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CIRCULAR A BLUEPRINT FOR LOCAL GOVERNMENTS TO KICK START THE CIRCULAR ECONOMY TRANSITION TABLE OF CONTENTS

This publication is a product of the“Circular Turku: Regional 4 About the consortium collaboration for resource wisdom” (2019-2021) project, which 5 Foreword aims to design a regional roadmap to operationalize circularity 6 summary in the Turku region with the support of local stakeholders and ICLEI - Local Governments for Sustainability. The report captures the results and learnings of the inception phase of the 9 MEET CIRCULAR TURKU project and the existing endeavors and good practices of Turku. 10 About Circular Turku 12 The of Turku PUBLISHERS FUNDING PARTNER

ICLEI – Local Governments for Sustainability e.V. 15 SETTING THE SCENE: CIRCULARITY IN TURKU Kaiser-Friedrich-Straße 7 53113 Bonn, 16 Building on local knowledge and initiatives www.iclei.org 18 Regulatory frameworks informing circular economy work in Turku 23 Linking circularity to carbon neutrality in Turku City of Turku CONTRIBUTORS AND REVIEWERS PO 355 20101 Turku, 27 OPERATIONALIZING REGIONAL CIRCULARITY: BEST PRACTICES FROM TURKU Marleena Ahonen, Sitra www.turku.fi/en Aki Artimo, Turun Seudun Vesi Oy 28 The Green Circular Coalition thematic framework Theresia Bilola, City of Turku AUTHORS Linda Fröberg-Niemi, Turku Science Ltd 30 Multi-stakeholder collaboration for a Circular Turku Björn Grönholm, UBC Sustainable Cities Commission 34 Increasing the circularity ambitions of regional with Lounais-Suomen Jätehuolto Oy Marion Guénard, ICLEI World Secretariat Olli Hakala, Centre for Economic Development, Transport and 38 From extraction to resource recovery, a systemic water concept in Turku Tiina Vikman, City of Turku the Environment in 42 Smart Chemistry Park: An industrial symbiosis project to redesign the chemistry sector Yun (Yvonne) Yang, ICLEI East-Asia Secretariat Suvi Haukioja, City of Turku 46 Supporting circular food systems through public procurement Reeta Huhtinen, Turku Ltd DESIGN & LAYOUT Sini Ilmonen, Lounais-Suomen Jätehuolto Oy 50 Laying the foundations of a circular construction industry Aleksis Klap, Regional Council of Southwest Finland Matteo Franceschi, ICLEI World Secretariat Jarkko Laanti, Turun seudun puhdistamo Oy 55 FIVE PRIORITIES FOR A CIRCULAR TURKU Riikka Leskinen, Valonia - Service Centre for Sustainable Development DISCLAIMER 56 Setting priorities for five value chains Julius Manninen, Turku Science Park Ltd 63 Towards an action-oriented roadmap Hannah Rothschild, ICLEI World Secretariat The information contained in these roadmaps is based on close Essi Silvonen, Finland Futures Research Centre 64 Methodology for a collaborative prioritization of circular economy topics consultation with the City of Turku and regional stakeholders. Togo Uchida, ICLEI Japan Authors and reviewers have contributed to this report in their Risto Veivo, City of Turku individual capacity. Their affiliations are only mentioned for 67 TAKING CIRCULAR TURKU GLOBAL Dana Vigran, ICLEI World Secretariat identification purposes. Rebecca Wessinghage, ICLEI World Secretariat 68 Four pillars of a Circular Turku CITATION 69 Scaling Circular Turku through the Green Circular Cities Coalition 70 Collaboration with Japanese cities The publication should be cited as: City of Turku, ICLEI (2020). Circular Turku: Regional Collaboration for resource wisdom. 73 KEY LEARNINGS AND OUTLOOK Bonn, February 2020.

75 Credits

3 ABOUT THE CONSORTIUM FOREWORD

CITY OF TURKU SITRA ICLEI – LOCAL In Turku we are committed to a circular, resource wise future GOVERNMENTS FOR with zero emissions, zero waste, a low ecological footprint and the sustainable use of natural resources. Turku is on a good Located in Southwest Finland, Turku Finnish innovation Fund Sitra focuses SUSTAINABILITY is the regional capital of the third on improving the well-being of Finnish path towards carbon neutrality by 2029, and thereafter towards a climate positive area with negative net emissions. We are largest in Finland. Turku is residents towards a fair and sustainable is a global network of more than determined to implement the principles of resource wisdom and the country’s oldest city and a global future. Sitra conducts practical 1,750 local and regional governments aspire to host a socially sustainable circular transition. frontrunner for climate action. With experiments and research, compiles committed to sustainable urban its surrounding municipalities, Turku cross-boundary networks and develops development. Active in 100+ countries, Our ambitious goals can be achieved with strong climate is an energetic centre of growth in the and finances business operations. Sitra ICLEI influences sustainability policy mitigation and adaptation measures combined with circular Baltic area. The city is an important is an independent public foundation, and drives local action for low emission, solutions. A successful climate policy must include an element business and cultural centre, and a hub operating directly under the supervision nature-based, equitable, resilient and of circularity and address both direct and indirect emissions for learning and research. of the Finnish Parliament. circular development. ICLEI’s members such as those embedded in material and product life cycles. and team of experts work together through peer exchange, partnerships A recent study recognized about 700 circular economy and capacity building to create systemic operators in the Turku region, 270 of them being businesses change for urban sustainability. visibly engaged in circular economy. Cities have a crucial role as enablers of circularity and in creating a good operating environment for new solutions. Through visible solutions, residents can see the benefits of circulating resources, with positive impacts on our environment, economy and wellbeing.

The roadmap for a Circular Turku is well underway as a collaborative effort by the City of Turku, ICLEI, Finnish Innovation Fund Sitra and regional partners. Our work with ICLEI and the Green Circular Cities Coalition brings new elements to the roadmap process and helps scale our solutions for other cities’ and municipalities’ use.

A Circular Turku can be achieved through active collaboration, and we are excited to continue this joint work!

MINNA ARVE , CITY OF TURKU

4 5 EXECUTIVE SUMMARY

The circular economy offers a Yet because the circular economy Experiences in Turku show the value Moving forward, the city of Turku Circular Turku is shaped by the inputs Together with the city of Turku, relevant practice-oriented framework doesn’t have sectoral or geographical of regional and multi-stakeholder is designing an action plan to of committed stakeholders from a a vibrant community of circular to rethink the way resources are boundaries it can quickly feel collaboration in operationalizing comprehensively implement the wide variety of fields. Their voices economy actors will ensure Turku managed at the local level and shift overwhelming. As a result, the the circular economy in a systemic circular economy in the surrounding and vision for a Circular Turku as fulfills the objectives laid out in its city away from extractive production circular economy often ends up being way. This report offers a deep-dive region in an inclusive and participatory represented throughout this report are strategy: Becoming carbon neutral, practices. Through urban planning, marginally implemented. into front-running circular economy manner. These efforts are undertaken foundational to the work that the city zero waste and respecting ecological policies, investments and their ability practices from the Turku region and as part of the Circular Turku project, plans to undertake. boundaries by 2040. to convene different stakeholders, provides insights into the governance co-funded by Sitra and implemented local governments are well positioned model and participation mechanisms in close partnership with ICLEI – Local to turn the ambitions of the circular needed to make them happen. Finally, Governments for Sustainability. The economy into an everyday reality. it showcases how the circular economy aim of this cooperation is to draw can support ambitious climate action learnings from international best through concrete pathways other local practices and design needs-based tools governments can replicate. and collaborative methodologies for other local governments to use around the world.

Cities have a central role in operationalizing circular economy, ICLEI’s Circular Development program guides local “and multi-stakeholder collaboration is a key factor in this “ governments in embracing circular and sustainable transition. The Turku region holds a significant amount of development and shifting away from resource-intense expertise in circular economy, and we need to utilize that models. We are thrilled to be working with the city of

knowhow together. A roadmap that is designed in broad Turku on designing a blueprint for operationalizing collaboration from regional to international level has true the circular economy at the local level. Experiences

scaling potential to other local governments around the from Turku demonstrate the key role of cross-sectoral world. Turku has succeeded in combining economic growth and multi-level collaboration in turning the circular “ with emission reductions, and we are on a very promising “ economy into a reality and offer replicable tools to path to carbon neutrality by 2029. Resource wisdom is implement similar practices across the ICLEI network. an important next step towards carbon neutrality!

GINO VAN BEGIN, ICLEI - LOCAL PEKKA SUNDMAN, CITY OF TURKU GOVERNMENTS FOR SUSTAINABILITY

6 7 MEET CIRCULAR TURKU

8 9 INTRODUCTION

ABOUT CIRCULAR TURKU

Supported by The Finnish Innovation Fund Sitra, the Circular Turku project aims to collaboratively design a regional roadmap that will operationalize circularity in the Turku region. The project involves all relevant stakeholders - from municipal companies to regional bodies, businesses, and community groups - in the design of an inclusive and systemic circular economy action plan, to be released in 2021.

To ensure these efforts are informed by worldwide best practices and top-notch ABOUT ICLEI’S knowledge on localizing circularity, the city of Turku is partnering with ICLEI - Local GREEN CIRCULAR Governments for Sustainability, the world’s largest city network. Turku has been a committed ICLEI Member since 1995. CITIES COALITION

Through this partnership, Turku also hopes to facilitate the replication of successful The Green Circular Cities Coalition, initiatives and methodologies initiated in the Turku region around the world and in managed by the ICLEI — Local particular in East Asia as part of ICLEI’s Green Circular Cities Coalition. Governments for Sustainability East Asia Secretariat, presents an opportunity for This report offers a blueprint for local governments eager to kick-start their circular cities across the world to become global economy transition in a collaborative and systemic way. leaders in fostering transitions towards a circular future and synergize with the Sustainable Development Goals. As an international city-focused platform, the Coalition connects cities, experts, businesses and relevant stakeholders to shift their mindset from “waste management“ towards “integrating city-region resource management and sustainable transition“, and increase circularity via experience exchange and mutual learning.

Our collaboration with the city of Turku and ICLEI has

“been very fruitful! Cities and municipalities enable the important moves to circular economy and Finland has such great examples on how to excel in circular economy with inspiring local solutions and collaboration. ICLEI’s “ global network offers an amazing opportunity to scale up the Finnish model of Circular Economy globally.

MARLEENA AHONEN, SITRA

10 11 INTRODUCTION INTRODUCTION

THE CITY OF TURKU

MAKING HISTORY WITH Turku’s climate goals build on strong REGIONAL CARBON NEUTRALITY collaboration with communities, COLLABORATION businesses and academia. The city is a TOWARDS CIRCULARITY hub for innovation and clean tech. Turku While Turku might be old, it is also very Business Region is a dynamic cluster bold! As per a unanimous decision of Turku acknowledges the need for a of business and innovation activities, the in 2018, the city aims systemic approach to climate action with spearhead fields bio and to become carbon neutral by the year that looks beyond territorial greenhouse circular economies, cleantech, maritime 2029, on time for its 800th anniversary. gas (GHG) emissions. Hence the city industry, and technology included the goal to become resource industries and health and well-being. In practice, this means the greenhouse wise by 2040 in its overall strategy. gas emissions in Turku will be cut by at Home to Finland’s first , least 80 percent compared to the 1990 Resource wisdom is an operating model Turku is also historically an academic level and the city will compensate for developed by Sitra to support cities and city which now welcomes over 40,000 any remaining emissions. municipalities in making their activities students and hosts six universities. carbon neutral and waste free, while The strong links between academia To achieve these ambitious goals, the bringing their use of natural resources and the city have been a success city is focusing on: within ecosystems boundaries by 2050 factor for innovation activities that at the latest. • Transitioning to carbon neutral foster sustainability and climate action in the region. energy systems The ambitions of resource wisdom are best operationalized through the • Increasing low carbon sustainable Finally , the climate plan emphasizes framework of the circular economy, mobility the need for residents to be part of providing an alternative model to the change and involved in the climate current (linear) economic models. Such • Steering an urban structure decisions that will affect their lives. linear models rely on intensive resource conducive to sustainability The city’s spearhead projects on extraction to fuel an economy in which carbon neutrality also include social • Embedding climate and the vast majority of materials are inclusion goals to ensure climate As a city and a central point Having existed for centuries, Turku’s environmental impacts into wasted after a single use. FINLAND’S OLDEST CITY action benefits all. in , the history of Turku is rooted foundational industries – manufacturing, investments and procurement Located on the Southwest coast of into the development and growth of its maritime and creativity – continue decisions By preserving materials that are already manufacturing and maritime industry, to grow and still form the basis of available, using waste as a resource or Finland where the meets the • Strengthening carbon sinks , Turku is the oldest city in which have been pivotal in the economic the economy. These industries thrive developing alternative business models the country. It was founded in the 13th development of the country. Traffic on exports, products and services that shift away from ownership, the century, when Finland was still part of routes from all over the country crossed originating from the Turku region. circular economy aims to decrease the the Kingdom of . The Turku Turku. Nowadays, the Turku harbour The historical trade route formed demand for new resources and designs region comprises eleven municipalities remains one of the most important by , Turku, and waste out of production systems. and is home to over 300,000 inhabitants, shipment points in the country and an St. Petersburg remains significant Transitioning away from the linear making it the third largest urban area in efficient route to serve the Baltic sea. even today, above all as a corridor economy is a massive challenge that Finland after Helsinki and . of expertise-based growth and development and as a concrete logistical a single city cannot achieve on its passage between East and West. own. This is why Turku is committed to collaborating with local, regional, national and international partners through the Circular Turku project to accelerate change.

