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Our Work › Regional / Multi-Country Interventions › ASEAN Circular Economy Business Alliance (ACEBA): Mobilising Business Action for Circular Economy in ASEAN

ASEAN Circular Economy Business Alliance (ACEBA): Mobilising Business Action for Circular Economy in ASEAN

Locations: ASEAN (Ongoing)

Themes: Circular Economy, Business, Multi-industries

The Challenge

The transition towards Circular Economy (CE) in Southeast Asia has been gaining momentum since the adoption of the 2021 ASEAN Circular Economy Framework. Moreover, national governments have introduced national circular economy strategies, action plans and policy instruments. Leading businesses are recognising the need to transition towards circularity through innovations in their products, services and activities, supported by business model adjustments, to remain competitive and develop new business opportunities.

The SWITCH-Asia Policy Support Component (PSC) supports the transition of ASEAN countries to a circular economy, that is low carbon and resource-efficient. Specifically this Technical Advisory (TA) works on mobilizing business action for circular economy in ASEAN, at the initial request of the ASEAN Corporate Social Responsibility Network, which has since transitioned into ARAIBA Sdn Bhd, a not for profit business organisation working towards responsible and inclusive business. In the first phase of the TA a principles-based unifying framework for business action on circular economy was developed and endorsed by business in Thailand, Indonesia, Philippines, Cambodia, Vietnam, and Malaysia. This Framework positions Circular Economy as a responsible business practice and innovation agenda for addressing unsustainable use of materials and other natural resources. More than 90 circular economy business cases have been developed and published that each illustrate how businesses, including corporates, SME, startups and social enterprises, operationalised circular economy to their business benefit whilst achieving tangible improvements in sustainable use and management of materials, energy, water and other natural resources.

The first phase of the TA seeded the launch of the ASEAN Circular Economy Business Alliance (ACEBA) – an initiative of ARAIBA Sdn Bhd, in collaboration with national and regional business membership organisations. ACEBA is an ASEAN-centric initiative designed to catalyze leadership and action for the regional circular economy transition in Southeast Asia. ACEBA champions the principles-based approach for business action on circular economy to mitigate climate change, reduce waste and pollution, and preserve nature and biodiversity. It promotes innovation and responsible business practices to achieve these goals. ACEBA encourages ASEAN businesses and their membership organizations to pledge their commitment to leadership and action on the circular economy through peer learning, knowledge sharing, networking, and advocacy.

With the second phase support of this TA, ACEBA established formal collaboration with business organisations, including the ASEAN Business Advisory Council, the East Asia Business Council, Cebu Chamber of Commerce and Industry (Philippines), KADIN Indonesia Chamber of Commerce and Industry, Thailand Environment Institute and the Global Compact Network Philippines. ACEBA integrated its business insights into a CE business guide and contributed significantly to the development and piloting of a Circular Solution Canvas.

The SWITCH-Asia PSC continues to support the further development of ACEBA at catalyst for circular business in the region.

Objectives

To foster and support business leadership and action on implementation of circular economy in Southeast Asia
To put circular economy as a responsible business and innovation action on the Southeast Asian business and policy agendas
To support evidence based public and policy dialogue on Circular Economy transition in Southeast Asia

Way Forward

The continued support of the SWITCH-Asia PSC will enable the operationalization and scaling up of ACEBA into a platform that catalyses circular economy business initiatives in Southeast Asia, and possibly beyond. Support is being provided to expand participation by businesses and supporting national business membership organizations in Southeast Asia, with the initial focus on Indonesia, Philippines and Thailand.

In parallel, ACEBA will continue to uncover, document, showcase and facilitate the scaling up of good business practices and innovative solutions, facilitate learning and sharing among ACEBA companies and beyond, and promote operational tools and metrics that are appropriate to the ASEAN region, relevant to the ASEAN Member States and specific to their leading and emerging business sectors. Specifically, the following outputs are foreseen:

Expanded participation in, visibility of and networking within ACEBA: resulting from further operationalization of ACEBA;
Evidence-based knowledge creation for enabling circular economy implementation by businesses and support organizations; through the curation of business experiences and the development and promotion of circular economy knowledge products;
Provision of circular business development and innovation promotion and services to foster market based CE scaling up and increase CE relevant investments in the region and;
Improved synergies and evidence- and experience-based circular economy promotion, advocacy, networking and coordination in particular within ASEAN, its Member States and institutions, and with the EU, its Member States and institutions.