way.

48:51 So I'll just come onto the GCA and some initiatives.

48:53 Members of GCA commit 40% of the of the industry uh globally are members of GCA.

48:58 They commit to a sustainability charter.

49:00 They've committed to a climate ambition statement

49:02 for zero carbon concrete by 2050,

49:05 and we're delivering a roadmap this year

49:07 to show how we're going to

49:08 deliver that.

49:10 We've had reference to the EPD tool.

49:12 I know Robert,

49:12 EPD tool,

49:13 GCA's produced an EPD tool

49:15 cos measurement of products is important

49:17 and that's available globally as well,

49:18 and we would hope that

49:20 World Bank projects

49:21 would be requiring those performance measures

49:24 and a global EPD tool will be available for that,

49:27 as is

49:28 a responsible sourcing tool because we're not just talking carbon,

49:31 responsible sourcing of products as well.

49:33 So you can see a whole range of things that GCCA are doing.

49:36 Yeah,

49:37 I think that's a very interesting perspective and no doubt the,

49:40 the Global Industry Association has an important role in,

49:43 in,

49:43 uh,

49:44 disseminating both the best practices that are available and

49:48 existing and,

49:48 and in the future as well.

49:50 Now,

49:51 uh,

49:51 I want to turn a little bit to Eric,

49:53 our,

49:54 uh,

49:55 3 panelist here,

49:57 and,

49:58 uh,

49:58 take it from,

49:59 let's say the,

50:00 the research space,

50:02 the industry space into the practitioners and hear a little bit about how

50:07 some of these ambitions,

50:08 which ultimately circularity also is one of large aspect is to reduce.

50:14 Um,

50:15 the material needed in the first place.

50:16 It's not only to reduce the emissions,

50:18 um,

50:18 and so that's not a component.

50:21 So Eric,

50:21 maybe tell us a little bit how Vica is,

50:24 is,

50:24 uh,

50:25 thinking about the profitability versus the

50:27 circularity objectives and how you're incorporating that into your business,

50:31 uh,

50:31 today.

50:32 So if you can take

50:33 2 minutes or so to kind of give us a highlight of,

50:36 of the work that you're doing,

50:37 it would be great.

50:38 Yeah.

50:39 OK,

50:40 uh,

50:40 so good morning and good afternoon to everyone.

50:43 Uh,

50:43 so first of all,

50:44 you know,

50:44 VCA is

50:47 today an international company acting in cement,

50:49 concrete,

50:50 and aggregate,

50:51 uh,

50:51 existing for more than 150 years and just for the history,

50:55 Louis Vitard is the inventor of the cement in 1817,

51:00 so more than 200 years ago,

51:02 and,

51:03 but we are from there looking to the future,

51:06 not to the past.

51:08 So thanks to the innovation.

51:12 So VA is also a member of the GCCA and Libandi,

51:16 and

51:17 So Vita is a company which is family controlled,

51:21 means that

51:23 when the group is committing

51:26 to a trajectory,

51:27 to

51:28 to a target by 2030 or 2050,

51:33 for a family company,

51:35 commitment means

51:37 something.

51:38 Means that

51:40 the children and

51:42 the children will be there,

51:44 of course,

51:44 to

51:45 control the company and that means that the people who are in charge now

51:50 have to commit

51:52 for their children,

51:53 so it means it means something.

51:55 Uh,

51:55 so the,

51:56 uh,

51:57 a lot of things have been,

51:58 uh,

51:59 said already and thanks to that because uh the

52:01 presentations and previous,

52:03 uh,

52:04 uh,

52:05 discussions could,

52:06 uh,

52:07 I hope,

52:07 uh,

52:08 give to,

52:08 uh,

52:09 the,

52:09 the people who are following this,

52:11 uh.

52:12 will be now a lot of information,

52:14 but as a cement producer and concrete producer,

52:18 it's clear that we are on the field,

52:19 we are real practices,

52:21 and so we are facing now

52:23 these big questions

52:25 how can we

52:26 address both profitability

52:28 and the constraints related to the environmental issues that we are all facing.

52:35 This is a key,

52:35 it's really a key question.

52:38 So it's clear that we are working on solutions that can

52:43 minimize the use of the concrete.

52:46 So that means that we can still have profitability if we are giving more value

52:51 to the slower volume of concrete and cement.

52:56 We can do that thanks to the circular economy,

53:00 so it has been mentioned already that we are using a lot of alternative fuels,

53:05 and this is something which is bringing value to

53:08 the cement product.

53:11 We are also working on the recycling of the concrete.

53:16 In different ways

53:18 within

53:19 the raw materials

53:20 entering into the kin.

53:23 Or raw as a raw material entering into the cement

53:27 or into the binder as a cement additive,

53:30 but also as a recarbonated or not recarbonated aggregate,

53:34 recycled aggregate into the concrete.

53:37 So

53:39 sorry to interrupt there.

53:40 Maybe highlight a little bit

53:41 the how you're working with governments and and policymakers

53:46 to enable that circularity because I think that's one

53:48 of the big challenges we're facing as an industry.

53:51 There,

53:52 there are,

53:52 uh,

53:53 it's important first in regard to the,

53:55 um,

53:55 there are several aspects for the,

53:57 uh,

53:57 in regard to alternative fuels.

53:59 So here we need to have a strong regulation in,

54:02 uh,

54:03 against the landfilling of the waste.

54:06 And thanks we already have this type of regulation

54:09 in a lot of places around the world,

54:11 but not everywhere,

54:13 because when you have such constraint,

54:14 it's clear that the

54:16 producer of the waste has to find other solutions and then the cement plants

54:21 are part of those solutions.

54:23 So this is a stronger

54:25 thing that we are looking from the policymakers.

54:28 Then in regard to the recycled aggregate.

54:33 Today the aggregate is at

54:35 a very low cost in fact to produce,

54:38 to extract,

54:39 and then it has a very low value on the market.

54:41 So it is necessary

54:42 if we want to

54:45 bypass

54:46 the flow of the recycled aggregate to recarbonize

54:49 them or to prepare them in order to improve

54:53 their strength and their quality to be reused as it is into the concrete.

54:59 To with the same or similar performances as

55:03 natural aggregate.

55:04 Then

55:05 someone has to pay for this bypass,

55:08 let's say,

55:09 because we have to transport it,

55:10 we have to prepare it,

55:11 and so here

55:13 again we have to have some strong regulations or incentives from the policymakers

55:19 and from the public command also

55:23 to

55:24 to ease this,

55:26 let's say bypass and to pay for it.

55:28 And at the end,

55:29 the end I would say

55:30 that

55:31 the clients

55:32 will have to pay somewhere also.

55:34 Sure,

55:35 and,

55:35 and on that note,

55:36 also,

55:37 VCAT has to

55:38 invest and make sure,

55:40 given that it has shareholders,

55:41 to

55:42 generate a positive shareholder value uh as a,

55:45 as a part of this entire equation.

55:48 If you can just take

55:49 15 seconds and,

55:50 and explain what really sort of drove you towards the circular

55:54 model and how did you sell that to the board of the company.

55:58 It's very easy.

55:59 It's very easy to sell it to the board because from the family,

56:03 they are already pushing

56:05 into that direction because they are thinking about their own children.

56:09 So this is very easy.

56:10 Now let's speak about the

56:12 the shareholders,

56:13 the elders,

56:15 because we are a listed company and it's clear that

56:19 they are coming with some questions and some

56:21 Indicators like

56:23 what you look at your turnover of CO2 divided by your turnover.

56:29 It's not good compared to this one or this one.

56:32 OK,

56:33 but in fact we are,

56:34 it's not,

56:35 we are not looking to satisfy,

56:37 for example,

56:38 this only indicator

56:40 because it would mean that we would

56:42 go back or

56:44 get out of the cement business and leave it to someone else

56:48 when in fact it is the responsibility of someone

56:51 to solve this situation

56:53 and so we are working with shareholders that are sharing also this

56:58 approach.

56:59 And uh when we are able to explain them clearly our,

57:03 uh,

57:03 let's say commitments,

57:05 strategy,

57:06 and so on,

57:07 they,

57:07 they are happy to,

57:08 to join us.

57:09 OK,

57:09 great,

57:09 thank you.

57:10 That's,

57:11 that's,

57:11 uh,

57:11 I think a very interesting perspective and,

57:13 and no doubt it,

57:14 it's great to work with,

57:16 of course,

57:16 shareholders and a board that understands,

57:19 uh,

57:19 the,

57:19 the vision.

57:20 And,

57:21 and sort of coming back to that a little bit and you mentioned the

57:24 CO2 metrics and maybe I'll turn it back to Jeremy now.

57:28 And if you can tell us a little bit just briefly around that,

57:32 how do we measure all this?

57:33 How do we make sure that we actually know

57:35 where we are today,

57:36 where we've been,

57:37 and,

57:37 and we're going forward because as,

57:39 as,

57:39 uh,

57:40 as people have said,

57:41 what you can't measure doesn't change,

57:42 right?

57:43 So tell us just briefly about that.

57:46 Yeah,

57:47 there's a lot of uh existing approaches to measure

57:49 the environmental impact of cement and concrete production and

57:53 Andrew mentioned uh one approach is he said the GCCA has a tool that can be used,

57:58 um,

57:59 and then what comes out of them are

58:00 called these environmental product declarations or EPDs,

58:04 and that's sort of like your nutrition label on food.

58:07 This is your environmental impact label for your,

58:10 uh,

58:10 for your cement and concrete.

58:12 And the great thing is,

58:13 um,

58:13 I think just engaging with folks to ask them

58:15 to start measuring that causes them to wonder,

58:17 well,

58:18 why is my footprint that way?

58:20 Um,

58:20 and that's a great way to do it.

58:21 It's just to engage with those EPDs and the good thing is those are available,

58:25 you know,

58:25 in many places all over the world.

58:28 Great.

58:28 Thank you.

58:29 And that's obviously an important role also of the industry association,

58:33 so maybe turn,

58:34 turn over.

58:34 I mean,

58:34 we can,

58:35 we can have this uh great conversation for days here,

58:37 but,

58:38 but given our time constraint,

58:40 um,

58:41 Andrew,

58:42 if you can tell us just a little bit,

58:43 uh,

58:44 you know,

58:44 briefly about the,

58:46 the ability to translate these two,

58:49 these concepts that we discussed to emerging economists,

58:52 developing economies,

58:53 and within that context,

58:55 what's the role of the World Bank?

58:58 Yeah,

58:59 thank you.

58:59 So we're currently in the process of,

59:00 uh,

59:01 of doing a,

59:01 a roadmap to 2050 concrete,

59:03 and we've been talking to lots of countries around the world.

59:07 Um,

59:07 and I won't name the countries,

59:08 but I'll just give a couple of examples.

59:10 So,

59:10 so one example was,

59:11 uh,

59:12 uh,

59:12 a major Southeastern

59:13 Asian country,

59:14 and,

59:15 and their challenge was

59:16 that,

59:17 um,

59:17 the state-owned ACTA

59:20 owned the majority of cement production.

59:23 And global players wanted to do the right thing.

59:25 All these levers that Jeremy's explained.

59:28 But it,

59:29 it,

59:29 they just couldn't compete in that field against a state-owned actor

59:33 that didn't want to move.

59:34 In our conversations with them,

59:36 we were saying,

59:36 well,

59:36 actually,

59:37 let's make projections of what can be achieved

59:39 on the assumption that Paris Agreement and international diplomacy

59:43 will make that country's government and hence that country-owned

59:47 cement producer do the right thing.

59:50 But clearly that's an assumption.

59:52 So that is something as a global

59:54 association,

59:55 we will be lobbying to try and seek to

59:57 have the support of national governments in that area.

1:00:01 And then,

1:00:02 so is this an opportunity for you to collaborate with the World Bank?

1:00:06 Like how does the World Bank get involved in,

1:00:08 in,

1:00:08 or I mean they're involved already,

1:00:09 but how can

1:00:11 we build stronger connections and bridges to jointly

1:00:15 work towards our common goal?

1:00:16 Absolutely.

1:00:17 So,

1:00:17 so that's one example,

1:00:18 very similar in a different country where it wasn't state-owned actors,

1:00:22 but it was a majority of supply was by lots of local

1:00:25 private companies.

1:00:27 And that potentially is where World Bank could come in,

1:00:29 funding those

1:00:31 independent

1:00:32 private producers

1:00:33 who do not have a global sustainability agenda,

1:00:36 but they need to be brought up to what best in class looks like.

1:00:40 So that's on the,

1:00:41 that's on the production side,

1:00:42 and I think World Bank's got a place to play there in

1:00:45 investing in production.

1:00:47 In the consumption side,

1:00:49 we've heard Jeremy made reference to,

1:00:50 um,

1:00:51 risk,

1:00:52 people concerned about risk on something.

1:00:53 So,

1:00:54 so use of waste materials from other industries.

1:00:57 We had the term SEMs,

1:01:00 so secondary cementitious or fly in GDPS

1:01:02 or Portland limestones meant

1:01:04 absolutely

1:01:05 standard,

1:01:07 no-risk

1:01:08 technologies that are utilized for decades in many countries,

1:01:12 still not being exploited

1:01:14 on the ground

1:01:15 in,

1:01:16 on major projects.

1:01:17 So World Bank funding of projects

1:01:19 should look at specification there.

1:01:20 So we've got government specifications which are denying.

1:01:24 Opportunities for

1:01:25 big tick in the box circular economy with very little risk

1:01:28 and World Bank funding could help there.

1:01:30 So a lot of,

1:01:31 a lot of policy work that can be,

1:01:33 be done there.

1:01:33 And again this is a great conversation,

1:01:35 would love to hear more,

1:01:36 but

1:01:36 you know,

1:01:37 just to keep things,

1:01:38 uh,

1:01:38 a little bit on track,

1:01:39 I'm going to steal one minute.

1:01:41 So Eric,

1:01:42 uh,

1:01:42 please do me proud here and,

1:01:43 and let's stay within the minute.

1:01:45 Um,

1:01:46 VCAT is very involved in developing countries,

1:01:49 uh,

1:01:50 and.

1:01:51 A lot of these initiatives that we discussed are,

1:01:53 are frankly being worked on

1:01:55 sort of in,

1:01:56 in,

1:01:57 in sort of the Western developed world

1:01:59 already

1:02:00 developed,

1:02:00 uh,

1:02:01 can you give us just like a quick example or two

1:02:04 of work that you're doing in some of your operations in,

1:02:07 in Africa or,

1:02:08 or elsewhere,

1:02:09 uh,

1:02:09 to help us just translate this into

1:02:12 reality in the developing economies.

1:02:14 It's not just something we do in Europe or US.

1:02:17 Yeah,

1:02:17 OK,

1:02:18 so in,

1:02:19 in West Africa we have a very big plant over there in Senegal

1:02:23 and so this is

1:02:25 one place

1:02:27 out of the others where we have the lowest rate of clinker content,

1:02:32 the clinker meaning,

1:02:33 you know,

1:02:33 the product coming out of the kiln.

1:02:35 So this is a reference for Europe.

1:02:38 And USA

1:02:39 because it means that in Africa we can make nice buildings,

1:02:42 nice bridges with this type of concrete

1:02:45 with low content,

1:02:46 and this is a nice demonstration that it is possible.

1:02:49 And another example is in Brazil.

1:02:51 In Brazil we are producing calcine clay that has been mentioned by Jeremy earlier,

1:02:57 and we are discovering that in Europe now.

1:03:00 So we are for sure in Europe,

1:03:02 in Western countries,

1:03:03 developing

1:03:05 new technologies,

1:03:06 non-mature technologies like carbon capture and so on.

1:03:08 We're not develop on that,

1:03:09 but we are deeply involved.

1:03:11 This is for after 2030,

1:03:13 let's say,

1:03:13 but today

1:03:14 there are a lot of

1:03:16 experiences

1:03:17 in the south and in the north that we can share in order to improve

1:03:21 all

1:03:22 the north and south together.

1:03:24 It's brilliant.

1:03:25 It's great to hear.

1:03:25 And,

1:03:26 and I think it's a very encouraging

1:03:28 example that you mentioned about Senegal sort of being the,

1:03:31 the,

1:03:31 the leader within the group and,

1:03:32 and driving that sometimes it's,

1:03:34 it's easy to start from a,

1:03:35 from a younger basis it is to drive that,

1:03:38 that,

1:03:38 uh,

1:03:39 development and,

1:03:40 and um advance towards our goals.

1:03:42 And I think that that's,

1:03:43 that's something that uh we'll,

1:03:44 we'll leave off with for this panel,

1:03:47 uh,

1:03:47 keeping that in mind that uh

1:03:49 it's not only taking

1:03:51 the technology from the north and,

1:03:52 and moving it to the south as it were in the,

1:03:54 in the traditional paradigm,

1:03:56 it's also learning across the different uh economies

1:03:59 and there can be opportunities to go both ways and I think that's,

1:04:02 that's a great,

1:04:03 uh,

1:04:04 great,

1:04:04 uh,

1:04:04 takeaway from this obviously.

1:04:07 Now,

1:04:07 uh,

1:04:07 on that note,

1:04:08 I thank the,

1:04:09 the panelists for the contribution and discussion.

1:04:12 Um,

1:04:13 amazing conversation and,

1:04:14 and as I said,

1:04:14 we can continue this for days,

1:04:16 if not

1:04:16 years of this conversation,

1:04:18 but in the interest of time.

1:04:20 Uh,

1:04:20 I'll turn it back over to

1:04:23 Um,

1:04:24 the,

1:04:25 the,

1:04:25 uh,

1:04:26 the rest of the,

1:04:26 the second panel.

1:04:28 So we will probably reconvene a bit later today

1:04:31 and maybe there's some additional questions we'll pick up,

1:04:33 but thanks very much again for,

1:04:35 for your contribution to this webinar.

1:04:40 Thank you.

1:04:40 Really interesting discussion and

1:04:43 excellent,

1:04:43 uh,

1:04:43 moderation.

1:04:44 Thank you,

1:04:45 Robert,

1:04:45 and

1:04:46 all the panelists for,

1:04:47 for leading us to this exciting and lively discussion.

1:04:51 I'd like to get right into the second panel.

1:04:55 Um,

1:04:58 make sure.

1:05:01 That,

1:05:02 um,

1:05:03 This time,

1:05:04 the panel will be moderated by Felix Heisel.

1:05:07 Felix is the assistant professor and director at the Circular Construction Lab,

1:05:12 Cornell University.

1:05:14 He's an architect himself,

1:05:16 an academic working towards a systematic uh redesign of the built environment.

1:05:21 As a material depot

1:05:22 of endless use and reconfiguration.

1:05:25 He's also a partner at

1:05:27 2HS Architects

1:05:29 and Engineers in,

1:05:30 in Germany,

1:05:31 an office specialized in the development of circular prototypologies.

1:05:36 He is a leading thinker in circular construction topic

1:05:40 and has received

1:05:41 various awards for his work and published numerous books and articles on the topic.

1:05:46 Uh,

1:05:47 including urban mining and circular construction,

1:05:50 cultivated building materials,

1:05:51 and building from waste.

1:05:53 Our panelist Salome Hayat is the deputy Program Manager of circular economy

1:05:58 of the city of Amsterdam,

1:06:00 the,

1:06:00 the Netherlands.

1:06:01 Salome is an industrial design engineer with uh over

1:06:05 a decade of experience in the built environment.

1:06:08 She has worked on various design projects,

1:06:10 the impact of digital fabrication technologies,

1:06:13 integrated urban development,

1:06:15 and the role of engineer in the transition to the circular economy.

1:06:18 As the Deputy Program Manager,

1:06:20 Circular Economy of the City of Amsterdam,

1:06:22 she has delivered a strategy for

1:06:25 Circular Amsterdam 2020 to 2025 and a circular innovation program,

1:06:30 which is now being executed.

1:06:32 She has a special interest in

1:06:34 digital solutions that will facilitate the transition

1:06:37 to circular economy in the construction sector.

1:06:40 Uh,

1:06:41 Wilson Liu is a professor in the Department of

1:06:43 Real Estate and Construction of the Faculty of Architecture,

1:06:47 the University of Hong Kong.

1:06:49 His research interests focused on waste management,

1:06:51 circular economy,

1:06:52 corporate social responsibility,

1:06:54 and green technologies in the context of built environment.

1:06:58 He's leading to Uh,

1:06:59 strategic,

1:07:00 uh,

1:07:00 public policy research

1:07:02 to develop a waste trade organization in the Greater

1:07:05 Bay Area,

1:07:06 including Hong Kong,

1:07:07 Macau,

1:07:08 Guangzhou,

1:07:09 Shenzhen,

1:07:10 and various regions in China.

1:07:12 Finally,

1:07:13 Monika Mosker is the head of cities at the Danish Design Center.

1:07:18 Uh,

1:07:19 Monica is dedicated to developing innovative programs

1:07:22 and driving missions and transformation in cities.

1:07:25 Monica works in the intersection of design,

1:07:28 urban innovation,

1:07:29 and sustainable business development.

1:07:32 She leads innovation processes across public and private sector

1:07:35 to facilitate co-creation

1:07:37 and cross-section.

1:07:38 Sectoral partnerships.

1:07:40 Her working includes topics such as urban technologies and digital innovation,

1:07:45 circular construction,

1:07:46 circular cities and communities,

1:07:48 and sustainable business models.

1:07:50 I'm sure we'll hear much more about all these interesting projects and research

1:07:55 that these panelists are working on during our panel discussion.

1:08:03 Um,

1:08:04 Felix,

1:08:04 uh,

1:08:05 floor is now yours.

1:08:06 Thank you very much.

1:08:07 Thank you for inviting me to,

1:08:09 to moderate this wonderful session today.

1:08:11 Um,

1:08:12 thank you,

1:08:12 Nayo.

1:08:12 Thank you to the World Bank.

1:08:14 Um,

1:08:15 and the,

1:08:16 uh,

1:08:17 circular Construction lab at,

1:08:18 at Cornell University,

1:08:19 we deal with,

1:08:20 um,

1:08:21 three questions.

1:08:22 How can we design buildings differently so that they

1:08:26 Um,

1:08:26 uh,

1:08:27 a material depot for the future.

1:08:28 How can we activate all those materials that are out there already

1:08:32 today as an urban mine,

1:08:34 and then,

1:08:35 how can we shift the mindset?

1:08:36 How can we invest or

1:08:39 build differently?

1:08:40 How can we shift the business models,

1:08:42 um,

1:08:43 to enable this

1:08:44 apart from only looking at embodied carbon,

1:08:47 right?

1:08:47 What's,

1:08:47 what's the,

1:08:48 what's the bigger picture?

1:08:49 Um,

1:08:50 and so,

1:08:51 I'm,

1:08:51 I'm extremely happy to talk about,

1:08:53 um,

1:08:54 an,

1:08:54 a panel today named Enabling and creating Demand for the circular construction

1:09:00 and

1:09:01 discuss with my

1:09:02 fellow panelists here,

1:09:04 um,

1:09:05 what are the enabling conditions

1:09:07 for such a transition to the circular economy.

