Value chain generator to accelerate the European transition to circular economy

Introduction

Out of 100 billion tons of resources entering the economy every year - from metals, minerals, and fossil fuels to organic materials - only 7.2% are circled back. This is a decline from 9.1% in 2018 and 8.6% in 2022, despite over 100 billion EUR in private and public investments into the circular economy in the EU. Solving this problem can lead to 4.5 trillion EUR of business opportunities, 6 million high value-added jobs, and a potential to reduce the global greenhouse gas emissions (GHGE) by 39%.

Value Chain Generator (VCG)

Value Chain Generator (VCG) offers a promising way to solve these problems by exploiting deep tech and novel approaches to build circular value chains. These have emerged as a strategic EU tool to direct decarbonization investments and improve resource efficiency.

Cloud Platform Features

VCG is a cloud platform that uses AI and big data to digitally and in real-time build circular value chains, enabling the exchange of (industrial) residuals between millions of companies embracing circularity.

Example of Application

For example, 42 million tons of Brewer’s Spent Grain, the main by-product of the beer brewing process, can be turned into raw material for:

• Bioplastics
• Biofuel
• Alternative proteins
• Chemicals

These materials are in high demand in the automotive, pharma, food and beverages, and energy industries, with a ROI of 172% for a mid-sized brewery and GHGE savings of 19,387 tons of CO2 or 5,291 tons of carbon annually.

Multidimensional Synergies

Exploring multidimensional synergies between materials, technologies, and climate/financial metrics, VCG enables businesses to make informed decisions and investments. This fosters a circular economy that:

1. Decarbonizes supply chains
2. Minimizes waste (potential to valorize over 100 million tons of residuals by 2032)
3. Reduces CO2 emissions (64 million tons savings by 2032)
4. Maximizes ROI (up to 600%)

Conclusion

To keep the competitive edge, adhere to ambitious environmental goals, and succeed in demanding markets, the world’s industry must make complex decisions regarding their value chains in the coming years. This is where VCG can help.