12 13 SETTING THE SCENE: CIRCULARITY IN TURKU

The city of Turku recognizes that designing a roadmap for operationalizing the circular economy should not reinvent the wheel but rather build on existing motivation, knowledge and initiatives of committed local stakeholders. In addition, it is critical to link local circular economy action to national and transnational endeavors to inform a multi-level governance on the topic.

Finally, a circular economy action plan should be embedded within the city’s broader sustainability plan. In the case of Turku, a focal point is to connect circular economy with the city’s carbon neutrality targets and related goals.

14 15 SETTING THE SCENE: CIRCULARITY IN TURKU SETTING THE SCENE: CIRCULARITY IN TURKU

BUILDING ON LOCAL KNOWLEDGE AND INITIATIVES

The Circular Turku project builds on existing roadmaps CIRCULAR ECONOMY AN ANALYSIS OF MATERIAL FLOWS Furthermore, three entities, where the use of material flows designed at the local and regional level, a systemic STAKEHOLDERS MAPPING IN SOUTHWEST FINLAND in the province could be significantly enhanced from an assessment of circular economy stakeholders and regional environmental and economic point of view, were identified: 1) biogas from organic side streams 2) productizing nutrient-rich material flow assessments. Circular Turku aims to turn this To gain an understanding of the current state of circular The analysis “Material flow potential in Southwest Finland from streams into recycled nutrients 3) bio-coal and pyrolysis oil as knowledge into concrete action steps for implementation over economy actors in the Turku region, the city of Turku a circular economy perspective”1 was conducted in 2017 by power plant fuels. the next few years. commissioned a feasibility study from Finland Futures the regional council of Southwest Finland, the city of Turku and Research Centre, which was published in 2019. The study also Southwest Finland Waste Management Ltd. as a support for the The two first priorities were included as part of the priority topic LOCAL AND REGIONAL CIRCULAR aimed at informing Turku’s membership in the ICLEI Green regional roadmap and other regional development endeavors. selection process for Circular Turku (see chapter 3). ECONOMY AMBITIONS Circular Cities Coalition. The study explored and analyzed eight material streams in This solid knowledge base will allow the Circular Turku project The study identified more than700 circular economy actors. the region: manure, straw, other organic side streams, ash, To start the operationalization of resource wisdom in Turku, to focus on concrete action steps for the Turku region to take in 270 of these are companies engaged in circular economy and construction and demolition waste, municipal separately collected previously roadmap processes including 1) a Resource Wisdom the next years to make the circular economy a reality in the city 150 are focused on research and training. The study recognized biowaste and municipal separately collected waste. Roadmap for Turku and 2) a Circular Economy Roadmap for and neighboring municipalities. Southwest Finland have been carried out. great potential to advance the circular economy significantly in all of Turku’s main industrial fields. These include the 1 Southwest Finland, Valonia, City of Turku and Southwest Finland Waste Management A preliminary resource wisdom roadmap was designed in 2015, bioeconomy, ICT, marine and metal industries, construction Ltd. (2017) “Varsinais-suomen materiaalivirtojen potentiaali kiertotalouden näkökulmasta” as a collaboration between the City of Turku and the Finnish industry, logistics and creative industries. Accessible via: https://www.varsinais-suomi.fi/images/tiedostot/Maankaytto/2017/LAVMK/ Varsinais-Suomen-materiaalivirtojen-potentiaali-kiertotalouden-nkkulmasta.pdf Innovation Fund Sitra, after resource wisdom was approved as a priority objective in the city’s strategy. This stakeholder mapping is a core asset for the Circular Turku project which will build upon engagement with all relevant Finland’s first regional circular economy roadmap was designed actors in the region. for Southwest Finland in 2016-2017. The roadmap was a collaboration by the regional council of Southwest Finland, The study also pinpointed the areas where the region needs the service centre Valonia, the City of Turku and Sitra. The to invest heavily in the coming years. The construction sector roadmap presents the needed steps for a diverse and circular was highlighted as a key challenge. As such, buildings and economy based Southwest Finland and functions as a basis construction has been selected as a priority topic of the Circular for development projects and the collaboration around them. Turku roadmap. The roadmap focuses on three categories: 1) Sustainable food system 2) Technical loops 3) Transport and logistics. Furthermore, the roadmap includes three cross-cutting themes: 1) Servicizing 2) Public Procurement 3) Know-how in chemistry.

Regional stakeholders identified the need to make these roadmaps less descriptive and more action oriented. The Circular Turku project is building on these two roadmaps to Regional studies show that there are good possibilities design a circular economy action plan for the Turku region. “in Southwest Finland to move towards a circular economy. For example, over 40,000 cars could use biogas that is produced locally from agricultural “ manure and biogas residuals could cover 34 percent of the region’s demand for phosphorus fertilizer.

ALEKSIS KLAP, SOUTHWEST FINLAND REGIONAL COUNCIL

16 17 SETTING THE SCENE: CIRCULARITY IN TURKU SETTING THE SCENE: CIRCULARITY IN TURKU

REGULATORY FRAMEWORKS INFORMING CIRCULAR ECONOMY WORK IN TURKU

The Circular Turku project is grounded into existing regulatory • The EU action plan for the circular economy contains • The European plastics strategy, published in 2018, aims NATIONAL LEVEL FRAMEWORKS frameworks and circular economy action plans and aims at an extensive action plan and proposals for legislative to reduce the challenges posed by plastic waste and litter, contributing to goals set at the European and national levels, in amendments to be implemented in nation states, with a key enhance the recovery and recycling of plastics, ensure A strategic program for advancing the circular economy is pursuit of multi-level collaboration. focus on municipal waste. The action plan also includes product design that promotes the reuse, reparability and being developed in Finland, with the aim of changing the basis a monitoring framework for progress on the circular recycling of plastic products and create conditions for new of the economy towards circularity. Prepared during the year EUROPEAN WIDE CIRCULAR economy. It is composed of a set of ten key indicators which circular economy innovations and investments. According 2020, the programme will define objectives and indicators and cover each phase – i.e. production, consumption, waste to the strategy, all plastics packaging should be recyclable ECONOMY FRAMEWORKS the necessary actions and resources to promote the circular management and secondary raw materials – as well as by 2030. The strategy outlines actions to improve the economy and achieve systemic change. This programme economic aspects – investments and jobs - and innovation. economics and quality of plastic recycling, to curb plastic At the level, the Circular Turku project is builds on Finland’s updated circular economy roadmap for This monitoring framework will inform the development waste and littering, to drive investments and innovation informed by three main frameworks: the period 2016 - 2025, which was led by Sitra. The starting of performance indicators to be used in the action plan and to harness global action. Regional actors in Turku are point of the roadmap is that competitiveness and economic developed through the Circular Turku project. demonstrating leadership in plastics recycling and bio- vitality are to be renewed so that circular economy solutions • The European Green Deal (2019) supports and accelerates alternatives and actively engaging within European networks are raised to the centre of the growth strategy of economic the EU’s industry transition to a sustainable model of on the topic. Circular Turku will build on these existing links competitiveness. The updated version of the roadmap inclusive growth. In March 2020, the Commission will adopt in the next stages of the project. also places a strong focus on decoupling well-being from an EU industrial strategy to address the twin challenge of resource consumption and linking circular economy goals the green and the digital transformation. In addition, a new to everyday choices and lifestyles. It also underlines the circular economy action plan will help modernize the EU’s necessity to acknowledge the challenge of resource scarcity economy and benefit from the opportunities of the circular and to incorporate indicators that map resource consumption economy domestically and globally. A key aim of the new systemically. The Mayor of Turku is the Chair of the thematic policy framework will be to stimulate the development of group on “Municipalities and Regions” within the national lead markets for climate neutral and circular products, in the roadmap process. As such, the city of Turku plays a pivotal EU and beyond and to ensure sustainable transitions are fair role in informing national endeavors from a city perspective. and benefit all. Among the seven policy areas outlined in the European Green Deal, five relate directly to at least one of the priority topics identified for Circular Turku (see chapter 3).

We have a strong base for collaboration in the region The circular transition in the Turku region is well

“towards circular economy. However, since we are aiming “underway. We have successful examples of functioning for systemic change we need to push forward and aim circular solutions which motivate new stakeholders “ for real, holistic change, not just separate activities. to join the development. Still, we acknowledge that “ I look forward to identifying concrete steps both in a we have major scaling up ahead of us, which will be local and global context to strengthen our impact. advanced through the Circular Turku roadmap.

RIIKKA LESKINEN, VALONIA - SERVICE ESSI SILVONEN, FINLAND FUTURES CENTER FOR SUSTAINABLE DEVELOPMENT RESEARCH CENTER

18 19 SETTING THE SCENE: CIRCULARITY IN TURKU SETTING THE SCENE: CIRCULARITY IN TURKU

POLICY PROVISIONS SHAPING CIRCULAR • The City Council unanimously approved the Turku Climate • The Southwest Finland waste management policy OPPORTUNITIES: ECONOMY WORK IN THE TURKU REGION Plan 2029 (EU Sustainable Energy and Climate Action programme defines how the waste management is Plan, SECAP) on 11 June 2018 and systematically follows organized among the 17 municipalities that own the • The links between policy provisions and the GCCC themes its implementation. The main target of climate policy in For any local government starting its circularity journey, it is Southwest Finland waste management company, with were strongest for ‘industrial symbiosis’, ‘buildings and accordance with the city strategy is a carbon neutral city pivotal to get a thorough understanding of existing regulations targets for 2017 – 2022. construction’, and ‘urban spatial planning’. There were area by the year 2029. and development frameworks that will inform and shape city-led several policy provisions that directly related to these. For As part of the Circular Turku project, the policy provisions instance, provisions for infill construction, cooperation action on the circular economy. This mapping was conducted • The Turku Master Plan 2029 provides an overview of the outlined above were used to identify opportunities to support agreements between municipalities, balanced urban in Turku as part of the Circular Turku project and identified the development and planning of the urban environment and circular economy work and gaps that need to be addressed. development, improving the provisions for companies to following policy provisions that will contribute to shaping future transport systems in general work on the topic: The mapping was conducted using the thematic framework cooperate and share resources beyond physical boundaries • The energy efficiency agreementfor municipalities, which of ICLEI’s Green Circular Cities Coalition (see next chapter for but also in virtual platforms were included. Interactions • The city strategy where carbon neutrality is framed as took effect in the beginning of 2017, is an agreement more information). As a connection to the wider sustainability between activities and institutions are strongly embedded a goal to be reached by 2029, and resource wisdom, between the Ministry of Economic Affairs and Employment, context of the city, the links to the Sustainable Development in local policy provisions, especially in relation to making including the principles of zero waste, zero emissions and the Energy Authority and the Association of Finnish Local Goals were also indicated in the analyses. The analyses information and data open and available to promote cross- a sustainable use of natural resources are framed as key and Regional Authorities on the more efficient use of energy revealed the following: silo innovation. In particular, the role of the Turku Science targets to attain by 2040. The city strategy is supported in the municipal sector. Park Ltd. and its wider network of companies offers great by two strategic programmes: “Wellbeing and Activity” and potential for such synergistic endeavors. • The Land use transport and housing agreement (MAL) “Competitiveness and Sustainable Growth”, where circular outlines the common goals and future endeavors of economy is promoted. The programme aims among others the municipalities and the state of the Turku City region at reinforcing the material utilization of municipal waste and with regards to land use. The agreement involves 14 the complementary use of local energy. The program also municipalities and aims at promoting the development of a plans for an improved usage of stormwater in all planning growth zone in the Turku region. and construction.

