The Circular Economy and a Resource Hierarchy

On an unassuming webpage hosted by the European Commission (EC) is a really important consultation on the circular economy, which closes on August 20th 2015.  It's a rare opportunity to help shape policy which could provide a real competitive enabler for Europe, as well as have hugely positive implications for the environment.  Below I introduce some aspects of the breadth of the opportunity, using a 'resource hierarchy' concept.

An introduction to the Circular Economy

The circular economy is a term used to describe economic activity which seeks to be as resource efficient as possible, and is the antithesis of consumerism and the throwaway society with which the western world has become accustomed with.  It's got huge economic potential, with research suggesting the creation of tens of thousands of new jobs in the UK alone.  It seeks to restore both technical and biological 'nutrients', minimise energy use and avoid toxic chemicals.  And its aim is to send planned obsolescence into extinction!

One of the challenges for the circular economy is that a circle sounds very simple, and there is a risk that offering take-back programmes and simple recycling is considered 'operating in the circular economy' - albeit potentially simply reinforcing a fundamentally unsustainable business model. For example, I recently wrote a critique of the clothing (retail) industry and outlined some opportunities in this sector for more creative business models to be developed.  Mud Jeans and Patagonia are oft-cited examples of organisations being disruptive in this sector, but there is still a long way to go before fast-fashion becomes redundant.

Waste Hierarchy

Readers may be familiar with the 'waste hierarchy', which helps articulate a priority of how physical goods should be managed at the end of the life.  For example, although it is better to recycle than send waste to landfill, it's even more preferable to reuse something, or even eliminate the waste before it's created. 

The Waste Hierarchy

This model does not address any associated implications on business models directly, and using the term waste inherently misses the opportunity of a valuable resource.  So in some sense, the waste hierarchy may have reached its own 'use by date'.

Resource Hierarchy

If the concept of the waste hierarchy is combined with the circular economy, as well as emerging business models like collaborative consumption, a 'new order' of priority can be developed:

A proposed 'Resource Hierarchy'

I have grouped the various business models into 'divisions', hinting that, much like in the waste hierarchy, there should be nudges towards promoting the business models towards the top of the hierarchy.

Premier League

In the Premier League there are business models which eliminate the product altogether.   In some cases, this could be a classic dematerialisation, as we've seen in the music industry from CDs to streaming.  For most organisations though, it's likely to be more subtle and it's about driving-out 'experience-based revenues'.  This means shifting purchasing away from physical products into experiences which people are willing to pay for.  A strong brand is likely to be very important in this.

The Championship

The Championship includes the bulk of where we're likely to see disruptive business models enter the economy.  With products which are built to last, they can be shared and reused, with ownership moving to access.  Secondary business models will emerge with reverse logistics providers helping distribute products to other users (or a central owner).  Existing models in this league include eBay, repair cafes, car sharing, white goods rental and charity shops.

First Division
.  
The first division is a really important league, as when the useful life of the product has come to an end, this division seeks to extract even more value from the product.  In upcycling, the product is transformed into something new and more sophisticated, e.g. Elvis and Kresse's transformation of old fire hoses into luxury goods.  In downcycling, it's the opposite, e.g. car tyres into road surfaces or aggregate.  And finally, recycling simply seeks to take the materials and use them to recreate the same product again, without any degradation in the quality.  In any of these models, products need to be designed for disassembly, so for example, mobile phones and tablet computers have a long way to go in this regard.

Second Division

Finally, in the second division, just ahead of landfill, is Energy from Waste. This should only be considered for residual waste when other options in higher divisions have been explored.  A high biodegradable content (e.g. food and wood) is preferable, and the efficiency of the plant to convert into useful energy is also critical to its success.  As a non-intermittent source of energy, it may have a role to help balance the supply of electricity to the grid.


