What is the circular economy innovation cluster (CEIC) programme?

Bengaluru and Nairobi are rapidly growing urban centres facing a core challenge in waste management, with each city generating over 2 million tonnes of waste annually. The Circular Economy Innovation Cluster (CEIC) programme was launched to address this by catalysing system-level transitions toward low-waste economies. Co-designed by Climate KIC, GrowthAfrica, and SecondMuse, and funded by the IKEA Foundation, the programme’s first phase ran from 2023 to December 2025. It aims to convene a diverse range of actors, including start-ups, government officials, and informal workers, to foster a shared vision for a circular economy and develop viable business models that design out waste and pollution.

The programme’s approach to MEL

Monitoring, evaluation, and learning (MEL) was integrated into the CEIC from the outset, based on the recognition that transformative climate action requires constant discovery and experimentation. The approach included a 2023 baseline assessment, a 2024 midterm review, and a final evaluation in 2025. A core component of this strategy was “sensemaking” sessions—deliberate explorations of patterns and experiences to inform decision-making. These sessions allowed the team to adapt the programme approach biannually. For instance, the 2024 review prompted Bengaluru to hire a local PR firm for better communication and Nairobi to bring social inclusion modules in-house to ensure they were deeply embedded rather than treated as additions.

How was the programme designed?

The design process began with baseline assessments in each city to understand the scale of the waste issue and identify policy environments. In Bengaluru, where 6,000 tonnes of waste are generated daily, only 30 per cent is collected by the municipality. In Nairobi, 70 per cent of the 3,000 tonnes produced daily remains uncollected. These assessments revealed a significant market gap in “upstream circular innovation”—preventing waste at the design or production stage. Consequently, the programme prioritised solutions across nine sectors, including organic waste, textiles, and e-waste, shifting focus from downstream recycling to source reduction.

How does the programme build an ecosystem for effective collaboration?

Recognising that networks are essential for scaling solutions, CEIC used social network analysis to map links between waste sector actors. Kick-off and visioning workshops were held to plant seeds for collaboration. In Bengaluru, CEIC partnered with the Bengaluru Science and Technology (BeST) cluster to align research with on-ground implementation. In Nairobi, stakeholder forums identified common barriers, establishing working groups for coordinated dialogue. Outcome harvesting was employed to track these relationships, distinguishing between simple networking and genuine collaboration, where actors develop joint activities with shared goals.

How does the programme support social inclusion and a just transition?

The waste and recycling sector provides livelihoods for thousands of informal workers, such as waste pickers, who are often from disadvantaged backgrounds. The programme targeted start-ups with a social innovation focus and re-designed modules to ensure fair and safe engagement with these workers. Over 1,550 informal workers were supported through the programme. Examples include Rware Waste Dealers in Nairobi, which provided daycare facilities for mothers, and Green Miles Zero Waste Services, which offered healthcare access and mobile sorting equipment to make work more accessible for disabled workers.

How does the programme develop awareness and capacity on circularity?

CEIC worked to increase the recognition of circularity through tools like the Circular Venture Blueprint and Circularity Impact Assessments. The blueprint is an open-source, practitioner-led guide co-created with 14 organisations to equip support organisations with shared terminology and practical tools. It has reached over 8,000 downloads. Additionally, 34 start-ups completed validation reports and climate impact calculations, enabling them to better articulate their environmental and social value to potential investors and customers, such as iRefill in Bengaluru and PurePlant in Nairobi.

How does the programme build supply and demand for circular solutions?

The programme provided tiered support, including pre-incubators for fledgling businesses and accelerators for more mature ventures. This helped avoid duplication in ecosystems already saturated with generic accelerators. Support included one-to-one coaching and climate impact assessments. In Nairobi, training for county government officials supported the push for Extended Producer Responsibility (EPR) regulations. However, the report notes that despite improvements, the most successful solutions still require larger funding pools to truly scale, as pilots often struggle due to high perceived risk among investors.

What are the key takeaways?

CEIC connected over 350 players and supported more than 124 collaborations across nine waste sectors. Key outcomes include improved working conditions for informal workers and a potential annual reduction of 218 kt CO2eq. Lessons for future design emphasise co-designing MEL with delivery teams and leveraging local knowledge. A recommendation for future phases is to develop sustainability plans early to identify local custodians who can maintain momentum. Ultimately, the programme demonstrates that locally anchored, collaboratively built innovation clusters are vital for accelerating the transition to a circular economy.