Application of circular economy in the Indonesia construction industry

Abstract

Abstract The Circular Economy (CE) is a concept that aims to keep the value of products, materials, and resources economically as long as possible while minimizing the waste produced. The CE concept is adapted from the 3R principle (Reduce, Reuse and Recycle). The construction industry is one of the largest waste-producing industries. In fact, 30% of the waste in landfills is construction waste. This study aims to identify and analyze the application of circular economy in the construction industry in Indonesia. There are two main stages in this study. The first stage was to identify construction practitioners’ awareness of the circular economy. The second stage is to document the implementation of 3R on various types of construction projects such as building, road, and bridge projects. The questionnaire was used to collect data. Around 120 project managers of medium to large scale construction companies in Indonesia were used as respondents. Important Performance Analysis (IPA) is used to represent construction practitioner awareness of CE. The results show that most construction practitioners in Indonesia have understood the importance of construction waste treatment in the context of a circular economy. However, only a few construction companies that seriously take care of construction waste treatment. Most construction waste is only released to the landfill area through the third parties. Only about 36% of contractor reused and recycled waste is in the construction site.