Summary

The circular economy touches on a wide breadth of business models which can all have a positive impact on the environment.  They can also open new revenue streams, reduce costs, enhance reputations and reduce risk.  The 'Resource Hierarchy' helps organisations understand the relative priority which such models may take.

Can 3D printing be sustainable?

Technology, innovation and engineering are going to be at the foundation of any step change in solving the greatest sustainability challenges of the next few decades, and the possibilities are very exciting:
 - mobility solutions with autonomous electric/hydrogen vehicles
 - platforms to embed trust in the sharing economy
 - smart grids, including demand management and community energy generation

Another example suggested as being a huge opportunity is 3D printing.  And although there are some positives, we need to be very cautious.

Repair

One of the key words which will support a more sustainable economy is 'repair'.  This requires that products can be repaired, plus there are viable services which can cost-effectively offer these repairs, without too much inconvenience for the user.

3D Printing can provide some opportunities here, as where products are modular, it may be possible to print out replacement parts, at a much cheaper cost than replacement of the entire unit.

An extreme case of repair is of course with our own bodies.  And although headline-grabbing in the last couple of years, there are genuine examples where bespoke replacement parts have been made for people.  DIY kits for self-repair haven't taken off yet, luckily.

R&D and light manufacturing

As new products are developed, or highly specialist limited items are required, 3D printing has an opportunity to minimise waste.  Previously, significant 'off cuts' may have been required to build a prototype, but 3D printing can now potentially create something precisely without any waste.  It can also be produced more locally, minimising transport costs.

Personalisation

When thinking about design sustainability, as well as ensuring products are durable, it's good to promote a secondary market, i.e. selling onto another user.  And this is where 3D printing causes some problems, as there are an increasing number of opportunities to print personalised gifts:

• Asda can offer miniature figurines of yourself
• Royal Mail has partnered with iMakr to offer various gifts

Asda's 3DME Service

Although personalisation can introduce an emotional connection to a product (so perhaps it's less likely to be thrown out in the short-term), it does mean it's also less likely to be attractive to anyone else, so ultimately will be thrown away, or stuck in a loft.  This is true, almost by definition, for any form of personalisation in product design, such as NIkeiD for trainers.

NikeiD trainer personalisation 

And if home printing takes off, will we end-up in a glut of weird looking plastic objects being touted on eBay, as well as plastic waste, where the nozzle calibration hasn't been done perfectly?

CUBIFY Cube 3D Printer

Still, it's better than printing 3D guns, I suppose!

Summary

For some serious applications, there are genuine sustainability advantages, like minimising offcuts and localising manufacturing.  However, it's unclear if the push for consumer-facing 3D printing services, or even 3D printers in the home is ever going to be sustainable.  And 3D printing serves as a useful example of how challenging it is to introduce personalisation into sustainable product design.

Sustainable design - changing gear

Recently, I wrote about the wristwatch being a source of sustainable design inspiration. In this blog, you'll see some further inspiration from a very different product - the bicycle.  Are there sustainable features of bikes which can be borne in mind when designing other products?

Felt Z85

Low-carbon, healthy transport

First, the obvious one - a bicycle is a form of transport which emits no carbon when it's used.  And of course it provides the rider with a form of exercise, so it's inherently a thumbs-up!  And if you think they can only carry one person, check out London Green Cycles who offer a range of styles to accommodate all sorts of loads.

Christiania Classic Light, from London Green Cycles

Durability

In most cases, bicycles are built to last.  'Planned obsolescence', where products are designed to fail after a certain time (to increase sales) and first seen in light bulbs, does not apply to this sector.  A bicycle's inherently modular design (i.e. comprised of many separate parts) means where aspects do break, it's not the end for the whole bicycle.  A similar concept is being considered in smart phones, with Phonebloks (and now Project Ara, by Google).

Repairs and servicing

If a bicycle does have a problem, the chances are it can be repaired, either by the individual, or in a cycle repair shop.  This might be anything from a new tyre, to a brake cable, wheel, or chain.  Many shops offer servicing, where bicycles are brought back to as close to their original condition as possible.

