“Green Economy Initiative”

Event
Location
Date

Speaker
Title
UNEP

1
 Outline

 Multiple crises

 Opportunity amidst crisis

 Rethinking economic recovery: A global green new deal

 The Green Economy Initiative: A family of initiatives

 Making the economic case: The Green Economy Report

 Engaging global policy processes

 Fostering global consensus on green economy

 Supporting regional initiatives on green economy

 Country technical assistance and advisory services

A Global Crisis with Multiple
Dimensions and Implications
 Multiple Crises

Fuel and food crises - 950 million people

worldwide at risk of hunger and
malnutrition

Financial crisis - threatening jobs

worldwide & poverty reduction
gains

Climate crisis – exacerbating the

others
 The Economic Crisis and Employment

200 million jobs lost between 2007 and 2009

The Economic Crisis and Development
 Continued Environmental Neglect

 Global economic
growth in past 50
years accompanied
by accelerated
environmental
decline

 1981 – 2005: global

GDP more than
doubled, but 60% of
world’s ecosystems
degraded/exploited
unsustainably
 Opportunity Amidst Crisis

Opportunity as
governments
jump start
economies

Potential for substantial

investments in a green
economy
Rethinking the Economic Recovery:
A global Green New Deal

From : Edward B. Barbier,

“A Global Green New Deal”,
UNEP, Feb 2009
 Global Green New Deal Rationale

 Fiscal stimulus agreed as the way forward, but

how sustainable is the recovery ?

 “Green Investment” beats a “Shopping Spree”

 “Win-Win-Win” solutions exist : Decent Jobs,

Lower Risks, Higher Returns

 Globalization is a fact : success lies in globally

coordinated action ..

 “A crisis is a terrible thing to waste” : Seeding the

“Green Economy”
 Opportunity as Governments Jump Start
Economies: Green stimulus packages

Country Stimul Stimulus Green % of Green

us as % of Fund Green stimulus
USbn GDP/GNI Usbn stimulus as % of
GDP
Australia 26.7 2.49 2.5 9% 0.2
China 586.1 13.88 221.3 38% 5.2
Japan 485.9 10.03 12.4 3% 0.3
Korea, Rep 38.1 4.44 30.7 81% 3.6
France 33.7 1.12 7.1 21% 0.2
Germany 104.8 2.74 13.8 13% 0.4
UK 30.4 1.09 2.1 7% 0.1
US ARRA 787 5.27 94.1 12% 0.6
US EESA 185 1.29 18.2 10% 0.1
Canada 31.8 2.03 2.6 8% 0.2
source: HSCB 2009, CIA factbook
 Investing in Renewable Energy

Global Green Stimuli Packages Spending in the Energy Sector

Renewable Power
Non-Energy 9%
25% Building EE
15%

Grid
21%
Low Carbon Vehicles
Rail
4%
26%
 Global Green New Deal Components

 Inernational Policy
Architecture
• International Trade
• International Aid
• Global Carbon Market
• Global Markets for Ecosystems Services  Fiscal Stimulus
• Development and Transfer of Technology in 2009-2010
• GGND International Coordination • Energy Efficient Buildings
• Sustainable Transport
• Sustainable Energy
• Agriculture and
 Domestic Policy Initiatives Freshwater

• Perverse Subsidies
• Incentives & Taxes
• Land Use and Urban Policy
• Integrated Management of Freshwater
• Environmental Legislation
• Monitoring and Accountability
 Green Economy: Key Questions

• What is the potential for environmental

industries to become drivers of future
economic growth?

• What financial, policy and institutional

barriers currently inhibit a shift towards a
green economy?

• What national experiences currently

exist?
 The Green Economy Initiative
(GEI)

To achieve significant progress in

addressing global environmental priorities
by the end of 2010 by:

• making a strong & credible

macroeconomic case for massive green
investments worldwide

• offering workable solutions to remove

financial, policy, institutional, & market
constraints on making such investments
 The Green Economy Initiative: A
family of initiatives…
16

 G uca tric en
ed me loy
Green Economy

al

GN tio s fo t g
re gic

em

D n & r g row
Bi Eva uctu olo Report

i n tr r e t h
p
tr Ec

ve ai en
in si g
Demonstrating that Greening
e r t in
as g

st n i
es ty

m
fr in

is a new engine for growth,

m ng
B div ua
In uat

en ,
l

sizing sectoral opportunities,

al

t,
Ev

addressing hurdles &

us
o



enabling conditions

TEEB
Green Jobs
Demonstrating the value of
Sizing and
ecosystems & biodiversity,
incentivizing growth in
capturing these values, and
green & decent jobs
reversing the vicious cycle
of environmental losses and
persistent poverty

 Decent jobs from Community-

based Conservation, PES/ IPES
implementation,
 … under a Wide Global Network

UNSD

UNEP UNECE
UNCEB
UNDES

G8+5 Green Economy

Report
A
UNSCD

Demonstrating that Greening

is a new engine for growth,

ILO
sizing sectoral opportunities,
addressing hurdles &
enabling conditions

UNDP TEEB Green Jobs

Demonstrating the value of
ecosystems & biodiversity,
capturing these values, and
reversing the vicious cycle
Sizing and
incentivizing growth in
green & decent jobs
ITC
of environmental losses and
persistent poverty

