An international consortium led by Roland Berger and Beeah Group, in collaboration with DFINITY Foundation and the International Solid Waste Association (ISWA), has unveiled the world’s first global incentive system to address the solid waste footprint, marking a groundbreaking response to the global waste crisis. The initiative, introduced at the UAE Pavilion at COP28 with the support of the UAE Ministry of Climate Change & Environment, aims to align with environmental, social, and governance (ESG) standards and global net-zero targets.
The Voluntary Recycling Credits (VRC) Initiative, led by Roland Berger, Beeah Group, and ISWA, received strong endorsement at COP28, demonstrating a commitment to positive climate action. The initiative’s Proof of Concept showcased the first live transaction on December 4th, 2023, with full-scale platform development and official launch scheduled for 2024.
Hani Tohme, Managing Partner at Roland Berger Middle East, emphasized the initiative’s role in addressing market gaps related to net-zero commitments and circularity, fostering collaboration between the public and private sectors. The VRC Initiative focuses on transparency, cost-effectiveness, and overcoming barriers to delivering on environmental commitments.
Khaled Al Huraimel, Group CEO of Beeah Group, highlighted the initiative’s inclusivity, involving all stakeholders across sectors to tackle the global waste crisis. Beeah Group’s commitment to a zero-waste to landfill future aligns with the UAE’s Net Zero by 2050 Strategic Initiative and broader sustainability agenda.
The VRC Initiative responds to the alarming generation of waste globally, with individuals producing approximately 2 billion tonnes of municipal solid waste annually. This figure surges to 17-18 billion tonnes when accounting for industrial, electronic, agricultural, and other economic activities. Only half of this waste is currently managed, contributing to environmental damage through landfilling, dumping, and burning.
The initiative introduces a standardized incentive system, enabling institutions to offset their solid waste footprint through a transparent ecosystem. Trading ‘recycling credits’ on a blockchain-based marketplace ensures auditable and secure transactions between waste offsetters and recycling companies. The initiative, based on the additionality principle, aims to incentivize global recycling, boost material collection and recycling, and improve waste management.
DFINITY Foundation, the technology partner, leverages the Internet Computer blockchain to provide a solution ensuring transparency, credibility, and scalability for the VRC Initiative. Dominic Williams, Founder and Chief Scientist of the DFINITY Foundation, highlighted the Internet computer’s decentralized and tamper-proof network, guaranteeing transparency in recycling credits and transactions.
Brazil, a supporter of the VRC Initiative, aligns it with the country’s ongoing efforts to transition to a circular economy. Adalberto Maluf, National Secretary of Urban Environment and Environmental Quality at the Ministry of the Environment, Brazil, expressed the country’s commitment to developing and showcasing the initiative, aiming to present it as a global standard at COP30 in Brazil. Maluf emphasized the initiative’s potential social impact, considering waste pickers as an important social category for Brazil.
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