Shimano 105 brake caliper

Shimano 105 cassette sprocket

Secondary Markets

Bicycles rarely find their way to landfill, and there is an active second-hand market.  On eBay, when this blog was written, there were nearly 90,000 bicycles listed in the UK. Various local charities will happily take unwanted bikes, refurbish them and sell-on.

Emotional connection

People have an emotional connection with their bike. Much like a watch, a special relationship with bicycles may have started as a child, as it might have been a 'grown-up present' which was cherished far more than some toys.  And of course, at any age, a bike can bring adventure and exploration.

Social cycling


Although cycling is a solo effort (unless on a tandem), people are rarely cycling alone. Here's an extract from the 'Greater London Authority':

" In the morning peak (7-10am), up to 64 per cent of vehicles on some main roads are now bicycles. Cycles make up almost half of all northbound traffic crossing Waterloo, Blackfriars and London Bridges, and 62 per cent of all northbound traffic crossing Southwark bridge in the morning peak are cyclists. They are the largest single type of vehicle on each of these bridges, outnumbering cars in each case."

In fact, cycling in London is gaining such momentum, that Transport for London (TfL) have recently been consulting on further segregation between cars and cycles, as part of a East-West Cycle Superhigway:

Visualisation of proposed segregated two-way cycle track on Victoria Embankment (TfL)

And for those who use cycling to improve their fitness, there are lots of platforms to support them, like Strava, which adds an element of competition to their pursuit.

Strava - a social platform for fitness

In the UK, there are over 1800 cycling clubs affiliated to British Cycling.  There are also many mass-participatory events organised throughout the year, like Sky-ride, and the Prudential Ride London.

And we're starting to see a mini proliferation of 'cycling cafés' which not only offer a coffee and slice of cake, but also repair service for bikes.

Cycle Hire

In many cities now, there are options to hire cycles:

Cycle Hire in Guatemala

'Hubway' cycle hire in Boston, US

Foldable Brompton bikes for hire with South West Trains, UK

'Boris Bikes', London, UK

Cycle hire is great for sustainability - the positive benefits of healthy and low-carbon transport can be shared amongst many people, without each person needing to own their own bike.  This is a great example of 'collaborative consumption' or 'sharing economy', which is gaining real momentum across various sectors (e.g. Uber for taxis, AirBnB for homestays, etc.).

UPDATE: Spinlister is a peer-to-peer platform allowing users to share their underused bikes with others.

Bike Libraries

I've recently come across a great concept supported by Yorkshire Bank - help for people to setup bike libraries in one of England's counties, Yorkshire.  

The Bike Libraries originated when Yorkshire hosted the opening stage of the Tour de France in 2013, the Grand Départ.  In association with Cycle Yorkshire, its legacy aim is to give the local community access to a bike.  An enterprise fund (no longer available) supported not-for-profit entities to set themselves up and now 10 libraries support bike provision, alongside associated participatory activities like road safety and bike maintenance courses.


Cycle Racing

Cycling provides a source of inspiration, with professional teams, drawing large live crowds, and TV audiences:

Team GB Cycling during London 2012

A cyclist completing the Tour of Britain Stage 7, Guildford, UK, in 2013

Summary

There's nothing above that's a huge surprise about bicycles and cycling, but it's only when you consider all of these aspects, is it clear that it could be a source of inspiration in sustainability design.  So, when thinking about design of other products and services, consider:

• Can the physical design of a product be easily repaired and serviced?
• Is the physical product inherently durable?
• Can the product be made available to others, either through some form of sharing, and/or via a secondary market when the user has finished using it?
• Can the product be designed in such a way that it can substitute the purpose of another product which uses energy?
• Can the product or service provide an emotional connection and/or an experience?

