Impact of energy circular business models on the economy and environment analysis as white goods-as-a-service
Abstract
The increasing adoption of energy circular business models (CBMs) in both academia and industry reflects a growing commitment to sustainability while maintaining economic viability. However, a significant gap remains in the quantitative evaluation of their economic and environmental impacts. This study addresses this gap by developing a multi-method simulation modelling approach—integrating agent-based, discrete-event, and system dynamics techniques—to assess access-based CBMs. Focusing on white goods-as-a-service, the study analyzes three subscription models: fixed fee, pay-per-use, and hybrid, using real-world data from Gorenje d.d., a leading European household appliance manufacturer, as part of the EU-funded ReCiPSS project (2020–2021). The results reveal that (1) the hybrid model optimizes both economic and environmental outcomes by balancing user affordability and operational revenue stability, (2) pay-per-use models incentivize energy-efficient consumer behavior but present revenue volatility challenges for manufacturers, (3) fixed-fee models ensure revenue predictability but may lead to overconsumption, (4) implementing deposit schemes and cancellation fees significantly improves financial sustainability, and (5) partnerships with financial institutions mitigate revenue mismatches in early adoption phases. Policy implications suggest that regulatory frameworks should support access-based CBMs through financial incentives and risk-sharing mechanisms to accelerate sustainable consumption patterns in household appliances. • Quantitative tool to assess energy circular business models. • Evaluates both economic viability and environmental benefits. • Supports scholars and practitioners in sustainable strategy design.