Floods, sachets, and intellectual property in the circular economy

Metro Manila and other parts of the Philippines are increasingly vulnerable to flooding — a crisis exacerbated by the staggering volume of waste generated annually. Over 21 million metric tons of garbage, including plastic sachets and bottles, clog our rivers, canals, and drainage systems. The result: severe flooding during heavy rains, disrupting lives and livelihoods.

- AMICUS CURIAE ALEX FERDINAND S. FIDER

In response, Senate Bill No. 306, also known as the “Philippine Circular Economy Promotion Act” was recently filed by Senator Loren Legarda. The bill proposes a transformative shift from the traditional linear model of production and consumption to a circular economy — one that emphasizes sustainability through repair, reuse, and recycling.

In a linear economy, a gadget is bought, used, and discarded. In a circular economy, that same gadget is repaired, reused, or its parts recycled to create new products. The goal is simple: reduce waste and extend the life cycle of materials.

This theme was the centerpiece of my recent talk at a gathering of Intellectual Property (IP) Law professors from across Asia and the Max Planck Institute in Germany, held at Chiang Mai University in Thailand. We explored the intersection of innovation, IP rights, and environmental sustainability.

At the heart of Senate Bill 306 is the recognition that “innovation is the engine driving the circular economy.” The bill identifies key technologies — mobile platforms, modular design, trace-and-return systems, and 3D printing, among others — as enablers of this new model.

However, for innovation to continue and flourish, it must be rewarded and protected. That is where intellectual property law comes in.

In the Philippines, the IP Code (RA 8293) provides the legal framework to incentivize invention and protects against infringement. However, the exclusive nature of IP rights can sometimes clash with the principles of reuse and repair that sustain the circular economy.