Description : |
This study offers essential metrics for informed decision-making in the context of transforming traditional industrial estates
into circular economies. The study conducts a systematic analysis of an existing industrial zone, demonstrating its potential
transition towards a circular approach while assessing its economic viability and avenues for enhancement. The paper unfolds
as follows: It initially presents a comprehensive methodology for quantifying the economic value added through recycling within
the industrial zone. Subsequently, it introduces a method to compute the economic value associated with the remaining waste
generated within the industrial zone. The paper then proposes a novel approach for determining the circularity factor of an
industrial zone, effectively quantifying the degree of circularity achieved within the zone. Finally, it integrates circular
economic principles and outlines a framework to assess the circularity value across the entire manufacturing process, reducing
waste and reintegrating it into the material supply chain. The study provides a robust methodology for calculating circular
value addition within an industrial zone. Furthermore, these metrics are applied to Biyagama Export Processing Zone (BEPZ),
in Sri Lanka as part of the study's empirical analysis. The circularity factor of the zone was 0.4, and it clearly identifies
that the total economic value addition of the zone can be maximized through the practice of a circular economy.
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