Rizky Alif Alvian
Researcher in Center for World Trade Studies UGM
As the idea of circular economy travels from the Global North to the Global South, it is important to assess the extent to which the concept is deemed legitimate by stakeholders in developing countries. This examination is valuable as it would reveal the prospect of what Geng, Sarkis, and Bleischwitz call as the globalisation of circular economy. It may provide an early indication as to whether local agents would support the implementation of circular economy at the local space.
Examining the case of Indonesia, this article suggests that the idea of circular economy is highly appreciated by many local agents, including state officials, civil society activists, business, and academics. It is important, however, not to overestimate the magnitude of this support. Although critical opposition against the concept of circular economy in Indonesia is rare, research indicates that public awareness of the concept remains low. The governance of circular economy is also characterised with stakeholders conflict and fragmentation. To strengthen the legitimacy of the circular economy, campaigners may need to improve their dialogue and collaboration with local initiatives.
Circular Cases of Indonesia
Many local agents in Indonesia support the concept of circular economy because it is seen as capable of reconciling environmental protection and economic growth. By encouraging technologies and business strategies that foster the efficient use of resources, local agents believe that a circular economy is able to reduce the exploitation of nature without scaling down existing economic activities. Furthermore, since the circular economy emphasises the importance of recycling, it may stimulate the opening of new business models that operate in remanufacturing industries.
This vision is deemed applicable for sectors which have been inefficient in utilising resources. Unsurprisingly, solid waste management is considered as one of the sectors to which the application of circular economy is deemed most urgent. As Indonesia’s solid waste production soars, the circular economy is regarded as a system that is capable of properly managing solid waste, mitigating its environmental impact, and optimising its economic potential.
This implies that the idea of circular economy is well-received in Indonesia because it is seen as capable of addressing problems that local agents face. This is not the only reason, nevertheless. The idea is also appreciated because it resonates with existing local initiatives. For example, local community-based waste bank and recycling initiatives have already been practiced by local agents prior to the global promotion of circular economy by prominent international institutions. These initiatives are rarely framed and promoted as expressions of circular economy by their initiators. These activists may also be unfamiliar with the jargon of circular economy. Nevertheless, there are significant resemblances between these initiatives and the concept of circular economy.
Towards a more locally grounded circularity
It is crucial for circular economy campaigners to recognise this international-local connection in formulating strategies to globalise circular economy. As demonstrated by research on how ideas travel internationally, the local legitimacy of foreign concepts relies on its ability to adapt to local context. Consequently, if circular economy campaigners wish to set circular economy as a framework that governs state policies, business practices, and the everyday life of ordinary people, it is essential to develop meaningful engagements with existing local practices. Since local practices are important sites where local actors exercise their initiatives, creatively produce locally-relevant knowledge, and develop tailored solutions for their everyday problems, they serve as a crucial entry point for circular economy campaigners to instill this idea further in their target communities.
By collaborating with local activists and empowering existing local practices, circular economy campaigners can discourage the impression that the concept of circular economy is foreign. It may also be easier for them to garner local support and to mobilise local, community-based initiatives. In Indonesia, where support to the circular economy has not yet been consolidated, this strategy may be essential for raising public awareness and commitment to the implementation of circular economy.
This strategy, however, requires circular economy campaigners to carefully understand and appreciate local practices, experience, and knowledge. They should also be willing to put their expertise in dialogue with local knowledge. However, although significant efforts have been made to understand challenges faced by local practices in Indonesia, these attempts are still insufficient. Research on the perspectives of local community activists and small entrepreneurs about the definition and urgency of circular economy remains lacking. Moreover, while the state officials, international consultants, and academics have been quick in labelling and classifying local practices in Indonesia as a circular economy, they frequently fail to interrogate how local agents themselves experience and give meanings to their actions, thereby undermining, perhaps inadvertently, the agency and creativity of local activists. Ultimately, this may hinder the consolidation of the concept’s legitimacy in the country.
The concept of circular economy, therefore, is highly appealing for many local actors in Indonesia. Its legitimacy, nevertheless, has not been broad enough to allow the idea to significantly shape state policies, business practices, and, particularly, the everyday life of ordinary Indonesians. To increase its appeal, it is essential for circular economy campaigners to engage local initiatives and appreciate local practice, knowledge, and experience.**