Promoting a Circular Economy in German Development Cooperation
Global resource consumption is constantly increasing as a result of population and economic growth. In the linear economic system, resources are extracted, processed into products and then often improperly disposed of or discarded after a short lifespan. The circular economy, which aims to achieve closed material cycles, contrasts with the linear economic model. Given the challenges associated with the transformation of an economic model and the opportunities that lie in a circular economy, the topic is of great importance to German development cooperation. With this evaluation, DEval contributes to the conceptual development of this topic in German development cooperation.
Results and Recommendations
- The evaluation shows that the BMZ and BMUV have a nationally and internationally compatible conception of the circular economy.
-
However, there are conceptual gaps that can complicate the management of circular-economy measures. For example, the prioritisation of the circular economy in development cooperation (DC) as a whole is still unclear. In addition, the BMZ portfolio in particular continues to focus on waste management. Furthermore, the circular-economy portfolio could be larger than assumed by ministries and implementing organisations, as an analysis using artificial intelligence has also identified agriculture and forestry as areas in which circular-economy measures are increasingly being implemented. This can lead to a gap between the conceptual claim and the actual implementation focus.
- While cooperation with the partner countries is working well, the evaluation identifies challenges in the cooperation between the German actors, especially among the ministries themselves and between them and their implementing organisations.
-
Despite general requirements for departmental coherence, the special demands on interaction between the circular-economy measures have not yet been taken into account in the strategies of the BMZ and BMUV. Similarly, the density of communication and the dovetailing of measures is not yet satisfactory, mainly due to the complexity of the subject matter. This makes it more difficult to achieve overarching goals across the entire product life cycle or the cross-border value chains.
- The development of an action-guiding circular-economy concept in German DC is recommended. This should be developed by the BMZ in coordination with other ministries in order to strengthen a common understanding among all relevant actors of the concept and role of the circular economy.
-
Among other things, the basic idea of the entire definition should be further developed in terms of content, a cross-departmental strategic objective for the promotion of the circular economy in DC should be developed, and cross-departmental objectives as well as criteria for the allocation of circular-economy measures should be defined.
- In order to improve portfolio management, the BMZ together with the implementing organisations should take measures to systematically develop and manage their portfolio in line with the circular-economy concept.
-
To this end, dialogue with other ministries (such as the BMUV, BMWK and BMBF) on their DC circular-economy programmes should also be strengthened.
- Interdepartmental cooperation should be improved by closer coordination between the BMZ, BMUV and the implementing organisations on the circular economy – at the strategic, sectoral and country levels.
-
To this end, the relevant ministries should reach an agreement, particularly with the adoption of the national circular-economy strategy, to the effect that they (at the political level) will stringently transfer the requirements set out there to the DC goals and the design of measures.
The evaluation was carried out from 2023 to 2024. The results and recommendations are summarised here. Further details can be found in the evaluation report.
Background
Since the 1970s, the world's population has doubled and global economic output has quadrupled. These developments have led to a rapid increase in the demand for resources to support economic growth and the associated increase in human welfare. This economic model is causing massive ecological damage, mainly due to its linearity, from plastic pollution in the oceans to the destruction of ecosystems and high levels of greenhouse gas emissions.
The transformation to a circular economy is increasingly being seen as a way of promoting an economically and environmentally sustainable economy, reducing the use of primary resources and increasing the use of secondary resources. Accordingly, a circular economy is increasingly part of national and international legislation, roadmaps and agreements, such as the EU's Circular Economy Action Plan 2020. In Germany, under the leadership of the Federal Ministry for the Environment, Nature Conservation, Nuclear Safety and Consumer Protection (BMUV), a National Circular Economy Strategy has been adopted for 2024 and a plastics agreement is being negotiated at international level.
Circular economy approaches can be described in terms of 'R-strategies'. The three best known and most commonly used are Reduce, Reuse and Recycle.
A number of ministries are implementing development cooperation interventions in the field of circular economy. Against this background, an evaluation was carried out across ministries with the participation of the BMUV and the German Federal Ministry of Economic Cooperation and Development (BMZ). The focus was on the concept of a circular economy, the portfolio and the coherence of the interventions carried out by the BMZ and the BMUV.
Objectives
The objective of the evaluation is to gain insights into the concept of a circular economy and the cooperation of actors in the field of circular economy in German development cooperation. In doing so, it analyses the evidence with regard to the OECD-DAC criteria of relevance (appropriateness of the concept; alignment with the needs of partners and vulnerable groups) and coherence (within German development cooperation and with partner countries).
The purpose of the evaluation is to contribute to the further development of the topic in German development cooperation. While German development cooperation can draw on many years of experience in some areas of the circular economy (e.g. waste management), the circular economy was included as a new field of action as part of the "BMZ 2030" reform process. Circular economy is an innovative and transformative economic model, for which there is correspondingly little knowledge in German development cooperation. The knowledge gained should help to improve the implementation of interventions in this constantly growing field by enabling actors in development cooperation to further develop the concept of circular economy and to manage the circular economy portfolio even better.
Methods
The evaluation adopted a mixed and multi-method approach using both qualitative and quantitative methods of analysis. Accordingly, both primary data (country case studies, interviews, online surveys, focus group discussions) and secondary data (portfolio data, policy and project documents, academic literature) were used.
The data was analysed using quantitative and qualitative content analysis, descriptive statistics and portfolio analysis based on artificial intelligence.
Team
- Dr Cornelia Römling Senior Evaluator - Team Leader
- Laura Kunert Evaluator
- Lukas Welk Former Evaluator DEval
- Janis Schnell Evaluator
Contact
Dr Cornelia Römling
Phone: +49 (0)228 336907-996
E-mail: cornelia.roemling@DEval.org
Amélie Gräfin zu Eulenburg
Phone: +49 (0)228 336907-930
E-mail: amelie.eulenburg@DEval.org