“I am proud to work for one of the forerunners of the circular economy, Lounais-Suomen Jätehuolto Oy, and thrilled to work with challenges which are at the same

time important to myself and which matter globally. I believe that with transition from linear to circular economy

we can achieve a sustainable future. The change needs to start from designing and manufacturing and should cover usage, reuse and recycling. The biggest change “ needs to happen in our way of thinking and consuming.

SINI ILMONEN, LOUNAIS-SUOMEN JÄTEHUOLTO OY

20 21 SETTING THE SCENE: CIRCULARITY IN TURKU SETTING THE SCENE: CIRCULARITY IN TURKU

LINKING CIRCULARITY TO CARBON NEUTRALITY IN TURKU

GAPS: Playing on these synergies and addressing gaps will be a core In 2018 Turku tightened its carbon According to the 2017 emissions To meet the 2029 carbon neutrality component of the Circular Turku project, along with streamlining neutrality targets significantly. The calculations, Turku has reduced its target, the city is placing a strong • Innovation and expertise in procurements are addressed in local circular economy with national and European ambitions. ​ Turku City Council approved an emissions by approximately one focus on the circular economy. This policy provisions but circularity is not explicit. Despite being This will provide a base for the implementation ​of resource ambitious Sustainable Energy and third from the 1990 level. The total section explores pathways to cut GHG a significant tool for localizing the circular economy, there wisdom goals and the city strategy update in 2021. Developing Climate Action Plan with a goal to emission reductions are continuously emissions through circular economy is limited information on provisions for ‘greening’ public a shared understanding also facilitates communication and reach carbon neutrality by the year approaching the target track, and rapid measures at the regional level based procurements using circular criteria. Addressing this gap implementation for all relevant stakeholders. 2029. This means an emissions cuts have been achieved particularly in on experiences in Turku and explores will be a focus of the Circular Turku project. ​ reduction of 80 % from the level . three reasons why climate action must of 1990 and compensating for the be paired with circularity. • Circular economy work is strongly linked to the SDGs remaining emissions. The goal is also that address energy, water, food, innovation and industry, for Turku to become a climate positive sustainable cities, production and consumption patterns, area with negative net emissions work and economic growth, climate action, terrestrial from 2029 onwards. The decision of ecosystems and partnerships for the goals. The links to the a carbon neutral Turku by 2029 was SDGs with a more social perspective (health and well-being; made unanimously by the city council. reducing inequality; gender equity and, quality education) are less evident and require further thought and development.

Carbon neutrality and climate change mitigation are Turku “Business Regions common motivating goals and several Our societies are changing very quickly, perhaps more companies in the region have already set ambitious targets to “rapidly than ever before. The need to use our resources achieve them. Circular economy requires a systemic change more wisely, efficiently and sustainably is evident. in society, where regulation and business play together.

Circular economy will be realized through business and Cities are working to identify resource wise solutions new innovations. Turku actors have a competitive edge in are facing tough challenges, and they must work

fields like electrification and battery recycling, developing together and learn and adapt quickly if they are to be the carbon cycle from fossils to new chemicals, waste heat successful.To achieve good, broad results in shifting “ recovery and utilization, as well as biobased production in “ processes from linear to circular, we need resource and plastics. I see that we have both the ambition wisdom goals that are ambitious enough to raise interest and the competence to deliver solutions to circular economy. among both private and public sector actors!

LINDA FRÖBERG-NIEMI, TURKU BJÖRN GRÖNHOLM, UBC SCIENCE PARK LTD SUSTAINABLE CITIES COMMISSION

22 23 SETTING THE SCENE: CIRCULARITY IN TURKU SETTING THE SCENE: CIRCULARITY IN TURKU

INDIRECT EMISSIONS: THE HOW THE CIRCULAR CITIES HAVE A REGIONAL CIRCULAR ECONOMY TOOLS CARBON NEUTRAL BLIND SPOT OF CURRENT ECONOMY CAN HELP CRUCIAL ROLE TO THAT SUPPORT CARBON NEUTRALITY ENERGY SYSTEM MITIGATION EFFORTS PLAY IN ADDRESSING Currently only nine percent of the INDIRECT EMISSIONS The circular economy offers an implementation-oriented The heat, cold, steam and used in the To date, most of the policy discussions materials flowing through the global framework to mitigate climate change through three main Turku area will be produced in a carbon neutral and investments around climate economy are revalorized (Circle Home to over 50 percent of the global pathways. When implemented in combination, these pathways manner at the latest in 2029. Smart solutions action have focused on decarbonizing Economy, 2019). This means that all population and economic and industrial have the potential to cut carbon emissions in a systemic way. and energy efficiency will be leveraged in the production systems and increasing the energy and resources that went hotspots, cities are responsible for 70 In Turku, they directly contribute and are interlinked with the five development of energy systems in the Turku region. energy efficiency. These efforts are into producing the other 91 percent are percent of greenhouse gas emissions mitigation measures planned in the city’s Climate Plan 2029. crucial to meet the goals of the wasted after a single use. (UNFCCC, 2017) and 75 percent Agreement but do not sufficiently of natural resource consumption PATHWAY 1 - CLOSING RESOURCE LOW CARBON MOBILITY By prioritizing regenerative resources, address emissions deeply embedded worldwide (UNEP, 2017). From LOOPS ACROSS VALUE CHAINS preserving what is already made, using in the materials and products flowing impacting supply chains through public The city is promoting active mobility and waste as a resource or generating new within the economy. It is estimated that procurement to integrating sustainable Re-circulating materials, building efficiency in the design of developing and cycling business models (e.g. as-a-service about 50 percent of total greenhouse resource management and planning products and infrastructures or generating business models infrastructure. The city is also investing in electric models, sharing platforms), the circular gas emissions are caused by resource into their policies, cities play a crucial that build on pooling or cascading resources represent different mobility, in mobility as a service solutions and in economy allows operationalizing action extraction and processing (International role in implementing circular economy means through which the circular economy reduces new low emission logistics. on emissions across direct and indirect Resource Panel, 2019). measures that mitigate embedded production needs as well as related energy demand and carbon sources and helps achieve carbon emissions. emissions (Sitra, 2018). neutrality targets. A recent study by From extraction to manufacturing, SUSTAINABLE URBAN transport, distribution and disposal, Sitra concluded that improving the use Experiences from the City of Turku PATHWAY 2 - NEW CLEAN STRUCTURE materials and products produce of key materials that already exist in the demonstrate how circular economy substantial emissions all along economy can take the EU industries of measures can help operationalize SOURCES OF ENERGY The City of Turku is steering an urban structure their lifecycle. These emissions are , plastics, aluminium and cement systemic climate action. conducive to sustainability through zoning, land called indirect emissions, as they are halfway towards net-zero emissions Climate mitigation and adaptation require energy systems use, traffic planning and related development a consequence of the activities of (Sitra, 2018). powered by low carbon sources that are resilient enough to projects. Sustainable construction is developed a specific entity, but are not owned face supply shocks. Energy recovery from organic waste and and promoted. or managed by this entity. Indirect wastewater is a cost-efficient way to generate energy through emissions arise across different under-utilized waste resources. geographical boundaries and actors, CITY’S CLIMATE RESPONSIBILITY which makes them particularly difficult PATHWAY 3 - PROTECTING to calculate and manage. CARBON SINKS Turku City Group’s subsidiaries are obliged to focus on the lifecycle climate and environmental Powered by regenerative resources and aimed at protecting impacts of their investments. Subsidiaries the long-term ability of ecosystems to provide key services, the also participate in the implementation of an circular economy is an effective tool to protect natural carbon assessment model in collaboration with the City sinks such as oceans, forests and soils. For instance, allowing of Turku. nutrients to be cycled back into soil through composting practices ensures that soil retains as much of the carbon trapped in the ground as possible. STRENGTHENING CARBON SINKS

The City of Turku increases the carbon absorption capacity of vegetation and soil through various measures: increasing the number of green areas, maintaining forests, fields and the amount of vegetation in various areas of the city.

24 25 OPERATIONALIZING REGIONAL CIRCULARITY: BEST PRACTICES FROM TURKU

26 27 OPERATIONALIZING REGIONAL CIRCULARITY: BEST PRACTICES FROM TURKU OPERATIONALIZING REGIONAL CIRCULARITY: BEST PRACTICES FROM TURKU

THE GREEN CIRCULAR CITIES COALITION THEMATIC FRAMEWORK

While action-oriented, the circular economy can quickly feel like an Planning overwhelming framework, crossing governance REDESIGN territorial and administrative boundaries and encompassing numerous sectors and many actors. The thematic areas of the Green Circular Cities Coalition Circular public led by ICLEI offer a lens through which procurement to map existing initiatives and start thinking about circularity at the local level in systemic ways. The framework spans governance aspects as well as the diversity of materials that flow through local economies, allowing cities RECOVER and regions to take stock of where they stand with regards to circularity.

The cases outlined in the following Water-food- pages offer real-life examples of what energy nexus REPAIR the circular economy looks like at the local level and which enabling conditions allow for successful initiatives. Municipal resource mgt. The transition to a circular economy presents vast “opportunities for cities and regions all over the globe to drive economic growth, embrace technological innovation and create a more livable urban environment. Turku RECYCLE has been a pioneer of circular development policies and practices. With their ambition and commitment, Turku and local governments from Europe, and Japan are

Industrial aligning on circular economy via the ICLEI supported Green symbiosis

REUSE Circular Cities Coalition, to join hands in the transition towards more sustainable and circular systems that benefit both the people and the environment. I believe that Building Turku’s new resource wisdom strategy will set a model for “ construction similar cities and regions who want to boost their circular transition and contribute to the global paradigm shift.

REMANUFACTURE SHU ZHU - ICLEI EAST ASIA, GREEN CIRCULAR CITIES COALITION

28 29 OPERATIONALIZING REGIONAL CIRCULARITY: BEST PRACTICES FROM TURKU MULTI-STAKEHOLDER

COLLABORATION FOR GOVERNANCE A CIRCULAR TURKU

KEY ACTORS In addition, Turku is involving local Frontrunner municipality networks in Local and regional governments can act as enablers and platforms for new circular economy solutions and can accelerate businesses as well as regional and local Finland, such as the Finnish Sustainable their adoption by effectively connecting businesses, universities and residents. The city of Turku aims to speed up the circular The city of Turku is actively waste, energy and water companies Communities (FISU) network, are an transition in the region though continuously strengthening multi-stakeholder collaboration. collaborating with regional and national in its circular economy strategy by important source of inspiration and actors to operationalize the circular collecting their inputs and incentivizing peer-to-peer knowledge exchange. economy. On the regional level, public them to include circular economy principles into their work. collaborators include for example 2 Since 2015 when the city set the target of implementing The regional council is responsible for the regional CONTEXT the Service Centre for Sustainable strategy and the regional land use plan, and promotes the principles of resource wisdom by 2040, the priority has Development and Energy of Southwest On the national level, Turku engages regional and other co-operation between municipalities been to acknowledge and build on these existing strengths with stakeholders such as the Ministry with key stakeholders in the development of the province, The city of Turku and its surrounding region host a vibrant Finland (Valonia), the Regional Council and co-operation between the different provinces. The ELY ecosystem of circular economy actors and front-runner through direct collaboration with regional, national and of Southwest Finland and the Centre for of Environment. Exchanges with Centres promote regional development by carrying out the initiatives contributing to sustainable resource management. international stakeholders. research institutions that develop tools executive and development tasks of the state administration Economic Development, Transport and in the regions. Although much remains to be done in each sector to adopt the the Environment of Southwest Finland for operationalizing circular economy, circular economy as primary model of production and operation, (ELY Centre).2 such as the Finnish Environment there are clear existing strengths and a significant amount of Institute, are also central partners for circular activities and stakeholders in the region. Turku in widening the knowledge base and outlining key actions.

