BUSINESS ANALYTICS FOR CIRCULAR ECONOMY READINESS: EMPOWERING LOCAL AUTHORITIES IN THE GREEN ENERGY TRANSITION

Abstract
The transition toward sustainable energy and resource efficiency places local authorities at the core of the circular economy (CE) and environmental innovation. This study introduces a business analytics framework designed to measure municipal readiness for CE adoption and its links to green energy and environmental technology deployment. The framework evaluates five key dimensions—waste management efficiency, green public procurement, infrastructure and reuse capacity, community engagement, and policy integration—using data from the European Union and Greek municipalities. By applying Multi-Criteria Decision Analysis (MCDA), Data Envelopment Analysis (DEA), and clustering techniques, the framework produces a CE Readiness Index and identifies archetypes of municipal performance. Findings reveal significant disparities: some municipalities, such as small island communities, demonstrate high recycling rates and strong citizen participation, while larger urban centers face persistent challenges in infrastructure and policy integration. These results highlight the uneven progress toward CE and green energy goals at the local level. The framework underscores how advanced analytics can support evidence-based policymaking by linking circular practices with renewable energy transition strategies, climate action, and environmental technology innovation. It offers practical guidance for regional and municipal authorities, enabling them to benchmark performance, allocate resources efficiently, and design targeted interventions that accelerate sustainability transitions. Keywords - Circular Economy, Environmental Innovation, Local Authorities, Business Data Analytics.