Business
& Civil Society Multilateral
Groups Institutions
Universities Regional Countries
Forums
24.12.22 17 UNEP ETB
 Green Economy Reports

1. A report on a Global Green New Deal

proposing key elements of a global
policy response to economic crisis

2. An in-depth review of the state and

prospect of key green sectors and
specific policy recommendations
 Green Jobs

In September 2008, UNEP-

ILO launched a report
showing:

Investments to reduce
climate change and its
effects are generating new
jobs

Next phase: country

studies
Green Jobs

“Where capital flows today,

jobs follow tomorrow”
What are the key sectors at
risk ? What are the key
sectors of opportunity ? And
the net change in FTE’s for
each ?
How does ‘greening’ impact
employment ?
“Green Jobs Report”,
September 2008
 Green Jobs

The Report found that:

 Globally, > 2.3 million
workers employed in
renewables; by 2030, could
be 20 million jobs

 Greening buildings in EU & US

would create 2 million jobs

 In China, 10 million jobs in

the recycling sector
 Green Jobs

Renewable Building Ecological Infrast

Country Transport Sust. Agr
Energy Retrofits
Australia 160,000
China 1 million
Colombia 170,000
EU 1 to 2 m 900,000

700,000-
Nigeria
1m
S. Korea 3.5 m 334,000 350,000

Thailand 182,000
UK 160.000

USA 2 million 367, 000

 The Economics of Ecosystems and
Biodiversity
(TEEB)

 To motivate actions to
significantly reduce
biodiversity loss by 2010

 Results to feed into Green

Economy Reports
TEEB – Interim Report
Three Key Messages

Economic Size
& Welfare
Impact of
Losses is huge
Strong link with
Poverty & risk of
MDG’s failure

Discount rates
are ethical choices
 TEEB – Interim Report
“From Economics to Policies”
25

Rethink todays
subsidies to meet
tomorrow’s
priorities
Reward unrecognized
benefits, penalize
Uncaptured costs

Share the benefits of

conservation

Measure what
we Manage !
 TEEB II Deliverables

1. A global valuation study providing

conceptual background for guidance
documents;

2. A guidance report for international and

national policymakers;

3. A guidance report for regional and local

administrators;

4. A guidance report for business and industry;

5. A guidance report for consumers.

 Making the Economic Case:
The Green Economy Report

The objective of the Green

Economy Report is to make and
communicate a strong and
convincing economic case for
greening economies and creating
decent green jobs by investing in a
new generation of assets (social,
natural, human, and financial).
 A “green economy” is not …

…One which undermines natural capital..

….Or risks human survival ...

‘Ecological Footprint’
already exceeds Earth’s
regenerative capacity…
our demands on the
planet have doubled over
the last 40 years…
24.12.22
Global GHG Emissions at
42 GtCO2e per annum are
5 times higher than the
Earth can absorb …
28 UNEP ETB
 Green Economy Report
…. and its offshoots

GGND :
A
Enabling Policy
Conditions Brief
- Finance
- Subsidies
- Markets
-

Regional
UNEP /ETB
Regional /
Country
Country
Reports
Reports
24.12.22
 The UNEP Global Green New Deal

 Following Roosevelt’s strategy in the 30s,

advocacy for a green revolution.
 Initialized in 2008 by the UNEP, the GGND
was a key document of the 2009 G20 in
London.
 « Jump-starting the transition to a green
economy”
 International components : Urgent
reforms to international architecture.
 The UNEP Global Green New Deal

 National Components : Green priorities for

fiscal spending, and reforms to national
architecture
 Optimizing “quick wins” and “sustainable
returns to investment” objectives in
stimulus packages
 Addressing both Developed World and
Developing World circumstances
 Avoiding past mistakes of capital mis-
allocation.
 The Green Economy Report,
Overview

 The GER is an in-depth sectoral analysis of the

economic and social potential impact of green
investments resulting from green stimulus
packages.

 Targets: Decision makers, government officials,

business executives, researchers and
representatives of civil society organizations.
 GER – Operational Framework

Open architecture, end-user targeted, dialogue-based, inclusive…

UNEP Green Economy Team

Technical Advisory & Coordination Team (TACT)

Policy Context: Sustainable Clean Buildings

Multiple crises cities technology
Climate Change and material
Global Poverty efficiency
Green Core policy principles

underlying a Green Economy

New
Deal Transport Renewable Waste Ecosystems Water
Report Energy and
ecological
infrastructur
e
Forest Agriculture Enabling Policy Impact
Conditions recom- assessment
(domestic mendations
Project Implementation & Communications
and int’l) Team (PICT)

Note : Each Chapter has a “Writing Team” composed of the chapter authors, contributors and
Other experts and stakeholders from government, international institutions, business and civil society
 Investing in Green Sectors

 Renewable energy
 Clean tech : materials & energy
efficiency
 Low carbon cities , buildings & transport
 Waste management & mitigation
 Ecological infrastructure
 Biodiversity-based businesses
Sustainable Cities

Cities are polluted,

crowded and
complex to
manage.

