Global smart cities environmental
opporturnities
Lari Rajantie, Sitra 18.5.2017
Finland will succeed as a
pioneer of sustainable
well-being.
V I S I O N
Sitra as an agent of change
Capital investor and
a trainer at the societal level
R & D funder Societal game changer
and agent of change
?
Global
service-based
society
Closed
industrial society
2017
1970
1980
1990
2000
The decoupling of perceived well-being and economic
growth from the consumption of natural resources
Perceived well-being
Economic
growth
The use of natural
resources
― Digitisation plays a key role as an enabler of new solutions.
― Finland could play a bigger role than its size merits in finding solutions to
the ecological and social problems of the world!
T H E B I G G E S T C H A L L E N G E O F O U R T I M E
Anticipatory
healthcare
Cleantech and the circular
economy
Why do we throw away about
80 % of consumer products and their materials?
Offices’ occupancy
rate is about
40 %
On average,
materials in Europe
are used
only once.
The average
occupancy rate
of cars is about
8 %
10-15 %
of building materials
goes to waste during
construction.
31 % of produced food goes to waste
in value chain. In Finland it makes
300-400 million kilos per year.
The global demand for raw
materials will increase during
the next 20 years
Energy
+ 32 %
Steel
+ 57 %
Water
+ 137 %
Farmland, over
+ 200 %
The World is full of waste, yet the demand for raw materials
is increasing globally
Sources: EEA, GSA, UN FAO, EU, McKinsey, Luke
Renewable, recyclable and biodegradable materials, as well as the principles of eco-design, are preferred for
products and their design. Fossil fuels are replaced by renewable energy.
Renewability
Product-life extension
Products are used according to their original purpose for as long as possible or repaired and refurbished for
multiple re-uses, thus reducing the need for purchasing and manufacturing new products.
Sharing platforms
Digital-based platforms are used to promote the increased use of goods and resources and the extension of
their life cycle, such as by renting, selling, sharing and re-use.
The customer pays for certain functions or performance and avoids the risks of ownership. The total costs of
ownership remain with the service provider, with revenue being earned by means of, for example, a leasing
or rental agreement.
Product as a service
Resource efficiency and recycling
Technological development enhances resource efficiency in value chains, processes and products, and allows
for more effective recycling. Side-streams are valuable raw materials for recycled products and materials.
Five business models for the circular economy
Japan
Pioneer in material
flow management
since 1990.
China
CE in legislation,
large scale pilots.
Netherlands
”Circular Economy
Hotspot” 2020;
banks promoting
the CE
Germany & Austria
Forerunners in municipal waste
recycling; Renewables in Germany.
Denmark
Industrial symbioses &
green public procurement.
UK & Scotland
Zero Waste Scotland & WRAP
promoting the CE.
Canada
Zero Waste Canada
& CE working group.
Sweden
EU’s forerunner in
e-waste recycling.
Finland
Government’
s key project,
roadmap &
WCEF 2017.
Circular Economy advances across the globe
KEY MEGATRENDS DRIVING LOW-CARBON BUSINESS
CURRENT FINNISH STRENGTHS AND FUTURE GLOBAL MARKETS
ANNUAL GLOBAL MARKET SIZE US$ BILLION, GROWTH BY 2050
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Global smart cities environmental opporturnities lari ,vanha

  • 1.
    Global smart citiesenvironmental opporturnities Lari Rajantie, Sitra 18.5.2017
  • 2.
    Finland will succeedas a pioneer of sustainable well-being. V I S I O N
  • 3.
    Sitra as anagent of change Capital investor and a trainer at the societal level R & D funder Societal game changer and agent of change ? Global service-based society Closed industrial society 2017 1970 1980 1990 2000
  • 4.
    The decoupling ofperceived well-being and economic growth from the consumption of natural resources Perceived well-being Economic growth The use of natural resources ― Digitisation plays a key role as an enabler of new solutions. ― Finland could play a bigger role than its size merits in finding solutions to the ecological and social problems of the world! T H E B I G G E S T C H A L L E N G E O F O U R T I M E Anticipatory healthcare Cleantech and the circular economy
  • 5.
    Why do wethrow away about 80 % of consumer products and their materials? Offices’ occupancy rate is about 40 % On average, materials in Europe are used only once. The average occupancy rate of cars is about 8 % 10-15 % of building materials goes to waste during construction. 31 % of produced food goes to waste in value chain. In Finland it makes 300-400 million kilos per year. The global demand for raw materials will increase during the next 20 years Energy + 32 % Steel + 57 % Water + 137 % Farmland, over + 200 % The World is full of waste, yet the demand for raw materials is increasing globally Sources: EEA, GSA, UN FAO, EU, McKinsey, Luke
  • 6.
    Renewable, recyclable andbiodegradable materials, as well as the principles of eco-design, are preferred for products and their design. Fossil fuels are replaced by renewable energy. Renewability Product-life extension Products are used according to their original purpose for as long as possible or repaired and refurbished for multiple re-uses, thus reducing the need for purchasing and manufacturing new products. Sharing platforms Digital-based platforms are used to promote the increased use of goods and resources and the extension of their life cycle, such as by renting, selling, sharing and re-use. The customer pays for certain functions or performance and avoids the risks of ownership. The total costs of ownership remain with the service provider, with revenue being earned by means of, for example, a leasing or rental agreement. Product as a service Resource efficiency and recycling Technological development enhances resource efficiency in value chains, processes and products, and allows for more effective recycling. Side-streams are valuable raw materials for recycled products and materials. Five business models for the circular economy
  • 7.
    Japan Pioneer in material flowmanagement since 1990. China CE in legislation, large scale pilots. Netherlands ”Circular Economy Hotspot” 2020; banks promoting the CE Germany & Austria Forerunners in municipal waste recycling; Renewables in Germany. Denmark Industrial symbioses & green public procurement. UK & Scotland Zero Waste Scotland & WRAP promoting the CE. Canada Zero Waste Canada & CE working group. Sweden EU’s forerunner in e-waste recycling. Finland Government’ s key project, roadmap & WCEF 2017. Circular Economy advances across the globe
  • 8.
    KEY MEGATRENDS DRIVINGLOW-CARBON BUSINESS
  • 9.
    CURRENT FINNISH STRENGTHSAND FUTURE GLOBAL MARKETS ANNUAL GLOBAL MARKET SIZE US$ BILLION, GROWTH BY 2050
  • 10.

Editor's Notes

  • #4 Throughout its history, Sitra has been a future-oriented organisation that has the proven ability to exit businesses upon finding long-term owners. Although Sitra’s basic remit has remained the same throughout its existence, its methods have varied depending on the best ways of helping Finland to prosper. Until the 1980s, Sitra acted as a provider of R&D funding. In the next phase, the establishment of a capital market in Finland and societal training came to the fore. In the 21st century, Sitra has acted as shaper of society, initially through a programme-based approach and, from the turn of the millennium, by basing its work on new practices. As a shaper of society, Sitra has begun to grapple with complex and overarching – that is systemic – challenges. The curve depicts Sitra's role as a game changer in society.
  • #8 Yhteiskuntamme hyvinvointi ei enää voi lisääntyä tuottamalla liukuhihnoilta aina vain lisää ja lisää tavaroita tai raaka-ainetta. Maailma kaipaa ratkaisuja joilla taklataan ilmastonmuutosta ja ylikulutusta. Suomessa ei ole vielä ymmärretty ilmastotaistelun, kiertotalouden ja työpaikkojen liittymäpintaa