Topic: green economy

New Ventures: Voices of the Entrepreneurs

Sarah Parsons — Mon, 12 Nov 2012 18:20:42 -0500

Summary: Voices of the Entrepreneurs

Small and medium-sized enterprises (SMEs) can account for as many as four out of five jobs and more than 29 percent of GDP in developing countries. Environmental SMEs—enterprises that capitalize on commercial opportunities while generating clear, measurable environmental benefits—have an important role in shaping growth that is both economically and environmentally sustainable.

Yet the entrepreneurs behind these environmental SMEs face many challenges that limit their ability to grow their businesses. The main roadblocks highlighted by the environmental entrepreneurs whom we interviewed were: accessing finance, attracting and maintaining quality human capital, tackling limited markets and mind-sets, overcoming unsupportive policies, coping with risk and uncertainty, and distributing their products and services. New Ventures addresses these roadblocks by empowering entrepreneurs to develop solid business plans and skills, linking entrepreneurs to networks of mentors and supporters, and showcasing entrepreneurs to investors.

There is much more to be done. The barriers that prevent environmental entrepreneurs from scaling up their businesses are far from gone, but as Earth’s resources become increasingly constrained, our future well-being will depend more than ever on the success of these entrepreneurs. In addition to accelerators like New Ventures, donors, investors, policymakers, corporations, and international development institutions will need to step up to enable greater success for environmental entrepreneurs.

A Note on New Ventures’ Transition

With strong, distinct New Ventures programs in Brazil, China, Colombia, India, Indonesia, and Mexico, WRI has decided to conclude its role as global coordinator. WRI is immensely proud of New Ventures’ accomplishments and is confident that the program will reach new heights with greater local and regional independence.

COP 18: Doha

Kevin Lustig — Fri, 02 Nov 2012 09:09:59 -0400

WRI Experts at COP 18

WRI Events at COP 18

COP 18 Commentary

From November 26 to December 7, 2012, the United Nations will host the 18th Conference of the Parties (COP) in Qatar.

WRI experts will be in attendance at this latest meeting under the UN Framework Convention on Climate Change (UNFCCC) to help inform the talks. Here, you can find a variety of materials from the World Resources Institute that shed light on key areas of international climate policy.

WRI Resources for COP 18

STATEMENT: Rio+20 Wraps Up with "More of a Whimper Than a Roar"

Michael Oko — Fri, 22 Jun 2012 09:09:12 -0400

The UN Conference on Sustainable Development (Rio+20) comes to a close today. In total, more than 100 heads of state and tens of thousands of representatives from government, business, and civil society came together over two weeks to advance solutions on sustainable development in Rio de Janeiro.

[Editors’ note: You can find WRI’s experts’ analysis on specific issues and outcomes here.]

Following is statement by Manish Bapna, Acting President, World Resources Institute:

“Rio+20 closed with more of a whimper than a roar. Expectations for the conference were understandably low, but the outcomes were even more modest. The agreed upon text was simply not forceful enough to meet the environment and development challenges of our times. This was a missed opportunity to re-energize the global conversation and importantly drive greater action around sustainability.

“There were a few bright spots— the advancement of Sustainable Development Goals, support for better governance around environmental issues, and progress on sustainable transport, among others. But, still, that is not enough.

“Certainly, there are reasons why the conference fell short: economic and political crises on the global stage; the challenge of taking on complex issues; and the struggle of coming to a unanimous decision among the diverse views. These challenges are real, but they should not be an excuse for inaction.

“So then, what comes next?

“We cannot lose sight of the big picture. It would be a mistake to conflate the outcome here with what’s happening on the ground around the world. Real action is taking place on national and local levels in many countries. Just look at Germany’s shift to clean energy, Niger’s efforts to re-green its landscape, or Rio’s just launched bus rapid transit system.

“We understand the challenges. We know the solutions. What we need is to build the political will for bolder leadership.

“As we leave Rio and return to our homes around the globe, we must not give up on the vision of a more sustainable pathway. Given the urgency of the challenges, we must continue to push forward with ambitious solutions that will create a more sustainable future.”

–

Read a summary blog by Manish on where to look for key areas of progress at Rio+20.