Watch out for sustainable design

When we think about sustainable design, and associated business models, it can sometimes seem a little too unrealistic against the tide of consumerism and disposable fashion.  However, we don't need to look too far for inspiration - in the first of two blogs, I'll consider the wristwatch.

Below are couple of watches, with very different pricepoints:

A Rolex Watch

Casio F-91W

Now let's look at some aspects of their design which are sustainable.


Durability

In most cases, watches are built to last.  At the premium end, they are likely to last many generations, and in a lot of cases, with a timeless (excuse the pun!) design.  At the other end of the scale, I can personally testify that the Casio watch above will last 10+ years, and keeps perfect time!

Repairs and servicing

Where a watch is battery-powered, almost all can have the battery replaced at low cost.  We take this for granted of course, but perhaps helps us realise why it's so peculiar that our smartphones and tablets are unlikely to support this (yet).  Another part of the watch which can sometimes wear out is the strap, but of course, in most cases, these can be replaced.

More expensive watches can be serviced, where the internal mechanism is serviced to maintain its precision.  Spare parts are available to support this.

Secondary Markets

As watches are built to last, they retain their value well, so there's a well-established second-hand market.  This might be through jewellers, or eBay.  People very rarely throw out watches.

Emotional connection

People have an emotional connection with their watch.  It may have been given to them by a special friend or relative, it might have been something they've saved up for, and it's likely to be with them during the highs and lows which life throws at them.  This special relationship with a watch may have started as a child in their formative years, as it might have been a 'grown-up present' which was cherished far more than some toys.  I'm not suggesting adults still sport their Mickey Mouse or Transformers watches, but I bet they still have them somewhere (and they probably still work!)


Smart Watches

We are starting to see smart watches appear now - do these pose a challenge to sustainability?

Apple Smart Watch

Superficially, if we group them with smartphones and tablets, we might dismiss them (and of course they need a lot more energy to run than a traditional watch).  But, interestingly, they do retain some qualities which are positive:

• They're expensive!
• The emotional connection can still be made
• They can be upgraded (via software, new straps, etc.)

Time will tell (another pun) if they have the durability of other watches, or as new models come onto the market, whether they are discarded like smartphones.  But if you look at Apple's website, they do give the impression they are designed to last.

*UPDATE: January 2015* BLOCKS are developing a modular smartwatch, with links in the strap allowing 'pick and mix' functionality.  Let's hope it incorporates the sustainability aspects of a traditional watch too.

Blocks modular watch concept

*UPDATE: January 2015* According to 9to5mac.com, Apple's upcoming Smartwatch may have mediocre battery life.  If only it were user-swappable!

Lessons in sustainable design

So, to summarise, when we look at watches as sources of sustainable design inspiration, we should remember to develop products which:

• are inherently durable
• are 'cushioned' from the aggressively cyclical end of fashion
• can be repaired and/or upgraded
• the user is likely to form an emotional connection with (perhaps from childhood?)
• allow the retailer to derive long-term service-based revenues from, e.g. servicing, second-hand sales, helping them move away from a 'sell and forget' consumerism approach

Will climate change help clothing retailers hit a circular target?

One of the main challenges to the sustainability of our environment is consumerism. Fuelled by cheap credit, a key sector which relies and exploits this phenomenon is clothing retail.  This blog will argue that although some clothing retailers are proactively tackling some key sustainability issues, there is an elephant in the room - retailers want you to buy more of their clothes.  This, I'm afraid, is a nut which needs to be cracked before retailers can proudly talk about taking a leadership position on sustainability. And if they get this right, mindsets of consumers can change, and we might see a change in behaviours impacting other sectors too.  Re-writing a business model isn't easy (ok, as an incumbent, it's almost impossible), but in this case, climate change may be a useful nudge.

