Using the momentum of smart city tech to transition to a circular economy is important because over the last century, globalization and the impacts of human activity on natural ecosystems have led to wild plants and animals at risk of extinction, deforestation, land degradation, water scarcity, erosion, and climate change in many parts of the world.¹² The rise of industrial development has brought enormous economic growth, alongside increasing pressure on our planet's resources. Globally, material consumption has grown eightfold over the past 100 years and is expected to triple our current rate by 2050.¹³ The likely consequences of our habits include scarcity of resources, including fertile land, clean water and air.¹⁴ Most of us do not realize that what we use is directly related to the natural balance of the planet. Almost all consumer goods contain natural minerals and metals: a mobile phone can contain 50 different materials, and yet no country is self-sufficient in these materials.¹⁵ The current economic system is unsustainable, and the negative impacts to our planet cannot be ignored.

There is a world of opportunity to rethink and redesign how "stuff" is made. Through a change in perspective, the way our economy works can be redesigned - products can be "made to be made again" and the system can be powered with renewable energy.¹⁶ With creativity and innovation, we can build a restorative economy.

Creative city building solutions: Close the Loop
Close the Loop is an Australian company that has re-thought roads. It recovers value from old printer cartridges and soft plastics and turns these materials into roads. These products are mixed in with asphalt to produce a higher-quality road surface that lasts up to 65% longer than traditional asphalt.

¹⁷ In every kilometre of road laid, the equivalent of 530,000 plastic bags, 168,000 glass bottles and the waste toner from 12,500 printer cartridges is used in the mix.¹⁸

In a circular economy, economic activity builds and rebuilds overall system health. The concept recognizes the importance of the economy needing to work effectively at all scales - for large and small businesses, for organizations and individuals, globally and locally.¹⁹ Cities of the future that apply a strong circular foundation, and the advancement of smart city solutions can help us get there. Decision-makers should be at the forefront of exploring ways and seizing opportunities for creating and maintaining resilient urban systems that will be inherited by future generations.

As cities become smarter, there is an opportunity to redesign how we make and consume things, to incorporate circular economy principles. Incorporating digital technology is essential for society to accelerate the systemic shifts needed to create a circular economy.²⁰ Research has shown that political leadership, experimental approaches (such as living labs), development of contextual knowledge about resource use, and diverse stakeholder engagement are important steps in adopting a circular economy strategy.²¹

liv·ing labs
[/̒liviNG, lab/] noun
Using the city as a real-world testing ground for new ideas and technologies, from observing the living patterns of users in a controlled area, to larger scale projects that enhance innovation, inclusion, usefulness and usability of technology and its applications in society.

²²

Through a change in perspective, the way our economy works can be redesigned - products can be "made to be made again" and the system can be powered with renewable energy.¹⁶ With creativity and innovation, we can build a restorative economy.