1:09:11 Um,

1:09:11 what could be technical measures,

1:09:13 right,

1:09:14 that's,

1:09:14 that support this transition?

1:09:16 Um,

1:09:17 examples could be designed for disassembly,

1:09:19 modular construction,

1:09:21 um,

1:09:21 activating waste streams as a resource,

1:09:25 um,

1:09:26 or the importance of documentation.

1:09:28 We need to know what is out there,

1:09:30 what are the material flows,

1:09:31 um,

1:09:32 to close the gap between demand and supply.

1:09:36 Um,

1:09:36 and I think in all of this,

1:09:38 it is extremely important to acknowledge that,

1:09:41 of course,

1:09:41 the built environment has a,

1:09:42 has a kind of special setting due to the amount of

1:09:47 important stakeholders that are part of this process.

1:09:50 Um,

1:09:51 You can name architects,

1:09:52 designers,

1:09:53 engineers,

1:09:53 constructors,

1:09:54 developers,

1:09:55 owners,

1:09:55 users,

1:09:56 um,

1:09:57 authorities,

1:09:58 manufacturers,

1:10:00 uh,

1:10:00 the list keeps going,

1:10:01 right?

1:10:01 And,

1:10:02 and

1:10:03 everyone,

1:10:03 um,

1:10:04 has

1:10:05 an important role to play in this.

1:10:07 And so cross-sector partnership,

1:10:09 um,

1:10:10 is an essential component to scaling

1:10:14 the circular.

1:10:15 Economy in the construction industry.

1:10:18 Um,

1:10:19 and with that,

1:10:19 I wanna jump directly into the conversation,

1:10:23 um,

1:10:24 and talk about this

1:10:25 value chain and what

1:10:27 actions and measures can be implemented

1:10:30 to,

1:10:31 to overcome coordination challenges.

1:10:34 Um,

1:10:35 Salome,

1:10:36 maybe the first question

1:10:38 I'll direct to you.

1:10:40 Um,

1:10:41 and talk about the city of Amsterdam

1:10:43 that has made

1:10:44 fantastic progress in all of these,

1:10:47 uh,

1:10:47 in,

1:10:48 in all of these,

1:10:48 um,

1:10:49 steps,

1:10:50 and,

1:10:50 and how and why,

1:10:52 uh,

1:10:52 does,

1:10:53 does the city of Amsterdam

1:10:55 see this,

1:10:56 uh,

1:10:56 construction sector as a potential for the circular

1:10:59 economy?

1:11:00 Uh,

1:11:00 what are the goals and targets of this,

1:11:03 um,

1:11:04 of,

1:11:04 of government-specific policies here?

1:11:07 Um,

1:11:08 and,

1:11:08 and what do you see as the most promising policies in all of that,

1:11:12 uh,

1:11:12 to create a demand for circular construction

1:11:16 in the Netherlands and Amsterdam?

1:11:20 Thanks,

1:11:20 Felix.

1:11:21 Those are

1:11:22 quite a number of questions.

1:11:25 I'll just get started and please stop me when I take too long or sort of drift off.

1:11:30 Uh,

1:11:30 well,

1:11:30 to start with the first question,

1:11:32 uh,

1:11:32 obviously,

1:11:33 as we heard from the first panel as well,

1:11:35 the,

1:11:36 uh,

1:11:36 construction sector has a very big impact on the,

1:11:39 the environment.

1:11:41 Um,

1:11:41 and I would like to state immediately that I do not agree with all the sustainable

1:11:46 solutions presented in the previous challenge,

1:11:48 uh,

1:11:48 the previous panel,

1:11:49 but maybe we'll get back to that later.

1:11:51 Uh,

1:11:52 but I do agree that it is complex

1:11:54 and that we need uh solutions on all different levels.

1:11:57 We need material solutions,

1:11:59 product solutions

1:12:00 on a building level and on the wider city scale.

1:12:04 Um,

1:12:05 but I think that in itself also provides potential.

1:12:09 The fact that the building sector is so

1:12:12 broad,

1:12:12 so big,

1:12:13 so diverse,

1:12:15 um,

1:12:15 and literally all around us also provides room

1:12:20 to,

1:12:20 um,

1:12:21 uh,

1:12:22 test,

1:12:22 to pilot,

1:12:23 to exchange,

1:12:24 to innovate.

1:12:25 So it's on the one hand super complex,

1:12:27 but I think this complexity also

1:12:30 creates room for innovation and,

1:12:32 and better solutions because that's what we need.

1:12:35 Um,

1:12:36 one more thing I would like to add is that the built environment also provides

1:12:41 potentially at least the opportunity for

1:12:42 other sectors to become more sustainable.

1:12:46 So there's

1:12:47 a lot happening in the built environment,

1:12:49 whether it's related to logistics or to food or to

1:12:53 retail.

1:12:54 Everything happens here.

1:12:56 I live in Amsterdam,

1:12:57 so I stay here.

1:12:58 So,

1:12:59 also enabling sustainability in other sectors that

1:13:02 that could be something that the built environment

1:13:04 and the,

1:13:04 the design that's,

1:13:06 that's the basis for the built environment

1:13:08 um has an impact on.

1:13:10 So many different

1:13:12 um um

1:13:14 skills,

1:13:14 it's a complex matrix,

1:13:15 but I see a lot of potential.

1:13:17 So what we try to do in Amsterdam,

1:13:19 we have uh

1:13:20 the built environment is one of the pillars

1:13:22 of our uh circular strategy for 2025.

1:13:25 Uh,

1:13:26 this strategy works towards our intermediate goal of 2030,

1:13:30 um,

1:13:30 which we hope to use,

1:13:32 um,

1:13:33 50% less primary materials

1:13:36 in the built environment,

1:13:38 but also in the food sector and the consumer goods sector,

1:13:41 etc.

1:13:43 And for um this intermediate goal for 2025,

1:13:47 we have three ambitions,

1:13:48 and the three ambitions focus on

1:13:50 uh urban design,

1:13:52 and we would like to base all of the new urban design uh activities uh as of next year on

1:13:58 circular criteria.

1:14:00 Um,

1:14:01 similar for the,

1:14:03 the buildings,

1:14:03 the elements in the built environment as of 2023,

1:14:06 we would like to base them on circular criteria as well.

1:14:09 Now you might wonder what are those?

1:14:11 We're still figuring that out.

1:14:13 So on a,

1:14:13 on a building,

1:14:15 uh,

1:14:15 scale,

1:14:16 you can think of

1:14:17 building in wood or

1:14:20 Future-proof or

1:14:21 um um make sure it's demountable.

1:14:24 Uh,

1:14:25 there are many different solutions.

1:14:27 In the wider

1:14:28 scale,

1:14:29 the bigger scale,

1:14:29 urban development,

1:14:31 there are also many potential um

1:14:33 uh solutions on material levels,

1:14:35 but we also look at

1:14:36 how the built environment is designed.

1:14:39 Uh,

1:14:39 to ensure,

1:14:41 uh,

1:14:41 a positive impact on sustainability in the,

1:14:44 in the broader sense.

1:14:46 Maybe it's interesting to also mention that we work within the donut.

1:14:50 So the doughnut economy,

1:14:51 hopefully,

1:14:51 it's,

1:14:51 uh,

1:14:52 it's well known by,

1:14:53 by most of you.

1:14:54 It's a Kate Rayward model that tried to connect,

1:14:57 um,

1:14:58 Uh,

1:14:58 economic ecological solutions to social solutions and challenges.

1:15:03 So,

1:15:04 for every,

1:15:05 um,

1:15:05 uh,

1:15:05 sustainable solution

1:15:07 we try to come up with,

1:15:08 we always think about what is the social aspect and can we make

1:15:12 a combination?

1:15:12 Can we make the solution even richer

1:15:15 by not just making it feasible and sustainable,

1:15:17 but also looking at the,

1:15:19 the social impact that it has.

1:15:21 And maybe that also relates to our third

1:15:23 ambition that really focuses on the existing city,

1:15:26 because in,

1:15:27 in many countries,

1:15:28 there's still a lot to be built,

1:15:29 but in most Western countries,

1:15:31 that percentage is relatively low compared to what's already there.

1:15:35 But the existing city also needs,

1:15:37 needs renovation,

1:15:38 needs to be refurbished,

1:15:40 for example,

1:15:40 to be fitting for the energy transition because

1:15:43 a lot of our houses and our buildings are leaking warmth and energy.

1:15:47 So how can we upgrade them?

1:15:49 In a circular way to make sure that they're

1:15:52 also futureproof and comfortable to live in as well.

1:15:56 I think you also asked me

1:15:58 about um I was gonna follow up on,

1:16:01 on

1:16:02 how would you or are any of these strategies,

1:16:04 um,

1:16:05 can you implement them in,

1:16:06 in developing context,

1:16:08 right?

1:16:08 Amsterdam is 11 specific case,

1:16:11 um,

1:16:11 so how do you transition that?

1:16:15 How to apply those in developing countries.

1:16:17 What,

1:16:17 what are your thoughts about that?

1:16:20 Yeah,

1:16:21 absolutely,

1:16:22 um,

1:16:23 well,

1:16:25 I don't think that the circular transition is a

1:16:28 technological transition.

1:16:30 Um,

1:16:31 I think many solutions we're looking at

1:16:34 Uh,

1:16:35 we,

1:16:35 we actually used to,

1:16:37 uh,

1:16:37 apply them already.

1:16:38 If you look back

1:16:39 50 or 100 years,

1:16:40 how we dealt with materials,

1:16:42 our products,

1:16:43 the world around us,

1:16:45 it was in many ways,

1:16:46 way more circular and way more sustainable than we are now.

1:16:50 So it's not just

1:16:51 innovation and not just,

1:16:53 uh,

1:16:54 futuristic technologies that we use.

1:16:56 They could be

1:16:57 part of the solution.

1:16:59 But definitely,

1:17:00 um,

1:17:00 what,

1:17:01 for example,

1:17:01 just looking at what we already have,

1:17:04 local building materials,

1:17:05 local

1:17:07 building technologies that are sometimes super,

1:17:10 super innovative.

1:17:11 Now we can let,

1:17:12 let,

1:17:12 let's say for Western

1:17:14 buildings,

1:17:15 you,

1:17:15 uh,

1:17:15 learn a lot from,

1:17:17 um,

1:17:18 but also I believe in collaboration.

1:17:20 If we try to move towards our goals,

1:17:22 our sustainable goals in a collaborative way,

1:17:25 there is really much to gain.

1:17:28 Um,

1:17:29 um,

1:17:30 and just be smart with what you have.

1:17:32 I think one of the

1:17:33 great challenges for our architects and our designers is

1:17:37 how can we design with what we have?

1:17:39 And,

1:17:40 uh,

1:17:40 as already mentioned in the introduction,

1:17:41 I'm a

1:17:42 big fan of,

1:17:43 uh,

1:17:44 uh,

1:17:45 digits.

1:17:45 So facilitating

1:17:47 uh tools or solutions

1:17:49 that can really help us to identify

1:17:52 which materials,

1:17:53 which secondary products are already available,

1:17:56 and

1:17:56 I can use in my new building or whatever that I'm gonna build.

1:18:00 If we can

1:18:02 support and facilitate to close the loop in that way.

1:18:05 I think,

1:18:05 um,

1:18:06 that could have a very big impact as well.

1:18:08 So

1:18:09 it's not,

1:18:10 uh,

1:18:11 difficult necessarily,

1:18:12 it's not expensive necessarily,

1:18:14 but it does require a new way of collaborating and looking at how and what we design.

1:18:20 I'm,

1:18:21 I'm looking forward to talking about these

1:18:23 platforms with you in the next round.

1:18:25 I wanna go to,

1:18:26 to Wilson,

1:18:27 um,

1:18:28 and talk about the Chinese context.

1:18:31 Um,

1:18:31 maybe,

1:18:32 can you briefly tell us about the key policies,

1:18:35 um,

1:18:35 that were derived in,

1:18:37 in respect to circular construction in China,

1:18:40 um,

1:18:40 and,

1:18:41 and what lessons can we derive from those

1:18:44 for China,

1:18:44 but of course,

1:18:45 also for,

1:18:46 for developing countries,

1:18:47 um,

1:18:48 And

1:18:49 maybe something that is,

1:18:51 that could be interesting to talk about is how

1:18:53 these would be differ

1:18:54 um in different

1:18:56 contexts,

1:18:57 um,

1:18:58 when,

1:18:58 when you translate those

1:19:00 um to other contexts,

1:19:01 Wilson.

1:19:04 I

1:19:08 And

1:19:10 Yes,

1:19:10 I'm mainly uh based in Hong Kong.

1:19:12 Hong Kong,

1:19:13 uh,

1:19:13 is,

1:19:14 uh,

1:19:14 a much developed,

1:19:15 uh,

1:19:15 uh,

1:19:16 economy,

1:19:17 but I,

1:19:17 I also research,

1:19:18 uh,

1:19:19 you know,

1:19:19 the waste management

1:19:21 in some major Chinese cities like,

1:19:24 uh,

1:19:24 Shenzhen and Suzhou.

1:19:26 So,

1:19:27 uh,

1:19:27 it,

1:19:27 it gives me an interesting angle to look at the differences

1:19:31 and the similarities of,

1:19:33 uh,

1:19:34 achieving this,

1:19:34 uh,

1:19:34 circular economy.

1:19:35 But

1:19:36 from the very beginning,

1:19:37 I need to,

1:19:37 uh,

1:19:38 uh,

1:19:38 uh,

1:19:39 mention the magnitude of the problem a little bit.

1:19:43 So,

1:19:43 uh,

1:19:43 actually,

1:19:44 Cairo,

1:19:44 uh,

1:19:45 uh,

1:19:45 in his presentation

1:19:47 mentioned the importance of construction industry

1:19:50 and also the potential,

1:19:52 uh,

1:19:52 of,

1:19:53 uh,

1:19:53 circular economy in developing countries in the developed countries.

1:19:57 Um,

1:19:59 so,

1:19:59 uh,

1:20:00 actually,

1:20:01 interesting in,

1:20:02 in developed economies,

1:20:03 uh,

1:20:03 CD waste

1:20:05 normally takes around 1 quarter of the landfill,

1:20:08 uh,

1:20:09 space.

1:20:09 So a single industry,

1:20:11 OK,

1:20:11 takes

1:20:12 one quarter,

1:20:13 25% of the

1:20:14 valuable land and landfill space.

1:20:17 And this lumber could be larger,

1:20:18 up to

1:20:19 40 to 50%

1:20:21 when it comes to

1:20:23 uh developing economies because they have to

1:20:25 demolish the old buildings

1:20:27 and develop their construction and also

1:20:31 uh uh give land to the new uh buildings.

1:20:35 So to this end,

1:20:36 they have to,

1:20:37 OK,

1:20:37 they must,

1:20:38 uh,

1:20:38 developing,

1:20:39 uh,

1:20:40 uh,

1:20:40 into a circular economy.

1:20:42 So for,

1:20:43 uh,

1:20:43 from what I know,

1:20:44 uh,

1:20:45 my experience in,

1:20:46 in mainland China,

1:20:47 so,

1:20:48 uh,

1:20:48 they have uh several initiatives.

1:20:50 For example,

1:20:51 of course,

1:20:51 you,

1:20:52 we,

1:20:52 we all know,

1:20:53 they put the circular economy in its national registrations.

1:20:57 And,

1:20:58 and

1:20:59 specific tactics,

1:21:01 uh,

1:21:02 vary from one city to another.

1:21:04 For example,

1:21:04 and overall,

1:21:06 now Mainland China has

1:21:08 launched a massive

1:21:10 construction industrialization scheme.

1:21:13 OK.

1:21:14 So,

1:21:14 uh,

1:21:15 they put a traditional cost institute construction,

1:21:18 uh,

1:21:19 a certain

1:21:19 portion back to the factories.

1:21:22 And the DFMA is,

1:21:24 uh,

1:21:24 is much encouraged.

1:21:27 And 3R reduce,

1:21:28 reuse,

1:21:29 and recycling,

1:21:30 uh,

1:21:30 is actively practiced,

1:21:33 uh,

1:21:33 to enhance the circular economy.

1:21:36 Uh,

1:21:36 for example,

1:21:37 uh,

1:21:37 Shenzhen,

1:21:38 now they even,

1:21:40 uh,

1:21:40 pursue a zero construction waste site.

1:21:44 So our traditional wisdom that tells us that,

1:21:46 uh,

1:21:47 on a construction site that more or less you will generate some construction waste.

1:21:51 But now in,

1:21:51 in Shenzhen,

1:21:52 perhaps after

1:21:54 In 2015,

1:21:55 there was a tragedy

1:21:57 of a landslide of,

1:21:58 uh,

1:21:58 CD,

1:21:59 CNND waste debris.

1:22:02 So they pursue now zero construction waste

1:22:06 sites.

1:22:07 So in this case,

1:22:08 you have to

1:22:09 plan your,

1:22:10 you have to make good use of your construction waste management plan,

1:22:15 right?

1:22:15 So how to digest your,

1:22:17 your uh waste for

1:22:19 recycled products and uh some other

1:22:21 ways

1:22:22 to achieve the zero construction waste goal.

1:22:26 I didn't mention

1:22:27 The other three are like rethinking,

1:22:31 refuse,

1:22:31 repair.

1:22:33 Cause uh,

1:22:34 these are not very popular in,

1:22:35 in China.

1:22:36 Uh,

1:22:37 everything is very fast here,

1:22:38 OK?

1:22:39 So,

1:22:40 so they don't have time to rethink that,

1:22:43 refuse anything,

1:22:44 uh,

1:22:44 uh,

1:22:44 old buil uh new buildings

1:22:46 or repaired old buildings.

1:22:49 Although sometimes you can see in some,

1:22:51 uh,

1:22:51 uh,

1:22:52 window jaing uh projects,

1:22:53 you see conservation revitalization.

1:22:56 So you,

1:22:57 you ask me,

1:22:57 uh,

1:22:58 what are the,

1:23:00 uh,

1:23:00 major differences.

1:23:01 I will say,

1:23:02 uh,

1:23:03 uh,

1:23:03 in comparison with the European countries or,

1:23:06 or other developed countries,

1:23:08 uh,

1:23:09 uh,

1:23:09 uh,

1:23:09 the,

1:23:10 the major difference is the dilemma

1:23:13 of faster development

1:23:15 and the,

1:23:15 the circular.

1:23:16 OK.

1:23:17 So everything is happening in a,

1:23:19 in a highly dynamic uh uh context with a very

1:23:23 uh faster pace.

1:23:25 OK.

1:23:26 Uh,

1:23:26 but the difference from other South,

1:23:29 uh,

1:23:30 developing countries,

1:23:31 like I have traveled to

1:23:33 Southeast Asia,

1:23:34 Africa,

1:23:34 quite often.

1:23:36 I will say,

1:23:36 uh,

1:23:37 China is a bit luxury

1:23:39 to have a better economy,

1:23:41 OK,

1:23:41 to achieve this,

1:23:42 uh,

1:23:43 circular economy.

1:23:44 Because now China's economy,

1:23:46 uh,

1:23:46 uh,

1:23:46 has developed in a,

1:23:48 in a relatively

1:23:49 Uh,

1:23:50 advanced stage.

1:23:51 If you go to the two cities like,

1:23:53 uh,

1:23:53 Suzhou or Shenzhen I mentioned,

1:23:55 they are actually quite advanced.

1:23:58 So,

1:23:58 uh,

1:24:00 that's the major difference.

1:24:02 Circularity is not the most urgent issue if

1:24:06 When the economic development is the most uh

1:24:09 urgent issue.

1:24:11 Yeah,

1:24:11 I think that,

1:24:12 that's,

1:24:13 that's,

1:24:13 uh,

1:24:14 a really important perspective.

1:24:16 Um,

1:24:17 just as a little side note,

1:24:19 um,

1:24:19 uh,

1:24:20 in the US,

1:24:21 the landfill volume that is associated to CDD is 40%.

1:24:25 So you're,

1:24:26 you're,

1:24:27 that,

1:24:27 that,

1:24:27 that is a very important comparison,

1:24:29 I think to make.

1:24:30 Um,

1:24:31 uh,

1:24:32 I think it's a really good segue to our next speaker when we talk about rethinking,

1:24:37 um,

1:24:38 I want to turn it to,

1:24:39 to Monica,

1:24:40 um,

1:24:40 and her experience from,

1:24:42 uh,

1:24:43 from Denmark.

1:24:44 Maybe you can tell us a little bit about the,

1:24:46 the challenge that you're running there,

1:24:48 um,

1:24:49 to really rethink,

1:24:50 um,

1:24:51 and have innovative ideas and how the finalists from this

1:24:54 challenge can help scale up,

1:24:57 uh,

1:24:57 circular construction ideas globally.

1:25:00 Um,

1:25:00 and probably what,

1:25:01 what really

1:25:03 would be interesting is what are the important factors for scaling up such ideas,

1:25:08 um,

1:25:09 in,

1:25:09 in our sector that we're,

1:25:11 that we're in.

1:25:13 Yes,

1:25:13 thank you so much.

1:25:15 So,

1:25:15 uh,

1:25:15 yeah,

1:25:16 I'm glad to be here.

1:25:17 Thank you for the invitation to the World Bank and,

1:25:19 and everyone here.

1:25:20 Um,

1:25:20 so yeah,

1:25:21 um,

1:25:21 I will gladly tell you about the circular construction challenge that we ran.

1:25:25 Uh,

1:25:26 a few years ago,

1:25:27 uh,

1:25:27 finished last year.

1:25:29 Uh,

1:25:29 just super short,

1:25:31 uh,

1:25:31 before going into that,

1:25:32 I just want to say the Danish Design Center just to tell you shortly about us.

1:25:35 We are the National Design

1:25:37 lab,

1:25:38 uh,

1:25:39 so driving,

1:25:40 uh,

1:25:40 innovation,

1:25:41 uh,

1:25:41 based on,

1:25:43 uh,

1:25:43 societal,

1:25:44 uh,

1:25:44 challenges

1:25:46 and,

1:25:46 uh,

1:25:46 using design to actually create sustainable growth both for industries,

1:25:50 private sector.

1:25:51 To public sector and society in general.

1:25:53 So just to,

1:25:54 to get that um straight.

1:25:56 But so that was actually what we did with this circular construction challenge.

1:25:59 We actually worked on this

1:26:01 huge challenge that we heard,

1:26:02 uh,

1:26:03 numerous times today

1:26:05 about the enormous,

1:26:06 uh,

1:26:07 amount of waste,

1:26:08 and we all know the numbers.

1:26:09 We heard,

1:26:10 uh,

1:26:10 exactly,

1:26:11 uh,

1:26:11 how,

1:26:12 how crucial it is to also change these numbers.

1:26:14 So that was what we dived into.