ADVISORY: WRI Hosts Panels on Business Strategies, Climate Change and Green Economy at Rio+20

Michael Oko — Sat, 16 Jun 2012 08:24:08 -0400

The World Resources Institute (WRI) will host a series of panel discussions, featuring leaders in business, government and civil society, that will focus on how businesses can advance low-carbon and climate goals in the context of Rio+20.

The three panels will take place on Sunday, June 17, from 1:30 – 6:00 p.m. BRT, at Copacabana Fort in Rio de Janeiro.

Topics include: moving forward with “next practices” in business strategy, developing clean technology policies, and measuring and managing greenhouse gas emissions.

Note: The third panel will include a major announcement by the British Ambassador to Brazil about a new project to manage Brazil’s agriculture sector emissions.

WHAT
Panel discussions, with high-profile leaders in business, government, and civil society, on The Green Economy: Driving Business Value and Competitiveness

WHO

Welcome & Keynote (1:30 p.m.)
Manish Bapna, Interim President, WRI

Panel #1 (2:00 – 3:15 p.m.)
Peter Madden, CEO, Forum for the Future
Kersten-Karl Barth, Director, Sustainability, Siemens
Robert ter Kuile, Senior Director Environmental Sustainability – Global Public Policy, PepsiCo
Andrew Hobday, Chief Sustainability Officer, Mars
Jennifer Morgan, Director, Climate and Energy Program, WRI

Panel #2 (3:30 – 5:00 p.m.)
Jochen Flasbarth, President, German Federal Environment Agency
Michael Liebreich, Chief Executive Officer, Bloomberg New Energy Finance
Dr. Emilio La Rovere, Head of the Center for Integrated Studies on Climate Change and the Environment at the Federal University of Rio de Janeiro and Chief Scientific Advisor to CDKN, Brazil
I.H. Reham, Director, Social Transformation, The Energy and Resources Institute, India
Priya Barua, Research Fellow, WRI

Panel #3 (5:00 – 6:00)
Carlos Klink, Brazilian National Secretary on Climate Change and Environmental Quality
Alan Charlton, British Ambassador to Brazil
Wee Kean Fong, GHG Protocol, WRI
Kaleigh Robinson, GHG Protocol, WRI

WHERE
Copacabana Fort
Espaço das Ideias Circulantes
Rio de Janeiro, Brazil

WHEN
Sunday, June 17, 2012;
1:30 – 6:00 p.m. BRT

-ENDS-

Read a blog post by Jennifer Morgan on climate change and Rio+20.

To schedule interviews, please contact: Michael Oko; Tel. (local cell): + 55 21 81 710258; moko@wri.org

Rio+20: Uma oportunidade para acelerar a transição para a economia verde e tirar milhões de pessoas da pobreza

James Anderson — Thu, 14 Jun 2012 11:34:29 -0400

O novo relatório apresenta políticas-chave e constrói os alicerces para aumentar a prosperidade, reduzir a pobreza e apoiar a sustentabilidade ambiental.

Read text in English here

Uma transição à economia verde poderia retirar milhões de pessoas da pobreza e mudar o sustento de muitas das 1,3 bilhões de pessoas que ganham apenas USD 1,25 por dia no mundo inteiro, mas somente quando a transição tiver como base políticas fortes e investimentos dos setores público e privado.

Estes foram os resultados de um novo relatório, Construindo uma Economia Verde Inclusiva para Todos, lançado hoje na reunião de cúpula da Rio+20 pela Parceria Pobreza e Ambiente (PEP, da sigla em inglês) - uma rede bilateral de agências de suporte, bancos de desenvolvimento, agências da ONU e ONGs internacionais. O relatório aponta que muitos países em desenvolvimento e países menos desenvolvidos já estão buscando fazer uma transição para economias de baixa emissão de carbono e que sejam eficientes em seu uso de recursos.

De acordo com o relatório, o aumento significativo dos exemplos atuais postos em prática da economia verde, especialmente nos países em desenvolvimento, tem o potencial de gerar resultados tripartidos: um crescimento econômico criador de empregos, sustentabilidade ambiental e inclusão social.

Porém, os investimentos específicos e as reformas na governança são necessários para superar as barreiras atuais que previnem que muitas comunidades carentes se beneficiem de uma economia verde.