30 31 ACTION The group includes representatives from the Turku City Group, SUCCESS FACTORS • Replication: The bottom-up approach undertaken by Turku local government officials, businesses, universities and regional to kick start its work on the circular economy has inspired The aim of the city of Turku is to design a collaborative action institutions. Platforms like this provide a low threshold for public • The informal and collaborative approach to multi- several other local governments of the ICLEI network to plan for operationalizing the circular economy from the bottom actors to directly receive feedback and inputs. stakeholder consultations has allowed clarifying roles and conduct similar multi-stakeholder screenings within their up. To ensure needs-based policymaking, full clarity over responsibilities and to gain a realistic understanding of the jurisdiction. who is active on the topic regionally and what challenges and A core element in the multi-stakeholder collaboration for Turku regional situation on circular economy. • Collaboration into practice: The best practices outlined in the opportunities they identify, is a key requirement. is engaging in active discussion with residents, communities and businesses. • Turku’s ambitious climate and resource protection goals, following case studies are all well connected to one another. There is a high awareness from regional circular economy Upon joining ICLEI’s Green Circular Cities Coalition in 2018 and which are enshrined in the city’s strategy, have created a actors of who is doing what and which synergies can be in order to get a clear picture of all actors involved in the circular The city of Turku is an active partner and initiator of local momentum for regional actors to collaborate and act on played on. This offers an ideal ground for further action on economy, the city of Turku commissioned a comprehensive business networks, such as the Bastu business enabler and the topic. the circular economy. stakeholder mapping study to the Turku based Finland Futures circular economy hub Topinpuisto. Another example is the CleanTurku cluster, conducted by Turku Science Park Ltd., a • Turku is home to numerous innovative businesses and Research Centre (FFRC). The study used the Green Circular • Engaging with national-level stakeholders and processes: strategic entity of the city of Turku. The CleanTurku cluster universities of excellence - all situated within a small Cities Coalition’s thematic framing to map all actors involved Active collaboration and exchanges with national-level focuses on bio and circular economy and cleantech, including geographical area which allows for direct cooperation. in 1) planning and governance actions linked to the circular processes, such as the preparation of the Finnish strategic more than 100 innovative companies with technologies, services, economy, 2) water, energy and food systems, 3) buildings and programme of the advancement of circular economy, allow processes and products decreasing environmental impacts. IMPACTS constructions, 4) resource management, 5) public procurement Turku to learn from simultaneous processes and strengthen and 6) industrial symbiosis projects. the city’s profiling on circularity. Resident engagement is also continuously strengthened. • Increasing circular activities and stakeholders: Public The mapping identified over 700 different circular economy The city of Turku makes an effort to keep residents updated actors and contractors have the responsibility to create an actors in the Turku region, which were compiled in a living on how the work towards carbon neutrality is proceeding, attractive platform for developing businesses to try their database. The most notable group consists of 270 businesses by communicating actively, organising events and engaging new solutions and create success stories for the whole visibly implementing circular activities or being partners of residents in discussion on social media. region. Enabling measures from the public sector include public operators. Approximately 150 focused on research and incorporating circular principles for example in procurements, In addition to local and regional platforms, the city of Turku training. 90 circular economy projects were identified within the infrastructure, land use planning and business collaboration. is also engaging nationally on the topic of the circular Turku region as well as 20 different circular economy networks. economy. Turku has a role in the preparation process of To strengthen information flow on circular economy between the national strategic programme for the advancement public actors, a circular economy working group has been of the circular economy, through a thematic group on NEXT STEPS created in 2018. The informal group gathers regularly to discuss “Municipalities and Regions”. thematic issues, identify common challenges and find synergies. Moving forward, Turku aims at strengthening the enabling role of public sector actors and to better reflect regional stakeholders’ inputs in future city-led endeavors. As part of the Circular Turku project, a collaborative roadmap will be designed and operationalized through an online platform that will facilitate information flows and direct cooperation. One of the main priorities of the project is also to better include residents into the roadmap and collaboration platform.

32 33 OPERATIONALIZING REGIONAL CIRCULARITY: BEST PRACTICES FROM TURKU INCREASING THE CIRCULARITY AMBITIONS OF REGIONAL

WASTE MANAGEMENT RESOURCE WITH LOUNAIS-SUOMEN MANAGEMENT JÄTEHUOLTO OY

ACTION Topinpuisto is also developing a To address this challenge, LSJH has At the European level, municipalities are asked to comply with increasingly ambitious recycling rates. However, there is a material library to map all the materials been partnering with universities, growing recognition that recycling won’t suffice to address current resource challenges if recycled materials are not used in LSJH has developed into more than flowing through the treatment center. business networks and national primary production. On average, recycled materials constitute less than 12 percent of the European Union (EU) demand for a municipal waste management The library is developed in cooperation ministries to develop a processing materials3. Moving to high-value recycling and circular economy practices that address waste challenges at their source has company. Its activities have expanded with Turku University of Applied facility with a mechanical fiber opening become a priority in the EU. This case study highlights how a public waste company owned by several municipalities in the to support circular economy businesses, Sciences. The aim is to include line and infrared technology to identify Turku region became a hub and innovation center for the circular economy. develop innovative, high-value recycling features that help companies to receive the type of fibers present in textile waste. innovations and raise awareness on guidance on product design from a sustainable consumption. circular economy perspective. Finally, LSJH manages the Kahmari Visitor Center, which functions as a CONTEXT municipalities pooled the resources of The municipalities do not provide In 2015, LSJH created the circular Another strong focus of LSJH is learning environment and showroom the two companies into a single entity, funding for company operations. economy center Topinpuisto around textiles recycling. In alignment with for businesses of the Topinpuisto TThe birth of the Lounais-Suomen Lounais-Suomen Jätehuolto Oy (LSJH), The waste management services are one of its waste treatment centers, the European Union waste framework network. All grade 8 (lower secondary) Jätehuolto Oy was a continuation with the aim of providing high-quality funded mainly by waste treatment and Topinoja. The objective of Topinpuisto directive, a separate collection for students in Turku and surrounding of the close waste management waste management services with a service fees. is to develop innovations and business textiles must be arranged by 2025. municipalities visit the center annually. cooperation among municipalities in focus on circular economy innovations. solutions based on the circular Systematic collection and sorting of The exhibition changes focus regularly the Turku region. Until 2015, waste Lounais-Suomen Jätehuolto owns economy. The center organizes textile waste began in early 2016 within to cover different types of waste and management in the region was KEY ACTORS four waste treatment centers and regular trainings to help companies LSJH waste treatment and sorting prevention methods and emphasize operated by two companies co-owned eight sorting stations in the areas solve key challenges such as waste centers. However, for textile waste to the value of natural resources and surrounding Turku, serving 417,000 be used as raw material by the textile materials. Business partners of the by several municipalities. However, LSJH is owned by seventeen material handling, finding demand for inhabitants. In the waste treatment industry, the processors must be able Topinpuisto network also have the the costs of operations were rising municipalities in the Turku region, with reused materials, service development centers, waste can be sorted in thirty to know exactly what materials the opportunity to display their services, along with recycling requirements the city of Turku owning the largest or communication. These trainings different fractions, including recyclable, fibers offered to them are made of. This competences and ideas. and increasingly complex waste share (23 percent). LSJH is responsible bring together experts from different hazardous and electronic waste, process usually relies on care labels management practices. In order to for organizing municipal waste sectors, including local universities, to depending on the sorting station. but some textiles might be missing a avoid raising customer fees, wider management and waste prevention on develop concrete tools and methods readable label or the information on the cooperation became necessary. The behalf of all seventeen municipalities. that will support companies’ circular economy efforts. label may be unreliable.

3 EUROSTAT (2017) Circular material use rate. Accessible via: https://ec.europa.eu/eurostat/tgm/table.do?tab=table&init=1&language=en&pcode=cei_srm030&plugin=1

34 35 SUCCESS FACTORS IMPACTS NEXT STEPS • Understanding companies’ needs: Through the material • High recovery rates: In 2018, LSJH received a total of library and regular exchanges with business and academic approximately 144,000 tonnes of municipal waste, out of The Topinoja sorting station is being renewed to make it easier for residents to leave different materials for reuse and recycling. partners, LSJH is investing in understanding companies’ which 98.5 percent was recovered. Only 1.5 percent of the In parallel, the aim is to build the Topinpuisto Circular Economy Visitor Center and to further increase collaboration with operations and needs with regards to materials. This helps total amount of waste received went to landfill. companies and universities. to address obstacles early in the supply chain and to raise awareness on the necessity to design products for reuse • Front-running innovation: Textile recycling innovations Topinpuisto also aims at putting the material library into practice and to link it to national efforts to develop material banks as and recycling. developed by LSJH have gathered national and international part of the Materiaalitori program. Under this program, from 2020 onwards, waste holders in Finland will have to seek a market- interest. based waste management service for their waste through the national material bank. • Multi-actor collaboration: Cooperation between private, • Circular economy education: LSJH offers learning public and academic partners has created a fruitful learning Finally, in 2020 LSJH will start building a pilot textile processing plant using the mechanical fiber opening line and further opportunities for local students and direct exposure to real- environment. The regional sorting and treatment centers develop the use of infrared sorting technology in the Turku region. offer an appropriate scale for piloting innovative solutions. life businesses cases, thereby offering a training environment for future circular economy experts in the region. • Addressing waste from a systemic perspective: Municipalities in the Turku region pooling resources to create a larger public waste management company has enabled waste to be addressed from a systemic perspective.

36 37 OPERATIONALIZING REGIONAL CIRCULARITY: BEST PRACTICES FROM TURKU FROM EXTRACTION TO RESOURCE RECOVERY, WATER-FOOD- A SYSTEMIC WATER ENERGY NEXUS CONCEPT IN TURKU

Groundwater protection Efficient wastewater Investments in research and Led by Turku’s City Council, municipalities in the Turku region collaborated to design a systemic solution to water management management development have allowed making in the area. From protection to energy positive treatment and nutrients recovery, the water concept developed in To protect the condition of groundwater the heat recovery system particularly efficient: one unit of electrical energy the Turku region offers a systemic circular economy solution to efficiently manage water, nutrients and energy at the local level. aquifers and water availability, Located in the solid rock of used at the station produces three units municipalities in the Turku region Kakolanmäki hill in the middle of Turku of district heating and two units of have been collaborating through city, the Kakolanmäki WWTP processes district cooling. Turku Region Water Ltd. to implement the wastewater of residents in the The heat pump station located in the CONTEXT KEY ACTORS innovative managed aquifer recharge Turku region. plant is operated by Turku techniques. River water is sustainably Sludge treatment Until 2009, wastewater was collected Two main actors are responsible for Energia Oy (Turku Energy Ltd.), which is collected, pre-treated and pumped to The wastewater treatment plant uses also owned by the city of Turku. Support separately by fourteen municipalities water management in the Turku region. Virttaankangas , one of the largest mechanical, chemical and biological Sludge treatment has been outsourced services such as sludge treatment and in the Turku region. Nutrients capture groundwater areas in Southern Finland. treatment processes. This combination to the state-own company Gasum Turun Seudun Vesi Oy (Turku Region maintenance services are outsourced to wasn’t maximized which was There, natural infiltration processes are makes the purification process very Oy, which owns a biogas plant at the Water Ltd.) is a wholesale water regional companies, with carbon neutral causing the Turku marine area to be used to convert pretreated river water efficient: the plant removes up to Topinoja waste treatment center in company owned by seven municipalities criteria integrated in tenders. substantially polluted with phosphorus to artificially infiltrated groundwater. 99 percent of organic matter and Turku. There, the sludge transported in the Turku region. The company is and nitrogen. This technique offers a natural means phosphorous and over 80 percent of from Kakolanmäki is processed responsible for planning and developing ACTION of producing high quality water and nitrogen from the wastewater, far above using anaerobic digestion. The plant As for drinking water, it used to be water production and distribution in the increases the yields of the aquifer. The the regulatory requirements. processes 50.000 tons of sludge from produced by separate water production Turku region. Turku Region Water Ltd. and Turku artificially infiltrated groundwater is then Kakolanmäki WWTP per year, producing facilities using either groundwater or Region Wastewater Treatment Plant piped gravitationally to underground Energy recovery 30 GWh / year used in various regional surface water obtained from small Turun seudun puhdistamo Oy (Turku Ltd. have developed innovative water reservoirs where an electric turbine transport needs. Region Wastewater Treatment Plant rivers nearby Turku. The quality and management techniques to improve slows down the water movement at the Ltd.) is a wastewater treatment service The Kakolanmäki WWTP also features quantity of the river water was not the sustainability of water networks in end of the pipe and generates most of One third of the nutrients from the provider that is owned by fourteen a heat pumping station. Turku Energy sufficient. As a result, drinking water the Turku region, from water extraction the energy required for water pumping, digestate are used as fertilizers municipalities and a subsidiary of the city Ltd. uses the station to extract some of in the Turku area suffered from a bad to resource recovery at the other end making it an energy-efficient process. in agriculture and two thirds in of Turku. The company is responsible the thermal energy from the wastewater reputation. of the pipe. Throughout the chain, the The water is distributed to the 300.000 landscaping. Nitrogen products for the operation and treatment of the to produce heat for district heating focus is placed on resource efficient inhabitants, businesses and industrial produced from the sludge and sold to Turku acknowledged the need to Kakolanmäki wastewater treatment plant purposes (160 GWh / year) of 15.000 and energy neutral processes and sites of the Turku region. chemical industries. reinvent water management in the (WWTP), where most of the wastewater households. The water that is cooled continuous improvement through region to both improve the water quality produced in the Turku region is directed. down by the pumping station is also research and development. and protect local ecosystems. used for district cooling (30 GWh / year, or almost all of the need in Turku city).

