Circularise announces a pioneering joint project with the certification scheme ISCC, material suppliers Asahi Kasei, Borealis, Neste, Trinseo and Shell, OEMs, brands Arcelik, Philips Domestic Appliances and EVBox, as well as trading companies Marubeni and Itochu, in which partners tested a blockchain system to complement the ISCC Plus certification.

These parties were brought together by Circularise and Marubeni. This is the first time that 10 chemical industry players and appliance companies got together to test a blockchain-based digital system to complement a sustainability certification process of complex value chains.

The Circularise’s blockchain-based digital system was tested with the ISCC Plus certification to make auditing of certified parties more efficient, and to strengthen integrity of certified data.

Participants utilized a public blockchain enabling authentication, decentralization and encryption of data verifying material flows and related sustainability attributes.

This innovative approach differs from other blockchain projects where companies use a private blockchain operated by pre-selected participants, such as members of a consortium.

ISCC and Circularise pilot blockchain technology with 10 companies to complement mass balance certification.

Instead, Circularise and project partners used a public blockchain, making it virtually impossible for companies to appear more sustainable than they really are by reusing the proof of a sustainability claim across assets. This principle forms the foundation of trust in data integrity.

“Blockchain technology is revolutionizing how data is stored and shared. Now companies don’t need to individually keep a balance of goods and transactions in excel. Instead they can use blockchain and smart contracts to store balances, record transactions, and apply mass balance rules. Every transaction is fully traceable,” said Mesbah Sabur, Circularise’s Founder.

Material traceability and verification of data at individual sites and across the value chain were guaranteed by ISCC Plus certification of each site of the operators, requiring site-specific audits, certification and mass balance calculations to provide reassurance about the sustainable content. The data was uploaded to the Circularise software system to improve mass balance bookkeeping and reporting.

‍“Certification will become more digital in the future. It will allow certification schemes to simplify the auditing process of supply chain actors and reduce the risk of mistakes. Companies will have an easier way to show compliance and adhere to auditing rules,” commented Jan Henke from ISCC. “We are excited to have tested Circularise’s traceability software on ISCC procedures.”

Currently, the chemical sector is engaged in significant sustainability transformation efforts, including rethinking of the use of raw materials, circularity, and climate impact of operations and entire value chains.

This transformation is largely built upon sourcing new, more sustainable feedstock, while maintaining efficient processes, a viable economy and high credibility.

Certification schemes providing an option to use the mass balance system can facilitate a gradual switch towards increasing the replacement of fossil feedstock and materials with renewable and recycled raw materials, while enabling the use of existing infrastructure and equipment instead of constructing parallel plants and value chains.

In the mass balance system, data storage and data integrity are key elements in verifying sustainability and compliance to the certification requirements.

One of the greatest challenges the mass balance approach faces in the plastics and chemicals industries is awareness and understanding.

Through this project, the collaborating partners managed to deepen their knowledge on the topic, align internal processes with ISCC Plus requirements, and test a new futureproof way for bookkeeping of mass balance credits, while easily sharing them across organizations.

Beyond this project, blockchain technology will play a critical role in complementing supply chain certification to enable certification schemes to simplify the auditing process of supply chain actors, reduce the risk of mistakes and accelerate the sustainable transition.

Circularise announces a pioneering joint project with the certification scheme ISCC, material suppliers Asahi Kasei, Borealis, Neste, Trinseo and Shell, OEMs, brands Arcelik, Philips Domestic Appliances and EVBox, as well as trading companies Marubeni and Itochu, in which partners tested a blockchain system to complement the ISCC Plus certification.

These parties were brought together by Circularise and Marubeni. This is the first time that 10 chemical industry players and appliance companies got together to test a blockchain-based digital system to complement a sustainability certification process of complex value chains.

The Circularise’s blockchain-based digital system was tested with the ISCC Plus certification to make auditing of certified parties more efficient, and to strengthen integrity of certified data.

Participants utilized a public blockchain enabling authentication, decentralization and encryption of data verifying material flows and related sustainability attributes.

This innovative approach differs from other blockchain projects where companies use a private blockchain operated by pre-selected participants, such as members of a consortium.

ISCC and Circularise pilot blockchain technology with 10 companies to complement mass balance certification.

Instead, Circularise and project partners used a public blockchain, making it virtually impossible for companies to appear more sustainable than they really are by reusing the proof of a sustainability claim across assets. This principle forms the foundation of trust in data integrity.

“Blockchain technology is revolutionizing how data is stored and shared. Now companies don’t need to individually keep a balance of goods and transactions in excel. Instead they can use blockchain and smart contracts to store balances, record transactions, and apply mass balance rules. Every transaction is fully traceable,” said Mesbah Sabur, Circularise’s Founder.

Material traceability and verification of data at individual sites and across the value chain were guaranteed by ISCC Plus certification of each site of the operators, requiring site-specific audits, certification and mass balance calculations to provide reassurance about the sustainable content. The data was uploaded to the Circularise software system to improve mass balance bookkeeping and reporting.

‍“Certification will become more digital in the future. It will allow certification schemes to simplify the auditing process of supply chain actors and reduce the risk of mistakes. Companies will have an easier way to show compliance and adhere to auditing rules,” commented Jan Henke from ISCC. “We are excited to have tested Circularise’s traceability software on ISCC procedures.”

Currently, the chemical sector is engaged in significant sustainability transformation efforts, including rethinking of the use of raw materials, circularity, and climate impact of operations and entire value chains.

This transformation is largely built upon sourcing new, more sustainable feedstock, while maintaining efficient processes, a viable economy and high credibility.

Certification schemes providing an option to use the mass balance system can facilitate a gradual switch towards increasing the replacement of fossil feedstock and materials with renewable and recycled raw materials, while enabling the use of existing infrastructure and equipment instead of constructing parallel plants and value chains.

In the mass balance system, data storage and data integrity are key elements in verifying sustainability and compliance to the certification requirements.

One of the greatest challenges the mass balance approach faces in the plastics and chemicals industries is awareness and understanding.

Through this project, the collaborating partners managed to deepen their knowledge on the topic, align internal processes with ISCC Plus requirements, and test a new futureproof way for bookkeeping of mass balance credits, while easily sharing them across organizations.

Beyond this project, blockchain technology will play a critical role in complementing supply chain certification to enable certification schemes to simplify the auditing process of supply chain actors, reduce the risk of mistakes and accelerate the sustainable transition.