A Circular Economy Proposal on CO2 Reuse to Produce Methane Using Energy from Renewable Sources

The case of a cluster of companies and Public Institutions producing innovation in the field of storing energy obtained from renewable sources and investing in new circular production models is investigated. The role played by externalities in making the production cycle itself a social welfare by minimizing the deadweight losses is examined in detail in the light of the Klepper and Nordhaus models and by performing a Microeconomic Analysis. The study singles out the importance of strategically positioning industrial innovation in the stream of circular economy. As a specific case study the efforts played by Master UP srl in trying to drive such segment of the energy circular economy to success by developing an efficient and fruitful business for carbon neutral methane production is analyzed in terms of production isoquant curves.