1:26:16 Together with the Danish,

1:26:17 uh,

1:26:17 philanthropic association called,

1:26:19 uh,

1:26:20 Velenia,

1:26:21 and,

1:26:21 uh,

1:26:21 together with them we set off to,

1:26:23 to actually invite the industry,

1:26:25 private sector,

1:26:26 and innovators to,

1:26:27 to become part of solving this problem or this big societal challenge about

1:26:32 the construction.

1:26:33 So how can we actually

1:26:34 transform waste into circular solutions for the built environment?

1:26:37 That was actually our open call.

1:26:40 So we got a lot of people,

1:26:41 uh.

1:26:42 Uh,

1:26:42 innovators,

1:26:43 uh,

1:26:44 businesses from Denmark and around the world to actually team up,

1:26:47 uh,

1:26:48 and,

1:26:48 and bid in on these,

1:26:49 uh,

1:26:50 concrete circular solutions.

1:26:52 So we had,

1:26:53 we ended up with three innovation teams,

1:26:54 and I think one of the important things about this challenge was

1:26:57 that we actually asked people to team up across the value chain,

1:27:00 so not just to come up with one idea for the sector,

1:27:03 the construction sector,

1:27:04 but actually

1:27:05 establish the whole value chain.

1:27:07 Uh,

1:27:08 based team,

1:27:09 so you would actually work together on,

1:27:12 uh,

1:27:12 elaborating,

1:27:14 co-creating this concrete circular solution and

1:27:16 the business model surrounding the idea.

1:27:19 So,

1:27:19 so that was actually the aim.

1:27:21 So we had like 3 teams,

1:27:22 we had 3 circular solutions,

1:27:25 and the impact of the challenge,

1:27:26 we started in,

1:27:27 in 2018,

1:27:28 ended in,

1:27:29 in,

1:27:30 in December 2019,

1:27:32 so 16 months of innovation challenge.

1:27:35 Here we work with more than 42 um

1:27:38 uh industry partners from the construction sector and beyond,

1:27:42 from Denmark and internationally,

1:27:44 we also

1:27:44 invited and uh uh research institutions to come on board,

1:27:49 especially in one of the solutions for Focusing on how can we actually use

1:27:53 the biological process of mycelium to grow

1:27:56 new uh construction materials.

1:27:58 So,

1:27:59 if I should kind of,

1:28:00 um,

1:28:00 look into one of the,

1:28:02 of the solutions,

1:28:03 just to show like the scale of it,

1:28:05 it was actually,

1:28:06 um,

1:28:07 Uh,

1:28:07 a solution called

1:28:08 Gintre in,

1:28:09 in,

1:28:09 it's it translates into English to call rewood.

1:28:13 So we're taking all the wood for from building sites,

1:28:16 the,

1:28:16 the contemporary use of wood materials,

1:28:18 timber,

1:28:19 uh,

1:28:20 that usually is used for 6 to 12 months

1:28:23 and then it just go directly into incineration.

1:28:26 So the idea was actually quite simple.

1:28:28 It was to collect all this wood used super uh uh immediate uh for this process

1:28:34 on construction sites

1:28:35 to actually establish the whole infrastructure to

1:28:38 redesign the whole system around this instead

1:28:40 of going directly into the container with waste and then into the incineration.

1:28:44 Then actually constructing that,

1:28:46 um,

1:28:46 or designing that system for how to,

1:28:49 to get out the sorting materials to,

1:28:51 to,

1:28:52 um,

1:28:53 which you say like use a digital platform to actually organize this

1:28:57 to,

1:28:57 to give a notice to

1:28:59 now we would like to get it picked up,

1:29:01 then it get it picked up,

1:29:02 sorted out and cleaned,

1:29:03 packed up and get ready for retail sale again.

1:29:06 So now we actually do have a well functioning.

1:29:09 Uh,

1:29:09 solution,

1:29:10 a business model running on this,

1:29:12 saying that we could actually have

1:29:14 this wood collected and put into retail sale again,

1:29:18 quite easily because they,

1:29:20 um,

1:29:20 due to this,

1:29:21 uh,

1:29:22 value chain collaboration,

1:29:23 established the whole system with every

1:29:25 Point in the journey of that wood.

1:29:27 So actually quite simple solution but very complex system to build up with,

1:29:32 with new agreements and new,

1:29:34 uh,

1:29:34 would you say,

1:29:35 yeah,

1:29:36 uh,

1:29:36 yeah,

1:29:36 new,

1:29:37 new deals with every part of the value chain and,

1:29:40 and the actors involved there.

1:29:43 Thank you.

1:29:43 That,

1:29:44 that is fascinating.

1:29:45 Um,

1:29:46 I'd,

1:29:46 I'd love to learn,

1:29:47 learn more about all of this,

1:29:48 but,

1:29:49 um,

1:29:49 yeah,

1:29:49 we're pressed on,

1:29:50 on time a little bit.

1:29:52 Um,

1:29:52 but also here again,

1:29:53 we have a perfect segue to what,

1:29:55 um,

1:29:56 Salome already mentioned,

1:29:57 uh,

1:29:57 earlier,

1:29:57 you know,

1:29:58 we need,

1:29:58 we need documentation,

1:29:59 we need knowledge,

1:30:00 we need to invent new innovative tools to,

1:30:03 to foster a,

1:30:05 uh,

1:30:06 favorable investment climate for,

1:30:07 for circular construction.

1:30:09 Um,

1:30:10 trans

1:30:10 transitions.

1:30:11 And so maybe,

1:30:12 do you want to tell us a little bit about your work with,

1:30:15 with the Modesta platform or Arrow about 3D

1:30:18 3D printing,

1:30:19 for example,

1:30:20 um,

1:30:21 in,

1:30:21 in using these digital technologies to scale up

1:30:25 the circular construction industry.

1:30:29 Of course,

1:30:30 thank you.

1:30:30 Um,

1:30:31 well,

1:30:31 maybe I should start by saying that

1:30:34 we need,

1:30:34 um,

1:30:36 solutions across the entire scope.

1:30:38 I mentioned before,

1:30:38 all the,

1:30:39 all the different levels of material,

1:30:41 product,

1:30:41 building,

1:30:42 city.

1:30:43 But also across the entire value chain.

1:30:45 Uh,

1:30:46 but all the solutions we can come up with will not compensate for endless growth.

1:30:50 We cannot grow endlessly

1:30:52 and just by making it circular,

1:30:54 closing the loop,

1:30:55 be sustainable.

1:30:56 That's not gonna work.

1:30:56 So we need really,

1:30:57 we need to

1:30:59 use all the instruments,

1:31:00 we need to turn all the knobs a little bit,

1:31:02 uh,

1:31:03 to,

1:31:04 to really make this transition to,

1:31:05 um,

1:31:06 a circular envi uh

1:31:08 a circular,

1:31:08 um,

1:31:09 economy,

1:31:10 um.

1:31:12 So that's,

1:31:12 that's an important point to make,

1:31:14 uh,

1:31:14 I think.

1:31:15 Um,

1:31:16 so,

1:31:16 but what is going to help if we,

1:31:18 if we can facilitate,

1:31:19 uh,

1:31:20 the,

1:31:21 the circular solutions and the circular value chains a bit more.

1:31:25 Uh,

1:31:25 the Modesto platform,

1:31:27 material passports,

1:31:28 I'm sure everyone has heard of them before,

1:31:30 so mapping what's in a building,

1:31:32 having providing information.

1:31:34 Uh,

1:31:35 what's available,

1:31:36 um,

1:31:36 uh,

1:31:37 the quantity,

1:31:38 the quality

1:31:39 to allow people to identify,

1:31:41 uh,

1:31:41 if and how it can be reused after,

1:31:44 um,

1:31:45 It's a great solution,

1:31:47 but it's,

1:31:47 it's,

1:31:47 it doesn't work by itself.

1:31:49 It's really part of a big

1:31:52 process

1:31:53 of information exchange along the value chain.

1:31:56 So if you would ask me,

1:31:58 um,

1:31:59 a material passport would at some point feed into a material,

1:32:03 um,

1:32:04 Uh,

1:32:04 a database,

1:32:05 a marketplace where,

1:32:07 as you mentioned,

1:32:07 supply and demand

1:32:09 can be brought together.

1:32:10 Uh,

1:32:10 it should fit into,

1:32:12 uh,

1:32:12 design tools by architects,

1:32:14 by,

1:32:14 um,

1:32:15 uh,

1:32:15 engineers.

1:32:17 Uh,

1:32:18 those,

1:32:18 that information that they provide should

1:32:20 Go to the producers,

1:32:21 uh,

1:32:22 whether it's prefab or on-site.

1:32:24 So you can,

1:32:24 you should really look at

1:32:26 how the data,

1:32:27 uh,

1:32:28 actually moves along the value chain as some kind of currency,

1:32:32 uh,

1:32:32 to really inform,

1:32:34 uh,

1:32:34 the process and,

1:32:35 and connect,

1:32:36 um,

1:32:37 uh,

1:32:37 the different stakeholders in the process to really allow

1:32:40 them to collaborate in order to achieve these circular

1:32:45 solutions and circular goals.

1:32:49 And thank you so much.

1:32:50 Um,

1:32:52 uh,

1:32:52 person,

1:32:52 I actually know that you also,

1:32:53 um,

1:32:55 Work with innovative and smart technologies.

1:32:58 Um,

1:32:59 um,

1:32:59 we're talking about BIM,

1:33:01 about prefabrication,

1:33:02 modular construction.

1:33:03 I think you,

1:33:04 you've done some of RFID tags.

1:33:06 Um,

1:33:07 and,

1:33:07 and so maybe you could answer for us

1:33:10 what in your perspective are the most promising technologies that can help,

1:33:15 um,

1:33:17 Make this shift towards the circular construction,

1:33:20 um,

1:33:21 uh,

1:33:21 with maybe a specific focus in,

1:33:23 in emerging,

1:33:25 uh,

1:33:25 economies.

1:33:27 Thank you.

1:33:27 Uh,

1:33:28 actually,

1:33:28 I want to

1:33:29 respond a little bit to,

1:33:31 uh,

1:33:31 uh,

1:33:32 uh,

1:33:32 Monica and also Salami's point about the information

1:33:36 sharing platform here

1:33:38 in Hong Kong,

1:33:39 uh,

1:33:39 and we also try to develop that kind of uh

1:33:43 information platform to bridging,

1:33:45 to bridge the demand and the supply.

1:33:47 And we,

1:33:48 we

1:33:50 found that the,

1:33:50 uh,

1:33:51 it is a bit difficult because the timing.

1:33:53 Uh,

1:33:53 to match the demand and supply,

1:33:55 uh,

1:33:55 it's quite difficult.

1:33:56 So,

1:33:57 uh,

1:33:57 now we,

1:33:58 we look over the,

1:34:00 the scale up,

1:34:01 uh,

1:34:01 to the regional level

1:34:02 because we,

1:34:03 if you look at the wider

1:34:05 place,

1:34:05 then

1:34:06 they maybe have more projects and a more buffer to

1:34:09 take,

1:34:10 uh,

1:34:10 uh,

1:34:11 the demand and the supply.

1:34:13 So,

1:34:14 uh,

1:34:14 oh,

1:34:14 back to the,

1:34:15 uh,

1:34:16 emerging,

1:34:16 uh,

1:34:16 uh,

1:34:17 technologies in emerging economies.

1:34:19 I will say,

1:34:20 uh,

1:34:21 OK,

1:34:21 less than no silver bullet,

1:34:23 OK.

1:34:23 Prefabrication and the modular construction

1:34:26 are probably

1:34:27 the most promising

1:34:29 ones to,

1:34:30 uh,

1:34:30 uh,

1:34:31 to achieve this

1:34:32 circular economy in the construction context.

1:34:35 Uh,

1:34:36 we also explore them quite a lot building.

1:34:39 I just,

1:34:39 uh,

1:34:40 uh,

1:34:40 and my book

1:34:41 about BI,

1:34:42 uh,

1:34:42 and the pub and passed to the publisher today.

1:34:45 Um,

1:34:46 Ben is also,

1:34:47 uh,

1:34:48 um,

1:34:49 Uh,

1:34:49 uh,

1:34:49 is helpful but shouldn't be overemphasized

1:34:53 because we all know BIM is just a digital representation

1:34:57 of a physical,

1:34:58 uh,

1:34:58 building or infra uh or

1:35:01 infrastructure.

1:35:02 Uh,

1:35:03 uh,

1:35:03 the,

1:35:03 the strengths of a BIIM,

1:35:05 OK,

1:35:06 to,

1:35:06 to me is you can

1:35:08 actually simulate different,

1:35:10 uh,

1:35:11 uh,

1:35:11 design options.

1:35:13 To achieve,

1:35:14 to,

1:35:14 to calculate the uh

1:35:16 circularities

1:35:18 without having to build any physical

1:35:20 construction.

1:35:21 OK.

1:35:21 That's the major uh uh strengths.

1:35:24 So you have a virtual platform for you to

1:35:26 try out different design,

1:35:28 OK?

1:35:28 With a view to achieving

1:35:30 circularity.

1:35:31 But Bin itself cannot do anything without information.

1:35:35 So,

1:35:35 uh,

1:35:36 currently,

1:35:37 Uh,

1:35:38 we,

1:35:38 I

1:35:39 don't really have the sufficient information

1:35:42 to inform,

1:35:43 uh,

1:35:43 what kind of materials,

1:35:45 what kind of a design

1:35:47 will be generating,

1:35:48 how much construction waste.

1:35:51 So we are still trying to develop that kind of a connection.

1:35:55 To enrich the information in film.

1:35:59 OK,

1:35:59 that's pretty much uh what I want to say about this aspect.

1:36:03 Thank you.

1:36:04 That's great.

1:36:05 Thank you so much.

1:36:06 Um,

1:36:07 I can't help but add that,

1:36:08 um,

1:36:10 based on these two comments,

1:36:12 um,

1:36:12 I,

1:36:13 I fully share these,

1:36:14 um,

1:36:15 these ideas.

1:36:16 Uh,

1:36:16 we've actually started developing tools to

1:36:19 To bring in

1:36:20 the,

1:36:21 the circularity calculation much earlier into the design process,

1:36:25 right?

1:36:25 My,

1:36:26 my problem is that we,

1:36:27 we build something,

1:36:28 then we have the elaborate BIM model at the end,

1:36:30 and then we calculate the circularity indicator,

1:36:32 whereas the indicator could be a design tool if we managed to,

1:36:36 to,

1:36:37 to think about it much earlier in the process.

1:36:39 So I think this is a really important point that you made there.

1:36:42 Um,

1:36:44 we,

1:36:44 we began talking about this in,

1:36:46 in this panel today about the,

1:36:47 the specifics of the,

1:36:49 the construction industry,

1:36:50 um,

1:36:51 in terms of the multitude of stakeholders that

1:36:54 are involved in all of these decisions.

1:36:57 Um,

1:36:57 and I wanna,

1:36:58 um,

1:37:00 address this question to,

1:37:01 to Monica.

1:37:02 Um,

1:37:03 Considering what she's just told us about these wonderful

1:37:06 projects,

1:37:07 um,

1:37:08 uh,

1:37:08 and innovation challenges that of course

1:37:11 touch all of these different stakeholders,

1:37:12 right?

1:37:13 Um,

1:37:13 and I,

1:37:14 I,

1:37:14 I would really like to hear from her what the major challenges were when,

1:37:17 when implementing these new ideas

1:37:22 across all these different sectors and what kind of

1:37:24 cross-sector

1:37:25 partnerships can help

1:37:27 such a transition and

1:37:29 Um,

1:37:30 considering the setting that we're in here,

1:37:32 um,

1:37:32 it would be great if you could add something about how,

1:37:35 what,

1:37:36 how these lessons from these processes

1:37:38 could help us in,

1:37:39 in developing countries.

1:37:42 Yes,

1:37:42 thank you.

1:37:43 Um,

1:37:44 I definitely think one of the biggest problem of,

1:37:47 of the,

1:37:47 taken from the work that we did in the circular construction challenge,

1:37:50 but also in,

1:37:51 in other projects alike,

1:37:53 uh,

1:37:53 that's actually the missing understanding of each other's culture,

1:37:57 like the cultural understanding of the different business

1:38:00 models of the different ways of working,

1:38:02 and I definitely think that was one of the,

1:38:04 the,

1:38:04 the strengthens,

1:38:05 uh,

1:38:05 about,

1:38:06 uh,

1:38:06 this,

1:38:07 uh.

1:38:07 Challenge

1:38:08 is getting everyone from the across the value chain in the same room

1:38:11 and now,

1:38:12 uh,

1:38:12 and therefore I also wanna touch upon the role of design because

1:38:15 I actually think that's what design is and the role of design

1:38:19 here,

1:38:19 uh,

1:38:20 where,

1:38:20 where it has an,

1:38:21 an important,

1:38:22 uh,

1:38:23 value to,

1:38:24 to facilitate this

1:38:26 dialogue,

1:38:27 this cultural understanding,

1:38:28 and I also wanna

1:38:29 go back to Sabin who is like

1:38:31 She was like telling,

1:38:32 saying that tech cannot do this alone.

1:38:34 I definitely think as we also already touched upon,

1:38:36 that technology is a,

1:38:38 as a,

1:38:38 as a,

1:38:39 as a brilliant enabler of many things and also

1:38:42 of the scalability and these solutions in itself,

1:38:44 but I definitely think

1:38:46 that the cultural shift and the mindset

1:38:48 that's facilitated through an open dialogue,

1:38:50 transparency,

1:38:51 and this,

1:38:52 um,

1:38:53 facilitated,

1:38:54 uh,

1:38:55 process,

1:38:55 co-creation across the value chain.

1:38:57 So,

1:38:57 so I think the big

1:38:59 Big,

1:38:59 one of the big challenges that we met was actually the missing understanding of,

1:39:03 of,

1:39:04 of the incentives from different actors and what

1:39:07 can we actually shift and turn and twist

1:39:09 to actually

1:39:10 work better together.

1:39:11 So I think,

1:39:12 of course,

1:39:12 there's a lot of,

1:39:13 of things already,

1:39:14 uh,

1:39:14 uh,

1:39:15 working there,

1:39:16 uh,

1:39:16 and,

1:39:16 and getting done,

1:39:18 but I think that's the role of design as I put down here,

1:39:21 I think establishing that trust and that open dialogue is one of the most important.

1:39:25 Uh,

1:39:26 drivers for actually

1:39:27 scaling and implementing these,

1:39:30 uh,

1:39:30 circular value chain-based,

1:39:31 um,

1:39:32 um solutions.

1:39:33 So,

1:39:34 and if we should look towards,

1:39:36 um,

1:39:37 how to actually work around this in,

1:39:38 in developing countries,

1:39:40 I would definitely say that,

1:39:42 that creating and supporting that infrastructure for,

1:39:45 for an open and transparent dialogue,

1:39:47 this like trustful collaboration,

1:39:50 I definitely think that's,

1:39:51 that's Uh,

1:39:52 a job to be done to support.

1:39:54 I think there's a lot of things already going on,

1:39:56 but

1:39:56 to build on and,

1:39:57 and facilitate and stimulate that

1:40:00 collaboration,

1:40:01 uh,

1:40:01 and that co-creation,

1:40:03 uh,

1:40:03 is definitely,

1:40:04 um,

1:40:05 one thing and one approach that could be easily scaled,

1:40:09 um,

1:40:09 to,

1:40:09 to everywhere in the world

1:40:11 with good designers,

1:40:12 good facilitators on board,

1:40:14 and,

1:40:14 and,

1:40:14 uh,

1:40:15 and the structure and infrastructure to actually stimulate this.

1:40:19 Great.

1:40:19 Thank you so much.

1:40:21 Um,

1:40:22 maybe back to,

1:40:22 to Wilson,

1:40:23 uh,

1:40:24 as a,

1:40:24 as a direct follow-up.

1:40:25 Um,

1:40:26 how,

1:40:26 how would you,

1:40:28 um,

1:40:29 establish public-private partnerships in this setting,

1:40:34 um,

1:40:35 in emerging

1:40:36 countries,

1:40:36 talking about circular construction?

1:40:39 Are there lessons learned that we can imply implement?

1:40:42 OK,

1:40:43 thank you,

1:40:43 Felix.

1:40:44 Uh,

1:40:45 yes,

1:40:46 I remember,

1:40:46 uh,

1:40:47 one of the speakers clearly mentioned we have to involve the

1:40:51 private sector,

1:40:52 OK,

1:40:52 to,

1:40:53 uh,

1:40:53 achieve,

1:40:54 achieve this circular economy,

1:40:56 but,

1:40:56 uh,

1:40:56 in this case,

1:40:57 uh,

1:40:57 uh,

1:40:58 private sector is,

1:40:59 um,

1:41:00 quite hesitating

1:41:02 because,

1:41:02 uh,

1:41:02 uh,

1:41:03 the,

1:41:03 um,

1:41:04 And during this value chain,

1:41:06 OK?

1:41:07 The,

1:41:08 uh,

1:41:08 recycled products and some to,

1:41:11 uh,

1:41:11 achieve the,

1:41:12 uh,

1:41:12 recyclers actually comes with a,

1:41:15 a cost.

1:41:17 So,

1:41:17 uh,

1:41:17 I,

1:41:18 I,

1:41:18 uh,

1:41:19 researched,

1:41:19 I,

1:41:19 I,

1:41:20 I came across a very interesting case in

1:41:22 Suzhou,

1:41:23 uh,

1:41:23 uh,

1:41:24 mainland China.

1:41:25 It's a very,

1:41:25 uh,

1:41:26 uh,

1:41:27 it's developing very fast uh

1:41:29 place,

1:41:29 and

1:41:31 They introduced uh PPP,

1:41:34 uh,

1:41:34 uh,

1:41:35 public,

1:41:36 private partnership

1:41:38 in

1:41:39 developing some,

1:41:39 uh,

1:41:40 re recycling.

1:41:42 Uh,

1:41:42 uh,

1:41:43 uh,

1:41:44 plant,

1:41:44 a very,

1:41:45 uh,

1:41:45 sizable,

1:41:46 uh,

1:41:46 recycling plant.

1:41:48 But we know PPP has some,

1:41:50 uh,

1:41:50 shortcomings,

1:41:51 for example,

1:41:52 long negotiated time.

1:41:53 At the very beginning,

1:41:54 uh,

1:41:55 you

1:41:55 argue for,

1:41:56 uh,

1:41:57 a concession.

1:41:58 Uh,

1:41:58 uh,

1:41:59 contract that,

1:42:00 uh,

1:42:00 based on very limited information,

1:42:02 right?

1:42:03 So,

1:42:03 um,

1:42:04 and on the way,

1:42:05 uh,

1:42:05 when it is delivers,

1:42:07 uh,

1:42:07 a lot of the risk averse and some other

1:42:09 issues.

1:42:10 But in this case,

1:42:11 uh,

1:42:11 they have,

1:42:12 uh,

1:42:13 several innovations

1:42:14 in developing this,

1:42:16 uh,

1:42:16 PPP.

