- Robert Spencer, Director, Sustainability, AECOM Adopting the Circular Economy – Pathways to Collaboration for Infrastructure Owners and Operators - Robert Spencer, Director, Sustainability, AECOM 8th November 2016

Built to deliver a better world AECOM has grown to become the world’s No. 1-ranked engineering design firm* — delivering integrated, sustainable solutions that help clients and communities in every region of the world create and unlock new opportunities. 7 continents 92,000 employees 150+ countries US$18B revenue One World Trade Center New York, New York Crossrail United Kingdom *According to Engineering News-Record 2015 rankings Pathways to collaboration for infrastructure owners and operators January 12, 2019

The Circular Economy “A circular economy is one that is restorative by design, and which aims to keep products, components and materials at their highest utility and value, at all times.” – The Ellen MacArthur Foundation From ‘Building Revolutions’ by Dave Cheshire of AECOM (RIBA, 2016) Pathways to collaboration for infrastructure owners and operators January 12, 2019

Pathways to collaboration for infrastructure owners and operators

MI-ROG Focus Inter-agency programme and supply chain collaboration Critical materials Innovative products and approaches Effective procurement, taking on board CE principles Accurate inventory of assets and components New ownership models Programme-level resource optimisation Responsible sourcing One World Trade Center New York, New York Crossrail United Kingdom Pathways to collaboration for infrastructure owners and operators January 12, 2019

Case Study 1: National Grid Overhead Line Conductor Circular Economy Approach Traditionally: Material flowed through recycling chain and entered commodities market New model: Material sent directly to be reprocessed into new conductor (All Images courtesy of National Grid) Pathways to collaboration for infrastructure owners and operators January 12, 2019

Case Study 1: National Grid Overhead Line Conductor - Learning (All Images courtesy of National Grid) Pathways to collaboration for infrastructure owners and operators January 12, 2019

Case Study 2: Highways England CE Routemap & Pathfinder Governance Establish Circular Economy Manifesto Procurement Contractual requirements for Circular Economy Supply Chain Liaison: Exploration of Capacity and motivations within the sector Identify areas with material constraints and create opportunities for future schemes Prioritise major schemes Monitoring and Reporting Tools Development Effective monitoring of materials and resource efficiency KPIs and reporting Tools and Guidance Incorporate route map, BSI standard, asset design support, etc. Consider design life and future proofing Dynamic platform of regional circular economy responsibilities Material and design guidance to capture circular economy Amendments to standards / evolving legislation Pathways to collaboration for infrastructure owners and operators January 12, 2019

Case Study 2: Highways England Pathfinder Scheme Adoption of the Circular Economy by Highways England’s A14 Cambridge to Huntingdon Improvement Scheme Pathways to collaboration for infrastructure owners and operators January 12, 2019

The Circular Economy in Infrastructure Development Strengths W Weaknesses O Opportunities T Threats Readily builds on pre-existing LEAN and materials efficiency work Wow! Factor and lots of momentum for implementation Unifying concept that can align all aspects of people, planet, profit strategies Driver for Programme-level visibility and connectivity between operators Can be challenging to articulate CE concept – too ‘woolly’? Infrastructure-specific cost benefit models are still emerging Still lacking an effective programme or corporate-level measurement for circularity Lifecycle is too long for meaningful end-of-life planning (cf. modular) Integration with BIM and WLC Alignment with Natural Capital and Net Positive Impact approaches Catalyst for new procurement and purchasing models Drives modular design and asset tracking Basic infrastructure pathways are long-lived and can be readily re-purposed Statutory design guidelines are often inflexible and procurement rules can prohibit innovation Corporate Inertia and risk appetite prevent pilot scaling Initial transaction costs can be high as supply loops are worked through Current commercial models backed by vested interests and established down-cycling pathways Pathways to collaboration for infrastructure owners and operators January 12, 2019

Final thoughts and next steps Slide concept courtesy of Mike de Silva at Crossrail Can we – or should we – build with end of life in mind? What is recoverable? How do you measure success? Are their actionable metrics to measure CE across major infrastructure operators? Photo: Russ Collins, Provence & Beyond Pathways to collaboration for infrastructure owners and operators January 12, 2019

robert.spencer@aecom.com +44 (0)7765 242 482 Thank You robert.spencer@aecom.com +44 (0)7765 242 482 8th November 2016