Read Building an Inclusive Green Economy for All

O novo relatório demonstra que muitos dos Países Menos Desenvolvidos, assim como muitas regiões pobres dos países com renda média, na verdade possuem alto grau de recursos naturais, que os permitem construir uma economia verde que possa reduzir a pobreza de uma forma sustentável.

“Muitos dos países menos desenvolvidos e dos países em desenvolvimento e das comunidades estão aproveitando a oportunidade para aproximar economia e ecologia para que possam gerar resultados sociais transformacionais”, diz Achin Steiner, Subsecretário Geral e Diretor Executivo do Programa das Nações Unidas para o Ambiente (PNUMA), um membro da PEP, no lançamento do relatório no Rio de Janeiro.

“O desafio para os líderes mundiais se reunindo aqui na Rio+20 é gerar e dar apoio às políticas possibilitadoras e aos pacotes catalisadores financeiros e de proteção social de forma que possa apressar estas ambições e aumentá-las exponencialmente.”

O relatório discute que um grande número de países menos desenvolvidos e das regiões pobres dos países com renda média, na verdade possuem alto grau de recursos naturais, os quais são necessários para dar sustentação à transição a economia verde como uma passagem em direção ao desenvolvimento sustentável.

“Ao abraçar uma economia verde inclusiva, os líderes na Rio têm uma oportunidade rara de melhorar as vidas de milhões de pessoas e abrir as portas a uma nova era de sustentabilidade”, diz Manish Bapna, Presidente em exercício do Instituto de Recursos Mundiais, que coordenou o estudo.

“A mudança para uma economia verde inclusiva não acontecerá por si própria. São necessárias políticas governamentais inteligentes e uma liderança forte. Este relatório apresenta uma visão ousada para uma economia verde que pode lidar com a pobreza e a desigualdade, e mais importante ele oferece alicerces práticos e concretos para a realização dessa transição.”

O relatório cita muitos exemplos fortes de países em desenvolvimento que estão mudando para uma economia verde de forma bem-sucedida. Por exemplo:

A Etiópia está desenvolvendo seis projetos de energia eólica e um projeto geotérmico, os quais aumentarão a capacidade do país em mais de 1.000 megawatts.
A Mongólia atualmente está construindo seu primeiro parque eólico de 50 megawatt, e este deve gerar um valor estimado de 5% da energia necessária pelo país, enquanto que vai reduzir a poluição do ar, que está relacionada com a geração de energia causada pela queima de carvão. A Mongólia tem o potencial de agir como uma “super rede” na região, fornecendo energia limpa para os países vizinhos.
No Uganda, a promoção da agricultura orgânica está ajudando dezenas de milhares de fazendeiros a ganharem até 300% a mais nas produções certificadas de abacaxi, gengibre, baunilha e outros produtos para exportação. Mundialmente, o mercado para os produtos orgânicos triplicou desde 2000.

A nível internacional, o desenvolvimento da Redução de Emissões por Desmatamento e Degradação de Florestas(REED ou REED+ das siglas em inglês), também oferece o potencial para a erradicação da pobreza, se acompanhada por salvaguardas sociais rigorosas, especialmente para a população indígena local. Por exemplo, a Noruega investiu USD 1 milhão na REED na Indonésia, o que gerou um ano de moratória na derrubada de árvores em Kalimantan, o que tem o potencial de salvaguardar 45% das florestas da província, ao passo que fornece novas oportunidades de sustento e renda para a população local.

Muitos países de renda baixa ou média são ricos em recursos para ecoturismo, um setor que tem a projeção de gerar uma receita de USD 240 bilhões em 2012. Uma grande parte desse crescimento se encontra nos países em desenvolvimento tão variados como Botsuana, Belize, Brasil, Costa Rica, Gabão, Quênia e Nepal.

Os países menos desenvolvidos, com a infraestrutura menos desenvolvida, especialmente nas áreas urbanas, podem se beneficiar da economia verde inclusiva com as políticas possibilitadoras corretas e investimentos internacionais específicos em áreas de eficiência energética e tecnologias limpas para os modernos sistemas de transporte público.