38 39 SUCCESS FACTORS IMPACTS NEXT STEPS • Regional collaboration between municipalities allowed Biodiversity protection: Centralizing all municipal wastewater them to pool resources to face the upfront costs of a very treatment plants in one location at Kakolanmäki has decreased Looking into the future, Turku Region WWTP Ltd. is investing into adaptation to climate change. The period 2018-2023 will innovative wastewater treatment plant. nutrient pollution in the surrounding marine area. Nutrients see the construction of a new wastewater removal channel at the Kakolanmäki WWTP. The new channel will separate the recovery practices have led to an 83 percent decrease in wastewater and stormwater discharge systems, enabling the WWTP to utilize its full wastewater treatment capacity during • Focusing on continuous improvement and innovation phosphorus load in the Turku marine area, which has had a extreme weather conditions, which are expected to increase substantially in the future as a result of climate change. through collaboration with local universities and positive effect on the water quality of the Baltic Sea. researchers has allowed the WWTP to continuously Protecting the Archipelago and the surrounding marine area is a key concern for the city of Turku. Regional actors are working optimize its processes. Carbon savings: The various wastewater activities linked together to ensure the innovative water solutions already developed are continuously improved and adapted to changing to Kakolanmäki produce 10 times more energy than they • Incorporating circular criteria in the procurement of weather patterns. consume. It is estimated that carbon emissions in the Turku outsourced services, such as sludge treatment and energy region are 80.000 tons lower per year because of the use of the recovery services, which had to demonstrate carbon heat pump station. As for the sludge treatment process, it is neutral processes, enabled the WWTP to focus on its core CO2 negative and energy positive. activities while ensuring circular economy side-activities were sustainable. Water security: The quality and supply of water has become extremely stable thanks to the use of managed aquifer recharge techniques and efficient wastewater treatment. Today, water in Turku benefits from a very good reputation.

40 41 OPERATIONALIZING REGIONAL CIRCULARITY: BEST PRACTICES FROM TURKU SMART CHEMISTRY PARK: AN INDUSTRIAL SYMBIOSIS INDUSTRY PROJECT TO REDESIGN SYMBIOSIS THE CHEMISTRY SECTOR

ACTION For example, CH-Bioforce develops At the moment, 14 companies operate The chemical sector plays a central role in modern economies. It allows turning raw materials into high-value products that will fractionation technologies for wood in the Smart Chemistry Park. The SCP be used in our everyday life. Yet there is a growing recognition that raw materials extraction is fueling climate change, pollution Smart Chemistry Park is located in chips from industrial side-streams to network is broader, with 60 companies and ecosystems degradation. Chemistry will be critical to rethink the way waste streams can be used to decrease pressure on the industrial area of the municipality extract bio-materials such as cellulose working together on cross-cutting raw materials as well as the impacts of industries as diverse as the plastic, construction, energy or electronics industries. of , a few kilometers away from and lignin. CrisolteQ is a company issues such as raw material supply or Turku. Within the park, companies have specializing in recovering metal research and development. Yet circulating molecules is linked to many challenges, from achieving the required performance properties to complying with access to shared laboratory spaces resources like nickel, chromium and safety standards and finding demand for secondary uses. Small and medium enterprises play a pivotal role in developing and and the possibility to pilot and expand iron from industrial processes. As SCP also facilitates access testing innovative solutions that can then be implemented at a bigger scale. production to an industrial scale. for Renotech R&D Inc, the company to accelerator programs and developed the ‘Ash to cash’ concept, funding networks to ease the Smart Chemistry Park offers a relevant example of how local public actors can support innovative circular economy solutions The competences of the companies which turns ashes produced through operationalization of innovative and for high-value materials through industrial symbiosis. working at SCP lie in different fields different combustion processes sustainable business models. of chemistry. They deliver products or into reusable insulating material for technical expertise to a wide variety infrastructure construction. Finally, the Smart Chemistry Park offers of industrial sectors, such as metal, international cooperation opportunities SCP continues to work directly with CONTEXT KEY ACTORS energy, paper and packaging, building, The SCP companies work through programs at the European both Turku and Raisio on a strategic and life science industries. At the independently, developing their own Union level and with non-EU countries level. SCP also collaborates with Like in most regions, the vast majority Smart Chemistry Park was established core of SCP’s business model is the technologies and businesses, but in such as Malaysia and China. public sector actors such as Business of waste production in Southwest in 2015 as a platform for regional reuse of industrial waste streams, close collaboration with each other, Finland, Sitra and the Chemical Industry Finland is a result of the manufacturing companies in chemistry and chemical which companies can access from the testing and reusing side-streams from Federation of Finland to support the industry. Recognizing the need for engineering to collaborate and identify surrounding industrial zone. one another in the shared laboratory. cleaner production processes and the synergies. The development of SCP growth of bio- and circular economy In addition, companies exchange key role that small and medium size was financially supported by Sitra and solutions in the chemistry sector. their infrastructures, equipment businesses could play in renewing the the cities of Turku and Raisio. and know-how. SCP also includes Finally, SCP cooperates with both industries, the city of Turku created the consulting companies with expertise national universities and regional non-profit company Turku Science Park SCP supports small businesses to complement the value chain with research and education institutes, such Ltd.. Through the city-owned company, whose solutions are based on material services such as chemical safety and as Åbo Akademi University, the University Turku has been supporting a number technology, process chemistry and patent engineering. of circular economy initiatives in the refining technologies. The center also of Turku and the Turku University of region, including Smart Chemistry Park works with business networks at the Applied Sciences, which play a crucial (SCP). SCP was created to support regional and national level and with role in supporting companies involved in SMEs to grow by offering a unified municipal energy and waste companies the SCP on research, development and infrastructure for piloting innovative such as Turku Energia Oy and Lounais innovation issues. circular economy solutions aimed at Suomen Jätehuolto Oy. recycling industrial side-streams into high-value chemical products.

42 43 SUCCESS FACTORS IMPACTS NEXT STEPS • Access to multiple networks from universities to business • Industrial renewal: Innovations at SCP are transferred into has supported the development of an attractive cluster of large branches of . For example, the The SCP aims to continue supporting the growth of sustainable startups that deliver chemistry solutions that advance expertise. These networks offer regional visibility for SCP SCP based Crisolteq was acquired in January 2020 by the climate action. Thematic issues that will continue to be important include the battery industry, construction materials and companies and strengthen access to relevant markets. Finnish state-owned energy company to scale an bio-based products, especially for use in textiles. innovative method for recycling of electric vehicle batteries. • A strong focus on SMEs, with services targeted to their This technology enables a recycling rate of 80 percent of specific needs and facilities allowing to share operational lithium-ion batteries compared to the current recycling rate costs, enables the development of innovative solutions in of around 50 percent. cost-efficient ways. • Employment opportunities: The SCP has created training • Collaboration with public sector actors has facilitated and employment opportunities for jobs in the circular access to financing and helped anchor the work of the SCP economy. An estimated 40 new jobs have been created in within national circular economy priorities. SCP companies between 2015-2019.

44 45 OPERATIONALIZING REGIONAL CIRCULARITY: BEST PRACTICES FROM TURKU SUPPORTING CIRCULAR

FOOD SYSTEMS THROUGH CIRCULAR PUBLIC PROCUREMENT PROCUREMENT

ACTION In order to understand what drives According to the project, the main City-owned assets and public procurement are powerful levers to influence a market-shift towards a more circular the carbon emissions of Turku’s food sources of greenhouse gas emissions management of resources. Through its strategic procurement department, the city of Turku is currently working on To contribute to the city’s carbon services, how they can be reduced in the food service industry in Turku decreasing the lifecycle carbon impacts of its food contracts. Along with a tool to track GHG emissions that is applied to neutrality goal and decrease the and how progress can be tracked, the are the production of ordinary contractors, the city is also setting goals for food waste reduction and vegetarian meals. lifecycle emissions of food services strategic procurement department has mixed food (84 percent of the total in the city group, the strategic been involved in a project implemented emissions) and food waste (10 procurement department set the by the Finnish Environment Institute percent of the total emissions). following objectives, which would (SYKE) and funded by Sitra. To After food, the next biggest share CONTEXT to competitive tendering in accordance In total, the city awards thirteen food allow of 25 percent reduction of GHG determine the factors affecting the of emission is caused by the energy with the Finnish Procurement Act. In contracts to three different service emissions of food services by 2029: carbon load of food services in Turku, consumption of kitchens (6 percent). As part of Turku’s Carbon Neutrality Plan, total, the annual value of contracts providers. Turku’s nearly 140 different the project analyzed two food service starting in 2020 in Turku is 420 million types of kitchen facilities cater to a The GHG monitoring tool has been the city must address the environmental • Reducing food loss from 12 percent areas in the education sector. , making public tenders a key lever wide range of customers. Meals are applied to all 13 food service contracts impacts of its investments and to 6 percent acquisitions and promote the use of for circularity in the region. provided in various educational and The project mapped out all the of the city. It is estimated that each circular economy solutions to reduce care institutions and facilities, such • Doubling the proportion of major factors influencing the carbon meal generates on average 1424 demand for natural resources. KEY ACTORS as kindergartens, schools, elderly vegetarian meals from 24 percent to footprint of Turku’s food services, gCO2-eq throughout its lifecycle, from homes, care services for disabled, child 48 percent such as heating the buildings, kitchen food production to disposal. equipment, electricity consumption, The city of Turku procures goods and In Turku, tenders are managed by the protection units etc. In total, 3,4 million transportation, the share of vegetarian services for both residents’ needs and strategic procurement department, meals are delivered to care facilities and food and food loss. The impact of the service sector of the city group. which collaborates with the climate 5,4 million to the educational sector. foodstuff and raw materials was The city issues public tenders for all department in order to implement the studied by reviewing the service procurements for goods and services carbon neutrality plan. A special working providers’ menus for basic and with a value exceeding the national group is responsible for coordinating the vegetarian diets throughout a week. threshold value, therefore being subject city’s food service areas.

