Opinion: On this Earth Day, rethink Green Capitalism

The world is adopting Green Capitalism, but the sustainable way forward is to overcome its ingrained desire for infinite growth. The endless cycle of production and consumption must be disrupted

Consider this: The Digital 2024 Global Overview Report says, 69.4% of the world’s population uses a mobile device, with over 66% of the people accessing the internet as of January 2024, a massive leap from the first-ever handset in 1983. Digitalisation has become the key to prosperity and progress. We have all witnessed the digital revolution in the last couple of years. On this Earth Day (April 22), this question is worth asking: Is it a convenient way towards a sustainable future?

Reality of e-Waste

What happens to our electronic devices after we discard them? The data is shocking. The Global E-waste Monitor 2024 by UNITAR says the global e-waste generation reached a staggering 62 million tonnes in 2022, an 82% increase from 2010. Yet only 22.3% of this e-waste was recycled. As per UNEP 2015 estimates, e-waste will reach 82 million tonnes by 2030, making it the fastest-growing solid waste stream, while 60-90% of global e-waste is illegally traded or dumped, valued at $19 billion annually. E-waste is non-biodegradable, with components like lead and mercury contributing to serious health hazards.

Why has the case risen to such pandemonium? The answer is not simple. It is a situational paradox. We all encounter full front-page publicity for new smartphone launches now and then. It is a part of a clever ploy widely recognised as Capitalism. At first, Capitalism was a blessing that drove innovations, profitability and expansion in the free market. However, the insatiable hunger for growth is exacerbating environmental degradation.

The electronic sector is the cornerstone of modern Capitalism, but its foundation depends on finite resources. The craving for constant growth is causing over-extraction, mass production and waste. The relentless demand for newer and better is fuelling the trajectory of the treadmill of production. Buying the latest smartphone or laptop has become our new obsession. For instance, approximately 1.14 billion smartphones were shipped in 2023. The carbon footprint for smartphone production ranges from 31 kg to 55 kg of CO2, according to an article in comparethemarket.

Major companies influence consumer behaviour through strategies like planned obsolescence. There was a time when we could flip open the back to replace the battery. Today’s devices are engineered with proprietary screws and complicated designs, making them impossible to repair. If we try to probe and restore, the warranty is no longer valid on those devices. Product hibernation, ie, unused devices gathering dust, and limited recycling push companies to produce newer devices at breakneck speed. Furthermore, eco-friendly slogans attract more consumers at higher price points.

The Digital Economy Report 2024, released by the UN Conference on Trade and Development, discloses that least developed countries (LDCs) are becoming critical destinations for e-waste from developed nations, which generate 3.25 kg per capita of e-waste annually, over 15 times higher than the LDCs at 0.21 kg per capita.

Conquering e-Waste

Treating waste as a resource can be the solution in both the short and long run. A recent report by Recycling Industry Yearbook 2019 estimates that recycling 1 million cell phones is equivalent to the recovery of 75 pounds of gold, 772 pounds of silver, 33 pounds of palladium and 34,274 pounds of copper. This suggests an increasing and emerging trend in recycling sectors and startups, prioritising e-waste management and driving the transition towards Green Capitalism and a sustainable tomorrow.

Recycling is considered an effective way towards resource efficiency, but the laws of thermodynamics provide a contradiction. It is impossible to recycle continually without any loss, as per the Second Law. No recycling plant can be 100% efficient, as some energy will be degraded. Consequently, more recycling cannot offset the increasing demand for resources. Hence, the consumption culture must be confronted.

Consumption Culture

We, the consumers, hold immense power. We must be aware of the environmental cost of our choices. A shift in our mindset towards repairing and reusing is essential. By opting for high-quality, durable, long-lasting and sustainable goods, we can drive the demand for greener alternatives. Based on a report in Infomineo, between 85 per cent and 95 per cent of a smartphone’s carbon footprint is from the production phase, not the ownership phase. A system approach, rather than an individual approach, is crucial for achieving meaningful change.

Companies must create products with modular designs that can last longer. They must provide proper incentives for device exchanges. “Right to Repair” should become a reality. Certified refurbished products should be the new trend. An article in comparethemarket states that in 2023, 25% of smartphone buyers chose refurbished or second-hand models, an increase from 19% in 2021. Another promising avenue is the “Device as a Service” model. Instead of selling hardware, companies can offer a subscription model with consumers only paying for performance, security and maintenance. It scales down the need for frequent replacements and aligns profitability with sustainability.

As the world progresses toward Green Capitalism, e-waste management must be prioritised. Innovations are a blessing, but they must be adopted cautiously. Capitalism’s mindset of relentless profitability must be checked. We are the central figure in redefining Green Capitalism.

On this Earth Day, we must carefully deliberate on our consumption choices and make a conscious and collective decision towards sustainability. We must rectify our obsession with frequent purchases and transform our outlook toward green choices. Let us ask ourselves – Why not reconsider our fixation on consumption? Why not repair and reuse? While absolute change takes time to come, the revelation is at hand.