1:42:17 For example,

1:42:17 they

1:42:18 introduced,

1:42:19 uh,

1:42:19 kind of a relational contract.

1:42:22 Without having to

1:42:23 negotiate

1:42:25 a very rigid uh contractor from the very beginning.

1:42:29 So they have like 15 years.

1:42:32 Uh,

1:42:33 15 years framework,

1:42:34 but every 3 years,

1:42:36 They,

1:42:37 they review the business

1:42:39 and then determine the concession terms.

1:42:42 So,

1:42:42 uh,

1:42:43 through this way,

1:42:44 uh,

1:42:44 both parties,

1:42:45 the private sector and the public sectors,

1:42:47 OK,

1:42:48 can be,

1:42:48 uh,

1:42:49 uh,

1:42:49 uh,

1:42:49 uh,

1:42:50 guaranteed a certain

1:42:51 level of uh profitability.

1:42:54 And also,

1:42:55 they,

1:42:55 uh,

1:42:57 introduce,

1:42:58 uh,

1:43:00 Uh,

1:43:00 kind of,

1:43:01 kind of a guarantee the minimal,

1:43:02 uh,

1:43:03 supply of CD waste.

1:43:04 Interesting.

1:43:05 Uh,

1:43:06 lots of plants,

1:43:07 they,

1:43:08 they need to have a sufficient

1:43:10 CD waste supply

1:43:12 to,

1:43:13 to achieve the so-called scale of economy,

1:43:15 right?

1:43:16 So in this PPP they also,

1:43:18 the,

1:43:18 the,

1:43:18 the public sector also guarantee this aspect.

1:43:22 OK.

1:43:22 And then they also introduced some other innovations,

1:43:26 for example,

1:43:26 to

1:43:27 have a trans transparent information sharing,

1:43:30 and so on and so forth.

1:43:32 So I,

1:43:33 I published this in a,

1:43:34 in a paper.

1:43:35 I,

1:43:36 I found that that's quite interesting.

1:43:39 Thank you so much for sharing this.

1:43:40 Um,

1:43:42 maybe uh we're,

1:43:42 we're running a little bit,

1:43:44 uh,

1:43:44 low on time,

1:43:45 but I want to give,

1:43:46 uh,

1:43:46 Solomon the,

1:43:47 the chance to also chime in into this discussion and to address some

1:43:51 coordination challenges from,

1:43:53 from her experience

1:43:54 that might be interesting and,

1:43:56 and important to know in this,

1:43:57 in this international conversation here.

1:44:02 I've I've still got so much to,

1:44:04 to talk about,

1:44:04 but,

1:44:05 um,

1:44:05 if we talk about the,

1:44:06 the,

1:44:06 the collaboration between the public and the private sector.

1:44:10 Uh,

1:44:10 in my opinion,

1:44:11 and also what I hear from the market is that it's,

1:44:13 it would be very nice to have clear regulation.

1:44:16 So we have this dot on the horizon that we want to be fully circular in 2050,

1:44:20 but working backwards,

1:44:21 what that does that actually mean?

1:44:24 And um how can

1:44:25 we make sure that companies develop or innovate in the right direction

1:44:29 and they don't hear a different story like two years from now.

1:44:32 So they want some security,

1:44:34 uh,

1:44:34 of,

1:44:35 um,

1:44:36 Yeah,

1:44:36 where this is gonna go.

1:44:37 So I think regulations are very important and uh even

1:44:40 though our national government is a little bit slow,

1:44:43 we think,

1:44:44 uh,

1:44:44 the,

1:44:45 the businesses collaboratively are actually sometimes requesting this,

1:44:48 so they're actually

1:44:49 pushing the national government for clear regulations

1:44:52 that

1:44:52 Maybe start

1:44:53 at a level where it's fairly easy to implement,

1:44:56 but they know that it will be

1:44:58 sort of the thumb screws will be turned on

1:45:00 and they will know that it's going to be stricter,

1:45:04 so they will know what is going to be expected from them a couple of years from now.

1:45:08 Um,

1:45:10 also,

1:45:10 I would like to mention costs

1:45:12 because obviously in some cases,

1:45:14 uh,

1:45:14 the costs are higher,

1:45:15 especially when new,

1:45:16 uh,

1:45:17 solutions are being implemented or at least

1:45:19 there's insecurity that could implicate extra costs.

1:45:23 In practice,

1:45:23 this does not always have to be the case.

1:45:25 But what we do know is that if you're looking at individual pro uh products

1:45:29 or,

1:45:30 or individual companies in this enormous value chains,

1:45:34 they can have higher costs,

1:45:35 but if you look at the total,

1:45:38 The picture looks

1:45:39 or can look very different,

1:45:42 especially,

1:45:42 and I think this is very key,

1:45:43 and this is actually a very important lobby

1:45:46 point for us.

1:45:48 We believe that we pay

1:45:51 less or not enough for materials,

1:45:53 so we don't pay for the externalities,

1:45:56 we don't pay for the extra costs.

1:45:59 So the level playing field is in the current situation

1:46:02 very difficult or it can be difficult to achieve.

1:46:05 So we think.

1:46:06 That labor should become cheaper and materials should become more

1:46:10 expensive because actually the circular economy requires a lot more people

1:46:15 to facilitate that,

1:46:16 to make that work.

1:46:17 And uh given the corona crisis,

1:46:19 we actually,

1:46:20 uh,

1:46:21 we have a lot of people that are,

1:46:22 that can't work at the moment that are not sure of their jobs in the near future.

1:46:26 So it,

1:46:27 it,

1:46:27 it could really be a win-win situation,

1:46:29 but if we try to solve everything

1:46:31 within,

1:46:32 as we say,

1:46:32 the Linear economy within the linear economy rules,

1:46:36 it's,

1:46:36 it's being made difficult for us.

1:46:37 So

1:46:38 there's this couple of big

1:46:40 wheels to turn,

1:46:41 whether it's um

1:46:42 national,

1:46:43 we prefer that to be done on a European level.

1:46:46 Uh,

1:46:46 that would be wonderful and could be really a massive game changer

1:46:50 because until then

1:46:52 I believe that we're doing

1:46:54 small optimizations,

1:46:56 but we really require a big transition.

1:46:59 And uh if we don't go into that big transition,

1:47:02 if it's not gonna hurt,

1:47:03 if it's gonna stay

1:47:04 pleasant and innovative and

1:47:07 nice,

1:47:08 uh,

1:47:08 we're not gonna make the goals we set ourselves,

1:47:11 so um we've got a lot of work to do.

1:47:14 That's a wonderful,

1:47:15 uh,

1:47:16 way to end this panel

1:47:18 on this note.

1:47:19 Um,

1:47:19 I,

1:47:19 I want to,

1:47:20 um,

1:47:21 thank all of you for,

1:47:22 for,

1:47:23 um,

1:47:23 adding these,

1:47:24 your,

1:47:25 your perspectives.

1:47:26 And I,

1:47:26 and I think the reason why this is so important for us is that,

1:47:29 uh,

1:47:29 um,

1:47:30 going back to,

1:47:31 to Carol's introduction,

1:47:32 that we,

1:47:33 I think now,

1:47:34 in the last years,

1:47:34 we really figured out what is this paradigm shift.

1:47:37 Um,

1:47:38 where,

1:47:38 where do we want to go?

1:47:39 What we don't know,

1:47:40 in my opinion,

1:47:41 is what do we do locally tomorrow,

1:47:43 right?

1:47:44 And so this exchange of ideas,

1:47:46 how we can implement,

1:47:48 what,

1:47:48 what,

1:47:48 what could be the next steps,

1:47:50 uh,

1:47:50 in enabling

1:47:51 a circular transition.

1:47:53 Um,

1:47:53 I think this,

1:47:54 this sharing is,

1:47:55 is so important to now move this big idea,

1:47:57 this paradigm shift locally

1:47:59 forward.

1:48:00 Um,

1:48:01 and with that,

1:48:02 I'm gonna

1:48:03 turn it back to

1:48:04 Nay.

1:48:05 Thank you so much.

1:48:08 Thank you again for this really interesting and dynamic discussion.

1:48:12 We could already see some cross-sectoral partnership and intersection

1:48:16 among the panelists,

1:48:17 which is really

1:48:19 uh the key to

1:48:20 finding and co-creating

1:48:22 the meaningful solutions as,

1:48:24 as,

1:48:24 as Monika and

1:48:25 other panelists have mentioned.

1:48:27 I'd like to,

1:48:28 uh,

1:48:29 uh,

1:48:29 I'd like for us to move on to

1:48:32 the next.

1:48:34 Uh,

1:48:34 panel,

1:48:35 open panel discussion.

1:48:37 And Q&A session.

1:48:39 Robert again has uh

1:48:41 uh generously offered to moderate this session.

1:48:44 Here,

1:48:44 we'd like to give Robert and the audience the

1:48:47 opportunity to raise additional questions and topics that they

1:48:51 That may not have been uh covered in the previous panel discussions.

1:48:55 If you,

1:48:55 the audience has any questions,

1:48:57 uh,

1:48:58 to any of the panelists,

1:48:59 please raise them now.

1:49:01 Uh,

1:49:01 Robert,

1:49:01 do you have any pending questions,

1:49:02 uh,

1:49:03 for one or,

1:49:03 uh,

1:49:04 several,

1:49:04 uh,

1:49:04 panelists?

1:49:05 Uh,

1:49:05 please

1:49:06 also keep in mind that this session is,

1:49:08 um,

1:49:09 is,

1:49:09 uh,

1:49:10 actually was scheduled for 15 minutes,

1:49:12 but now we have,

1:49:12 uh,

1:49:13 a little bit less time,

1:49:14 uh,

1:49:15 so a bit shorter than the previous two panels.

1:49:18 Sure.

1:49:19 Thank you again,

1:49:19 Nay,

1:49:20 for the introduction and uh

1:49:22 we'll try and cover some

1:49:25 great distance and questions here in the next 7 minutes that we have,

1:49:28 um,

1:49:28 at least to get the conversation started.

1:49:32 Uh,

1:49:32 maybe the first one is just a follow-up,

1:49:34 uh,

1:49:34 uh,

1:49:34 from,

1:49:35 uh,

1:49:35 the audience for Eric,

1:49:37 uh,

1:49:37 Bourdon and Vica,

1:49:38 and

1:49:40 it's a little bit of a building on the conversation that we had.

1:49:43 In terms of more drastic

1:49:45 um

1:49:46 acceleration towards the long term

1:49:49 goals and objectives,

1:49:51 um,

1:49:52 I don't,

1:49:53 I,

1:49:53 I don't really wanna call it an incremental approach today because a lot of

1:49:57 arduous work has been done,

1:49:59 but what could be done to really,

1:50:02 you know,

1:50:02 make a step change in transforming the supply and,

1:50:06 and value chains in,

1:50:07 um,

1:50:08 in our sectors.

1:50:09 Hm.

1:50:11 Um,

1:50:12 so it's clear that we,

1:50:13 we,

1:50:13 we need

1:50:16 a fair level playing.

1:50:18 This is very important in order to facilitate,

1:50:21 let's say,

1:50:21 the.

1:50:23 Actions for the

1:50:26 people who are keen to make some progress because there

1:50:29 are a lot of risks that this has been addressed

1:50:32 and so it's very important to create an area where we can play

1:50:39 properly and safely

1:50:42 because there are a lot,

1:50:43 a lot of risks.

1:50:44 If we talk about

1:50:46 the Europe,

1:50:48 the European community

1:50:50 today we are under discussion the cross-border adjustment mechanisms,

1:50:56 and this is something which will most probably help

1:51:01 to protect this market

1:51:03 as far as the WTO allows it,

1:51:06 of course,

1:51:07 but this is very important to be able to do that.

1:51:10 Uh,

1:51:11 on top of that or in parallel if we cannot obtain this cross-border adjustment

1:51:17 mechanism,

1:51:18 it means that we have from the

1:51:22 public command to have some visibility.

1:51:26 On volumes

1:51:27 and maybe uh to uh to fix,

1:51:29 uh,

1:51:29 you know,

1:51:30 a carbon price thanks to

1:51:32 a system like uh carbon contract for different

1:51:35 or things like that that that would help

1:51:38 for sure.

1:51:38 OK,

1:51:39 great,

1:51:40 thank you.

1:51:40 I think that's,

1:51:41 uh,

1:51:42 clearly an important,

1:51:43 uh,

1:51:44 consideration and,

1:51:44 and I guess building on that there's another question here.

1:51:48 In regards to

1:51:50 the,

1:51:50 the role of government and state owned enterprises in uh moving the needle

1:51:57 on,

1:51:57 on uh the global

1:51:59 circular economy and as it relates to construction

1:52:01 and maybe I'll turn that question to,

1:52:04 to Andrew,

1:52:05 uh,

1:52:05 given your,

1:52:06 your work with um various state-owned enterprises around the world and,

1:52:10 and governments.

1:52:12 So,

1:52:12 what do you think is the role and,

1:52:14 and um

1:52:15 how,

1:52:16 how should

1:52:17 we help shape that as both the World Bank and,

1:52:19 and more broadly?

1:52:23 I think,

1:52:24 uh,

1:52:24 it's got a significant role.

1:52:26 Um,

1:52:26 I go back to something I said earlier,

1:52:28 uh,

1:52:28 in terms of the paradigm of there's a production and it's the consumption.

1:52:31 They have a role at both ends of that.

1:52:33 So on the consumption end,

1:52:34 they have a role in the,

1:52:35 in the building regulations,

1:52:37 um,

1:52:38 and,

1:52:38 uh,

1:52:38 and how the building regulations are established to ensure that this performance

1:52:43 is not compromised,

1:52:44 so the fire resistance isn't compromised,

1:52:46 the durability is not compromised.

1:52:48 But there's,

1:52:49 within the building regulations

1:52:50 and the planning,

1:52:51 there's some onus on

1:52:53 how much materials being used,

1:52:55 bringing in material efficiency

1:52:57 in the building code system,

1:52:58 I think can do a lot

1:53:00 to,

1:53:01 to narrow the flow in the circular economy,

1:53:04 to narrow the flow.

1:53:05 Building regulations have a role and planning.

1:53:08 In the production side,

1:53:09 I think there's a key aspect,

1:53:10 um.

1:53:12 In terms of the cement and concrete industry,

1:53:14 um,

1:53:15 in,

1:53:15 uh,

1:53:15 in enabling and equipping access

1:53:18 to,

1:53:18 uh,

1:53:18 waste materials

1:53:20 from other industries,

1:53:21 um,

1:53:22 in,

1:53:22 in order to,

1:53:23 uh,

1:53:23 get

1:53:24 a hard demolition waste

1:53:26 not being landfilled.

1:53:27 We know that Japan,

1:53:29 Netherlands,

1:53:30 UK,

1:53:30 they've got policies

1:53:31 which mean that hard demolition waste isn't going to landfill,

1:53:34 it's coming back into the construction cycle.

1:53:37 So we know it's possible.

1:53:38 You need to have the right regulations and planning and,

1:53:41 and,

1:53:41 and Eric mentioned those before.

1:53:43 Sure,

1:53:43 yeah,

1:53:44 and,

1:53:44 and I think that those are

1:53:46 certainly,

1:53:47 um,

1:53:47 areas that also World Bank can help shape with sort

1:53:50 of policy frameworks and making sure that those pillars that,

1:53:53 uh,

1:53:54 support the entire,

1:53:55 uh,

1:53:55 circularity are,

1:53:56 are there in place and maybe on that note in terms of performance and building codes

1:54:01 turn it to,

1:54:02 to Salome,

1:54:03 um.

1:54:04 And,

1:54:05 and you talked a lot about the the materials passports

1:54:08 and sort of uh collaborating across the value chain,

1:54:12 uh,

1:54:12 and I know your perspective is,

1:54:13 uh,

1:54:14 from,

1:54:14 from the demand side as it were,

1:54:16 is a little different perhaps than the supply side,

1:54:18 but without getting into

1:54:20 to perhaps too much of a controversial topic,

1:54:23 like what is your view on,

1:54:25 on,

1:54:26 um.

1:54:27 Maintaining the quality of building materials as

1:54:30 we move to new business models and,

1:54:32 and sort of that performance that Andrew is mentioning

1:54:35 and how do you think about that in,

1:54:36 in the passports and uh

1:54:38 and,

1:54:39 and the overall performance of the construction sector.

1:54:44 Um,

1:54:44 yeah,

1:54:44 let me say that we as a local government are only just one of the many players,

1:54:49 as mentioned before in the entire sector.

1:54:51 Um,

1:54:52 I'm actually not too worried about,

1:54:53 uh,

1:54:54 the building

1:54:55 materials quality.

1:54:56 I know that it's

1:54:58 very,

1:54:58 um,

1:54:59 um,

1:54:59 scary maybe sometimes to do new things or to try new things,

1:55:03 but it doesn't mean

1:55:04 that,

1:55:05 uh,

1:55:05 the quality of the materials actually implicated.

1:55:08 One of the massive green deals that we uh just closed regionally end of last year is a,

1:55:14 is a building in wood.

1:55:15 Uh,

1:55:16 agreement,

1:55:17 uh,

1:55:17 and in some cases,

1:55:18 Carol showed a picture in his presentation.

1:55:21 We built one of the,

1:55:22 or maybe even the biggest

1:55:24 high-rise

1:55:25 building in woods in the Netherlands,

1:55:27 uh,

1:55:27 last year.

1:55:28 So this is a,

1:55:29 let's say a traditional material,

1:55:31 uh,

1:55:31 that we're going to reintroduce,

1:55:33 um,

1:55:34 uh,

1:55:34 and,

1:55:36 and we still have questions but that can be,

1:55:37 uh,

1:55:37 researched.

1:55:38 Um,

1:55:39 so I think the most important thing is to

1:55:41 Not be afraid to try out new things.

1:55:44 Um,

1:55:44 make sure that the quality checks are there.

1:55:46 I think certification is gonna be a massive,

1:55:49 um,

1:55:50 a theme,

1:55:51 not only for new products but also for for secondary products.

1:55:55 If you're gonna reuse products,

1:55:56 how do you know that it,

1:55:58 it can,

1:55:59 if the quality is high enough,

1:56:00 if it's fitting in your building for the coming 50

1:56:03 or 100 years even and who's gonna take that responsibility?

1:56:06 Um.

1:56:08 Sometimes we use traditional materials that we already

1:56:11 know or we have to bring back the,

1:56:13 uh,

1:56:13 the knowledge and the information,

1:56:15 but it doesn't mean that we should not,

1:56:17 uh,

1:56:17 try it and,

1:56:18 um,

1:56:19 as mentioned before,

1:56:20 I think we should be looking at

1:56:22 the,

1:56:22 the total.

1:56:23 Range of costs and benefits

1:56:25 and if you add them all up,

1:56:27 um,

1:56:28 I,

1:56:28 I believe that uh the building materials of the future might be

1:56:32 fairly easily different than the ones we're using at the moment.

1:56:36 Um,

1:56:37 so,

1:56:37 uh,

1:56:37 yeah,

1:56:37 thank you.

1:56:38 Well,

1:56:39 thank you for that perspective.

1:56:40 I think that's uh brings up some interesting points and,

1:56:43 and maybe on that note we'll

1:56:44 move to,

1:56:46 um.

1:56:48 To Monica with a question in

1:56:50 picking up a little bit on this theme and extending it to your comments on

1:56:56 that collaboration across the Valley chain and the partnering and,

1:56:59 and how do,

1:57:00 do different stakeholders across the Valley chain cooperate and

1:57:05 If you can take the,

1:57:06 the Danish,

1:57:07 uh,

1:57:08 experience and,

1:57:08 and let's try and translate it into the developing economies,

1:57:12 uh,

1:57:12 where a lot of this work will happen and Franco,

1:57:15 a lot of the construction materials will be consumed in the next 50 years,

1:57:18 most of them,

1:57:19 the vast majority I would even say.

1:57:21 What would be your recommendation and some of the key points that,

1:57:24 that you would want to see included in,

1:57:27 in shaping the construct the circular construction economy and

1:57:31 based on the cooperation in,

1:57:32 in the developing world.

1:57:36 Not not to unpacking that question,

1:57:38 but let's let's see if we can do that.

1:57:40 Yes,

1:57:40 there's a lot of things to tackle in,

1:57:42 in,

1:57:42 in a short time,

1:57:42 but I would definitely say.

1:57:44 Or at least proposed to designing for,

1:57:47 for circularity from the start and from the beginning.

1:57:49 So with all of these emerging business models,

1:57:51 I would go through every part of the,

1:57:54 the business model to actually see

1:57:55 where can we improve,

1:57:56 where could we look into,

1:57:58 for example,

1:57:58 the,

1:57:59 the supply,

1:58:00 the distribution,

1:58:01 if you go into the start of life cycle,

1:58:03 if you go into the product life,

1:58:05 see how can you design for

1:58:07 disassembly,

1:58:07 modular design,

1:58:09 think.

1:58:09 About how you can actually

1:58:11 look into both when creating buildings,

1:58:13 when creating secondary buildings,

1:58:16 when creating systems,

1:58:17 modular.

1:58:18 Think about modularity,

1:58:19 think about design for disassembly.

1:58:21 Think about how can we repair,

1:58:23 repair,

1:58:23 reuse.

1:58:24 So we can like prolong the whole extending uh the product phase and extend that

1:58:31 for as long as possible.

1:58:32 And then also design for For the end of life and look into

1:58:36 how can we,

1:58:37 if not,

1:58:38 uh,

1:58:39 keeping it in the product phase,

1:58:40 how can we actually

1:58:41 design for,

1:58:42 for,

1:58:43 for,

1:58:44 for new use and,

1:58:45 and,

1:58:45 and reuse and upcycling.

1:58:47 So,

1:58:47 so there are,

1:58:48 I think there's so many ways to,

1:58:49 to actually

1:58:50 both map out and design new systems and new business models within this,

1:58:54 look into leasing models.

1:58:56 Do we actually

1:58:57 need to own everything.

1:58:58 Things.

1:58:59 So,

1:58:59 so there's a lot of emerging business models

1:59:01 already out there where also technology helps.

1:59:04 And then I think establishing partnerships,

1:59:07 not only between public sector but

1:59:09 actually talking about the challenge that Salome and I are actually part of both

1:59:13 is establishing a partnership across cities.

1:59:16 So we have Amsterdam,

1:59:17 Copenhagen,

1:59:17 Toronto,

1:59:18 New York,

1:59:19 and Glasgow working together on enabling digital and data-driven solutions.

1:59:23 For circular cities

1:59:25 on that point,

1:59:26 how could you,

1:59:27 so those cities,

1:59:28 they're great,

1:59:29 they read like cosmetic,

1:59:30 you know,

1:59:31 labels type of thing,

1:59:32 right,

1:59:32 like New York,

1:59:33 Tokyo type of thing.