Tais esforços também servem para aumentar a criação de empregos decentes verdes. Em Lagos, na Nigéria, as parcerias públicas e privadas voltadas à melhoria da infraestrutura da cidade, reduzem o congestionamento, melhoram as condições nas favelas e ajudam a criar cerca de 4.000 empregos, relacionados ao meio ambiente, para a comunidade jovem desempregada.

Com relação à saúde, os fatores de riscos ambientais são as causas de cerca de um quinto de todas as doenças nos países em desenvolvimento, e correspondem a uma grande proporção das mortes infantis.

Muitos investimentos na economia verde têm o potencial para fornecer benefícios significativos para a saúde humana. Por exemplo, o apoio aos combustíveis e veículos limpos diminuirá as emissões de gases do efeito estufa e reduzirá as doenças respiratórias. Da mesma forma, o investimento em uma energia mais limpa para o uso doméstico nos países em desenvolvimento, tais como através de fogões mais eficientes, pode reduzir a dependência da madeira como combustível e lidar com o desmatamento e ainda limitar a exposição à poluição interna do ar.

O relatório enfoca que o setor privado, incluindo as grandes multinacionais e pequenas e médias empresas, junto com as organizações não governamentais têm também um papel-chave como possibilitadores.

Por exemplo:

A Unilever está trabalhando na África Ocidental com 10.500 pequenos fazendeiros para promover as árvores allanblackia, que produz sementes ricas em óleo que é usado em margarinas sob as marcas Flora e Bercel.
No Brasil, a empresa de cosméticos Natura criou parcerias com 26 comunidades para fornecer novos cosméticos, fragrâncias e outros produtos sob um programa de compartilhamento de benefícios, que apoia os princípios do PNUMA relacionados à Convenção sobre Diversidade Biológica.
Jain, um sistema de irrigação localizado na Índia, fabrica sistemas de irrigação baseados no gotejamento e na aspersão, enquanto gera mercados para os produtos dos fazendeiros. Fazendeiros em partes da Índia tiveram um aumento de renda líquida de USD 100 para USD 1.000 por hectare como resultado da adoção de tais sistemas e também reduziram o consumo de água e os impactos ambientais.

“Existe uma grande evidência de que a transição para uma economia verde com baixa emissão de carbono e que seja eficiente em seu uso de recursos pode beneficiar muito a comunidade carente e ao mesmo tempo ajudar a preservar os serviços ecossistêmicos vitais”, disse Johan Kuylenstierna, Diretor Executivo do Instituto Ambiental de Estocolmo, membro PEP e co-autor do relatório.

“O desafio para a Rio+20 é criar compromissos fortes que assegurarão que a economia verde possa crescer e dar frutos, com o apoio dos setores público e privado. Também precisamos adotar políticas para proteger os vulneraveis enquanto as economias dos países fazem a transição, e assegurar que os benefícios da economia verde sejam distribuídos de uma forma justa e igualitária”.

“Na região da Ásia-Pacífico, o investimento paralelo na infraestrutura sustentável inclusiva e no gerenciamento sustentável dos ecossistemas críticos para o desenvolvimento econômico futuro pode causar um impacto enorme no bem-estar da população carente - tanto nas zonas urbana e rural”, disse Bindu N. Lohani, Vice-presidente da Gestão de Conhecimento e Desenvolvimento Sustentável do Bando de Desenvolvimento Asiático.

“As instituições regionais devem galvanizar os esforços governamentais para criar as políticas possibilitadoras certas e canalizar os recursos financeiros para um crescimento verde inclusivo, um tipo de crescimento que beneficia os países em desenvolvimento e os membros carentes das suas populações.”

O relatório apela para que os delegados na reunião de cúpula da Rio+20 considerem os “cinco fatores críticos para a construção dos alicerces em direção a economia verde inclusiva”. Estes podem maximizar os benefícios da economia verde para a população carente e promover uma agenda política compartilhada entre os governos dos países em desenvolvimento, os parceiros nos países desenvolvidos e outras partes interessadas.

