Interested stakeholders looking to adopt circular indicators for policy, due diligence, impact assessment, or accounting and reporting needs may have to conduct their own research and draw their own conclusions on which indicators would be most meaningful. This paper aims to support them in that task by sketching the landscape of circular indicators including the vibrancy of the field, and by setting out high-level considerations for how the development of indicators could be further strengthened.

The main focus of this paper is to provide greater insight into the landscape and state of play of public sector circular indicators. The paper stems from two years of closely following the circular economy (CE) indicators field, starting with a PACE-led scoping phase in spring 2019, which assessed the landscape of circularity measurements and validated indicator needs. This was followed by ongoing efforts by PACE in 2020 and 2021 to convene key stakeholders, with a view to identifying how indicator needs can best be served using collaborative approaches, leading to the establishment of the Circular Economy Indicators Coalition (CEIC).

The report offers examples of different indicator groups and discusses the current landscape. For example, the Netherlands Environmental Assessment Agency has developed a framework that distinguishes between three layers of indicators: raw material use; the effects of raw material use; and the progress of the transition process related to the application of the R-strategies. The report also provides recommendations for four areas that must be addressed to improve circular indicators and measures in the short-term. These include the common framework for measuring CE, exchange mechanism for developers of CE indicators, harmonisation and standardisation, CE indicators coverage and data gathering and availability.

This is an inspirational report for cities and regions who would like to learn more about key CE indicator stakeholders and efforts as well as about the status of circular indicator use and development in the public sector. The insights shared in this report can be used to support the selection of a relevant indicator framework, including for a Circular Systemic Solution, or prioritise areas for further work to improve the circular indicators and measures at regional/local level.