1:59:34 But in the developing world,

1:59:36 how do you extend relationships and if you can take

1:59:38 just 30 seconds to tell how you translate that experience

1:59:41 into the emerging frontier

1:59:44 markets which have

1:59:45 very different realities

1:59:47 than the developed world.

1:59:50 It's a super good question.

1:59:51 I would definitely think that this,

1:59:53 that,

1:59:53 the,

1:59:53 the collaboration model would also work

1:59:56 everywhere,

1:59:56 so also in the developing countries.

1:59:58 I think,

1:59:59 uh,

1:59:59 great actors and players like the World Bank and,

2:00:02 and,

2:00:02 and,

2:00:02 and other organizations can help support these collaborations

2:00:06 and actually establish that infrastructure of collaborating together and across

2:00:10 countries and cities and private sector as well.

2:00:13 So I think

2:00:14 it's definitely also inviting people in.

2:00:18 Into this collaboration because there's no doubt that the skills are there,

2:00:21 uh,

2:00:22 the materials and all,

2:00:23 uh,

2:00:23 heritage is there,

2:00:24 and as Salomemi also said,

2:00:26 many of the developing countries are actually much more

2:00:29 circular in their,

2:00:31 in their practice,

2:00:31 uh,

2:00:32 uh,

2:00:32 than we are in,

2:00:33 in,

2:00:33 in the so-called first world countries.

2:00:36 Sure,

2:00:36 great.

2:00:37 Well,

2:00:37 thank you so much for that additional perspective,

2:00:39 and,

2:00:40 and I hate to cut off this conversation again,

2:00:42 as I said several times,

2:00:43 we can continue this forever,

2:00:45 very interesting and.

2:00:46 And I think on that note we've had a fantastic uh panel,

2:00:50 uh,

2:00:51 two panels today,

2:00:52 and touched on a lot of very interesting,

2:00:55 uh,

2:00:56 topics that is,

2:00:56 is really,

2:00:58 I mean this is really a point of departure,

2:01:00 uh,

2:01:00 although we've

2:01:01 as an industry departed,

2:01:02 uh,

2:01:03 a long time ago on this topic,

2:01:05 but this,

2:01:06 this webinar hopefully

2:01:07 uh sets the stage to continue a conversation

2:01:09 across industry and across sort of national borders

2:01:12 and stakeholders.

2:01:14 Uh,

2:01:14 so thank you everybody for,

2:01:16 for your,

2:01:16 uh,

2:01:17 uh,

2:01:17 insights today and your,

2:01:19 um,

2:01:20 your,

2:01:20 uh,

2:01:21 your,

2:01:21 uh,

2:01:21 perspectives.

2:01:22 Um,

2:01:23 and that note,

2:01:24 I'll hand it,

2:01:25 uh,

2:01:25 over to

2:01:27 Nayun again to wrap up this,

2:01:29 uh,

2:01:29 webinar and,

2:01:30 and thanks everybody for your,

2:01:32 your inputs.

2:01:35 Thank you,

2:01:35 Robert.

2:01:36 Very good questions and responses,

2:01:38 uh,

2:01:38 of course,

2:01:38 and these questions,

2:01:39 uh,

2:01:40 that Robert uh posed,

2:01:41 uh,

2:01:41 kind of integrated some of the questions that were posed in the Q&A,

2:01:45 uh,

2:01:45 section.

2:01:46 So I hope and,

2:01:47 and,

2:01:47 I'm quite sure that our audience and perhaps even

2:01:50 our expert panelists

2:01:52 have learned a lot today.

2:01:53 I must have really enjoyed and learned

2:01:55 a lot from the discussion today.

2:01:57 Uh,

2:01:57 please note that this session is being,

2:01:59 uh,

2:02:00 has been recorded and will be available at some point next week,

2:02:03 uh,

2:02:03 on the Learning Series dedicated website.

2:02:05 If you want to revisit any of the points made during our discussion,

2:02:09 we'll post that,

2:02:10 uh,

2:02:10 website link.

2:02:14 Um,

2:02:15 and

2:02:17 As we close out this 9th session of the learning series,

2:02:20 I'd like to introduce Etienne Kuchian to give a few closing remarks.

2:02:25 Etienne works for Markets and Technology unit in the finance,

2:02:29 Competitiveness and Innovation Global Practice,

2:02:31 leads green competitiveness work at the World Bank,

2:02:34 which looks at green and resilient approaches

2:02:37 to spar industry-led growth in partner countries.

2:02:43 Etienne

2:02:56 And you might be on uh on mute.

2:03:05 Oh yes,

2:03:06 sorry.

2:03:07 There it is.

2:03:07 Uh,

2:03:08 I wanted to really thank the,

2:03:09 the,

2:03:09 the panelists and,

2:03:10 uh,

2:03:11 the moderators,

2:03:11 Felix and,

2:03:12 and Robert for,

2:03:13 um,

2:03:14 participating today and also for Nayyo and,

2:03:16 uh,

2:03:17 uh,

2:03:17 and the team for organizing the session.

2:03:20 Um,

2:03:20 I want to highlight that this is,

2:03:21 um,

2:03:22 a session that was organized with the

2:03:24 International Finance Corporation and the energy team.

2:03:27 And I think it's important because um us

2:03:30 as the finance Competitive and innovation Global Practice,

2:03:33 we're bringing together a very um climate but also competitiveness focus on,

2:03:38 on this uh webinar.

2:03:40 And as uh Sabina mentioned in the beginning,

2:03:43 this has to be private sector-led,

2:03:44 but I can see from this,

2:03:46 uh,

2:03:46 webinar

2:03:47 and also from information that we've,

2:03:49 uh,

2:03:49 experienced in,

2:03:50 in developing countries,

2:03:51 we're still quite a bit,

2:03:52 uh,

2:03:53 away from,

2:03:53 um,

2:03:54 from actually,

2:03:55 uh,

2:03:55 tilting the needle in,

2:03:56 in the direction of circular economy.

2:03:59 Um,

2:03:59 I noticed that also a lot of the solutions are there already,

2:04:02 um,

2:04:03 and,

2:04:03 but

2:04:03 from what,

2:04:04 uh,

2:04:05 you know,

2:04:05 uh,

2:04:06 Monica and Salome mentioned,

2:04:09 there's a need for further collaboration and digitalization throughout

2:04:13 the value chain so that we have enough information to

2:04:15 restructure it in a way that is more circular.

2:04:18 We can see that there's still a lot of,

2:04:20 uh,

2:04:20 you know,

2:04:21 existing methods of,

2:04:22 uh,

2:04:23 of,

2:04:23 of producing both upstream and downstream.

2:04:26 And connecting these to make a really

2:04:28 uh circular solution for the industry

2:04:30 is still,

2:04:31 uh,

2:04:32 quite a bit away.

2:04:32 I think the opportunity is humongous,

2:04:34 right?

2:04:34 I mean,

2:04:35 we're talking,

2:04:36 uh,

2:04:36 as I mentioned,

2:04:37 the,

2:04:37 the,

2:04:37 the rate of urbanization,

2:04:39 the,

2:04:39 um,

2:04:40 uh,

2:04:41 the,

2:04:41 the,

2:04:41 the construction industries,

2:04:43 uh,

2:04:44 um,

2:04:44 impact on the,

2:04:45 on the emissions.

2:04:46 Uh,

2:04:46 these are really

2:04:47 huge numbers and we're just scratching the surface in terms of what can be done.

2:04:51 Um,

2:04:52 again,

2:04:52 I'm really excited about the potential of the World Bank and the IFC have,

2:04:56 uh,

2:04:56 have in this space.

2:04:57 We're also

2:04:58 just getting started,

2:04:59 unfortunately,

2:05:00 a bit late in the game,

2:05:01 I must admit myself.

2:05:03 Um,

2:05:03 but,

2:05:04 uh,

2:05:04 learning from what has already been done and trying

2:05:06 to translate it as we've done in the session to

2:05:09 the,

2:05:09 the countries that we work,

2:05:10 there is an opportunity

2:05:12 because of the great increase in construction in some of our Countries,

2:05:15 not just make the same mistakes that have been done in terms of,

2:05:19 uh,

2:05:19 you know,

2:05:20 the embedded emissions and other types of environmental issues

2:05:23 associated with the construction industry,

2:05:25 uh,

2:05:25 and to,

2:05:25 to kind of do it better from the beginning so that

2:05:27 we don't suffer the same consequences further down the line,

2:05:30 and we have to do this hand in hand with the private,

2:05:32 the private sector,

2:05:34 the researchers,

2:05:34 the universities,

2:05:35 the academic institutions,

2:05:37 and other actors.

2:05:37 In the sector.

2:05:38 The dyna dynamism of this sector forces us all to

2:05:41 work together to come up with a common solution.

2:05:44 And uh again,

2:05:44 I'm very excited to kind of take this journey,

2:05:46 um,

2:05:47 with everyone,

2:05:48 uh,

2:05:48 here,

2:05:49 um,

2:05:49 as we move forward.

2:05:50 Um,

2:05:51 that's it from my end and thank you so much for joining.

2:05:53 Please join us for the next session,

2:05:55 uh,

2:05:55 focused on food and then eventually on also on,

2:05:58 on wood and,

2:05:59 and furniture processing.

2:06:01 Um,

2:06:01 and we,

2:06:02 yeah,

2:06:02 I look forward to,

2:06:03 to having you all there.

2:06:04 Thank you so much.

2:06:07 Thank you,

2:06:07 I did.

2:06:07 Thank you all,

2:06:08 panelist.

2:06:09 Thank you so much.