Sustainability for clothing retailers today

In a very simple model, we can look at clothing retailers as sitting between their upstream supply chain (making the clothes), and the consumers downstream (who buy lots of clothes):

A simplified 'value chain' for clothing retail

I've applied a simple 'RAG status' against each area to grossly generalise where the sector is progressing well, and where there's much more to do:

GREEN - Clothing Retail (own operations)

Leading clothing retailers have realised that resource efficiency is a good thing - for meeting regulation, reducing operational costs, and enhancing reputation.  This is fine, but is expected behaviour now, so meeting targets like the following are expected (by me!):

• Ongoing reductions in (scope 1 and 2) carbon footprint - e.g. emissions associated with running stores and fleets of owned transport; new (ok, not that new) technologies like LED lighting and store refit programmes should deliver ongoing savings - and there's a business case in cost savings there for the taking
• Zero waste to landfill.  Helped with proactive reuse and recycling, and as a last resort, waste-to-energy conversion
• Low-carbon stores - either as new build, or significant retrofit, but acknowledged to be challenging for some older estates
• On-site/near-site energy generation - PV, etc.
• Minimising net water use (use of water harvesting from roofs, etc.)

 AMBER - Supply Chain / manufacturing

The conditions of supply chains is frequently under the spotlight, and rightly so. NGOs have been incredibly effective in highlighting problems in developing countries to western consumers, and things are improving - take the 'Accord on Fire and Building Safety in Bangladesh' following the Rana Plaza disaster as a good example.  I don't think any retailer is complacent about this area, and acknowledges robust auditing through multiple layers of organisations is not watertight.  Typical targets include:

• workers' rights (hours, conditions, pay, etc.)
• pollution control in factories
• increased use of fair-trade /sustainably-sourced materials
• zero tolerance on child labour

If you're interested in this area, check out Honestby, who have taken supply chain transparency to a refreshing new level!

RED - Consumer

Some retailers are engaging with their consumers around sustainability, and helping shift behaviours, e.g. providing collection points for unwanted clothes.  But, for the vast majority of retailers, they're pretty keen on you buying as much as you can, each time you shop. The reality is that the business-as-usual metrics (or KPIs) retailers run their stores businesses on include:

• Sales per square foot of selling space
• Footfall (number of people going into stores)
• Average Basket size (number of items / value of items in typical transaction)

So, simply put, they want to maximise the value of every square foot of retailer space, by getting as many people through the door, and nudging them into buying as much as possible.  Doesn't sound too environmentally sustainable does it?  

Hang on a minute though, a clothing retailer might argue that they do take sustainability seriously (see green and amber areas above).  "...And sure, we like to sell lots of clothes, but then customers love buying and wearing our clothes, shareholders are happy, bonuses are paid out, we're proud of our Christmas ads, and we're better than the competition." Happy days... or is it?

Where does climate change fit into this?

Traditionally, clothing retail (in the UK) has relied on a couple of concepts around our seasons:

• Predictable seasonality
• That each repeat season, fashion trends will mean consumers want to replace items with the latest version (even if they don't necessarily need to)

Whether you believe there's a link between climate change and extreme weather, or whether climate change is caused by human action, there's no doubt that weather patterns are becoming more volatile, triggering various impacts for clothing retail:

• It is much more difficult to plan merchandising, e.g. should the Autumn/Winter range go into stores in September, October, November December, etc.?  And when should discounting start, when stock can't be shifted, e.g. what if there's a 'cold snap' in April after a mild March?
• Virgin cotton price volatility, as extreme weather impacts crop yields
• Global supply chains exposed when extreme weather impacts key logistics routes
• National deliveries to stores (or to homes) exposed to UK's weather, e.g. flooding
• Consumer appetite to visit the traditional High Street in poor weather (offset partly by online, of course)

This may or may not be a boardroom issue (I expect, as it's a gradual shift over many years, it may not be yet, but I expect we'll see more and more press releases like this one), but forward-thinking retailers might consider how the circular economy can help them adapt. Could we see a world where clothing retailers combine climate change mitigation and adaptation sustainability strategies?

