Ireland's State of the Environment Report 2024

404 Chapter 15: Circular Economy and Waste 2. Circular economy and waste drivers 2 www.mywaste.ie/national-waste-management-plan/ (accessed 24 June 2024). 3 www.cso.ie/en/interactivezone/statisticsexplained/nationalaccountsexplained/householdgrossdisposableincome (accessed 24 June 2024). Legislative and policy drivers In Ireland, circular economy policy has been slowly developing from waste management policy. The government’s Waste Action Plan for a Circular Economy 2020–2025 (DECC, 2020), set out policies to ensure that Ireland meets statutory targets on waste recycling and recovery while also developing its circular economy. The Whole of Government Circular Economy Strategy 2022–2023: Living More, Using Less (DECC, 2021a), Ireland’s first national circular economy strategy aims to address the absence of a joined-up national policy framework and the lack of awareness and understanding of circularity among households, businesses and policymakers. Preparedby theDepartmentof theTaoiseach gov.ie Preparedby theDepartmentof the Environment,ClimateandCommunications gov.ie Whole of Government Circular Economy Strategy 2022 - 2023 Living More, Using Less CMYK (basedon coated) Source: DECC, 2021a The legislative framework for a circular economy was strengthened with the introduction of the Circular Economy and Miscellaneous Provisions Act (No. 26 of 2022; the Circular Economy Act). The Act provides the legal basis for national circular economy roadmaps, strategies, programmes and targets. Government policy also committed to reconfiguring the National Waste Prevention Programme, led by the Environmental Protection Agency (EPA), which had been operating since 2004. In 2021, that programme was incorporated into the 2021–2027 Circular Economy Programme, also led by the EPA (EPA, 2021a). This programme is a statutory requirement under the Circular Economy Act and, together with local government’s National Waste Management Plan for a Circular Economy, 2 is a key driver of Ireland’s move to a circular economy. Economic growth Ireland’s National Planning Framework (DHPLG, 2018) and National Development Plan 2021–2030 (DPER, 2021) set out long-term planning and public investment (€165 billion) for the country. The National Development Plan identifies a circular economy’s role in creating resilient supply chains. It reiterates Ireland’s commitment to strategic investment in the circular economy by reconfiguring the Environment Fund as the Circular Economy Fund and by ensuring that funding is ring- fenced to support projects and initiatives focused on the environment and a circular economy. The plan commits to supporting investment under the government’s Circular Economy Strategy (DECC, 2021a). Current capital expenditure supports the transition to a circular economy, although these financial commitments are predicated upon continued expansion in the Irish economy. The circular economy model goes some way towards reframing older economic models of prosperity, which focused largely on measures of gross domestic product and consumption, to consider climate, environmental and social outcomes. Ireland’s unemployment rate remains one of the lowest in Europe despite the cost-of-living crisis, which has significantly impacted many households. The Organisation for Economic Co-operation and Development (OECD, 2023) reported that household consumption remained resilient in 2023 due to increases in wages and employment rates and excess pandemic savings. This is reflected in the continued growth in household disposable income. 3 The OECD’s review of Ireland’s environmental performance (OECD, 2021) makes clear that decoupling across planetary boundaries, the limits within which humanity can continue to develop and thrive, is a core priority for Ireland (Figure 15.2). The report notes that ‘Significant underinvestment in the wake of the recession affected the quality of infrastructure and slowed down environmental progress. Environmental pressures rose with the fast economic growth 2014–2019.’ When considering the actions needed to address the imbalance, the report states that ‘a circular economy approach will help increase resilience of supply chains and self-sufficiency.’