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transcript
Good morning. Good afternoon. Good evening to all of our attendees who are joining us today from around the world. My name is Nai Yun Xin. I'm a senior consultant with the World Bank Group working on green Competitiveness agenda, including the topics related to the circular economy. I'd like to welcome all of you to the 9th session of our learning series on the circular economy and private sector development. Today, we'll be focusing on the construction industry. And how circular economy solutions look like across the complex construction value chain, what has been done, what technologies and solutions are available, and how we might be able to facilitate the transition towards circular construction with well-designed policies, regulations, products, technologies, and business models. Previous sessions from this learning series have covered A wide range of topics including textiles, plastics, digital technologies, finance, and others. And future session we'll explore circularity in the food and agriculture systems. In case you didn't have a chance to join our previous sessions, we'd like to encourage you to visit our dedicated website where recordings and materials from previous sessions are available. I'd like to um quickly share and run through the agenda for today. As you will see, we have a fantastic and dynamic set of experts and speakers whom I will introduce in more detail later on. After opening remarks, we'll have the first presentation that will focus on the overall landscape of the circular economy model, applied to the construction industry value chain, and briefly go through opportunities and challenges that we will discuss during our panel discussion today. The first panel will leverage the perspective of industry associations, businesses, and academics who are already engaged in circular construction. We'll focus on some readily available technologies, innovations, and business models that these industries are adopting to integrate the circular economy approach and what impacts these technologies and businesses solutions can have on the decarbonization of the construction material manufacturing sectors. Uh, especially focusing on the cement and concrete sectors and those operating in developing countries. The second panel will leverage the expertise of researchers and practitioners. We'll discuss the bigger picture and how to create the ecosystem, partnership, demand, and markets for circular construction. If you, the audience have questions, please use the Q&A function to post them. We'll try to cover as many questions as possible in the open panel discussion and Q&A session later. Finally, uh, before, um, giving, uh, the word to our first two speakers, I'd like to thank my colleague, John Anagnosto, Evan Jacques, uh, Li Thu, Marek Stennek, uh, Steck, uh, Nidal Mahmoud, Zina, Gemma Vivas, uh, Dari Carranta, Ein Kuician, and IT specialists for all their help in putting this session together. With that said, I'd like to introduce our first two speakers, Demetrios Papathanasio and Sabin Clark. Doctor Papathanasio is the World Bank Group Global Director at Energy and Extractives Global Practice. Demetrios has worked for more than 20 years with the World Bank on Energy and Infrastructure in Africa, Latin America, Asia, and many other regions. He was responsible for a portfolio of more than $10 billion has contributed to developing energy policies in several countries, and worked extensively to increase renewable energy projects around the globe. He holds a PhD in Energy and the Environment from Imperial College in London, UK. Sabin Shaurk is Manager at the Global manufacturing and distribution finance at the International Finance Corporation, a member of the World Bank Group that focuses on private sector development in developing countries. She worked globally on complex infrastructure investments and as the global head of manufacturing in IFC's manufacturing, agribusines. And Services department Sabin leads a diverse team responsible for IFC investments in the manufacturing sector. Prior to joining the IFC, she worked in a commercial bank in Germany and holds a master's and PhD in Economic geography and Economics from the University of Hanover, Germany, Demetrius. Thank you very much, Nayon, and uh good evening in Asia. Good afternoon in Europe. Good morning here in uh in the Americas. Uh, first of all, let me thank you for inviting me to, to open uh this session. And let me start by uh trying to uh lay down why this is really so important for us in the World Bank and why we think that the circular economy, and especially in construction is an area where we need to be focusing more. And uh I would really like to thank all the specialists that are joining our panels and contributing their knowledge and experience. Uh, so we're working hard actually these very days on updating the World Bank's climate change action plan. And we're looking hard at how we can help countries towards a low carbon pathway and how can we assist the world as we're moving towards a net zero by mid-century or earlier if possible. And clearly one of the hardest areas of the economy to decarbonize is on construction. Iron, steel, concrete are major contributors of CO2 emissions because of the way they're produced. And they are also a very significant part of the economy everywhere where we work in the developing world. Construction industry is a key driver of economic growth in developing countries. It provides millions, probably hundreds of millions of jobs, uh, directly and indirectly around the world, and it is, um, and it is the motto of growth. So, whatever we can do to lower the intensity of carbon emissions in the construction industry is necessary if the world can meet Paris Agreement targets. I think I can see a lot of prospect and uh I'm optimistic about what can be done in changing the fuel in construction industry. Uh, we know, for instance, that there's already uh major construction equipment, um, trucks and excavators that are able to run already on hydrogen, and this is really very encouraging. But, uh, it is much harder to think how we can expand the concepts of circular economy. With the bulk material such as concrete and iron. These are really difficult areas, uh, and extremely sensitive in the economics for the jobs and for politicians. So this is why we are extremely interested in finding out new ways to think about these challenges. Uh, and I'm really looking forward to hearing ideas and experiences that we have, uh, with all the experts in the panel. About how we can help our countries with advice, with policies, uh, so that they can move faster into modernizing the way they do construction and, uh, in reducing the waste that is still enormous across the industry. So thank you again for having me. Thank you for joining, uh, this event and looking forward to the conversations. Thank you. So, uh, good morning, good afternoon, good evening, uh, all around. Um, so I, I'm also very excited to be part and opening up this session on circular economy in the construction industry. And I think the private sector has to play a major role in finding solutions in all value chains, and construction materials are challenging as it is such a vast sector, depending on commodities which are usually produced at scale and solutions need to be at scale, and they also are used in local markets. Construction materials are not easily to be transported and go that easily from one place to another. And there are many, many private sector players along the value chain. So that makes it really hard to find the right place of where interventions have to be. However, at the core of circular economy solutions is behavioral change. And that at the corporate level. We need commitment from companies to make this change and incorporate circular economy principles and their strategies into their core strategies and as part of their core business, not in corporate social responsibility. So new technologies alone, alternative materials cannot be the whole game. Corporate cultures and leadership is absolutely key at the core at the company levels. So in construction materials manufacturing, we look at the material itself and see if there are alternatives and materials that help us save CO2, and we look at the use of energy uh to transfer the material from one state to another. As we all know, this is where the CO2 emissions are happening. So you will hear a lot about what can be done in reducing energy use and material use, such as useless, just use less of both, have longer lifetimes for the materials. Repair, reuse, recycle, and have alternative materials and alternative production practices like, uh, finalize the products, 3D printing. Uh, so there's a lot of opportunities, but technology alone will not lead us to the solutions. So more focus is needed on corporate responsibilities, change of production practices, and what private companies can do. The public sector sets the frame and not just behavior of corporate players and consumers. The goal has to be to reduce the CO2 emissions per dollar of material. So I'm so very excited to hear more of, uh, what the ideas are in this panel, uh, in these two panels, and I'm looking forward to this webinar. Thank you very much. Thank you, Demetrios and Sabin for introducing the topic and for your opening remarks. Now, um, we'll dig a little bit deeper. Into what circular economy means for the construction sector. And how it, its approach looks like when it is integrated across its value chain. For that, I'd like to briefly introduce Carol Lemons, who will give us an overview of the landscape for circular construction and raise key questions and issues that we will explore throughout both of our panel discussions. Carol is global advisory services leader at Arup. He has been instrumental in Arup circular economy work to date and coordinated Arup's work as Ellen MacArthur Foundation's knowledge partner for the built environment. His work focuses on. Translating the circular economy approach and its principles into practice by identifying challenges, enablers, and opportunities available to Arro and others in the construction and built environment sectors. Carol, the floor is yours. Thank you, Nayo, and Let me. Presents So, hi, everyone, and, um, I'm, I'm really privileged to, uh, attend your event, and I'm also privileged to work for an organization that is really committed to set the built environment on a circular economy path. And actually, the concept of the circular economy is really permeating all industries and that is including the built environment. But I said, it's a last, large, uh, um, um, um, industry. So, um, it will take time. And to force a circular economy, uh, within this sector, I think we really need dedicated frameworks and sense of principles to underpin the direction for our sector. So let me, for those that are less familiar with circular economy, given high level perspective on the concept. So it's aiming to create an ecosystem where natural capital is being preserved and enhanced, where we try to optimize renewables, where we try to minimize waste and we, we try to design out the negative externalities, and the aim is to move away from a current take, make, and disposes. So we embrace three principles which is actually about designing out waste and pollution. It is about keeping materials in use and regenerating natural systems. And the idea is then that assets, products, components, parts of the infrastructure, whole buildings are held in repetitive loops with a focus on maintaining their value as high as possible, um, um, as high as possible, and that we try to minimize actually, um, reuse or recycling, which are the last resort. So circular economy is explicitly looking at different paradigms. And for me, circular economy is not just a solution, but it's a mindset. It's a support to systematically reach, um, rethink our system where we work in our current practices, and it's an outcome really for a more sustainable future. So, uh, at high level, uh, looking at, at the globe to start with, well, at current GDP growth, pace of GDP growth, we are really crossing or exceeding the planetary boundaries in an irreversible way. And, uh, some of you may already be aware, but that's sometimes a really endangering continuity or growth of economies. And then knowing this and the fact that we do a relatively poor job in reusing materials should make us rethink how we Live how we consume, travel, create, behave, and invest. And the construction industry and that is the largest consumer of raw materials and yet less 1/3 of um waste coming from construction or demolition is being recycled or reused, let alone be circular. Um, and it's also one of the largest, if not the largest, uh, economic activity, which is projected to grow, um, uh, double the size by 2030. And this growth is, uh, largely influenced by the growth in China, US, and India, and those three represent 57% of the total volume. And looking to an emerging economies such as India, the construction industry represents 8% of global GDP, and equally the carbon footprint is at the same kind of enormous numbers. And for example, the cement industry only is responsible for 8% of global carbon emissions. So it's safe to say and fair to say that the current global construction industry is really addicted to materials and has made uh not sufficient progress to address the topics as mentioned earlier, and that is then to say beyond recycling of materials because that is fairly well developed. But even with any feasible, um, assumption of 100% carbon capture and storage, the materials industry really faces large challenges. To give an example, metals industry, uh, according to research we did in the UK needs to achieve 43% of efficiency gains, which should be uh additional, uh, added, added with 5% through design. And of course there's many regulations related to the price of carbon which are now cascading into environmental standards and driving rapid change. And later on in panel one, the discussion will focus on the cement and concrete industry given their high energy and carbon intensity. But circular economy can really by rethinking how we are, how we are acting, can contribute to, uh, uh, carbon-related climate change, or for example, uh, contributing to the ban on virgin materials. So to apply the concept of the circular economy to the built environment, we really need to understand and rethink the whole system varying from the early-stage investment decisions through design, through development, construction, through operations and divestments. And the circular economy, when applied at all stages of, of, uh, of construction, uh, will address inefficiencies. So mapping out the system really helps us to understand where circular economy interventions will have the biggest impact, and this requires involvement of all public and private stakeholders, some of which have been displayed on screen. And again, coming back to India to illustrate the potential of the circular economy by, uh, and we did research on that one with the Ellen MacArthur Foundation, McKinsey and Arup. Um, the, the, um, about 60% of the people will live in, um, in uh urban environments uh by 2050. And this unprecedented growth is so rapid that, uh, almost 70% of the building stock that will be used in that time is yet to be built. So the choices we make now will really determine India's mid and long-term developments and that the research I was referring to um was actually uh indicating a potential annual benefits for um for India of $76 billion US dollars uh compared to current development paths. So apart from being more sustainable, it also develops an economic perspective which is key in a circular economy approach. Let me share with you two examples of interventions from practice, and one of them is in linear infrastructure structure in this case for high-speed 2 in the UK. We considered with the clients and the industry partners, uh, how circular economy could be applied to all stages of design, construction and operations. And it was applied to a depot in Calvert in Buck Buckinghamshire. The research found out by implanting, implementing circular economy principles, approximately 8% of the KPE could be reduced and, uh, upfront 90,000 tons, um, uh, of materials could be saved. So these interventions are super relevant to underpin the impact of reduced carbon emissions from optimized and reduced material consumptions, and on the right hand side you see some indicators over 60 years assessment period. A second example is in property development and concerns not only the development of property, but also the operations. So our large metropoles are facing constant change. And when there is constant change, you know, across the life cycle, also this drives different ways of design and operations, and this, this encourages to Uh, flexibly meet the, the, the changing demands of people and organizations and ensure that during this, uh, life stages, the value of resources underneath will be preserved. So in a recent assessment of real projects in Aarhus in Amsterdam, London, Milan, and Berlin, we explored the opportunities of applying new business paradigms by answering the question, where does actually value get lost? And appreciating these were European examples of case studies, uh, on, on real projects. There's also, they are also really relevant for emerging countries as new models are universal to the urban development context. And some of them are even more pressing in emerging, uh, economies where, for example, there's land scarcity or where the, uh, supply of, um, Uh, office space or residential space cannot keep up with demand, and I mentioned India, it's really apparent there. So this research actually, um, revealed real, uh, financial gains and the numbers are shown on screen combined with real environmental and societal, um, uh, gains and uh by just rethinking business models and responsibilities across the value chain. So in the past 15 years we've seen the circular economy change from an interesting concept to a leading paradigm for governments and industries. Circular economy is now front and center of government agendas globally, and they sit across all sectors. It is embraced by Europe, Europe's, uh, new Green Deal. It's underpinning China's 145-year plan, and it really provides a perspective for, for emerging economies such as India, and I referenced to some research we've done on that one. Circular economy and carbon-related carbon chains are fully intertwined, and this is one of the main themes that's called COP 26. So we see whole industries now responding to these large agendas. Increasingly new policies are paralleled by new approaches and investments and quite recently, I'm talking about the last 12 months, you see now uh green financing and synonyms move to the move towards the norm rather than being the unusual. And also at an ever-increasing pace, the construction industry is picking up modular construction, exploring concepts of building material banks, material passports, OEMs, uh, rethink the products for deconstruction, um, they rethink uh resources ownership and drive new business models such as products and components as a service. So based on many indicators, one could expect that uh circular economy is there to last and will really be the, the norm in, in the built environment too. So In my view, the proof of concept is there, and it is supported by many example of projects, and on screen you see the building called Haut which is really challenging the status quo of building in wood and concrete and at least make a plea for applying much more wood in those places where you typically wouldn't see that before. And it's not only about bending, but also making better use of, for example, existing materials as steel and concrete. So for follow up in the panel discussion, I'd like to address 3 questions, and they're, they're also projected on screen. So I think it's really relevant that we start understanding what we need to do to upscale circular economy to the standard that approach in the constructed world. And as mentioned before, also better understand what role do governments play and, and potentially also, um, um, uh, where they cannot play a role and where the private sector is uh on the ball. What is the competitive advantage of a circular economy that is needed to compete with current predominantly unsustainable forms of construction of manufacturing materials, design, construction, operations, and demolition of today? And finally, we do recognize that the financial sector is mission critical in achieving goals too. They are an important driver for the constructed world. So what does it take to turn circular solutions into really attractive investments? And not just better, but much better than existing ones. And then, of course, what is the role of the World Bank in this? Thank you for listening and I'm looking forward to the discussions. Excellent presentation. Thank you very much, Carol, for providing the overview of the circular construction value chains, highlighting some of the potential opportunities and solutions and the role of various stakeholders, public and private, and the need for a systematic thinking for scaling up the circular economy for the construction sector in both the global North and the global South. The questions you raised at the end of the presentation were also very on point, which I think we'll come back to, uh, during our panel discussion. I'd like to Move along and introduce our first panel speakers, starting with our moderator, Robert Madera, who's kindly offered to manage and inspire dynamic discussions in the first panel, as well as in the open panel discussion and Q&A session after the 2nd panel. Robert Madera is the founder and uh managing director and head of research of the Global CW Group. He's responsible for all intellectual capital, project management, research, and client relationships at the group. He holds an MBA from the. Harvard Business School and graduated from Brown University. He works with heavy building material companies worldwide, including Global Cement Groups, equipment vendors, and sector investors, stakeholders who are all relevant and important to this topic. And now, uh, to our panelist, Jeremy Gregory is a research scientist in the Department of Civil and Environmental Engineering at the Massachusetts Institute of Technology MIT. And the executive director of the Concrete Sustainability Hub. He studies the economic and environmental implications of engineering and system design decisions, particularly in the area of materials production and recovery systems. Andrew Minson is the director of concrete and sustainable construction at the Global Cement and Concrete Association, where he leads the work on a global roadmap for the sector towards carbon neutral concrete by 2050. Andrew has a PhD in engineering from the University of Oxford and worked with Arup for 10 years on various projects around the world. He's a fellow of both the Institution of Civil Engineers and the Institution of Structural Engineers. Eric Brudon is the deputy CEO of Industrial and Innovation at VCAT, a global cement manufacturer that is implementing innovative solutions and offerings to increase resource recovery, waste minimization, and decarbonization. Great, good morning. Good afternoon, good evening around the world. Um, thank you for that, uh, introduction. Um, Nayon, and I'm very excited to be here today and be part of this, um, opportunity to share some of the latest thinking on the circular economy and in particular as it relates to the construction materials sector. So the panel today will talk about different ways to rethink the circularity of the construction materials, in particular supply side, uh, which generates a lot of the greenhouse gas emissions and has the environmental impact that we just heard from Carol discussed in the previous, uh, presentation. We're focusing on cement and concrete given there are the intrinsic energy intensive, the carbon emission, um, and CO2 generation that is inherent in the product, and both the manufacturing and, and sort of the intrinsic materials, as well as the resource intensity by which the material supply side essentially consumes. So we'll focus in on, on these two segments, although there are many other uh materials of course as well that are important for the construction sector and today we have, as Nayun was, um, introducing three panelists that are real true experts in this area, both from a research perspective as well as an industry, um, perspective and a true practitioner from VCAT. So with that uh brief introduction, we'll start off with a, a little bit of an insight into some of the technologies, the solutions, the strategies, innovation that's taking place in this space and really think about what we can do as an industry to move ahead towards uh improved targets, better overall environmental performance, and the overall um circularity enabling of this industry. So with that, I'll turn it over to Doctor Jeremy Gregory to give us a, a presentation, a 10-minute presentation on this, and then we'll continue picking up where he leaves off and, and dive into some interesting conversations and share our ideas. So on that note, I'll turn it over to you, Jeremy. Great. Thank you very much. Let me just share my screen. OK. All right. Um, so I'm delighted to, to, to be here today to talk to you about um some of the work that we're doing in the concrete sustainability hub and more importantly to, to sort of give you a foundation for the rest of our um discussions here today about, uh, cement and concrete and what are opportunities to lower the environmental impact. Um, so just in terms of a basic definition, you know, Concrete is a mixture. It's a mixture of these five, basic ingredients, coarse aggregates or gravel, fine aggregates or sand, uh, a binder that I'll get into, um, where there's many different options. That binder you mix with water and it hardens and it keeps those aggregates together. And then we also use admixtures, uh, which are chemicals that can be used to slightly alter the, um, the performance of the concrete. What a lot of people don't realize is that, you know, there's almost infinite different combinations of these basic ingredients that we can make to meet many different performance requirements. Um, sometimes we're looking for strength after just a high strength after just a couple of days and we call that early strength. Some Sometimes it's more important for us to meet what we call late strength, which would be strength after about 28 days or 56, something like that. And sometimes, uh, constructability, durability, or other um drivers. So, so the key thing is that, you know, we can make these in many different ways to uh meet different uh performance requirements. Um, kind of diving into this component on the, uh, binders. There are many different binders that we can use in, in concrete. Um, probably the one that you're most familiar with is, uh, is cement or we call it, uh, uh, Portland cement. Um, and, uh, that's the, the manufactured product that we mostly think of as being used as a binder, but there are some others including natural posolons, that's what, uh, the Romans were using thousands of years ago. There's also calcine clays is another material that we can use, and, uh, you know, Relevant to this discussion about circular economy, there's many different waste materials that we can use as well, including fly ash from coal-fired power plants, granulated blast furnace slag from steel and iron production, uh, and, uh, sometimes now also crushed up uh post-consumer glass. The key thing to know is that, you know, the composition of all these things and their availability really varies significantly, and also the way they affect the performance in, in concrete also varies. So, a big reason why we use so much uh of this uh cement is because we, we can really tailor exactly what the chemistry is and hence the uh performance, whereas sometimes that's a bit more difficult than these alternatives. Now when it comes to environmental impact, um, you know, cement is really what's, uh, a big driver in concrete's environmental impact. Um, and this right here, this, this pie chart is showing, uh, uh, a mass distribution of a, a typical concrete mixture and what you can see is by, by weight or mass, you know, mostly it's the aggregate and the cement isn't that big, it's usually gonna be 10 to 15%. Whereas when we look at the greenhouse gas emissions associated with producing that concrete, you can see it's mostly about uh the cement and sometimes that number can be, you know, 90% uh as well. So, um, so, so a lot of times when we talk about the environmental impact of concrete and reducing it, uh, this is the reason why cement is often the, the target. Now, producing cement is a really capital, uh, and energy-intensive process. This is showing, um, kind of a, a, a, a high-level view of what happens at a cement plant. They're basically mining, uh, uh, limestone, crushing it and heating it up to very high temperatures, about 1500 °C. It goes into a kiln where, um, uh, we have emissions associated with, with, uh, with generating the energy to get at such a high temperature, and then there's also a transformation that occurs where that limestone is turned into what we call clinker, and that, that, uh, has process emissions associated with it. Um, then it's cooled, and then we can blend it with some other materials, uh, as well sometimes, and then we grind it, uh, with a, a product that comes out right here. So when it comes to reducing emissions in the production of cement, there are basically 4 things we generally talk about. One is, uh, the, the improving the energy efficiency of the plant. Two is, uh, is, is switching the kind of fuels that we use generally to get those high temperatures, we need to use fossil fuels and there's a lot of proposals to use, uh, other, other fuels like uh waste materials or, um, uh, bio-based materials. Um, when I, uh, it, it, the, the, the clinker as I mentioned, that's what's generally creating, uh, a process emissions. So when we blend here, if we can mix in other kinds of waste materials or other materials that will lower emissions. And then lastly, there are also opportunities to use carbon capture um here as well. Um, in, in kind of, uh, just a high-level summary of what are the different solutions, many of which can be used today for lowering cement and concrete's environmental impact. You know, I just mentioned several of them when it comes to cement, and, uh, I put in bold here the things that are used today. Uh, there's, there's a lot of work that's already being done in these spaces. Another one I didn't really talk about is that there are different formulations of cement that we can use that have a, a, a, a, a different chemistry and have different Uh, have lower environmental impacts associated with production and as I mentioned, we, we can do, um, carbon capture. On the concrete side, there's all kinds of different opportunities to use low-carbon binders. Some of those are different forms of cement, like we'll, we'll talk about Portland limestone cement. Uh, is one option or other kinds of blended cements, um, but there's also those, uh, alternative binders which is sometimes called supplementary cementitious materials. Um, but I think one that's kind of undersold is just, is simply trying to optimize mixtures more to have a lower, uh, environmental footprint and I'll, I'll talk a little bit about, about how we can achieve that through performance-based specifications, um, as opposed to more prescriptive specifications that say what's in the mixture. Um, there's also some opportunities I'll talk about, uh, to produce concrete using captured carbon. So it can actually be really a sink for any kind of, uh, uh, captured carbon that we use. Uh, in the future, there's also some opportunities to create, uh, aggregates using captured carbon as well. Now the Two key barriers to increasing adoption of these, I think are really risk aversion and cost, and I put them in that order intentionally, um, and the reason is that, uh, you know, not all of these solutions have to, to cost very much. If anything, sometimes they can cost less, but oftentimes there's an aversion to try something new, uh, and that's gonna be a significant barrier. Um, I mentioned, uh, this, this captured carbon, uh, which is, is really been particularly intriguing to many people, including people outside of the construction sector who are just interested in what are different opportunities to use captured carbon. Um, and the way that this happens is that we can capture carbon from any industrial source, uh, usually that's, that's, that's, uh, uh, a power plants or, you know, that are generating electricity, but of course it could be cement plants. Then we combine them with some type of alkaline reactant and there's a, a process that, that takes place called mineralization. Um, and from that we can create different types of construction products. It can be, uh, binders, it can be aggregates, it can be precast products or ready-mix, uh, concrete as well. And I think one of the neat parts about this is that this carbon sequestration in the concrete is permanent. And what's interesting is that there are folks who have looked at what are some different ways that we can utilize uh captured carbon. Like you maybe hear people talk about CCUS which is carbon capture, utilization, and storage. Um, and on the storage side, they're usually talking about our sequestration, geologic sequestration, whereas on this utilization side, they're talking about different alternatives like, uh, you know, obviously using it in concrete and aggregates, but also fuels, polymers, chemicals. And this assessment was done to show projections for what can be the global market size and then the size of the circles is about how much CO2 could be mitigated. And what you can see is that concrete clearly has a significantly higher market value for use of this captured carbon and aggregates has the highest uh mitigation potential, and that's because they can be used not just in concrete but in also other things like asphalt pavements or just uh any application that just uses aggregate. Um, so there are many different strategies that can contribute to potentially creating carbon negative, uh, certainly net zero but possibly carbon negative concrete. So, To summarize those, you know, we can use captured carbon, uh, in the concrete mixture itself, um, and then, but we can also, as I mentioned, use, uh, captured carbon to create what we call synthetic limestone aggregates, and those are those, uh, mineralized aggregates. In the binder space, there's all kinds of different options. We can create blended cements. Use those supplementary cementitious materials I mentioned. I, I, I also mentioned there's alternative cement formulations that can be done, um, and, uh, we can also create binders from captured carbon, and then we can produce cement with captured carbon as well. Um, and one thing I didn't touch on very much, but I think admixtures have a really, uh, important role to play because if we start Creating more unique mixtures with different kinds of binders, admixtures, um, can, can help play a role in terms of, uh, improving, uh, certain kinds of performance that might change. I, I think the key thing is, it's not gonna be any single one of these. We're really gonna, um, have to use many different types of strategies to create those lowest carbon mixtures. Um, the other thing I just touched upon, uh, uh, briefly was that performance-based specifications are going to be important to spurring, uh, innovation and low low-impact concrete. That is, you know, when we design concrete mixtures, we're used to thinking about trade-offs between performance. Performance and costs. Now we need to also think about environmental impacts and so we need to ask people to start measuring that and um reporting it and that will better allow us to sort of try and optimize among all three of these to create mixtures that really achieve those three objectives. So just in, in closing the recommendations that I have at least for reducing uh the embodied uh impacts of, of concrete, um, and cement, you know, it's really trying to address those barriers of risk and cost. Um, uh, what we need, uh, is more just request of what is the environmental footprint of cement and concrete that can allow us then to spur more innovation in low-carbon cement and concrete mixtures, uh, in conjunction with more performance-based specifications. Um, you know, thinking long-term, we need to have more support in terms of, uh, uh, development and deployment of carbon capture