The Circular Economy for clothing retailers

Lots has been written about the Circular Economy (I even had a go back in 2012 before the name was introduced), and I'm a huge fan of the concept.  For clothing it's so much more than recycling bins in stores though (albeit this helps highlight the huge problem of clothing going to landfill and nudge customer behaviour in the right direction).  It ideally needs to tackle business models and service design from the ground-up.  For clothing retailers, this is a real challenge of course, as it means moving away from selling as much new clothing as possible, to a model where revenue streams come from other routes.  But there are some notable examples which are demonstrating some real innovation:

• Mud Jeans have a groundbreaking business model, where their jeans are rented not bought
• Patagonia's eBay partnership  encourages buying their previously used garments
• Rentez-vous and their peer-to-peer fashion lending concept

There is also an increasing number of upcycling initiatives, which help provide a second life for what might otherwise be a waste stream going to landfill:

• Timberland are partnering with a tyre manufacturer
• Nike upcycling plastic bottles into football jerseys (video)

Note, there's a bit of a blur between whether these are clothing manufacturers who retail, or retailers who manufacture.  But it's quite insightful when thinking of corporate strategies that having control of manufacturing operations is a key enabler.

The way forward for clothing retail

So, we've identified that clothing retailers are doing some great work reducing the environmental impact of their own operations (and reducing costs), and that most are tackling the social and environmental challenges in their supply chains.  But we've also acknowledged that whilst the existing 'sell lots of new clothes' business model still pervades, a societal shift away from consumerism won't work.

We've also seen that climate change may introduce the need for adaptation as well as mitigation, so this introduces another nudge to think differently.

So, rather than the traditional retail metrics, and the set of sustainability metrics to minimise impacts on own operations, I'd like to see retailers challenge themselves with a new set of targets.  Here are some ideas to stimulate some thinking:

• 25% of clothing sales are for 'previously loved' clothes (with a % of proceeds to charity)
• 5% of floorspace is for clothing repairs/alterations/cleaning
• 50% of stock items (SKUs) are sold for at least three seasons/years
• 30% of stock items (SKUs) are manufactured from reclaimed yarn (or maybe a larger proportion of stock items are manufactured with a high proportion of reclaimed yarn)
• All new clothes are durably designed, so that they can come with a 12 month no quibble guarantee (could a stitched-in 'manufactured on mm/yyyy' label become a badge of honour?)
• You can rent infrequently used items, maybe a suit and tie, or a handbag, perhaps even hosting peer-to-peer sharing like rentez-vous
• Stores become a hub for the community - floorspace is offered for library, adult education, local clubs...

The business model needs to explore:

• Revenue diversification and driving brand loyalty through services (not new products)
• Increased vertical integration upstream with clothing manufacturing

Within the next two years, it would be great to see some/all of these concepts at least trialled in existing stores - there's a reputational prize for such an investment, even if the financial rewards aren't immediate.

A sign outside a store in Boston, US

Food packaging - time to reuse more?

Where I live, in England, our council provides a pretty comprehensive recycling service - food waste is taken weekly, and mixed recycling (glass, paper, plastics, etc.) every other week.  When I look at what I do have to put in the 'evil black bin', destined for landfill, the vast majority of this seems to be food packaging.  It's not a lot in volume terms at all, which is testament to my well-drilled household and the council facilities... but it's not zero.  Are there additional steps which either myself, my food retailer, or the food/packaging manufacturer/producer can do, to help me get closer to improve my 'food packaging footprint'?

Waste Hierarchy

The 'waste hierarchy' is not perfect (more on that in another post soon!), but serves a useful purpose for this blog:

Waste Hierarchy

It suggests that ideally, we'd prevent the use of packaging where possible, then minimise its use, then reuse, recycle, and eventually, if it can't be burned for energy, send to landfill.  