46 47 The calculator identifies different aspects of food services that SUCCESS FACTORS • Thanks to the calculations the amount of food waste • While still at an early stage, the project holds great GHG would help to reduce their carbon footprint. In the future, the and the consumption of vegetarian food will be closely emission reduction potential. In one year, between 2019 calculator can be used to align the provision of various meal • Lifecycle assessment: Tracking drivers of GHG emissions monitored and further plans will be made, in cooperation and 2020, the GHG emissions produced by the food services options and plan the kitchen network, as well as for the setting from production to waste has allowed to gain a clear with the education industry and service providers, to have already decreased by 4 % per meal.. Measures planned and monitoring of emission reduction targets. understanding of where mitigation measures can be minimize waste and promote vegetarian eating. for 2020 will further accelerate the emission reduction. implemented. As one immediate measure for doubling the proportion of vegetarian meals, from 2020 onwards, the amount of vegetarian • Using tenders as a lever: Engaging contractors on meals within the educational division will increase from one common goals creates incentives for long-term change NEXT STEPS vegetarian meal per week to eight vegetarian meals in a and a momentum service providers can use to impact the six-week period. Measures also include a gradual reduction of supply chain. The strategic procurement department plans to monitor progress annually, to improve the monitoring of the consumption of beef in meals in favor of menus including plant-based proteins. vegetarian food. To facilitate monitoring, the department is envisioning to develop an electronic tool for calculating emissions • Early childhood education has been recognized in Turku Planned measures also include energy and water efficiency from the different food services in an automatic manner. Currently, data on food consumption from the welfare and educational as the most important target group to ensure residents get criteria within food service contracts. sector need to be manually collected. accustomed to vegetarian meals. In care institutions, vegetarian foods suitable for the elderly The city is also interested in working further with service providers to systematically assess the carbon footprint of their menus, are being developed to achieve a similar change as in the IMPACTS in close partnerships with the producers they work with. education division. • The project has attracted interest nationally and the Looking beyond food contracts, the city’s strategic procurement department is also preparing a sustainable procurement meal-specific CO2 calculator has been used by nation-wide guide, with specific guidelines for small-scale procurement, and working towards better integration of lifecycle indicators into food companies. the city’s tenders.

48 49 OPERATIONALIZING REGIONAL CIRCULARITY: BEST PRACTICES FROM TURKU LAYING THE FOUNDATIONS

OF A CIRCULAR CONSTRUCTION CONSTRUCTION INDUSTRY

ACTION Lab tests conducted by the project’s SUCCESS FACTORS Buildings and construction consume half of the world’s natural resources and about 40 percent of the world’s energy. The sector research partners ensured that also accounts for about a third of global greenhouse gas emissions. Finland’s national government is calling for a reduction in The focus of the CircVol project in the fortified material meets strict • A systemic approach to the construction emissions by 40 per cent by 2030, and for carbon neutrality by 20504. Turku is to create an innovative circular environmental standards. Results construction value chain, based on solution for unused landmasses, show that the material is not soluble the reuse of multiple, locally sourced The city of Turku is eager to develop circular construction innovations to decrease the lifecycle impacts of buildings and specifically clay from Turku’s port and is considerably cleaner than the side-streams, yields environmental infrastructures and complement its carbon neutrality strategy. An area of importance for the city is the valorization of land that is dredged during maintenance. separate input components. The re-use co-benefits and cost savings across masses, such as clean surplus masses, mildly contaminated lands and dredged materials. This case study explores how Turku The dredged clay is stabilized using of the clay and industrial byproducts different sectors. is piloting a landmasses valorization project for local reuse in new earthworks. industrial side-stream materials such as also ensures that these materials can ash and wasted gypsum. The industrial be re-valorized to generate economic • Multi-stakeholder collaboration side-stream inputs are sourced from and material benefits for Turku-based across the value chain is contributing a number of industrial in businesses rather than being dumped to building an ecosystem of public, Anticipating the need for future CONTEXT KEY ACTORS Turku and the surrounding region. Data in landfill sites. An additional circular research and technical actors residential construction, Turku is collection for the project commenced aspect of this project is that most of working togethers on circular developing a solution that recycles local Rural-urban migration and continued The CircVol project in Turku is led by in 2018 with lab and field tests taking the material is sourced within a 50 construction solutions in Finland. landmasses and industrial byproducts urban growth will require future built Turku Science Park Ltd., a subsidiary place in 2019 and 2020. kilometer radius of the city of Turku – The findings of the CircVol pilot are environment expansion in Turku. The to create a locally adapted circular of the city, with support from Turku substantially reducing transport costs being circulated by the Association city of Turku is currently a part of the earthworks material that could lay the University of Applied Sciences and This circular clay-based material and related emissions. of Southwest Finland who are using 6Aika national strategy, which supports foundation of the envisioned residential Åbo Akademi University. The project developed by the CircVol project can be their network to educate diverse cities (Helsinki, , , Tampere, district . partners also collaborate with local used as an alternative solution for part The aim would be to use the fortified stakeholders on the opportunities of Turku and ) in Finland to advance regional actors specifically the city of the estimated 100 million tonnes of circular clay material to lay strong using circular materials rather than sustainable development. Within 6Aika, of Turku, the Turku Port Authority rock materials needed across Finland foundations for the development of virgin resources. Turku is involved in the CircVol project, as well as industrial companies and for construction. Adoption of this the Lauttaranta district. 500.000 cubic • The CircVol project is being which focuses on finding circular local building and construction SMEs, solution would limit the need for virgin meters of earthwork materials would be developed with replicability in mind. solutions for industrial side-streams. especially earthwork experts. The wider material extraction as well as increase needed to raise the area by 2,5 meters Reusing waste earth materials for CircVol Project includes several other the use of local materials rather than to avoid flooding and prepare for sea construction can also be replicated national partners and is supported by carbon-intensive imports. level rise caused by natural variations in other regions, provided pre- the . and climate change. feasibility research and testing on the specificities of local materials 4 Finnish Ministry of the Environment (2019) “Climate-friendly construction requires swift action”. Press release, 25 September 2019. Accessible via: https://www.ym.fi/en-US/Latest_News/ used is undertaken. Press_Releases/Minister_Mikkonen_appeals_to_the_interna(51763)

50 51 IMPACTS • Cost savings: If initiative continues to be successful, the stabilized clay material developed in the CircVol project NEXT STEPS • GHG emission reduction: The re-valorization of recycled will be used for developing the new residential Lauttaranta landmasses and industrial materials for construction district, generating substantial economic opportunities for The project in Lauttaranta is currently in the pre-construction phase waiting for an environmental permit before land preparation promises to decrease the need for virgin extracted material the building and construction industry in the Turku region. and earthworks can commence. The project has a long development timeline and is currently due to be completed in 2030. for new construction projects in the Turku region, which The CircVol project estimates that this circular construction CirVol partners also recognize that once the permit has been granted, there will be a need to encourage increased citizen holds substantial opportunities for GHG emission reduction solution would save the city of Turku 7 million euro in awareness and participation in the district’s development. compared to traditional practices. overall economic costs. In addition, project stakeholders are confident that the project and earthworks costs could easily • Biodiversity: Before finding a circular use, most of the be recouped through the sale of land for development in dredged clay material was dumped back into the sea near Lauttaranta. Finally, the reuse of side-streams is expected to the city. While the dumped material met environmental decrease waste management costs of materials that would standards, the dumping activities increased the murkiness normally have been dumped in landfill sites. of the water and impacted ecological balances for coastal and marine life in Turku.

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Having gathered a clear picture of where the region stands with regards to the circular economy, the next step was to prioritize well delineated topics in order to identify concrete action steps.

This section provides an overview of existing challenges and opportunities for the topics that will receive particular attention in the Circular Turku roadmap and outlines the collaborative process through which these topics were selected.

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SETTING PRIORITIES FOR FIVE VALUE CHAINS

FOOD VALUE CHAIN AND Food distribution in the area is mainly A pilot project includes testing the reuse of minerals from side Finally, food businesses are operated by a diversity of companies, NUTRIENT CYCLING the responsibility of two national central streams to reduce fertilizers inputs and prevent nutrients runoff, making it difficult to agree on common goals and measures, such offices, which have significant influence such as using limestones or gypsum from wasted building as food waste reduction. over what is usually distributed. Most materials as a soil additives and fertilizers. Priority topic scoping grocery stores are owned by local A key opportunity for action lies in the strong food research and entrepreneurs. Consumer demand is innovation capacity in the region. The hosts The food value chain includes all Challenges and opportunities an important factor in these stores’ several research teams working with food related topics and a activities from farm to fork, such as: faculty of food chemistry. The University of Turku also hosts a decisions to include, for example, local While several initiatives exist to make food systems more circular agriculture, fertilizers production, novel food experience center, Flavoria, a living lab for academic produce or organic products. in Turku, many are still in their nascent stage and substantial manufacturing, packaging and research and companies’ development needs. Falvoria includes a challenges remain. storage, wholesale, consumer sales, Community-based initiatives facilitating test minimizing food loss. consumption and nutrients and waste direct purchases between producers The consumption of meat continues to increase in Turku and management. A circular economy Regional efforts linking academia and practitioners on food and consumers also exist, such as contributes to high GHG emissions. Agriculture in the region as approach to food systems involves, topics are also underway, for instance on nutrients recycling, “REKO” which is mainly operated on in other areas in Europe is strongly tied to EU subsidies and their favoring regenerative and water efficient biogas production from food waste, sustainable water social media. conditions. agricultural practices, preventing and management in agriculture and revalorizing low-value fishes. managing food waste and prioritizing Nation-wide chains are strongly food items with a lower environmental represented in the local canteens, with and material footprints, such as plant- often centralized decision-making on based options. raw materials, operation, and food waste treatment. Smaller canteens Key stakeholders and have the responsibility for procurement existing initiatives and can influence the value chain and management of food products. Southwest Finland is often called The has been “Finland’s breadbasket”, having working on a climate food program a central position in Finnish food since early 2020 to support the goal production from agriculture to the food of a carbon-neutral Finland by 2035. processing industry. Under this program, regional research There is a high number of farms in the actors (such as the Brahea Center of the region, cultivating different plants and University of Turku and the Functional cereals with a will to experiment new Foods ) are actively developing varieties as well. Ongoing initiatives projects on local fish breeding and new on farms include for example biogas plant-based protein sources. production from manure of dairy and National actors (such as the Finnish meat farms. Environment Institute, the Natural Food production, manufacturing Resources Institute, the Central Union and distribution are carried out by of Agricultural Producers and Forest companies of many sizes, which Owners and the Centre for Economic makes business collaboration a key Development, Transport and the player in the development of resource Environment) are cooperating with wise food systems. regional businesses and public actors to make nutrients management more circular.

56 Co-creation workshop on the 5 priority topics of Circular Turku on 24th February 2020 57 FIVE PRIORITIES FOR A CIRCULAR TURKU FIVE PRIORITIES FOR A CIRCULAR TURKU

ENERGY SYSTEMS Context and key The region’s energy system will New models for circular energy Challenges and Smart solutions in the district heating stakeholders be supplemented in 2021 by an production are being planned. Such opportunities network offer great opportunities for Priority topic scoping “eco-power plant” in the neighboring plans can be seen at the Turku Student circular economy action within Turku’s Village Foundation. The new housing energy systems. Two-way heat trading Heat and electricity distribution municipality of Salo, where non- The renewable energy transition in Turku recyclable municipal waste will be used project includes a geothermal heat (allowing generators to sell energy In alignment with Turku’s carbon networks are operated by Turku has achieved great strides but challenges for energy generation. system and wastewater heat recovery excess), waste heat recovery, thermal neutrality and resource wisdom goals, Energia Oy, which is owned by the remain. Total energy consumption and from nearly thirty neighboring buildings storage in soils and heat storage are renewable sources must be used city of Turku. The largest share of production are still the largest contributor Most of the heat production in the Turku in the student village. The area has also currently being piloted and applied by for energy production in the region. Turku’s district heating is produced by of emissions in the city. The integration region comes from the multi-fuel made significant investments in solar Turku Energia and explored especially A circular economy approach to Turun Seudun Energiantuotanto Oy, of decentralized, new energy production, power plant, which has a predominant power. 515 solar panels were installed by academic partners such as the energy systems (production, storage, owned partly by Turku Energia. Turku’s storage and distribution to the heat and share of biofuel (forest residues and on the roof of a student housing building Turku University of Applied Science distribution and use) includes for energy systems have benefited from electricity grid is making progress but by-products from industries). District finished in 2019 and the electricity can and businesses. instance decreasing overall energy substantial investments (approximately further work is needed. heating sources include wastewater from be distributed to adjacent properties demand, facilitating waste heat capture 300 million euro) in bioenergy, solar, the Kakolanmäki WWTP and two bioheat within the student village area. and ensuring the sustainable recovery wind and over the period plants. Plans have also been made to of energy from selected waste streams. 2014-2018 by the Turku City Group and supply 10 percent of district heat needs affiliated companies, which has created through geothermal sources. a structural readiness for carbon neutrality by 2029.

