Circular economy, falls directly into the category of wicked problems – a complex network of directly or loosely connected issues. A wicked problem cannot necessarily be “solved” but rather has to be constantly and iteratively tackled by different policies and stakeholders, including different levels of government.
Instead of looking for a silver bullet to achieve circular economy, we need to create a system of constant improvement where different actors – through their organisational development, policy development and multi-stakeholder relationships – work towards a transformative change in our economic system.
That’s what governance has got to do with it!
Transformative change does not just happen – it takes coordinated effort to facilitate and enable it. Let’s face it: we are far from “walking the talk” when it comes to achieving sustainable urban development. The OECD has estimated that at least 70% of cities have not yet achieved the end values suggested for 2030 in 15 of the 17 SDGs (OECD, 2020[1]). And of course, turning this around won’t happen by local governments alone.
Urban governance is about coordinating the processes and relationships among different actors. We need to focus on these processes and relationships to deliver better results and close the “action gap” towards the SDGs. The city of Tallinn, as the Green Capital of Europe 2023, is drawing attention to the importance of governance, trying make sense of good governance suggestions in the context of urban management. We do so by working with city peers and knowledge partners to develop a framework for “Sustainability Governance”, which we believe will help cities bridge the gap between ambitious targets and action.
Sustainability Governance applied to the circular economy transition
Last summer the city of Tallinn completed an extensive policy dialogue around circular economy led by the OECD Centre for Entrepreneurship, SMEs, Regions and Cities. the key recommendations focus on building the capacity of the city to act as “Promoter, Facilitator and Enabler” of the circular economy transition. For example, the OECD recommends that the Tallinn Circular Economy Department is adequately resourced with a clear mandate to lead cross-sector coordination, including developing a holistic strategy for the circular economy in Tallinn, with clear objectives, targets and actions, and that skills are developed for innovative procurement and designing tenders considering circular economy criteria.
Just like with any wicked problem, we will eventually face the question of how to best tackle this complex issue? How do we develop clear goals and facilitate collaboration amongst relevant stakeholders and the public? How can the circular economy (or any) department confidently lead such a process? It’s not that cities have not done it before or are constantly failing. There are good success stories but when looking at the overall progress towards for example the SDGs, we are still lacking results. So, there is room for improvement on how governance is applied at any level of the organisation.
This is where a second process of the Tallinn European Green Capital year flagship project on Sustainability Governance comes into play: a collaboration with Demos Helsinki on how to embed horizontal governance principles into daily processes of governing. This is based on the so called “humble governance” concept that stipulates that transformative change always starts from a “thin consensus” about broad framework goals. Then, through constant policy experimentation, problem-solving, and peer learning, the feedback loop and impact of actions are strengthened over time.
Making a move on SDG 12
Applied to the circular economy transition, let us look at the case of food waste. SDG 12 stipulates to halve per capita global food waste at the retail and consumer levels by 2030, providing a clear direction at global level. In Tallinn, an estimated 44 500 tonnes of food waste are generated every year, half of which come from households, and half from commercial and catering sectors[2]. Halving this amount thus requires working both internally and externally, using various means, while further recognising the interconnected nature of waste issues, like for example food waste and the use of single-use plastic in catering activities.
In Tallinn, a recent waste regulation banned single-use dishes and utensils at public events with less than 30 000 visitors per day (1 June 2023), and was extended to all public events by January 2024[3]. This is one step towards increased awareness and consensus around the need to plan and execute events sustainably and should promote a growing market for companies focused on waste prevention in the event sector. This comes together with a guideline for event organisers to plan more sustainable events,. The city also actively participates in national campaigns on waste reduction, including many schools in Tallinn participating in the “Let’s cook together!” campaign, where students engaged in preparing meals using leftover food from the previous meal.
Coming back to the governance topic, the portfolio of interlinked initiatives contributing to a circular economy transition in Tallinn, of which the above includes only a small sample, will follow an iterative cycle towards “thickened” consensus, helped by the direction set in the waste management plan 2022-2026 and the future Tallinn Circular Economy Development Plan 2035But as we have noted above: strategies and plans are not enough – we need to focus on governance to better deliver transformative actions. The preparation of the Tallinn Circular Economy Development Plan will be a testing ground for incorporating the principles of sustainability governance and to develop the framework further.
Participants in this process must throw out the window the expectation that transformation can be enforced by a single policy cycle or strategy adoption, or that all critical stakeholders will be on board after several engagement sessions. It takes time and perseverance to “thicken” the consensus and the key principle to achieve it is humility. Humility to recognise and accept that we don’t know for sure what the solution is going to be and how to achieve it.
We must take on a journey together, where we learn from each other and constantly iterate towards a better solution.
[1] OECD (2020), A Territorial Approach to the Sustainable Development Goals: Synthesis report, OECD Urban Policy Reviews, OECD Publishing, Paris, https://doi.org/10.1787/e86fa715-en.
[2] Municipality of Tallinn (2022), Tallinn Waste Management Plan 2022-2026, https://www.tallinn.ee/et/keskkond/jaatmehooldusest-uldiselt
[3] Tallinn, City News. „Tallinn prohibits the use of disposable cutlery from public events“. 10 March 2023. Available at: https://www.tallinn.ee/en/news/tallinn-prohibits-use-disposable-cutlery-public-events