at cement plants and other industrial sources, um, and for those that kind of deeper decarbonization of low-carbon technologies for cement. And concrete and aggregate production that use uh captured carbon, we're also gonna need more uh support for that. So, so these top ones can help mitigate the risk a little bit, I think that, that people are concerned about trying something new and these will help to mitigate some of the concerns around cost. So, um, with that, uh, here's our, our website and uh contact information if you have questions, but now I'll be glad to participate in the, the panel. Great. Thank you so much, Jeremy. This was a very interesting presentation and I think, um, you know, no doubt that there is a lot of good thinking that has gone into this space already and there are emerging technologies. There are also existing technologies. But together they will help us transform the value chain and really enable the circularity of the construction sector, which is clearly something that has been, you know, thought about for a long time, but I think it's accelerating at the pace that is very grateful to see, frankly, in the last couple of years and, and of course you and MIT sustainability lab has been, you know, at the forefront of that. Um, I would. Turn to the panelists, um, and, and building on the presentation that we just heard here. And maybe ask Andrew a little bit to see, you know, how does the GCCA take some of these concepts that uh Jeremy shared with us right now and translate that into an actionable sort of roadmap for the cement and concrete industry worldwide, and what are some of the initiatives that uh you and your members are undertaking to sort of build upon, um, some of the ideas that Jeremy shared and potentially others as well. I don't know if we have Andrew. On here. Uh, thank you very much, Robert. And thank you for those, uh, those words, Jeremy, a great introduction to us. Um, just, just, just briefly, the Global Cement and Concrete Association has been in existence for, uh, 3 years now. It was formed, uh, by the major cement and concrete producers from all around the world, got members, uh, from every continent. Um, that was one of the fundamental, um, uh, things that the founder members wanted to achieve was this global representation. Many of you will be familiar with, uh, local or regional cement and concrete organizations, and we work very closely, uh, with those organizations. And, uh, and our purpose is to, uh, both support the industry in their progress to being more sustainable and also to, uh, enable and equip those who use the products to be more sustainable in how the products. Are used. We've, we've heard already that, the, of the challenges that spent in concrete industry have and, and why it is the subject of this panel. Um, I guess I, I would add a, a few things to that. One is, uh, why are the emissions 7% of global emissions? It's, it's actually because it's the most widely used material. And why is it the most widely used material? It's, it's widely used because it's, it's locally available. It's uh manufactured from product, from raw materials that are um commonly available uh almost everywhere. We've already heard from, from Jeremy just how versatile it is in terms of mix, um, uh, infinite mixes, Jeremy said. And in addition to that, there's a whole range of different formats. So we can think of a concrete paving slab, a concrete masonry block, we can think of a concrete bridge. And we can think of a concrete skyscraper and, and all those concretes are actually versatile, a, a, a result of the versatility of the mix, but also a result of the versatility in the form. So it can be cast in the factory, it can be cast on site, it can be cast in different shapes. It can be reinforced, it can be pre-stressed, and that versatility in mix, the versatility in form. Mean that it's very suitable to be used widely. And in addition to that, in addition to that, it's got a range of benefits that some of which we just take for granted, you know, it's very hard, it's durable. It's strong, it's flood resilient. If you want to build a safe part of your house to protect you from hurricanes. Concrete is the way to go. Um, It's fire resistant. So with all these performance benefits in the hands of designers, they can use the material with the versatility as well, in a really efficient way, and I know that this first panel is concentrating on the production side, and I'll move on to that in a second, but in terms of the use of the material, And it's already been alluded to by uh with, with Jeremy, we're talking about um environmental considerations need to come into the thinking of the designer. Up until now, it's, it's performance, it's cost, in terms of the construction, the design side, it's also speed of construction because that's cost. Many of the design solutions that you and I will see today and tomorrow in concrete. Are driven by speed of construction and cost, they're not yet driven by environmental considerations, considerations of circularity, which Carol has already introduced to us, considerations of material efficiency. Because of the versatility of concrete. It is ideally placed to respond to that additional design constraint that we should all be placing on our engineers and our architects when they are designing new projects. So it's a material that's got fantastic scope to be used in a really sustainable way. But we recognize as an industry that we have a challenge in the way we produce that. Now we're not starting from a standing start here. Since 1990, there's been almost a 20% reduction in CO2 emissions. The increased alternative fuels, that was one of the levers that Jeremy, Jeremy made mention of. So alternative fuels, so waste products from other industries, so the, the cement and concrete industry enables other industries to address their circularity. We know in the waste hierarchy, we wanna reuse at its highest level as much as possible, and we know at the bottom of the hierarchy would be landfill, and just above that would be an incineration. Burning waste products from other industries in cement kilns is above that in co-processing. And that co-processing is because it's 100% energy recovery and 100% raw material recovery as well. And so products like tires, waste oil, Solvents which, you know, are a problem otherwise for society can be burnt in cement kilns, um, in a, in a really efficient circular economy way. So I'll just come onto the GCA and some initiatives. Members of GCA commit 40% of the of the industry uh globally are members of GCA. They commit to a sustainability charter. They've committed to a climate ambition statement for zero carbon concrete by 2050, and we're delivering a roadmap this year to show how we're going to deliver that. We've had reference to the EPD tool. I know Robert, EPD tool, GCA's produced an EPD tool cos measurement of products is important and that's available globally as well, and we would hope that World Bank projects would be requiring those performance measures and a global EPD tool will be available for that, as is a responsible sourcing tool because we're not just talking carbon, responsible sourcing of products as well. So you can see a whole range of things that GCCA are doing. Yeah, I think that's a very interesting perspective and no doubt the, the Global Industry Association has an important role in, in, uh, disseminating both the best practices that are available and existing and, and in the future as well. Now, uh, I want to turn a little bit to Eric, our, uh, 3 panelist here, and, uh, take it from, let's say the, the research space, the industry space into the practitioners and hear a little bit about how some of these ambitions, which ultimately circularity also is one of large aspect is to reduce. Um, the material needed in the first place. It's not only to reduce the emissions, um, and so that's not a component. So Eric, maybe tell us a little bit how Vica is, is, uh, thinking about the profitability versus the circularity objectives and how you're incorporating that into your business, uh, today. So if you can take 2 minutes or so to kind of give us a highlight of, of the work that you're doing, it would be great. Yeah. OK, uh, so good morning and good afternoon to everyone. Uh, so first of all, you know, VCA is today an international company acting in cement, concrete, and aggregate, uh, existing for more than 150 years and just for the history, Louis Vitard is the inventor of the cement in 1817, so more than 200 years ago, and, but we are from there looking to the future, not to the past. So thanks to the innovation. So VA is also a member of the GCCA and Libandi, and So Vita is a company which is family controlled, means that when the group is committing to a trajectory, to to a target by 2030 or 2050, for a family company, commitment means something. Means that the children and the children will be there, of course, to control the company and that means that the people who are in charge now have to commit for their children, so it means it means something. Uh, so the, uh, a lot of things have been, uh, said already and thanks to that because uh the presentations and previous, uh, uh, discussions could, uh, I hope, uh, give to, uh, the, the people who are following this, uh. will be now a lot of information, but as a cement producer and concrete producer, it's clear that we are on the field, we are real practices, and so we are facing now these big questions how can we address both profitability and the constraints related to the environmental issues that we are all facing. This is a key, it's really a key question. So it's clear that we are working on solutions that can minimize the use of the concrete. So that means that we can still have profitability if we are giving more value to the slower volume of concrete and cement. We can do that thanks to the circular economy, so it has been mentioned already that we are using a lot of alternative fuels, and this is something which is bringing value to the cement product. We are also working on the recycling of the concrete. In different ways within the raw materials entering into the kin. Or raw as a raw material entering into the cement or into the binder as a cement additive, but also as a recarbonated or not recarbonated aggregate, recycled aggregate into the concrete. So sorry to interrupt there. Maybe highlight a little bit the how you're working with governments and and policymakers to enable that circularity because I think that's one of the big challenges we're facing as an industry. There, there are, uh, it's important first in regard to the, um, there are several aspects for the, uh, in regard to alternative fuels. So here we need to have a strong regulation in, uh, against the landfilling of the waste. And thanks we already have this type of regulation in a lot of places around the world, but not everywhere, because when you have such constraint, it's clear that the producer of the waste has to find other solutions and then the cement plants are part of those solutions. So this is a stronger thing that we are looking from the policymakers. Then in regard to the recycled aggregate. Today the aggregate is at a very low cost in fact to produce, to extract, and then it has a very low value on the market. So it is necessary if we want to bypass the flow of the recycled aggregate to recarbonize them or to prepare them in order to improve their strength and their quality to be reused as it is into the concrete. To with the same or similar performances as natural aggregate. Then someone has to pay for this bypass, let's say, because we have to transport it, we have to prepare it, and so here again we have to have some strong regulations or incentives from the policymakers and from the public command also to to ease this, let's say bypass and to pay for it. And at the end, the end I would say that the clients will have to pay somewhere also. Sure, and, and on that note, also, VCAT has to invest and make sure, given that it has shareholders, to generate a positive shareholder value uh as a, as a part of this entire equation. If you can just take 15 seconds and, and explain what really sort of drove you towards the circular model and how did you sell that to the board of the company. It's very easy. It's very easy to sell it to the board because from the family, they are already pushing into that direction because they are thinking about their own children. So this is very easy. Now let's speak about the the shareholders, the elders, because we are a listed company and it's clear that they are coming with some questions and some Indicators like what you look at your turnover of CO2 divided by your turnover. It's not good compared to this one or this one. OK, but in fact we are, it's not, we are not looking to satisfy, for example, this only indicator because it would mean that we would go back or get out of the cement business and leave it to someone else when in fact it is the responsibility of someone to solve this situation and so we are working with shareholders that are sharing also this approach. And uh when we are able to explain them clearly our, uh, let's say commitments, strategy, and so on, they, they are happy to, to join us. OK, great, thank you. That's, that's, uh, I think a very interesting perspective and, and no doubt it, it's great to work with, of course, shareholders and a board that understands, uh, the, the vision. And, and sort of coming back to that a little bit and you mentioned the CO2 metrics and maybe I'll turn it back to Jeremy now. And if you can tell us a little bit just briefly around that, how do we measure all this? How do we make sure that we actually know where we are today, where we've been, and, and we're going forward because as, as, uh, as people have said, what you can't measure doesn't change, right? So tell us just briefly about that. Yeah, there's a lot of uh existing approaches to measure the environmental impact of cement and concrete production and Andrew mentioned uh one approach is he said the GCCA has a tool that can be used, um, and then what comes out of them are called these environmental product declarations or EPDs, and that's sort of like your nutrition label on food. This is your environmental impact label for your, uh, for your cement and concrete. And the great thing is, um, I think just engaging with folks to ask them to start measuring that causes them to wonder, well, why is my footprint that way? Um, and that's a great way to do it. It's just to engage with those EPDs and the good thing is those are available, you know, in many places all over the world. Great. Thank you. And that's obviously an important role also of the industry association, so maybe turn, turn over. I mean, we can, we can have this uh great conversation for days here, but, but given our time constraint, um, Andrew, if you can tell us just a little bit, uh, you know, briefly about the, the ability to translate these two, these concepts that we discussed to emerging economists, developing economies, and within that context, what's the role of the World Bank? Yeah, thank you. So we're currently in the process of, uh, of doing a, a roadmap to 2050 concrete, and we've been talking to lots of countries around the world. Um, and I won't name the countries, but I'll just give a couple of examples. So, so one example was, uh, uh, a major Southeastern Asian country, and, and their challenge was that, um, the state-owned ACTA owned the majority of cement production. And global players wanted to do the right thing. All these levers that Jeremy's explained. But it, it, they just couldn't compete in that field against a state-owned actor that didn't want to move. In our conversations with them, we were saying, well, actually, let's make projections of what can be achieved on the assumption that Paris Agreement and international diplomacy will make that country's government and hence that country-owned cement producer do the right thing. But clearly that's an assumption. So that is something as a global association, we will be lobbying to try and seek to have the support of national governments in that area. And then, so is this an opportunity for you to collaborate with the World Bank? Like how does the World Bank get involved in, in, or I mean they're involved already, but how can we build stronger connections and bridges to jointly work towards our common goal? Absolutely. So, so that's one example, very similar in a different country where it wasn't state-owned actors, but it was a majority of supply was by lots of local private companies. And that potentially is where World Bank could come in, funding those independent private producers who do not have a global sustainability agenda, but they need to be brought up to what best in class looks like. So that's on the, that's on the production side, and I think World Bank's got a place to play there in investing in production. In the consumption side, we've heard Jeremy made reference to, um, risk, people concerned about risk on something. So, so use of waste materials from other industries. We had the term SEMs, so secondary cementitious or fly in GDPS or Portland limestones meant absolutely standard, no-risk technologies that are utilized for decades in many countries, still not being exploited on the ground in, on major projects. So World Bank funding of projects should look at specification there. So we've got government specifications which are denying. Opportunities for big tick in the box circular economy with very little risk and World Bank funding could help there. So a lot of, a lot of policy work that can be, be done there. And again this is a great conversation, would love to hear more, but you know, just to keep things, uh, a little bit on track, I'm going to steal one minute. So Eric, uh, please do me proud here and, and let's stay within the minute. Um, VCAT is very involved in developing countries, uh, and. A lot of these initiatives that we discussed are, are frankly being worked on sort of in, in, in sort of the Western developed world already developed, uh, can you give us just like a quick example or two of work that you're doing in some of your operations in, in Africa or, or elsewhere, uh, to help us just translate this into reality in the developing economies. It's not just something we do in Europe or US. Yeah, OK, so in, in West Africa we have a very big plant over there in Senegal and so this is one place out of the others where we have the lowest rate of clinker content, the clinker meaning, you know, the product coming out of the kiln. So this is a reference for Europe. And USA because it means that in Africa we can make nice buildings, nice bridges with this type of concrete with low content, and this is a nice demonstration that it is possible. And another example is in Brazil. In Brazil we are producing calcine clay that has been mentioned by Jeremy earlier, and we are discovering that in Europe now. So we are for sure in Europe, in Western countries, developing new technologies, non-mature technologies like carbon capture and so on. We're not develop on that, but we are deeply involved. This is for after 2030, let's say, but today there are a lot of experiences in the south and in the north that we can share in order to improve all the north and south together. It's brilliant. It's great to hear. And, and I think it's a very encouraging example that you mentioned about Senegal sort of being the, the, the leader within the group and, and driving that sometimes it's, it's easy to start from a, from a younger basis it is to drive that, that, uh, development and, and um advance towards our goals. And I think that that's, that's something that uh we'll, we'll leave off with for this panel, uh, keeping that in mind that uh it's not only taking the technology from the north and, and moving it to the south as it were in the, in the traditional paradigm, it's also learning across the different uh economies and there can be opportunities to go both ways and I think that's, that's a great, uh, great, uh, takeaway from this obviously. Now, uh, on that note, I thank the, the panelists for the contribution and discussion. Um, amazing conversation and, and as I said, we can continue this for days, if not years of this conversation, but in the interest of time. Uh, I'll turn it back over to Um, the, the, uh, the rest of the, the second panel. So we will probably reconvene a bit later today and maybe there's some additional questions we'll pick up, but thanks very much again for, for your contribution to this webinar. Thank you. Really interesting discussion and excellent, uh, moderation. Thank you, Robert, and all the panelists for, for leading us to this exciting and lively discussion. I'd like to get right into the second panel. Um, make sure. That, um, This time, the panel will be moderated by Felix Heisel. Felix is the assistant professor and director at the Circular Construction Lab, Cornell University. He's an architect himself, an academic working towards a systematic uh redesign of the built environment. As a material depot of endless use and reconfiguration. He's also a partner at 2HS Architects and Engineers in, in Germany, an office specialized in the development of circular prototypologies. He is a leading thinker in circular construction topic and has received various awards for his work and published numerous books and articles on the topic. Uh, including urban mining and circular construction, cultivated building materials, and building from waste. Our panelist Salome Hayat is the deputy Program Manager of circular economy of the city of Amsterdam, the, the Netherlands. Salome is an industrial design engineer with uh over a decade of experience in the built environment. She has worked on various design projects, the impact of digital fabrication technologies, integrated urban development, and the role of engineer in the transition to the circular economy. As the Deputy Program Manager, Circular Economy of the City of Amsterdam, she has delivered a strategy for Circular Amsterdam 2020 to 2025 and a circular innovation program, which is now being executed. She has a special interest in digital solutions that will facilitate the transition to circular economy in the construction sector. Uh, Wilson Liu is a professor in the Department of Real Estate and Construction of the Faculty of Architecture, the University of Hong Kong. His research interests focused on waste management, circular economy, corporate social responsibility, and green technologies in the context of built environment. He's leading to Uh, strategic, uh, public policy research to develop a waste trade organization in the Greater Bay Area, including Hong Kong, Macau, Guangzhou, Shenzhen, and various regions in China. Finally, Monika Mosker is the head of cities at the Danish Design Center. Uh, Monica is dedicated to developing innovative programs and driving missions and transformation in cities. Monica works in the intersection of design, urban innovation, and sustainable business development. She leads innovation processes across public and private sector to facilitate co-creation and cross-section. Sectoral partnerships. Her working includes topics such as urban technologies and digital innovation, circular construction, circular cities and communities, and sustainable business models. I'm sure we'll hear much more about all these interesting projects and research that these panelists are working on during our panel discussion. Um, Felix, uh, floor is now yours. Thank you very much. Thank you for inviting me to, to moderate this wonderful session today. Um, thank you, Nayo. Thank you to the World Bank. Um, and the, uh, circular Construction lab at, at Cornell University, we deal with, um, three questions. How can we design buildings differently so that they Um, uh, a material depot for the future. How can we activate all those materials that are out there already today as an urban mine, and then, how can we shift the mindset? How can we invest or build differently? How can we shift the business models, um, to enable this apart from only looking at embodied carbon, right? What's, what's the, what's the bigger picture? Um, and so, I'm, I'm extremely happy to talk about, um, an, a panel today named Enabling and creating Demand for the circular construction and discuss with my fellow panelists here, um, what are the enabling conditions for such a transition to the circular economy. Um, what could be technical measures, right, that's, that support this transition? Um, examples could be designed for disassembly, modular construction, um, activating waste streams as a resource, um, or the importance of documentation. We need to know what is out there, what are the material flows, um, to close the gap between demand and supply. Um, and I think in all of this, it is extremely important to acknowledge that, of course, the built environment has a, has a kind of special setting due to the amount of important stakeholders that are part of this process. Um, You can name architects, designers, engineers, constructors, developers, owners, users, um, authorities, manufacturers, uh, the list keeps going, right? And, and everyone, um, has an important role to play in this. And so cross-sector partnership, um, is an essential component to scaling the circular. Economy in the construction industry. Um, and with that, I wanna jump directly into the conversation, um, and talk about this value chain and what actions and measures can be implemented to, to overcome coordination challenges. Um, Salome, maybe the first question I'll direct to you. Um, and talk about the city of Amsterdam that has made fantastic progress in all of these, uh, in, in all of these, um, steps, and, and how and why, uh, does, does the city of Amsterdam see this, uh, construction sector as a potential for the circular economy? Uh, what are the goals and targets of this, um, of, of government-specific policies here? Um, and, and what do you see as the most promising policies in all of that, uh, to create a demand for circular construction in the Netherlands and Amsterdam? Thanks, Felix. Those are quite a number of questions. I'll just get started and please stop me when I take too long or sort of drift off. Uh, well, to start with the first question, uh, obviously, as we heard from the first panel as well, the, uh, construction sector has a very big impact on the, the environment. Um, and I would like to state immediately that I do not agree with all the sustainable solutions presented in the previous challenge, uh, the previous panel, but maybe we'll get back to that later. Uh, but I do agree that it is complex and that we need uh solutions on all different levels. We need material solutions, product solutions on a building level and on the wider city scale. Um, but I think that in itself also provides potential. The fact that the building sector is so broad, so big, so diverse, um, and literally all around us also provides room to, um, uh, test, to pilot, to exchange, to innovate. So it's on the one hand super complex, but I think this complexity also creates room for innovation and, and better solutions because that's what we need. Um, one more thing I would like to add is that the built environment also provides potentially at least the opportunity for other sectors to become more sustainable. So there's a lot happening in the built environment, whether it's related to logistics or to food or to retail. Everything happens here. I live in Amsterdam, so I stay here. So, also enabling sustainability in other sectors that that could be something that the built environment and the, the design that's, that's the basis for the built environment um has an impact on. So many different um um skills, it's a complex matrix, but I see a lot of potential. So what we try to do in Amsterdam, we have uh the built environment is one of the pillars of our uh circular strategy for 2025. Uh, this strategy works towards our intermediate goal of 2030, um, which we hope to use, um, 50% less primary materials in the built environment, but also in the food sector and the consumer goods sector, etc. And for um this intermediate goal for 2025, we have three ambitions, and the three ambitions focus on uh urban design, and we would like to base all of the new urban design uh activities uh as of next year on circular criteria. Um, similar for the, the buildings, the elements in the built environment as of 2023, we would like to base them on circular criteria as well. Now you might wonder what are those? We're still figuring that out. So on a, on a building, uh, scale, you can think of building in wood or Future-proof or um um make sure it's demountable. Uh, there are many different solutions. In the wider scale, the bigger scale, urban development, there are also many potential um uh solutions on material levels, but we also look at how the built environment is designed. Uh, to ensure, uh, a positive impact on sustainability in the, in the broader sense. Maybe it's interesting to also mention that we work within the donut. So the doughnut economy, hopefully, it's, uh, it's well known by, by most of you. It's a Kate Rayward model that tried to connect, um, Uh, economic ecological solutions to social solutions and challenges. So, for every, um, uh, sustainable solution we try to come up with, we always think about what is the social aspect and can we make a combination? Can we make the solution even richer by not just making it feasible and sustainable, but also looking at the, the social impact that it has. And maybe that also relates to our third ambition that really focuses on the existing city, because in, in many countries, there's still a lot to be built, but in most Western countries, that percentage is relatively low compared to what's already there. But the existing city also needs, needs renovation, needs to be refurbished, for example, to be fitting for the energy transition because a lot of our houses and our buildings are leaking warmth and energy. So how can we upgrade them? In a circular way to make sure that they're also futureproof and comfortable to live in as well. I think you also asked me about um I was gonna follow up on, on how would you or are any of these strategies, um, can you implement them in, in developing context, right? Amsterdam is 11 specific case, um, so how do you transition that? How to apply those in developing countries. What, what are your thoughts about that? Yeah, absolutely, um, well, I don't think that the circular transition is a technological transition. Um, I think many solutions we're looking at Uh, we, we actually used to, uh, apply them already. If you look back 50 or 100 years, how we dealt with materials, our products, the world around us, it was in many ways, way more circular and way more sustainable than we are now. So it's not just innovation and not just, uh, futuristic technologies that we use. They could be part of the solution. But definitely, um, what, for example, just looking at what we already have, local building materials, local building technologies that are sometimes super, super innovative. Now we can let, let, let's say for Western buildings, you, uh, learn a lot from, um, but also I believe in collaboration. If we try to move towards our goals, our sustainable goals in a collaborative way, there is really much to gain. Um, um, and just be smart with what you have. I think one of the great challenges for our architects and our designers is how can we design with what we have? And, uh, as already mentioned in the introduction, I'm a big fan of, uh, uh, digits. So facilitating uh tools or solutions that can really help us to identify which materials, which secondary products are already available, and I can use in my new building or whatever that I'm gonna build. If we can support and facilitate to close the loop in that way. I think, um, that could have a very big impact as well. So it's not, uh, difficult necessarily, it's not expensive necessarily, but it does require a new way of collaborating and looking at how and what we design. I'm, I'm looking forward to talking about these platforms with you in the next round. I wanna go to, to Wilson, um, and talk about the Chinese context. Um, maybe, can you briefly tell us about the key policies, um, that were derived in, in respect to circular construction in China, um, and, and what lessons can we derive from those for China, but of course, also for, for developing countries, um, And maybe something that is, that could be interesting to talk about is how these would be differ um in different contexts, um, when, when you translate those um to other contexts, Wilson. I And Yes, I'm mainly uh based in Hong Kong. Hong Kong, uh, is, uh, a much developed, uh, uh, economy, but I, I also research, uh, you know, the waste management in some major Chinese cities like, uh, Shenzhen and Suzhou. So, uh, it, it gives me an interesting angle to look at the differences and the similarities of, uh, achieving this, uh, circular economy. But from the very beginning, I need to, uh, uh, uh, mention the magnitude of the problem a little bit. So, uh, actually, Cairo, uh, uh, in his presentation mentioned the importance of construction industry and also the potential, uh, of, uh, circular economy in developing countries in the developed countries. Um, so, uh, actually, interesting in, in developed economies, uh, CD waste normally takes around 1 quarter of the landfill, uh, space. So a single industry, OK, takes one quarter, 25% of the valuable land and landfill space. And this lumber could be larger, up to 40 to 50% when it comes to uh developing economies because they have to demolish the old buildings and develop their construction and also uh uh give land to the new uh buildings. So to this end, they have to, OK, they must, uh, developing, uh, uh, into a circular economy. So for, uh, from what I know, uh, my experience in, in mainland China, so, uh, they have uh several initiatives. For example, of course, you, we, we all know, they put the circular economy in its national registrations. And, and specific tactics, uh, vary from one city to another. For example, and overall, now Mainland China has launched a massive construction industrialization scheme. OK. So, uh, they put a traditional cost institute construction, uh, a certain portion back to the factories. And the DFMA is, uh, is much encouraged. And 3R reduce, reuse, and recycling, uh, is actively practiced, uh, to enhance the circular economy. Uh, for example, uh, Shenzhen, now they even, uh, pursue a zero construction waste site. So our traditional wisdom that tells us that, uh, on a construction site that more or less you will generate some construction waste. But now in, in Shenzhen, perhaps after In 2015, there was a tragedy of a landslide of, uh, CD, CNND waste debris. So they pursue now zero construction waste sites. So in this case, you have to plan your, you have to make good use of your construction waste management plan, right? So how to digest your, your uh waste for recycled products and uh some other ways to achieve the zero construction waste goal. I didn't mention The other three are like rethinking, refuse, repair. Cause uh, these are not very popular in, in China. Uh, everything is very fast here, OK? So, so they don't have time to rethink that, refuse anything, uh, uh, old buil uh new buildings or repaired old buildings. Although sometimes you can see in some, uh, uh, window jaing uh projects, you see conservation revitalization. So you, you ask me, uh, what are the, uh, major differences. I will say, uh, uh, in comparison with the European countries or, or other developed countries, uh, uh, uh, the, the major difference is the dilemma of faster development and the, the circular. OK. So everything is happening in a, in a highly dynamic uh uh context with a very uh faster pace. OK. Uh, but the difference from other South, uh, developing countries, like I have traveled to Southeast Asia, Africa, quite often. I will say, uh, China is a bit luxury to have a better economy, OK, to achieve this, uh, circular economy. Because now China's economy, uh, uh, has developed in a, in a relatively Uh, advanced stage. If you go to the two cities like, uh, Suzhou or Shenzhen I mentioned, they are actually quite advanced. So, uh, that's the major difference. Circularity is not the most urgent issue if When the economic development is the most uh urgent issue. Yeah, I think that, that's, that's, uh, a really important perspective. Um, just as a little side note, um, uh, in the US, the landfill volume that is associated to CDD is 40%. So you're, you're, that, that, that is a very important comparison, I think to make. Um, uh, I think it's a really good segue to our next speaker when we talk about rethinking, um, I want to turn it to, to Monica, um, and