Delivering the
smart city: The
GER will a
guidance plan for
mayors to improve
sustainability and
growth in cities.
Green Buildings

 Energy efficient buildings:

Investments in improved
energy efficient buildings = 2-
3.5m jobs in Europe & USA.

 In Australia a proposed US$ 3b

green housing over 4 years is
expected to reduce green
house gas emissions by
3.8mtons/year = 160,000 jobs

 In the US it is estimated that

US$ 100b to improve energy
efficiency of building & cities
over 4 years will generate 2m
new jobs.
Sustainable Transport

● Shifting 25% of all air

travel in 2050 under
750 km to high speed
rail travel would
result in savings of
around .5 GT of
CO2/year (IEA, ‘08)

● Shifting 25% of all

road freight over 500
km to rail, .4 Gt of
CO2/year could be
saved (IEA, ‘08).
 Renewable Energy

About 2.3 million jobs in

renewable energy sector
in comparison to 2 m
employed in oil & gas
refining industry in ’99.

Projected investments of
US$ 630b in renewable
energy sector by 2030
would translate into at
least 20 m jobs.
Renewable energy: case study
 China: RE sector generates
output worth US $ 17 bill &
employs 1 mill.
 Nigeria: a biofuels industry
based on casava & sugar can
provide 200,000 jobs
 India: 900,00 jobs could be
created in the biomass
gasification by 2025
 Bangladesh: At least 20,000
jobs have been created with
the uptake of 3 renewable
energy technologies (PV
solar home systems biogas
facilities, & improved
cooking stoves)
Water

●Market for water supply,

sanitation,& water
efficiency estimated at
US$ 253 bn & is
expected to grow to
US$ 658 bn by 2020.

● Estimated Investment
of USD 15 bn per
annum.

● This could generate

USD 38 billion (with 15
bn in sub-Saharan
Africa).
 Sustainable Agriculture

 Organic agriculture sustains

health of soils, ecosystems &
people
 Provides more than 30%
more jobs/ha than non-
organic
China has increased its
allocation of land for organic
prod from 300,000 ha in ‘05
to 3.5 mill ha in ’06
In Ethiopia alone, 6 bn is
being invested in land
management during a period
of 15 years.
 Forests

Many communities directly

depend for their livelihoods
on non timber forest products.
Sustainable forest
management can:
 create massive employment,
provide for livelihoods,
 make a significant contribution
to the fight against climate
change,
 combat desertification and
land degradation.
 Engaging Global Policy Processes

Green economy presence at strategic policy junctures:

 Sessions of the Commission on Sustainable Development

 UN Conference on the World Financial and Economic and its

Impact on Development in New York (June 2009)

 G8 Summit 2009 in Italy (July 2009)

 ECOSOC Substantive Session in Geneva (July 2009)

 World Climate Conference 3 in Geneva (August-September 2009)

 Global Renewable Energy Forum in Mexico (October 2009)

 UNEP Finance Initiative 2009 Global Roundtable in Cape Town

(October 2009)
 UNFCCC COP 15 and Kyoto Protocol MOP 5in Copenhagen
(December 2009)

 International Association for Impact Assessment 2010 meeting in

Geneva (April 2010) among other targeted events. Ect…
 Fostering a Global Consensus on
Green Economy

 Engaging governments on an global

policy document on Green Economy,
modelled on the “IPCC Synthesis
Report”

 Objective of adoption of the policy

document at the UNEP Governing
Council/Global Ministerial Environment
Forum in 2011
 Supporting Regional Initiatives on
Green Economy

 Regional initiative for “East Asia Low

Carbon Green Growth”

 Regional initiative on Green Economy in

West Asia, in collaboration with UNEP
ROWA

 Regional Imitative on Green Economy in

Africa, in collaboration with UNEP ROWA
 Country Technical Assistance and
Advisory Services

 Korea: UNEP is organizing an

independent review of “Korea Green
Growth National Vision”.

 China: UNEP has received a proposal

from the Government to support policy
research that would feed into China’s
national five-year plan.

 Uruguay: The Government has

requested UNEP support in undertaking
a green economy initiative.
 Two “Green Economy” leaders ….

 Mexico  Korea
 “Green Fund”  President’s “Green Growth
National Vision” of August
 combined gov’t/biz vision
‘08
and implementation
 Jan’09 “Green New Deal”
 cogeneration
 Significant “Green”
 will announce goals for components of Fiscal
2012. Going for Stimulus Package..
 stats and research-backed  …..700,000 of 1 mio new
policy change… jobs
 they have own ‘Stern  …..$ 28 billion / $ 36
Review’ (3x cheaper now billion total
vs later)…  Cleaning 4 main rivers,
 “Green Agenda” as Reforestation,
growth driver… Renewables, Buildings…
24.12.22 48 UNEP ETB
 A new Engine for the Economy ?

24.12.22 49 UNEP ETB

 More Information

UNEP Green Economy Website

http://www.unep.org/greeneconomy/