Políticas sociais econômicas nacionais: Políticas fiscais, regimes tributários e políticas verdes de proteção social e programas que possam fortalecer a transição dos carentes;
Direitos e capacitações locais: Garantir que a população carente tenha direitos e posse sobre os seus recursos naturais, apoiados por meios e incentivos para gerenciar de forma sustentável e gerar benefícios para si próprios;
Mercados verdes inclusivos: São necessários novos modelos de negócios para construir e expandir o acesso da comunidade carente aos mercados inclusivos e redes de fornecimento para os produtos e serviços verdes, junto com o acesso ao microcrédito e serviços de desenvolvimento de negócios para empresas de pequeno e médio porte;
Políticas e suporte a uma harmonização internacional: Os países com maior renda precisam fornecer ajuda coerente, comércio e outras políticas de suporte para possibilitar que os países de baixa renda possam ser bem-sucedidos na transição para a economia verde, e;
Novos parâmetros para medir progresso: Ir além da limitação do PIB, para um indicador mais abrangente de progresso socioeconômico, social, ambiental e de bem-estar humano: esta é uma questão-chave na mesa de discussão da Rio+20.

Nota as editores:

Construindo uma Economia Verde Inclusiva para Todos: Oportunidades e Desafios para Superarmos a Pobreza e Desigualdade será lançado às 13:00 no dia 14 de junho na Sala de Imprensa no Rio Centro.

O relatório completo está disponível no site www.povertyenvironment.net/pep

A publicação foi elaborada pela equipe do Bando de Desenvolvimento Asiático, AusAid Austrália, Ministério dos Assuntos Exteriores da Finlandia, Agência para Cooperação Internacional, Alemanha (GIZ da sigla em alemão), Instituto Internacional para o Meio ambiente e Desenvolvimento, a União Nacional para Conservação da natureza, a Organização para Cooperação e Desenvolvimento Econômico, Programa das Nações Unidas para o Desenvolvimento, Programa das Nações Unidas para o Meio Ambiente, Banco Mundial, Conselho Mundial de Negócios para o Desenvolvimento Sustentável e Instituto de Recursos Mundiais;

A publicação informativa do PNUMA sobre a economia verde e a redução da pobreza está disponível em: http://www.unep.org/greeneconomy/Portals/88/POVERTY_REDUCTIO...

Para maiores informações, por favor entre em contato:

Nick Nuttall, Porta-voz do PNUMA; Tel: +55 11 6593 8058 or +254 733 632755, e-mail: nick.nuttall@unep.org

Michael Oko, Diretor de Comunicações, Instituto de Recursos Mundiais, Tel + (202) 246-9269, e-mail: moko@wri.org

STATEMENT: Rio+20: "We Cannot Afford to Let This Moment Slip By"

Michael Oko — Thu, 14 Jun 2012 11:33:44 -0400

The UN Conference on Sustainable Development kicked off in Rio de Janeiro this week.

Following is a statement by Manish Bapna, Interim President, World Resources Institute:

“Rio+20 should serve as a wake-up call for our planet. Leaders in Rio need to make sustainability a global priority, placing it at the very center of political and economic agendas. We can no longer afford to view environmental issues as being apart from, or in conflict with economic growth– but rather see sustainability as an integrated, pro-growth path forward.

“Despite our best efforts and some progress over the past 20 years, too many environmental trends are heading in the wrong direction. We need less talk, and more action; fewer promises, and more concrete steps for government policy and business practices.

“We urgently need government, business, and civil society to work together to make sure we have clean water, healthy ecosystems, livable cities, and a stable climate.

“Let’s seize this opportunity to protect our planet and ensure that people have a safer, more prosperous, and healthier future. The eyes of the world are on us. We cannot afford to let this moment slip by.”

-ENDS-

Read Manish’s new post: Rio+20: Seizing the Opportunity for a Sustainable Future

Find out more about WRI events and activities in Rio.

Note: Manish Bapna will be in Rio starting on Friday, June 15. To schedule an interview, contact: Michael Oko, moko@wri.org.

PRESS RELEASE: Rio+20: Opportunity to Fast Track Transition to Green Economy, Lift Millions Out of Poverty

James Anderson — Thu, 14 Jun 2012 10:23:35 -0400

New Report Presents Key Policies and Building Blocks to Unlock Prosperity, Reduce Poverty and Support Environmental Sustainability

Ver texto em Português

A transition to a green economy could lift millions of people out of poverty and transform the livelihoods of many of the 1.3 billion people earning just a US$1.25 a day around the world, but only when supported by strong policies and public- and private-sector investments.