WRAP continue to provide the industry with a series of voluntary agreements which support a range of initiatives aligned to the waste hierarchy's philosophy, via the Courtauld Commitment.

The importance of packaging

Food packaging serves a number of purposes:

• protecting the food from physical damage (e.g. an egg box) 
• preventing contamination (e.g. vacuum-sealed meat packaging)
• storage (e.g. a yoghurt pot)
• convenience (e.g. bag of rice)

Without such packaging, we would see a significant increase in food waste throughout the supply chain, probably a larger sustainability problem than dealing with the end-packaging.  The classic example of this is the shrink-wrapped cucumber.

There are already responsibilities placed on the food packaging producers to minimise packaging where possible, and progress is being made.  Personally, I'm still not convinced about Easter Eggs, with Sainsbury's trialling dedicated recycling facilities earlier this year.

Recycling packaging

I mentioned earlier that my council will happily take mixed recycling (it saves them - and therefore indirectly my council tax bill - on paying landfill tax), which means a lot of food packaging is recyclable:

• Plastic milk bottles
• Cans (baked beans, etc.)
• Card (egg boxes, frozen fish boxes, cereal, etc.)
• Tetra-pak cartons, e.g. fruit juices [not all councils support this yet]

Retailers are helping us, the consumer, understand more about what is recyclable, with much improved labeling, e.g. here's the range of labels which M&S use, based on WRAP's work.


Reusing packaging - the untapped opportunity?

Between prevention/minimisation of food packaging, and recycling is reuse... and this is where I wonder if more could be done?  So, before it enters the recycling loop, the packaging is reused as many times as practically, and cost effectively, as possible.

The British consumer is starting to get used to using less single-use carrier bags, with various initiatives taking-place, either:

• from the Regional Governments:
• in Wales, the 5p charge has seen usage reduce by 96%
• a 5p charge in Northern Ireland
• the recent announcement to introduce a 5p charge in Scotland
• The Queen's Speech on June 4th set to outline legislation to introduce a compulsory 5p charge for single-use carrier bags in England, from October 2015 - UPDATE 05/10 - now effective.
• from retailers:
• e.g. M&S charges 5p
• Sainsbury's offers Nectar points for re-use, and Tesco offer Green Clubcard points
• Selling 'bags for life', (some with free replacements)

This means more and more households are prepared to go shopping, taking a few bags with them...  But could we see a future, where consumers see some of their food packaging as being equally reusable?  There are three models to consider:

a.) Packaging for immediate refill at shop

In this model, rather than taking just their empty canvas bags to the shops, the consumer also takes some selective packaging, which they're happy to use as a receptacle for refilling at an in-store dispenser.  This could be the same packaging for the product, or another container.  It's a very similar concept to a trial which Asda ran for their fabric conditioner, in collaboration with WRAP.

b.) Packaging for return (then later reuse) at shop

This is where packaging is taken to a shop for re-use at a later date, by another consumer.  The packaging would need to be sterilised and checked, either on-site, or at a central location, much like there used to be a monetary rebate for bringing back glass bottles.

c.) Packaging for return as part of home delivery

Much like option 'b' above, as one's shopping is delivered at home, the van-driver is able to collect packaging, for cleaning and reuse, not for recycling.

Heinz Fridge Pack

Reusable Cereal Container (Source: Lakeland)

Egg Box (Sainsbury's)

Of course there are lots of practical considerations, e.g. contamination liabilities, spillage at 'disposal stations', needing to print updated 'use by' dates, and ensuring it's cost effective compared to simple recycling.  It's a classic piece of Service Design, but I expect the challenges are easier to overcome than the perceived barriers of self checkouts, which are now commonplace.  With the right incentives in-place (discounts, rebates, Nectar points, etc.), might this work?  

Finally, where a supervisor is required at a food dispensing station, would this provide an excuse for a conversation - great for some parts of society who are lonely and crave the social interaction, plus a good excuse to reinforce the brand?