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BUILDINGS AND CONSTRUCTION Challenges and opportunities TRANSPORT AND Finally, efforts are made to power LOGISTICS transport by biogas from regional Priority topic scoping Incorporating circular principles into the construction industry is organic waste. An example is the sludge collected at the Kakolanmäki WWTP linked to many challenges. The building stock is slowly renewed, Priority topic scoping which is used to serve the needs of The value chain of buildings and construction covers property and both new construction and renovation requires significant investments and capacity building to include circular economy municipal vehicles, among others. development and design, materials sourcing and manufacturing Transport and logistics include the principles. Construction actors and developers also emphasize of building components, construction, usage and maintenance. movement of people and goods by the lack of access to data on materials and their recyclability. A circular economy approach to buildings and construction private and public transport and freight. Challenges and Incorporating circular economy criteria in public procurement includes among others designing buildings for modular use and Developing sustainable, low-carbon opportunities in order to incentivize market development remains a major future disassembly, facilitating building materials reuse and mobility is one of the major climate challenge. This is because there is insufficient research and tools using / recycling locally sourced sustainable materials. change mitigation measures in the Freight traffic is constantly increasing to be able to assess the life cycle impacts of buildings. Turku Climate Plan. Adopting a circular to serve the needs of growing economy approach to transport and industries and logistics remains a Key stakeholders and existing initiatives The Turku region can count on its vibrant research community to logistics involves facilitating shared cost-oriented, fragmented industry. help address these challenges. For example, Turku University of mobility practices, optimizing freight However, opportunities exist to make Stakeholders in the building and construction field include Applied Sciences hosts strong research fields in refurbishment transport, tapping into waste streams freight transport more resource wise. building owners, housing associations, rental housing and sustainable design and focuses among other topics on to power vehicles, remanufacturing and Industrial sites and logistics centers companies, real estate investors and companies who energy efficiency in buildings. A number of regional actors are reconditioning vehicles and ensuring are concentrated in a relatively small own commercial and industry sites. Additional important working on the recyclability of building materials and innovation the recyclability of e-vehicle parts. geographic area in the Turku region, stakeholders are companies planning and implementing platforms facilitate collaboration between academia and with efficient linkages to the main renovation and energy solutions, property management construction industry experts. A number of tools are also in . Increasing the load factor for companies and building services companies, demolition and development, for example a method for assessing the carbon Context and key freight transport, planning return loads, recycling of building materials providers. footprint of buildings has been developed by the Ministry of stakeholders optimizing the delivery system within Environment and is currently being tested in Turku. For new construction, the city of Turku has a significant steering the city and maximizing the use of As part of its Climate Plan, Turku is role in order to implement the city’s master plan. zero-emission delivery vehicles will investing into redesigning its city center contribute to the circular economy of to make it more conducive to soft The city of Turku has included circular economy principles in freight transport. mobility. The main actor responsible zoning and urban planning. Brownfield revitalization in Ratapiha for transport services in Turku is Turku and Itäharju areas has been prioritized. In the Linnanfältti area Good practices in terms of using biogas Region Public Transport, also known and Skanssi area, wood construction is highly promoted as as a fuel can be expanded to ensure as Föli, a collaboration between the building material. Compact urban structure and complementary e-mobility alternatives are powered by municipalities of Turku, , Raisio, construction are also being planned in Turku’s city center as sustainable sources. , Naantali and . Turku’s measures to promote resource efficient urban planning. public transport equipment has already been partially converted to electric alternatives and a well-functioning city-bike sharing system has been implemented in the city.

As part of Smart and Wise Turku, one of the city’s spearhead projects that combines the strategic goal of regional carbon neutrality in 2029 with the Smart City concept, Turku is working on ensuring city-logistics is emission free.

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TOWARDS AN ACTION-ORIENTED ROADMAP

WATER CYCLES Challenges and For each of the priority topics, further consultations with Regional collaboration increases the ability of individual opportunities relevant stakeholders will be organized throughout 2020 to map municipalities to bring sectors together on circular economy Priority topic scoping opportunities for action. To ensure action points are identified in initiatives. Regional collaboration also allows pooling resources The Turku region is already a a systemic way, the following cross-cutting enablers have been to design innovative projects and offers an appropriate scale to identified. The aim is for regional actors to map opportunities effectively manage material use in carbon intensive categories The water cycle spans resource leading example for circular water and challenges across all these enablers to inform policy (construction materials, chemicals, textiles, etc...). extraction, treatment, distribution, use management. The challenge is to making, investments and collaboration around the circular and discharge. Turku’s water system is ensure the region is ready to face the economy in Turku. Finally, the convergence of a diverse set of actors, such as comprised of domestic water, sewage increased water risks brought about universities, businesses and community initiatives, within regions and storm water and natural waters. by climate change. To confront this offer opportunities for circular innovation and synergy between challenge, the region is building on its REGULATION AND POLICIES different actors (e.g. for the purpose of industrial symbiosis). Applying a circular economy lens to strong research and innovation water water cycles implies among others community and cooperation with Circular policy making is about systemically incorporating looking at aquifer protection, reducing Baltic cities. incentives and enablers for the circular economy in SUSTAINABLE EVERYDAY LIFE AND new water needs, managing water in an decision-making processes across different sectors and in COMMUNITY INVOLVEMENT efficient manner and ensuring heat and Areas of research that will inform partnerships with local and national actors. From setting nutrients recovery from wastewater. future circular economy work include ambitious goals to designing economic incentives, there The circular economy transition has deep implications for how stormwater treatment, smart water are many ways local governments can localize the circular people consume and access resources. As such, it is critical Key stakeholders and management, new purification economy through policy tools. that residents are engaged in the decisions that will affect their technologies and efficient water usage existing initiatives lives so that they can help design a more sustainable way of in agriculture. PUBLIC PROCUREMENT managing resources locally. The production of clean water and The circular economy also offers a unique opportunity to wastewater treatment serving 300,000 Each procurement and investment decision a government relocalize economic activities and to ensure local knowledge residents in the Turku region is ensured makes is an opportunity to push the market towards creation on how resources can be preserved. While mapping by Turku Region Water Ltd. and Turku sustainable alternatives and to set an example. Public circular economy intervention points, it is therefore crucial to Region Wastewater Treatment Plant procurement is a powerful intervention tool to develop more identify how they can create local opportunities for all residents. Ltd. These two organizations have circular products and infrastructures and influence the supply developed a sustainable and energy- chain to shift away from the linear model. efficient way of managing regional COLLABORATION WITH BUSINESSES water, from extraction to discharge. Circular procurement is about setting standards and making AND EXPORT INDUSTRIES agreements to the products procured are produced in Key stakeholders advancing the accordance with the principles of the circular economy and will Implementing circularity requires businesses to fundamentally circularity of water cycles in the Turku be further processed after use. Such products are, for example, change their product design, production processes and region include the city of Turku, the designed for durability, repairability and recycling and can at marketing activities. This challenge can represent an urban environment division and water the end of their life cycle be broken down into components, opportunity to increase the economic attractiveness of a supply subsidiaries of the Turku City materials or raw materials, which can then be used again in the jurisdiction, through initiatives such as industrial symbiosis, Group as well as regional institutions, production chain5. material exchange platforms and supporting incentives for research institutes and universities circular businesses. City-business collaboration for circular and the Union of Baltic Cities. The REGIONAL COLLABORATION economy innovation is essential and can take different forms, protection of the Baltic sea is a major from tax breaks to early-market engagement activities in the concern in the Turku region, with Implementing circular economy measures implies linking sectors pre-procurement stage. efforts underway to address nutrients that are usually siloed. These areas may be under the jurisdiction pollution and eutrophication. of different departments, municipalities or levels of governments. As a port city, Turku will also have to work closely with export industries to push for circular economy ambitions beyond geographic boundaries. 5 ICLEI (2018) Circular Procurement: Best Practice Report.

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METHODOLOGY FOR A COLLABORATIVE PRIORITIZATION OF CIRCULAR ECONOMY TOPICS

This section describes the collaborative A pre-selection of ten priority topics A set of 20 criteria was developed and methodology that was developed as part for circularity was compiled based used to prioritize the pre-selected topics. Environmental impacts Governance ​ Scaling potential of Circular Turku to “crowd-source” a on insights from existing resources The criteria were co-defined with steering prioritization of circular economy topics on circular economy in the region, the group members and organized around • GHG emission impacts ​ • Influence of major policy • Replication potential in to be addressed in the roadmap. national circular economy priorities five categories. These categories aimed • Waste volumes ​ or investments decisions Finland​ identified by Sitra and the learnings at reflecting both resource wisdom by 2040 ​ • Relevance for Finland’s collected by Finland Futures Research ambitions (zero carbon, zero waste • Biodiversity impacts​ • Local and regional national priorities ​ Council as part of the Green Circular and a low ecological footprint) and key • Natural resources intensity​ government agency ​ • Relevance for international Cities Coalition Feasibility Study. ​These enabling factors and co-benefits that • Adaptation to climate change topics as stated above are: food value would maximize the impacts of the • Alignment with regional outreach ​ chain, recyclables and packaging, roadmap. As such, indicators linked to policy frameworks​ • Global positioning of Turku consumer goods, buildings and socio-economic and governance aspects construction, water cycles, transportation were included, as well as the readiness of and logistics, energy system, chemicals, actors involved in the topics. The graphic Socio-economic impacts ​ textiles and the maritime industry. on the right provides an overview of these criteria-set. Level of action • Economic potential and and readiness​ business development ​ • Job creation and skills • Existing initiatives have development ​ already started ​ • Potential for public • Level of action and readiness participation ​ of actors ​ • Links to health and well-being​ • Research and academic • Social inclusion resources

Future experts need to be able to combine circular economy

“expertise with their own experience in their chosen field.

Education plays an important role in this. Studies at Turku University of Applied Sciences (TUAS) are designed to Advancing sustainable development requires versatile

combine theoretical studies with professional skills – and “measures. Resource wisdom is one central element. you can study circular economy at TUAS. We really want Finland Futures Research Centre and the University “ to emphasize the importance of education in Turku’s “ of Turku want to contribute to this work through resource wisdom roadmap and encourage all organizations research, education and societal interaction. We to work with students and enjoy learning in all its forms! gladly take part in building the regional roadmap!

PIIA NURMI, TURKU UNIVERSITY JUHA KASKINEN, FINLAND OF APPLIED SCIENCES FUTURES RESEARCH CENTER

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FOUR PILLARS OF A SCALING CIRCULAR TURKU THROUGH THE CIRCULAR TURKU GREEN CIRCULAR CITIES COALITION

Turku’s circular economy efforts are As a founding member of ICLEI’s Green A key focus of the collaboration in the However, many cities in the coalition built on four pillars, which the city is Collaboration: Circular Cities Coalition (GCCC), Turku GCCC is the joint development of a do not yet have a strategic circular Turku prioritizes a bottom up eager to share on the global stage: has been collaborating with peer cities strategic policy agenda on the circular economy agenda but rather support approach to the circular economy from Japan, China and Germany on economy and its integration with carbon individual initiatives. Turku’s successful and seeks to identify and support circular economy related strategies and neutrality and biodiversity efforts in application of the GCCC thematic all relevant regional actors that Ambition: good practices. Through this network, member cities. Coalition members framework to map existing stakeholders will ultimately be the implementing A transition as all-encompassing as the learnings and achievements from recognize that multilevel governance and initiatives thus provides a great forces of the roadmap. In addition, the circular economy needs strong Turku’s unique regional approach can and multi-stakeholder collaboration inspiration and is expected to accelerate city partners working together with leadership. In its city strategy, Turku be applied on a global scale. During the are crucial in localizing the circular progress in peer cities. national government institutions committed to become carbon neutral strategic GCCC members meeting on economy. Emphasizing the need to ensures local efforts can reflect and by 2029 and resource wise by 2040. 29-30 August 2019 in Shenzhen, China, engage businesses and communities, The city of Turku will continue to work inspire national ambitions. Finally, These objectives inform the work of Turku’s collaborative and bottom-up GCCC members have committed closely with peer members of the GCCC cooperation with international city departments and city subsidiaries roadmap design received a lot of to further explore public-private- to facilitate replication of regional organizations, such as ICLEI, is and are essential in stepping up the attention from fellow members. community collaboration mechanisms. good practices and receive support on sustainability ambitions of all relevant fostering replication globally and specific circular economy challenges. stakeholders. elevates the level of ambition locally. A particular focus will be placed on collaboration with Japanese cities. Integration: Inclusion: In Turku, the circular economy The city places a strong emphasis is seen as an enabler of broader on social inclusion within its carbon sustainability goals. Resource wisdom neutrality plan and is determined to is paired with carbon neutrality in the embed social equity into the Circular city’s strategy to emphasize Turku’s Turku roadmap. Turku is working with ambitions to address climate change ICLEI to ensure the actions identified in a systemic way. Similarly, the city as part of the roadmap are inclusive, is exploring how regional circular build on community initiatives and economy initiatives can support their create opportunities for all residents. work on biodiversity protection and localization of the SDGs . Identifying these synergies allows the city to work towards targeted measures that yield multiple benefits.