These are the findings of a new report, Building an Inclusive Green Economy for All, launched today at the Rio+20 summit by the Poverty-Environment Partnership (PEP), a network of bilateral aid agencies, development banks, UN agencies and international NGOs. The report finds that many developing and least developed countries are already pursuing a transition towards low-carbon, resource efficient economies.

Scaling-up current examples of the green economy in action – particularly in developing countries - has the potential to deliver a ‘triple bottom line’ of job-creating economic growth, environmental sustainability and social inclusion, says the report.

But targeted investments and governance reforms are needed to overcome current barriers that are preventing many poor communities from fully benefiting from a green economy.

Read Building an Inclusive Green Economy for All

The new report finds that many Least Developed Countries, as well as many poor regions of middle income countries, are actually richly endowed with the natural resources that would allow them to build green economies that can sustainably reduce poverty.

“Many least developed and developing countries and communities are seizing the opportunity to bring economy and ecology together in order to generate transformational social outcomes,” said Achim Steiner, UN Under-Secretary General and Executive Director of the UN Environment Programme (UNEP), a PEP member, at the launch of the report in Rio de Janeiro.

“The challenge for world leaders meeting here at Rio+20 is to forge and to back the enabling policies, catalytic financing, and social protection packages in order to fast forward these ambitions and to take them to scale.”

The new report argues that large numbers of least developed countries and poor regions of middle income countries are actually richly endowed with the natural resources needed to underpin a green economy transition as a pathway towards realizing sustainable development.

“By embracing an inclusive green economy, leaders in Rio have a rare opportunity to improve the lives of millions of people and usher in a new era of sustainability,” said Manish Bapna, Acting President of the World Resources Institute, which co-ordinated the study.

“Shifting to an inclusive green economy will not happen on its own. It requires smart government policies and strong leadership. This report presents a bold vision for a green economy that can tackle poverty and inequality, and, importantly, it offers concrete and practical building blocks to make this transition.”

The report cites many strong examples of developing countries that are already successfully shifting to a green economy. For example:

Ethiopia is developing six wind energy projects and a geothermal project, which will increase the country’s capacity by over 1,000 megawatts.
Mongolia’s first 50 megawatt wind farm is currently under construction and is set to generate an estimated five per cent of the county’s electricity needs, while reducing air pollution linked with coal-fired generation. Mongolia has the potential to act as a “supergrid” in the region, supplying neighbouring countries with clean energy.
In Uganda, the promotion of organic agriculture is helping tens of thousands of farmers to earn up to 300 percent more from certified pineapple, ginger, vanilla and other exports. Globally, the market for organic food products has increased three-fold since 2000.

On the international level, the development of Reduced Emissions from Deforestation and Forest Degradation (REDD or REDD+) also offers potential for poverty eradication if accompanied by rigorous social safeguards especially for local and indigenous people. For example, in Indonesia, a US $1 billion REDD+ investment by Norway has led to a one year moratorium on logging in Kalimantan, has the potential to safeguard 45 per cent of the province’s forests, while providing new livelihood and income opportunities for local people.

Many low and middle-income countries are rich in resources for ecotourism; a sector that is projected to generate revenues of US $240 billion in 2012. Much of this growth is in developing countries as diverse as Botswana, Belize, Brazil, Costa Rica, Gabon, Kenya and Nepal.

Least developed countries with less developed infrastructure, particularly in urban areas, can benefit from an inclusive green economy with the right enabling policies and targeted international investments in areas from energy efficiency and clean technologies to modern public transportation systems.

Such efforts can also serve to boost the creation of decent, green jobs. In Lagos, Nigeria, public-private partnerships to improve the city’s infrastructure, reduce congestion and upgrade slums have helped create around 4,000 environment-related jobs among unemployed youth.

Regarding health, environmental risk factors are the cause of around one-fifth of the total disease burden in developing countries, and a large proportion of childhood deaths.