her experience from, uh, from Denmark. Maybe you can tell us a little bit about the, the challenge that you're running there, um, to really rethink, um, and have innovative ideas and how the finalists from this challenge can help scale up, uh, circular construction ideas globally. Um, and probably what, what really would be interesting is what are the important factors for scaling up such ideas, um, in, in our sector that we're, that we're in. Yes, thank you so much. So, uh, yeah, I'm glad to be here. Thank you for the invitation to the World Bank and, and everyone here. Um, so yeah, um, I will gladly tell you about the circular construction challenge that we ran. Uh, a few years ago, uh, finished last year. Uh, just super short, uh, before going into that, I just want to say the Danish Design Center just to tell you shortly about us. We are the National Design lab, uh, so driving, uh, innovation, uh, based on, uh, societal, uh, challenges and, uh, using design to actually create sustainable growth both for industries, private sector. To public sector and society in general. So just to, to get that um straight. But so that was actually what we did with this circular construction challenge. We actually worked on this huge challenge that we heard, uh, numerous times today about the enormous, uh, amount of waste, and we all know the numbers. We heard, uh, exactly, uh, how, how crucial it is to also change these numbers. So that was what we dived into. Together with the Danish, uh, philanthropic association called, uh, Velenia, and, uh, together with them we set off to, to actually invite the industry, private sector, and innovators to, to become part of solving this problem or this big societal challenge about the construction. So how can we actually transform waste into circular solutions for the built environment? That was actually our open call. So we got a lot of people, uh. Uh, innovators, uh, businesses from Denmark and around the world to actually team up, uh, and, and bid in on these, uh, concrete circular solutions. So we had, we ended up with three innovation teams, and I think one of the important things about this challenge was that we actually asked people to team up across the value chain, so not just to come up with one idea for the sector, the construction sector, but actually establish the whole value chain. Uh, based team, so you would actually work together on, uh, elaborating, co-creating this concrete circular solution and the business model surrounding the idea. So, so that was actually the aim. So we had like 3 teams, we had 3 circular solutions, and the impact of the challenge, we started in, in 2018, ended in, in, in December 2019, so 16 months of innovation challenge. Here we work with more than 42 um uh industry partners from the construction sector and beyond, from Denmark and internationally, we also invited and uh uh research institutions to come on board, especially in one of the solutions for Focusing on how can we actually use the biological process of mycelium to grow new uh construction materials. So, if I should kind of, um, look into one of the, of the solutions, just to show like the scale of it, it was actually, um, Uh, a solution called Gintre in, in, it's it translates into English to call rewood. So we're taking all the wood for from building sites, the, the contemporary use of wood materials, timber, uh, that usually is used for 6 to 12 months and then it just go directly into incineration. So the idea was actually quite simple. It was to collect all this wood used super uh uh immediate uh for this process on construction sites to actually establish the whole infrastructure to redesign the whole system around this instead of going directly into the container with waste and then into the incineration. Then actually constructing that, um, or designing that system for how to, to get out the sorting materials to, to, um, which you say like use a digital platform to actually organize this to, to give a notice to now we would like to get it picked up, then it get it picked up, sorted out and cleaned, packed up and get ready for retail sale again. So now we actually do have a well functioning. Uh, solution, a business model running on this, saying that we could actually have this wood collected and put into retail sale again, quite easily because they, um, due to this, uh, value chain collaboration, established the whole system with every Point in the journey of that wood. So actually quite simple solution but very complex system to build up with, with new agreements and new, uh, would you say, yeah, uh, yeah, new, new deals with every part of the value chain and, and the actors involved there. Thank you. That, that is fascinating. Um, I'd, I'd love to learn, learn more about all of this, but, um, yeah, we're pressed on, on time a little bit. Um, but also here again, we have a perfect segue to what, um, Salome already mentioned, uh, earlier, you know, we need, we need documentation, we need knowledge, we need to invent new innovative tools to, to foster a, uh, favorable investment climate for, for circular construction. Um, trans transitions. And so maybe, do you want to tell us a little bit about your work with, with the Modesta platform or Arrow about 3D 3D printing, for example, um, in, in using these digital technologies to scale up the circular construction industry. Of course, thank you. Um, well, maybe I should start by saying that we need, um, solutions across the entire scope. I mentioned before, all the, all the different levels of material, product, building, city. But also across the entire value chain. Uh, but all the solutions we can come up with will not compensate for endless growth. We cannot grow endlessly and just by making it circular, closing the loop, be sustainable. That's not gonna work. So we need really, we need to use all the instruments, we need to turn all the knobs a little bit, uh, to, to really make this transition to, um, a circular envi uh a circular, um, economy, um. So that's, that's an important point to make, uh, I think. Um, so, but what is going to help if we, if we can facilitate, uh, the, the circular solutions and the circular value chains a bit more. Uh, the Modesto platform, material passports, I'm sure everyone has heard of them before, so mapping what's in a building, having providing information. Uh, what's available, um, uh, the quantity, the quality to allow people to identify, uh, if and how it can be reused after, um, It's a great solution, but it's, it's, it doesn't work by itself. It's really part of a big process of information exchange along the value chain. So if you would ask me, um, a material passport would at some point feed into a material, um, Uh, a database, a marketplace where, as you mentioned, supply and demand can be brought together. Uh, it should fit into, uh, design tools by architects, by, um, uh, engineers. Uh, those, that information that they provide should Go to the producers, uh, whether it's prefab or on-site. So you can, you should really look at how the data, uh, actually moves along the value chain as some kind of currency, uh, to really inform, uh, the process and, and connect, um, uh, the different stakeholders in the process to really allow them to collaborate in order to achieve these circular solutions and circular goals. And thank you so much. Um, uh, person, I actually know that you also, um, Work with innovative and smart technologies. Um, um, we're talking about BIM, about prefabrication, modular construction. I think you, you've done some of RFID tags. Um, and, and so maybe you could answer for us what in your perspective are the most promising technologies that can help, um, Make this shift towards the circular construction, um, uh, with maybe a specific focus in, in emerging, uh, economies. Thank you. Uh, actually, I want to respond a little bit to, uh, uh, uh, Monica and also Salami's point about the information sharing platform here in Hong Kong, uh, and we also try to develop that kind of uh information platform to bridging, to bridge the demand and the supply. And we, we found that the, uh, it is a bit difficult because the timing. Uh, to match the demand and supply, uh, it's quite difficult. So, uh, now we, we look over the, the scale up, uh, to the regional level because we, if you look at the wider place, then they maybe have more projects and a more buffer to take, uh, uh, the demand and the supply. So, uh, oh, back to the, uh, emerging, uh, uh, technologies in emerging economies. I will say, uh, OK, less than no silver bullet, OK. Prefabrication and the modular construction are probably the most promising ones to, uh, uh, to achieve this circular economy in the construction context. Uh, we also explore them quite a lot building. I just, uh, uh, and my book about BI, uh, and the pub and passed to the publisher today. Um, Ben is also, uh, um, Uh, uh, is helpful but shouldn't be overemphasized because we all know BIM is just a digital representation of a physical, uh, building or infra uh or infrastructure. Uh, uh, the, the strengths of a BIIM, OK, to, to me is you can actually simulate different, uh, uh, design options. To achieve, to, to calculate the uh circularities without having to build any physical construction. OK. That's the major uh uh strengths. So you have a virtual platform for you to try out different design, OK? With a view to achieving circularity. But Bin itself cannot do anything without information. So, uh, currently, Uh, we, I don't really have the sufficient information to inform, uh, what kind of materials, what kind of a design will be generating, how much construction waste. So we are still trying to develop that kind of a connection. To enrich the information in film. OK, that's pretty much uh what I want to say about this aspect. Thank you. That's great. Thank you so much. Um, I can't help but add that, um, based on these two comments, um, I, I fully share these, um, these ideas. Uh, we've actually started developing tools to To bring in the, the circularity calculation much earlier into the design process, right? My, my problem is that we, we build something, then we have the elaborate BIM model at the end, and then we calculate the circularity indicator, whereas the indicator could be a design tool if we managed to, to, to think about it much earlier in the process. So I think this is a really important point that you made there. Um, we, we began talking about this in, in this panel today about the, the specifics of the, the construction industry, um, in terms of the multitude of stakeholders that are involved in all of these decisions. Um, and I wanna, um, address this question to, to Monica. Um, Considering what she's just told us about these wonderful projects, um, uh, and innovation challenges that of course touch all of these different stakeholders, right? Um, and I, I, I would really like to hear from her what the major challenges were when, when implementing these new ideas across all these different sectors and what kind of cross-sector partnerships can help such a transition and Um, considering the setting that we're in here, um, it would be great if you could add something about how, what, how these lessons from these processes could help us in, in developing countries. Yes, thank you. Um, I definitely think one of the biggest problem of, of the, taken from the work that we did in the circular construction challenge, but also in, in other projects alike, uh, that's actually the missing understanding of each other's culture, like the cultural understanding of the different business models of the different ways of working, and I definitely think that was one of the, the, the strengthens, uh, about, uh, this, uh. Challenge is getting everyone from the across the value chain in the same room and now, uh, and therefore I also wanna touch upon the role of design because I actually think that's what design is and the role of design here, uh, where, where it has an, an important, uh, value to, to facilitate this dialogue, this cultural understanding, and I also wanna go back to Sabin who is like She was like telling, saying that tech cannot do this alone. I definitely think as we also already touched upon, that technology is a, as a, as a, as a brilliant enabler of many things and also of the scalability and these solutions in itself, but I definitely think that the cultural shift and the mindset that's facilitated through an open dialogue, transparency, and this, um, facilitated, uh, process, co-creation across the value chain. So, so I think the big Big, one of the big challenges that we met was actually the missing understanding of, of, of the incentives from different actors and what can we actually shift and turn and twist to actually work better together. So I think, of course, there's a lot of, of things already, uh, uh, working there, uh, and, and getting done, but I think that's the role of design as I put down here, I think establishing that trust and that open dialogue is one of the most important. Uh, drivers for actually scaling and implementing these, uh, circular value chain-based, um, um solutions. So, and if we should look towards, um, how to actually work around this in, in developing countries, I would definitely say that, that creating and supporting that infrastructure for, for an open and transparent dialogue, this like trustful collaboration, I definitely think that's, that's Uh, a job to be done to support. I think there's a lot of things already going on, but to build on and, and facilitate and stimulate that collaboration, uh, and that co-creation, uh, is definitely, um, one thing and one approach that could be easily scaled, um, to, to everywhere in the world with good designers, good facilitators on board, and, and, uh, and the structure and infrastructure to actually stimulate this. Great. Thank you so much. Um, maybe back to, to Wilson, uh, as a, as a direct follow-up. Um, how, how would you, um, establish public-private partnerships in this setting, um, in emerging countries, talking about circular construction? Are there lessons learned that we can imply implement? OK, thank you, Felix. Uh, yes, I remember, uh, one of the speakers clearly mentioned we have to involve the private sector, OK, to, uh, achieve, achieve this circular economy, but, uh, in this case, uh, uh, private sector is, um, quite hesitating because, uh, uh, the, um, And during this value chain, OK? The, uh, recycled products and some to, uh, achieve the, uh, recyclers actually comes with a, a cost. So, uh, I, I, uh, researched, I, I, I came across a very interesting case in Suzhou, uh, uh, mainland China. It's a very, uh, uh, it's developing very fast uh place, and They introduced uh PPP, uh, uh, public, private partnership in developing some, uh, re recycling. Uh, uh, uh, plant, a very, uh, sizable, uh, recycling plant. But we know PPP has some, uh, shortcomings, for example, long negotiated time. At the very beginning, uh, you argue for, uh, a concession. Uh, uh, contract that, uh, based on very limited information, right? So, um, and on the way, uh, when it is delivers, uh, a lot of the risk averse and some other issues. But in this case, uh, they have, uh, several innovations in developing this, uh, PPP. For example, they introduced, uh, kind of a relational contract. Without having to negotiate a very rigid uh contractor from the very beginning. So they have like 15 years. Uh, 15 years framework, but every 3 years, They, they review the business and then determine the concession terms. So, uh, through this way, uh, both parties, the private sector and the public sectors, OK, can be, uh, uh, uh, uh, guaranteed a certain level of uh profitability. And also, they, uh, introduce, uh, Uh, kind of, kind of a guarantee the minimal, uh, supply of CD waste. Interesting. Uh, lots of plants, they, they need to have a sufficient CD waste supply to, to achieve the so-called scale of economy, right? So in this PPP they also, the, the, the public sector also guarantee this aspect. OK. And then they also introduced some other innovations, for example, to have a trans transparent information sharing, and so on and so forth. So I, I published this in a, in a paper. I, I found that that's quite interesting. Thank you so much for sharing this. Um, maybe uh we're, we're running a little bit, uh, low on time, but I want to give, uh, Solomon the, the chance to also chime in into this discussion and to address some coordination challenges from, from her experience that might be interesting and, and important to know in this, in this international conversation here. I've I've still got so much to, to talk about, but, um, if we talk about the, the, the collaboration between the public and the private sector. Uh, in my opinion, and also what I hear from the market is that it's, it would be very nice to have clear regulation. So we have this dot on the horizon that we want to be fully circular in 2050, but working backwards, what that does that actually mean? And um how can we make sure that companies develop or innovate in the right direction and they don't hear a different story like two years from now. So they want some security, uh, of, um, Yeah, where this is gonna go. So I think regulations are very important and uh even though our national government is a little bit slow, we think, uh, the, the businesses collaboratively are actually sometimes requesting this, so they're actually pushing the national government for clear regulations that Maybe start at a level where it's fairly easy to implement, but they know that it will be sort of the thumb screws will be turned on and they will know that it's going to be stricter, so they will know what is going to be expected from them a couple of years from now. Um, also, I would like to mention costs because obviously in some cases, uh, the costs are higher, especially when new, uh, solutions are being implemented or at least there's insecurity that could implicate extra costs. In practice, this does not always have to be the case. But what we do know is that if you're looking at individual pro uh products or, or individual companies in this enormous value chains, they can have higher costs, but if you look at the total, The picture looks or can look very different, especially, and I think this is very key, and this is actually a very important lobby point for us. We believe that we pay less or not enough for materials, so we don't pay for the externalities, we don't pay for the extra costs. So the level playing field is in the current situation very difficult or it can be difficult to achieve. So we think. That labor should become cheaper and materials should become more expensive because actually the circular economy requires a lot more people to facilitate that, to make that work. And uh given the corona crisis, we actually, uh, we have a lot of people that are, that can't work at the moment that are not sure of their jobs in the near future. So it, it, it could really be a win-win situation, but if we try to solve everything within, as we say, the Linear economy within the linear economy rules, it's, it's being made difficult for us. So there's this couple of big wheels to turn, whether it's um national, we prefer that to be done on a European level. Uh, that would be wonderful and could be really a massive game changer because until then I believe that we're doing small optimizations, but we really require a big transition. And uh if we don't go into that big transition, if it's not gonna hurt, if it's gonna stay pleasant and innovative and nice, uh, we're not gonna make the goals we set ourselves, so um we've got a lot of work to do. That's a wonderful, uh, way to end this panel on this note. Um, I, I want to, um, thank all of you for, for, um, adding these, your, your perspectives. And I, and I think the reason why this is so important for us is that, uh, um, going back to, to Carol's introduction, that we, I think now, in the last years, we really figured out what is this paradigm shift. Um, where, where do we want to go? What we don't know, in my opinion, is what do we do locally tomorrow, right? And so this exchange of ideas, how we can implement, what, what, what could be the next steps, uh, in enabling a circular transition. Um, I think this, this sharing is, is so important to now move this big idea, this paradigm shift locally forward. Um, and with that, I'm gonna turn it back to Nay. Thank you so much. Thank you again for this really interesting and dynamic discussion. We could already see some cross-sectoral partnership and intersection among the panelists, which is really uh the key to finding and co-creating the meaningful solutions as, as, as Monika and other panelists have mentioned. I'd like to, uh, uh, I'd like for us to move on to the next. Uh, panel, open panel discussion. And Q&A session. Robert again has uh uh generously offered to moderate this session. Here, we'd like to give Robert and the audience the opportunity to raise additional questions and topics that they That may not have been uh covered in the previous panel discussions. If you, the audience has any questions, uh, to any of the panelists, please raise them now. Uh, Robert, do you have any pending questions, uh, for one or, uh, several, uh, panelists? Uh, please also keep in mind that this session is, um, is, uh, actually was scheduled for 15 minutes, but now we have, uh, a little bit less time, uh, so a bit shorter than the previous two panels. Sure. Thank you again, Nay, for the introduction and uh we'll try and cover some great distance and questions here in the next 7 minutes that we have, um, at least to get the conversation started. Uh, maybe the first one is just a follow-up, uh, uh, from, uh, the audience for Eric, uh, Bourdon and Vica, and it's a little bit of a building on the conversation that we had. In terms of more drastic um acceleration towards the long term goals and objectives, um, I don't, I, I don't really wanna call it an incremental approach today because a lot of arduous work has been done, but what could be done to really, you know, make a step change in transforming the supply and, and value chains in, um, in our sectors. Hm. Um, so it's clear that we, we, we need a fair level playing. This is very important in order to facilitate, let's say, the. Actions for the people who are keen to make some progress because there are a lot of risks that this has been addressed and so it's very important to create an area where we can play properly and safely because there are a lot, a lot of risks. If we talk about the Europe, the European community today we are under discussion the cross-border adjustment mechanisms, and this is something which will most probably help to protect this market as far as the WTO allows it, of course, but this is very important to be able to do that. Uh, on top of that or in parallel if we cannot obtain this cross-border adjustment mechanism, it means that we have from the public command to have some visibility. On volumes and maybe uh to uh to fix, uh, you know, a carbon price thanks to a system like uh carbon contract for different or things like that that that would help for sure. OK, great, thank you. I think that's, uh, clearly an important, uh, consideration and, and I guess building on that there's another question here. In regards to the, the role of government and state owned enterprises in uh moving the needle on, on uh the global circular economy and as it relates to construction and maybe I'll turn that question to, to Andrew, uh, given your, your work with um various state-owned enterprises around the world and, and governments. So, what do you think is the role and, and um how, how should we help shape that as both the World Bank and, and more broadly? I think, uh, it's got a significant role. Um, I go back to something I said earlier, uh, in terms of the paradigm of there's a production and it's the consumption. They have a role at both ends of that. So on the consumption end, they have a role in the, in the building regulations, um, and, uh, and how the building regulations are established to ensure that this performance is not compromised, so the fire resistance isn't compromised, the durability is not compromised. But there's, within the building regulations and the planning, there's some onus on how much materials being used, bringing in material efficiency in the building code system, I think can do a lot to, to narrow the flow in the circular economy, to narrow the flow. Building regulations have a role and planning. In the production side, I think there's a key aspect, um. In terms of the cement and concrete industry, um, in, uh, in enabling and equipping access to, uh, waste materials from other industries, um, in, in order to, uh, get a hard demolition waste not being landfilled. We know that Japan, Netherlands, UK, they've got policies which mean that hard demolition waste isn't going to landfill, it's coming back into the construction cycle. So we know it's possible. You need to have the right regulations and planning and, and, and Eric mentioned those before. Sure, yeah, and, and I think that those are certainly, um, areas that also World Bank can help shape with sort of policy frameworks and making sure that those pillars that, uh, support the entire, uh, circularity are, are there in place and maybe on that note in terms of performance and building codes turn it to, to Salome, um. And, and you talked a lot about the the materials passports and sort of uh collaborating across the value chain, uh, and I know your perspective is, uh, from, from the demand side as it were, is a little different perhaps than the supply side, but without getting into to perhaps too much of a controversial topic, like what is your view on, on, um. Maintaining the quality of building materials as we move to new business models and, and sort of that performance that Andrew is mentioning and how do you think about that in, in the passports and uh and, and the overall performance of the construction sector. Um, yeah, let me say that we as a local government are only just one of the many players, as mentioned before in the entire sector. Um, I'm actually not too worried about, uh, the building materials quality. I know that it's very, um, um, scary maybe sometimes to do new things or to try new things, but it doesn't mean that, uh, the quality of the materials actually implicated. One of the massive green deals that we uh just closed regionally end of last year is a, is a building in wood. Uh, agreement, uh, and in some cases, Carol showed a picture in his presentation. We built one of the, or maybe even the biggest high-rise building in woods in the Netherlands, uh, last year. So this is a, let's say a traditional material, uh, that we're going to reintroduce, um, uh, and, and we still have questions but that can be, uh, researched. Um, so I think the most important thing is to Not be afraid to try out new things. Um, make sure that the quality checks are there. I think certification is gonna be a massive, um, a theme, not only for new products but also for for secondary products. If you're gonna reuse products, how do you know that it, it can, if the quality is high enough, if it's fitting in your building for the coming 50 or 100 years even and who's gonna take that responsibility? Um. Sometimes we use traditional materials that we already know or we have to bring back the, uh, the knowledge and the information, but it doesn't mean that we should not, uh, try it and, um, as mentioned before, I think we should be looking at the, the total. Range of costs and benefits and if you add them all up, um, I, I believe that uh the building materials of the future might be fairly easily different than the ones we're using at the moment. Um, so, uh, yeah, thank you. Well, thank you for that perspective. I think that's uh brings up some interesting points and, and maybe on that note we'll move to, um. To Monica with a question in picking up a little bit on this theme and extending it to your comments on that collaboration across the Valley chain and the partnering and, and how do, do different stakeholders across the Valley chain cooperate and If you can take the, the Danish, uh, experience and, and let's try and translate it into the developing economies, uh, where a lot of this work will happen and Franco, a lot of the construction materials will be consumed in the next 50 years, most of them, the vast majority I would even say. What would be your recommendation and some of the key points that, that you would want to see included in, in shaping the construct the circular construction economy and based on the cooperation in, in the developing world. Not not to unpacking that question, but let's let's see if we can do that. Yes, there's a lot of things to tackle in, in, in a short time, but I would definitely say. Or at least proposed to designing for, for circularity from the start and from the beginning. So with all of these emerging business models, I would go through every part of the, the business model to actually see where can we improve, where could we look into, for example, the, the supply, the distribution, if you go into the start of life cycle, if you go into the product life, see how can you design for disassembly, modular design, think. About how you can actually look into both when creating buildings, when creating secondary buildings, when creating systems, modular. Think about modularity, think about design for disassembly. Think about how can we repair, repair, reuse. So we can like prolong the whole extending uh the product phase and extend that for as long as possible. And then also design for For the end of life and look into how can we, if not, uh, keeping it in the product phase, how can we actually design for, for, for, for new use and, and, and reuse and upcycling. So, so there are, I think there's so many ways to, to actually both map out and design new systems and new business models within this, look into leasing models. Do we actually need to own everything. Things. So, so there's a lot of emerging business models already out there where also technology helps. And then I think establishing partnerships, not only between public sector but actually talking about the challenge that Salome and I are actually part of both is establishing a partnership across cities. So we have Amsterdam, Copenhagen, Toronto, New York, and Glasgow working together on enabling digital and data-driven solutions. For circular cities on that point, how could you, so those cities, they're great, they read like cosmetic, you know, labels type of thing, right, like New York, Tokyo type of thing. But in the developing world, how do you extend relationships and if you can take just 30 seconds to tell how you translate that experience into the emerging frontier markets which have very different realities than the developed world. It's a super good question. I would definitely think that this, that, the, the collaboration model would also work everywhere, so also in the developing countries. I think, uh, great actors and players like the World Bank and, and, and, and other organizations can help support these collaborations and actually establish that infrastructure of collaborating together and across countries and cities and private sector as well. So I think it's definitely also inviting people in. Into this collaboration because there's no doubt that the skills are there, uh, the materials and all, uh, heritage is there, and as Salomemi also said, many of the developing countries are actually much more circular in their, in their practice, uh, uh, than we are in, in, in the so-called first world countries. Sure, great. Well, thank you so much for that additional perspective, and, and I hate to cut off this conversation again, as I said several times, we can continue this forever, very interesting and. And I think on that note we've had a fantastic uh panel, uh, two panels today, and touched on a lot of very interesting, uh, topics that is, is really, I mean this is really a point of departure, uh, although we've as an industry departed, uh, a long time ago on this topic, but this, this webinar hopefully uh sets the stage to continue a conversation across industry and across sort of national borders and stakeholders. Uh, so thank you everybody for, for your, uh, uh, insights today and your, um, your, uh, your, uh, perspectives. Um, and that note, I'll hand it, uh, over to Nayun again to wrap up this, uh, webinar and, and thanks everybody for your, your inputs. Thank you, Robert. Very good questions and responses, uh, of course, and these questions, uh, that Robert uh posed, uh, kind of integrated some of the questions that were posed in the Q&A, uh, section. So I hope and, and, I'm quite sure that our audience and perhaps even our expert panelists have learned a lot today. I must have really enjoyed and learned a lot from the discussion today. Uh, please note that this session is being, uh, has been recorded and will be available at some point next week, uh, on the Learning Series dedicated website. If you want to revisit any of the points made during our discussion, we'll post that, uh, website link. Um, and As we close out this 9th session of the learning series, I'd like to introduce Etienne Kuchian to give a few closing remarks. Etienne works for Markets and Technology unit in the finance, Competitiveness and Innovation Global Practice, leads green competitiveness work at the World Bank, which looks at green and resilient approaches to spar industry-led growth in partner countries. Etienne And you might be on uh on mute. Oh yes, sorry. There it is. Uh, I wanted to really thank the, the, the panelists and, uh, the moderators, Felix and, and Robert for, um, participating today and also for Nayyo and, uh, uh, and the team for organizing the session. Um, I want to highlight that this is, um, a session that was organized with the International Finance Corporation and the energy team. And I think it's important because um us as the finance Competitive and innovation Global Practice, we're bringing together a very um climate but also competitiveness focus on, on this uh webinar. And as uh Sabina mentioned in the beginning, this has to be private sector-led, but I can see from this, uh, webinar and also from information that we've, uh, experienced in, in developing countries, we're still quite a bit, uh, away from, um, from actually, uh, tilting the needle in, in the direction of circular economy. Um, I noticed that also a lot of the solutions are there already, um, and, but from what, uh, you know, uh, Monica and Salome mentioned, there's a need for further collaboration and digitalization throughout the value chain so that we have enough information to restructure it in a way that is more circular. We can see that there's still a lot of, uh, you know, existing methods of, uh, of, of producing both upstream and downstream. And connecting these to make a really uh circular solution for the industry is still, uh, quite a bit away. I think the opportunity is humongous, right? I mean, we're talking, uh, as I mentioned, the, the, the rate of urbanization, the, um, uh, the, the, the construction industries, uh, um, impact on the, on the emissions. Uh, these are really huge numbers and we're just scratching the surface in terms of what can be done. Um, again, I'm really excited about the potential of the World Bank and the IFC have, uh, have in this space. We're also just getting started, unfortunately, a bit late in the game, I must admit myself. Um, but, uh, learning from what has already been done and trying to translate it as we've done in the session to the, the countries that we work, there is an opportunity because of the great increase in construction in some of our Countries, not just make the same mistakes that have been done in terms of, uh, you know, the embedded emissions and other types of environmental issues associated with the construction industry, uh, and to, to kind of do it better from the beginning so that we don't suffer the same consequences further down the line, and we have to do this hand in hand with the private, the private sector, the researchers, the universities, the academic institutions, and other actors. In the sector. The dyna dynamism of this sector forces us all to work together to come up with a common solution. And uh again, I'm very excited to kind of take this journey, um, with everyone, uh, here, um, as we move forward. Um, that's it from my end and thank you so much for joining. Please join us for the next session, uh, focused on food and then eventually on also on, on wood and, and furniture processing. Um, and we, yeah, I look forward to, to having you all there. Thank you so much. Thank you, I did. Thank you all, panelist. Thank you so much.
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