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COLLABORATION WITH JAPANESE CITIES

National governments in Finland As part of the Circular Turku project, In line with Turku’s key messages for LOCALIZING AND The CES framework shares numerous LINKING CARBON and Japan share a strong interest a multi-stakeholder delegation from circularity ambitions, the following OPERATIONALIZING TWO similarities with the resource wisdom NEUTRALITY GOALS TO in paving the way for collaborative Turku engaged in a four-day visit themes will shape further collaboration approach adopted by the city of Turku. AMBITIOUS CIRCULAR THE CIRCULAR ECONOMY circular economy initiatives to face organised by ICLEI in January 2020. between Turku and Japanese cities as Aiming for carbon neutrality, zero ECONOMY FRAMEWORKS environmental challenges. At the The delegation received insights on part of the Circular Turku project: waste and a low ecological footprint, Like Turku, the two most populous cities 2018 World Circular Economy Forum, the circular economy work in Tokyo the resource wisdom approach Recognizing the necessity for a in Japan have also set carbon neutrality the Memorandum of Environmental and Yokohama and how it links to local • Ambition: Localizing and focused on collaborative and cross- systemic approach to address the goals: Tokyo and Yokohama aim for Cooperation signed by Finnish and climate action. The political support to operationalizing two pioneering cutting strategies, much like the CES environmental crisis, the national carbon neutrality by 2050. When defining Japanese ministers laid a solid collaborate on local circular economy circular economy frameworks framework. During the implementation government of Japan introduced concrete action steps to achieve this foundation for increased collaboration strategies was strengthened through of both concepts, exchange of the vision of “circular and ecological goal, both cities look towards Turku’s on the topic. a high-level meeting between the head • Integration: Linking carbon neutrality knowledge and experiences will be of integrated, cross-sectoral application of of the Climate Change Division of the goals to the circular economy economy” in its Fifth Basic Environment great value. Already, the collaborative the resource wisdom approach. At the sub-national level, this coincided Ministry of Foreign Affairs of Japan, the Plan (2018). The concept captures approach adopted by Turku could be • Collaboration: Cooperating to make with Yokohama, Nagano (both Japan) Ambassador of Finland to Japan and the idea of a decarbonized, resource- replicated in Japanese cities, especially food systems more circular Tokyo Metropolitan Government (TMG) and Turku joining ICLEI’s Green Circular the Institute for Global Environmental efficient, and self-sufficient society in in those of smaller sizes which struggle was the first in Japan to set detailed Cities Coalition. Through the GCCC, Strategies (IGES). which humans live harmoniously with to kickstart a CES action plan. • Inclusion: Promoting the shift to milestones and action plans on the path these cities have access to practical nature. To transition from the current 1.5 degree lifestyles and engaging to achieve full carbon neutrality, focusing experiences and peer-learning to economic development paradigm to Continuous exchanges between citizens on six key sectors. However, remaining operationalize the circular economy at the circular and ecological economy, Japanese cities and Turku will be questions are 1) how to translate planning the local level. local and regional governments are a strong focus during the further into practical action, 2) how to include exploring concrete actions to ensure development of the Circular Turku opinions from businesses and citizens environmental impacts are kept within roadmap, allowing mutual learning and 3) how to generate citizen buy-in for ecological boundaries. on how ambitious concepts can be sustainable lifestyles. Turku’s experiences translated into practice and how - particularly in stakeholder engagement On the subnational level, the so-called progress can be monitored and from an early stage, in continuously regional/local circular and ecological evaluated. sphere (CES) provides a framework adjusting the action plan during the for cities and regions to revitalize process, and mobilizing citizens for urban-rural collaboration and rediscover climate neutrality efforts - would be of their resource production potential. great value. Collaborative planning with residents and businesses is a high priority. When The city of Yokohama, with the zero- it comes to practical implementation, carbon target in mind, is taking quick the CES framework is still at an action towards energy decarbonization. early stage. Tokyo and Yokohama, Acknowledging the gap between the city’s with high capacity on environmental renewable energy generation potential affairs, have designed systemic plans and the energy demand, Yokohama with engagement of businesses and collaborates with twelve municipalities stakeholders. Smaller cities and towns and businesses in the Tohoku region in are rather focusing on pilot projects and north-east Japan which have a surplus feasibility studies. of renewable energy. This energy collaboration between municipalities with spillover benefits on the local economy could provide valuable insights for city-to- city cooperation in the Turku region.

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KEY LEARNINGS AND OUTLOOK

COOPERATING TO In the Turku region, a similar food Turku city practitioners and experts KEY LEARNINGS Addressing waste from Designing an action plan MAKE FOOD SYSTEMS systems priority has been linked to from the Japan-based Institute for a systemic perspective from the bottom up circular economy principles, again Global Environmental Strategies MORE CIRCULAR The previous chapters have shown with a strong focus on collaboration. (IGES) are already discussing research Turku’s unique regional collaboration Through close collaboration with Circular Turku is informed by the Valonia, the service center on insights and policy implications of an To enhance the circulation of resources approach to accelerate the circular businesses and academia, the city experiences and lessons learnt by sustainable development and energy international comparison of lifestyles. in Japan and operationalize the circular transition. Across the good practice has been able to address waste from circular economy actors in the region. in Southwest Finland, has mapped Two pathways have been identified to and ecological economy concept, food examples and case studies, key a value chain perspective, from the Best practices from Turku demonstrate the food system in the region with increase support from residents: Firstly, waste has been identified as a top learnings can be drawn for local design of products to their end-of-life. A that local governments are very well a resource management lens. By a focus on “options for a new lifestyle” priority. Recognizing that food waste governments to kick-start their circular particular focus is placed on high-value positioned to effectively connect identifying the key actors in the region instead of “giving up the current from businesses accounts for 55 economy transitions: materials and industrial side-streams to different actors, identify synergies and and the potential of utilizing nutrients one” would increase the potential for percent of the total food loss, Tokyo and maximize environmental benefits. scale successful initiatives. and resources, the region goes beyond change. Micro-scale analyses and Yokohama are working with the private Embedding circularity food waste reduction and pursuits of scenarios on the local level could help sector to prevent food loss and to turn into climate action Understanding nutrients cycling. Public authorities and to identify concrete options for different unavoidable food waste into fertilizer relevant stakeholders also collaborate communities and realities. Secondly, businesses’ needs and animal feed. Collaboration is seen to identify new sources of protein and strong citizen engagement in the In Turku, the circular economy is seen as the key success factor - collaboration self-sufficiency on nutrients. development of these scenarios would as an enabler of the city’s bold climate Regional circular economy actors are not only with large food manufacturers be crucial to ensure that these options neutrality goals. Pairing resource putting efforts into understanding and wholesalers, but also with smaller Both regions would strongly benefit match their realities. Systematic efforts wisdom goals with climate action in the companies’ operations and needs retailers and . Both cities are from an exchange of cooperation to include all citizen groups would city’s strategy has created a political with regards to materials. This helps striving to advance multi-stakeholder models around food systems. In strengthen these outcomes. buy-in that facilitates ambitious action to address obstacles early in the partnerships and design campaigns addition, Southwest Finland’s from regional actors. supply chain. Turku’s vibrant research co-led by businesses. In Yokohama, experience in shifting away from food It is worth noting that participatory community is also a strong enabler of significant efforts are devoted to reach waste reduction towards nutrients approaches with a high level of innovative circular economy solutions. businesses and consumers alike, management could be shared with engagement from residents and seeking their buy-in to manage food cities in Japan. businesses is relatively new for the sustainably and maximize the value of Japanese society. Local governments food wisely. Past awareness-raising and stakeholders are learning by activities included local food festivals, PROMOTING THE experiment and value good practice food movies, food banks, and food SHIFT TO 1.5 DEGREE examples from their international peers. The inception phase of the Circular Turku project has been storage technique lessons. In Tokyo, LIFESTYLES AND interesting and opened our eyes to new opportunities a Food Waste Reduction Policy will be ENGAGING CITIZENS The city of Turku currently participates “ developed in 2020 to systematically in a 1.5-degree lifestyle localization available to us in South-West Finland. Looking at various strengthen the collaborative food The paradigm shift to sustainable trial in Finland in partnership with topics through the lens of circular economy made us consider systems approach. development requires not only IGES and Sitra. Such similar pace and new partnerships and uncover possibilities that earlier producers to take actions, but also interests increase the opportunities

consumers to change their behavior. for further in-depth collaboration. For had gone unnoticed, even within our own organization. While environmental awareness might example, Turku could utilize co-creation Systematically working through various themes - from be high in Finland and Japan, the workshop models from the resource infrastructure to water cycles - with colleagues from “ translation of knowledge into concrete wisdom roadmap process to gather actions remains a challenge. Yet, more detailed information to support different organizations made the exercise meaningful individual lifestyle choices yield a huge lifestyle changes. Such insights could and opened up new possibilities of cooperation. potential to reduce greenhouse gas include the cost or benefit of lifestyle emissions. In this regard, per capita alternatives and market readiness. This carbon footprints can be a strong tool to would also contribute to similar work SANNA TIKANDER AND OLLI HAKALA, CENTRE emphasize the gap of current lifestyles in Japan. FOR ECONOMIC DEVELOPMENT, TRANSPORT AND from the 1.5-degree threshold. THE ENVIRONMENT OF SOUTHWEST FINLAND

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Collaborating across OUTLOOK Front cover © Seilo Ristimaki different levels P.4 - photo on the right © Olli Sulin of governance Building on inclusive stakeholder engagement and the diverse expertise P.5 © Mikko Kaaresmaa P.7 © ICLEI World Secretariat Regional collaboration around the gathered in this report, the Circular P.8 © Olli Sulin circular economy has enabled Turku Turku roadmap will address 5 priority P.10 © Sitra to design innovative projects at an topics that hold a high potential for P.11 © Vesa Aaltonen appropriate scale and to mitigate the change: the food value chain, energy P.14 © Tommi Selander risks and burden of related upfront systems, buildings and construction, P.20 © Lundén Architecture Company investments. In addition, cooperation transport and logistics and water P.24 © Verstas Arkkitehdit Oy across different levels of government cycles. Within these priorities, tangible P.26 © Lundén Architecture Company (regional councils, national bodies, circular economy levers and tools will P.29 © ICLEI World Secretariat European institutions) has created a be developed. Consultations with key P.30 © Päivi Kosonen national momentum around circular stakeholders and practitioners will P.32 © Tiina Vikman economy efforts in Turku. inform policy making in the city to create the enabling conditions to make P.33 © Hannu Waher these key sectors more circular. PP.34-46 © City of Turku P.48 © Ilkka Hemmila The collaborative and innovative P.49 © Joonas Makivirta community of practice built in Turku PP.50-52 © City of Turku is the region’s strongest asset to P.54 © Valentino Valkaj implement rapid and tangible change. P.56 © Ilkka Hemmilä As part of Circular Turku, practice- PP.57-58 © City of Turku oriented resources will be developed P.59 © Joonas Mäkivirta for other local governments around the P.60 © City of Turku world to replicate Turku’s hands-on and P.61 © Pasi Leino collaborative approach to circularity. P.62 © Cederqvist & Jäntti Arkkitehdit Oy P.66 © City of Turku P.68 © Mikko Kaaresmaa P.69-70 © ICLEI EAS P.74 © City of Turku / Esko Pettay

Back cover © Joni Pietiläinen

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