Many green economy investments have the potential to deliver significant benefits for human health. For example, supporting clean fuels and vehicles will lower greenhouse gas emissions, while also reducing respiratory diseases. Similarly, investing in cleaner energy for households in developing countries, such as through more efficient cookstoves, can reduce dependency on wood fuel and tackle deforestation, while limiting exposure to indoor air pollution.

The report underlines that the private sector, including large multinationals and small- and medium-sized enterprises, along with non-governmental organizations have a key enabling role too.

For example:

Unilever is working in West Africa with 10,500 small-scale farmers to promote allanblackia trees, which produce seeds rich in oil for use in spreads under the brand names Flora and Bercel
In Brazil, the cosmetics company Natura has forged partnerships with 26 communities to source new cosmetics, fragrances, and other products under a benefit sharing project that supports the principles of the UNEP-linked Convention on Biological Diversity
The Indian-based Jain Irrigation System makes drip and sprinkler irrigation systems while providing markets for farmers’ produce. Farmers in parts of India have seen net incomes rise by US $100 to $1,000 a hectare as a result of adopting such systems while also reducing water use and environmental impacts.

“There is strong evidence that a transition to a low-carbon, resource-efficient green economy could hugely benefit the poor while helping preserve vital ecosystem services,” said Johan Kuylenstierna, executive director of the Stockholm Environment Institute, a PEP member and co-author of the report.

“The challenge at Rio+20 is to make strong international commitments that will ensure the green economy can grow and flourish, with both public- and private-sector support. We also need to adopt policies to protect the vulnerable as their economies make this transition, and to ensure that the benefits of the green economy are fairly and equitably distributed.”

“In the Asia-Pacific region, the twin tracks of investing in sustainable inclusive infrastructure and the sustainable management of critical ecosystems to support future economic development can make a huge impact on the welfare of the poor – in both urban and rural settings,” said Bindu N. Lohani, Vice-President for Knowledge Management and Sustainable Development, Asian Development Bank.

“Regional institutions must galvanize efforts by governments to create the right enabling policies and channel financial resources into inclusive green growth - the kind of growth that benefits the developing countries and the poorer members of their populations.”

The report calls on delegates meeting for the Rio+20 Summit to consider “five critical building blocks” towards an inclusive green economy. These can maximize the benefits for the poor of a green economy, and foster a shared policy agenda between developing country governments, developed country partners and other stakeholders.

National Economic and Social Policies: Fiscal policies, tax regimes, and ‘green’ social protection policies and programmes can strengthen a pro-poor transition;
Local Rights and Capacities: Ensuring poor people have rights and tenure over their natural resources backed by the means and the incentives to sustainably manage and benefit from them;
Inclusive Green Markets: New business models are needed to build and expand the poor’s access to inclusive markets and supply chains for green products and services, together with access to micro-credit and business development services for small and medium-scale enterprises;
Harmonized International Policies and Support: Higher-income countries need to provide coherent aid, trade and other policies to enable low-income countries to succeed in a green economy transition; and
New Metrics for Measuring Progress: Going beyond the narrowness of GDP to a broader indicator of economic, social and environmental progress and human well-being: this is a key issue on the table at Rio+20.

Note to Editors:

Building An Inclusive Green Economy For All: Opportunities and Challenges for Overcoming Poverty and Inequality will be launched at 1pm on 14 June at the Press Centre at Rio Centro.

The full report is available on WRI’s site, or here: www.povertyenvironment.net/pep

A UNEP Briefing Paper on the green economy and poverty reduction is available at:

http://www.unep.org/greeneconomy/Portals/88/POVERTY_REDUCTION.pdf

The publication has been prepared by staff from Asian Development Bank, Australia (AusAid); Finland’s Ministry of Foreign Affairs; Germany’s GIZ; the International Institute for Environment and Development; the International Union for the Conservation of Nature; the Organization for Economic Cooperation and Development; the UN Development Programme; the UN Environment Programme; the World Bank; the World Business Council for Sustainable Development and the World Resources Institute.

