The project aims to help strengthen the transition to a circular economy through tracking and traceability of critical materials.
Supply chain traceability and transparency start-up, Circularise, has announced it will partner with BEC GmbH, Grundfos, Minviro, and the global Rare Earth Industry Association (REIA) to lead a three-year EIT RawMaterials funded innovation project to build a blockchain based Circular System for Assessing Rare Earth Sustainability (CSyARES).
This will set out to help companies improve transparency and sustainability of their supply chains when it comes to critical and rare earth materials.
According to Circularise, demand for rare earth metals is ‘skyrocketing’ and by 2030 it is projected to reach 315,000 tonnes.
It says these rare-earth metals are ‘irreplaceable’ in wind turbines, electric vehicles, mobile phones, computers and the defence industry. As corporations and governments work toward a sustainable future, climate supply chain traceability software that leverages data and blockchain to measure environmental impact can help increase the secondary resource efficiency and accelerate transition to a circular economy. Rising demand combined with resource shortages and supply chain disruptions means there is a need for sustainably mined and processed metals.
It says the transition to a circular economy is considered ‘crucial’ and governments around the world incentivise companies to uptake e-waste recycling and other sustainable practises with new regulation.
As highlighted by the European Raw Material Alliance (ERMA) Action Plan, boosting supply security through better cooperation among stakeholders is a top priority.
For rare earth metals suppliers, this means not only becoming more sustainable but also proving their compliance and quality criteria to customers and regulators.
Developing an innovative CSyARES is key in achieving these goals, Circularise says.
In this project, the partnering organisations, including Circularise, aim to:
Integrate REIA’s standards on assessing sustainable performance and Minviro’s LCA tool with Circularise’s blockchain software for supply chain traceability and transparency.
Allow Grundfos and BEC GmbH to test the system and business model and trace and measure the environmental impact of their supply chains using Circularise. This will be conducted in cooperation with members of REIA.
A sustainable future
Commenting on this announcement, Jordi de Vos, Circularise’s Founder, said: “With CSyARES, we see a big potential in developing solutions for suppliers, brands, and industry as a whole to measure, understand and reduce the climate impact of Rare Earth Metals.
“As corporations and governments work toward a sustainable future, climate supply chain traceability software that leverages data and blockchain to measure environmental impact can help increase the secondary resource efficiency and accelerate transition to a circular economy.”
The project will set out to contribute to the circular economy transformation in the rare earth elements, electric and electronic equipment, automotive, and all other sectors that depend on rare earths.
It will also set out to create new business opportunities for manufacturers and recyclers and allow downstream players to ensure sustainable practises throughout their supply chains.
Circularise is a supply chain traceability and transparency start-up founded in The Netherlands in 2016.