On 18 November 2024, Kaunas University of Technology (KTU) and other Baltic circular economy leaders signed a Memorandum of Understanding (MOU) at the Nordic Circular Economy Summit in Helsinki, launching a Baltic Circular Economy Network to advance the region’s circular economy transition.

This strategic cooperation not only contributes to solving local and regional environmental challenges, but also positions the Baltic and Nordic countries as global leaders for a more sustainable future.

“All success stories start with a change of mindset and innovation, but this requires the right incentives and regulatory solutions. Companies transforming traditional business models into circular ones need to be confident that the external context of the business environment will be favourable and create opportunities for value creation in the long term,” said Edita Gimžauskienė, Vice-Rector of Strategic Partnerships at KTU.

The MOU was signed between stakeholders in the Baltic and Nordic regions. The Memorandum’s main objective is to promote the development of a circular economy in the Nordic region. This includes close cooperation with the existing Nordic Circular Hotspot (NCH) and creating a new Baltic Circular Hotspot (BCH). The BCH focuses on fostering circularity growth in the Baltic States, both for individual countries’ progress and to strengthen regional cooperation.

Gimžauskienė emphasised that being a member of the NCH gives KTU a unique opportunity to a significantly impact on the development of the circular economy in the Nordic and Baltic region.

Lithuania – a leader in sustainable development

Today, countries and businesses are faced with the need to ensure that their operations are not only environmentally friendly but also sustainable in the long term. The growing demand for resources, their increasing cost and environmental challenges underline the urgent need for circular economy solutions.

This includes resource efficiency, waste reduction and the development of circular business models. In addition, strengthening cooperation between countries, businesses and scientific institutions can help accelerate the implementation of the Sustainability Goals and the dissemination of innovative solutions at regional and global level.

Director of KTU Environmental Engineering Institute (APINI) prof. Žaneta Stasiškienė emphasised that the signing of the MOU is an essential step to ensure Lithuania’s industrial and academic leadership in the field of circular economy.
For Lithuanian industry, she said, this cooperation represents a commitment to fostering innovation, increasing resource efficiency and opening up opportunities for sustainable economic growth, in line with the European Green Deal and global sustainability goals. It also gives companies access to a regional knowledge network, partnership and financing opportunities, boosts competitiveness and enables the implementation of cutting-edge circular economy solutions.

“KTU’s signing of the memorandum reinforces the University’s role as a centre for sustainability research and education, promoting interdisciplinary collaboration, student engagement and the development of innovative, transformative technologies. This initiative also contributes to strengthening Lithuania’s position as a leader in sustainable development and contributes to the creation of a climate resilient country,” noted Stasiškienė.

Uniting the Baltic countries for a sustainable future

Dr Inga Gurauskienė, Associate Professor at KTU APINI, says that the Baltic Circular Hotspot (BCH) will be based on the Nordic Circular Hotspot (NCH) model, which has been successfully operating for five years as a centre for collaboration, implementation and value creation in the circular economy.

“KTU, as one of the co-founders of BCH, will have the opportunity to bring together researchers and departments working in the field of circular economy. The aim is to ensure that the circular transformation is based on research and cutting-edge innovative solutions,” she said.

According to Gurauskienė, BCH plans to expand the circle of partners to include organisations from Lithuania and other Baltic States. The aim is to create a dynamic space for raising topical issues, conducting joint research, sharing best practices and creating circular innovations with the potential to expand beyond national borders.

“The circular economy is the future direction – there is simply no alternative. It is important to learn from each other, share experiences and work together to create ambitious plans. BCH was founded for this very purpose – to become a regional hub for researchers and organisations – and it is very important for both us and our partners,” said Erik Puura, Vice-Rector for Entrepreneurship at Tallinn University of Technology (TalTech).

A joint effort to bring Baltic countries to a Nordic level

Allan Niidu, Head of TalTech’s Circular Economy Core Lab, highlighted the urgent need for sustainable resource management. “We are facing an existential question: how can we use the planet’s limited resources in a way that allows humanity to thrive sustainably? The circular economy is essential because it allows for a more conscious and efficient use of resources, while promoting innovative and effective solutions,” he said.

Niidu emphasised that the BCH symbolises a joint effort to bring the Baltic countries closer to the Nordic level. This is being done by creating a platform to foster innovation and circular economy solutions that will help address common environmental challenges.

BCH is a cooperation platform in the context of the New Nordics. Its main objective is to strengthen Baltic-Nordic cooperation in the circular economy.

BCH’s mission is to raise awareness of the opportunities of the circular economy, to disseminate relevant information across the sector, to initiate meaningful projects among partners and to contribute to policy-making and legislation based on Nordic best practices. BCH is an integral part of NCH.

The initiative is supported by key public and private sector players in the Baltic and Nordic countries, including the Latvian Corporate Social Responsibility Platform (CSR Latvia), the Estonian Responsible Business Forum (CSR Estonia), Riga Technical University, Kaunas University of Technology, Tallinn University of Technology, BA School of Business and Finance, the Nordic Circular Economy Network, Natural State AS, AS CleanR Grupa and Rimi Baltic.

Based on a press release from the Circular Economy Laboratory at Tallinn University of Technology.