State of Mexico (Edomex) generates up to 17,000 tons of solid waste on a daily basis. Considering the above, companies like Covestro are moving towards a circular economy.
Mr. Jorge Rescala Pérez, Environment Secretary for State of Mexico, revealed in the recent webinar Circular Economy, Targeted Actions and their Environmental Impact organized by the National Association of Plastic Industries (ANIPAC), that out of the 100,000 tons of solid waste generated in Mexico, 17% comes from State of Mexico.
Edomex is the most populated state in Mexico with 16,992,418 people according to the last official census. This state has 125 municipalities spread across a surface of 22,000 square kilometers. Edomex is known as the Economic Heart of Mexico as it is, together with Mexico City, the biggest consumer market in the country. Mexico City and Edomex together account for 26 million potential consumers.
Edomex is the second biggest economic power in Mexico as it contributes 9.1% of the GDP, it occupies the third place in terms of Foreign Direct Investment and the second for manufacturing as it accounts for 9.7% of the sector nationally.
Edomex generates daily 17,000 tons of solid waste and 12,000 tons of special handling waste. Mexico City receives 8,646 tons of solid waste and 270 tons of special handling waste from from Hidalgo and whose final destination are the Waste Management Centers located in the municipalities of Chicoloapan, Cuautitlán Izcalli, Ixtapaluca, Nezahualcóyotl, Tecamac, Teoloyucan and Zumpango, reveals the Official Edomex Gazette.
Waste management in Edomex focuses on the 3R model (reduce, reuse and recycle) and landfills are seen as the last option, mentions the Environment Secretary in his last report Circular Economy in Edomex.
The term circular economy was first used in the amendment of the 25th Article of the Municipal Organic Law published on 26 December 2019 in the Official Gazette. The new law established that waste should be separated into organic and inorganic to favor a circular economy.
Mr. Alfredo del Mazo, current Edomex governor, defines circular economy as a sustainable model used by some of the most developed economies on the planet that seeks to integrate residues within the production processes to minimize the use of natural resources, foster reutilization and stimulate innovation and competitiveness.
“Our future depends on the environment. The 3R model: reduce, reuse and recycle, is the basis of a circular economy and a fundamental principle of sustainability. We can all participate in the circular economy model and join efforts to create an environmentally-friendly culture,” said governor Del Mazo at the inauguration of ALPLArecycling, the first high-density polyethylene recycling plant based in Toluca, Edomex.
“The existing economic model is completely linear: extract raw materials, produce, consume, discard. This model is no longer viable and it is imperative to make a change. Transitioning to a circular economy is our way of contributing towards this change, it is the way we expect to have a positive impact in society.”Arturo Molina, managing director at Covestro Mexico.
Covestro Mexico is shifting to a circular economy
Covestro is one of the companies in Edomex which stands out because it is transitioning to a circular economy. Covestro produces high-performance polymers and their plant is located in Ecatepec, Edomex.
“The existing economic model is completely linear: extract raw materials, produce, consume, discard. This model is no longer viable and it is imperative to make a change. Transitioning to a circular economy is our way of contributing towards this change, it is the way we expect to have a positive impact in society,” expresses Mr. Arturo Molina, managing director at Covestro Mexico.
In 2021, Covestro Mexico announced its new strategy called Sustainable Future. The core of this new strategy is sustainable growth. The company has gradually shifted to manufacturing all its products using alternative raw materials and has migrated all its production processes to renewable energies.
“In 2019 we started our transition to a circular economy. The process has many sides to it so we would like to focus on three fundamental axes: sustainable manufacturing using enhanced processes and energy efficiencies; use of green energy with the idea of moving every production center worldwide in this direction; swap to renewable steam,” informs Mr. Molina.
Likewise, he points out that the chemical industry is interested in a circular economy because they believe it can help them overcome their challenges. “We are taking responsibility and working on several initiatives with the National Chemistry Association (ANIQ) in which we are attempting to keep all the polymers we work with within our premises to avoid any harm to the environment. We are working on other initiatives to handle the other residues we produce and that are inherent to any human activity, not just in the chemical industry.”
Covestro Mexico works with the community. In 2018 it donated 500 mattresses to the people of Ecatepec which were made using the raw materials this company produces. Covestro used to be a division of Bayer Pharmaceuticals, but it separated in 2014.
The 2025 worldwide plan contemplates using 80% of the annual investment for research and development for sustainability. “The plan is in place. Covestro is a global company with a medium and long term vision. The company tends to the current needs, but is always looking ahead. We are convinced that circularity is the way forward for the company and we realize research and development are crucial to achieve this. In 2020, we invested EUR €341 million in research and development and by 2025 we want that at least 80% of what we invest in R&D goes to sustainability,” declares Mr. Molina.
Last August, Covestro Mexico announced the acquisition of the resins and functional materials division of the Dutch company Royal DSM. This buy will turn Covestro into one of the main suppliers of resins and coatings globally.
As it stands now, Covestro is already one of the main suppliers globally of high-tech polymers that can be found in many daily life aspects such as mobility, construction and housing.
Covestro's plant in Antwerp, Belgium is one of the largest chemical plants they own, and it is 100% powered with renewable energy. Furthermore, Covestro Germany has just signed off a contract with a Danish company that is building a wind farm in the North Sea, so the expectation is that by 2030 all the Covestro plants in the region will be powered using renewable energy sources.
Circular Economy in Mexico
Transitioning to a circular economy has a direct, positive impact on climate change and waste generation. For example, if we change the way in which we produce and use steel, aluminum or plastic, it will be possible to reduce the greenhouse gasses derived from these industries by up to 40% by 2050, reveal Mr. Manuel Albaladejo and Ms. Paula Mirazo from the UN Industrial Development Organization.
Using renewable energies and materials, the circular economy model aims to completely change the way in which we design, produce and consume. The model is based on three principles: eliminate waste and pollution, keep product and materials in use and regenerate ecosystems.
Mexico has not yet transitioned to a circular economy model, except for very specific sectors which by design have had to follow international standards. This is the case for the paper industry and the automotive industry, among other industrial sectors which have started their transition to become more competitive and profitable, reveals a recent study from the National Institute of Ecology and Climate Change (INECC).
On November 8, 2021 the Senate passed the General Law of Circular Economy which defines circular economy as “a production, distribution and consumption model aimed at redesigning products and services to elongate as much as possible their life cycle, preventing or minimizing waste and reintroducing any residues back into the production process, while fostering a new consumption and production culture.”
Mr. Molina, managing director at Covestro Mexico, comments that the General Law of Circular Economy is an opportunity for both industry and authorities to better understand the challenges we are facing. “I believe the Law gives a clear framework to work jointly with the authorities, mainly to feed them information and give them perspective. It is not uncommon that authorities come to us seeking advice before proposing a legislation, precisely to understand what is going on. Through the National Association of Chemical Industries, Covestro gives advice to authorities to make the best decisions for Mexico.”