UN Conference on Sustainable Development 2012 (Rio+20): http://www.uncsd2012.org/

For more information please contact:

Nick Nuttall, UNEP Spokesperson; Tel: +55 11 6593 8058 or +254 733 632755, E-mail: nick.nuttall@unep.org

Michael Oko, Media Director, World Resources Institute, Tel + (202) 246-9269; email: moko@wri.org

ADVISORY: New Report Outlines Key Steps to Reduce Poverty in a Green Economy

Michael Oko — Wed, 13 Jun 2012 16:21:48 -0400

Despite global development progress, some 1.3 billion people are living on less than US $1.25 per day, with 900 million facing hunger. Efforts to tackle poverty are being compounded by the continued degradation of ecosystems and the effects of climate change, to which poor communities are often most vulnerable.

A new report from the Poverty-Environment Partnership, a network of bilateral aid agencies, development banks, UN agencies and international NGOs, will set out the major opportunities for reducing poverty, promoting economic growth and ensuring environmental sustainability through the transition to a green economy.

Using case studies primarily from developing countries, Building an Inclusive Green Economy for All, will outline the key building blocks towards creating a shared agenda for more inclusive and sustainable human development.

Developing and middle-income countries are home to many growth industries such as ecotourism and organic agriculture. The report will demonstrate how strategic investments in these sectors, and in the ecosystem services that account for up to 89 percent of the so-called ‘GDP of the poor’, can reduce social inequity, boost employment and promote environmental sustainability.

Members of the Poverty-Environment Partnership, including the World Resources Institute and the United Nations Environment Programme (UNEP), will present the main findings of the report.

For more information on the Poverty-Environment Partnership, visit: http://www.povertyenvironment.net/pep

WHAT
Report launch on green economy at Rio+20

WHO
Achim Steiner, Executive Director, UNEP
Kitty van der Heijden, Ambassador for Sustainable Development, Ministry for Foreign Affairs, Netherlands
Peter Hazlewood, Director of Ecosystems & Development, World Resources Institute, and a lead author of the report

DATE
Thursday, June 14, 2012

TIME
1:00 - 1:30 p.m. BRT (12:00 - 12:30 p.m. EDT)

WHERE
UN Media Centre, Pavilion 3, Rio Centro
Rio de Janeiro

For more information, contact:

Nick Nuttall, UNEP Spokesperson; Tel: +55 11 6593 8058 or +254 733 632755, E-mail: nick.nuttall@unep.org

Michael Oko, Media Director, World Resources Institute; Tel: +(202) 246-9269, E-mail: moko@wri.org

Building an Inclusive Green Economy for All

Christine Potochny — Wed, 13 Jun 2012 12:07:17 -0400

Foreword

While significant development progress has been achieved over the past two decades, with almost 650 million people moving out of extreme poverty in developing countries between 1990 and 2008, nearly 1.3 billion women, men and children have been left behind living on less than US$1.25 per day. Even greater numbers suffer other forms of poverty and deprivation, and inequality both within and across countries has increased. Looking ahead, the challenge of overcoming poverty and inequality will be greatly compounded by ecosystem degradation, climate change and economic disruption, which disproportionately impact the poor and most vulnerable. These increasingly interlinked crises threaten hard-won development gains and prospects for continued progress. While calls for action have multiplied, the world’s collective response has fallen far short of what is needed.

At the 2002 World Summit on Sustainable Development, the Poverty-Environment Partnership (PEP) launched the influential publication Linking Poverty Reduction and Environmental Management, with the core message that sound management of the environment is vital to fighting poverty and inequality and to achieving the Millennium Development Goals (MDGs). A decade later, as the global community prepares for the 2012 UN Conference on Sustainable Development, moving toward an inclusive and green economy is receiving growing political attention as a promising path to sustainable development and poverty eradication.

Examples of the green economy in practice show great potential for delivering a “triple bottom line” of job–creating economic growth coupled with environmental protection and social inclusion. However, there are significant barriers to realizing this potential on a large scale. To build an inclusive green economy that is equitable and sustainable will require carefully designed policies and targeted investments that enable low and middle-income countries and the poor to contribute to and benefit from the transition. Of particular importance is the need for governance and policy reforms that extend to poor people secure rights over the environmental assets that underpin their livelihoods and well-being, and that ensure a greater voice in decisions affecting how these assets are managed. At the same time, policies and measures such as green protectionism and aid conditionality that could adversely impact low and middle-income countries and people living in poverty must be avoided if the benefits of an inclusive green economy are to be realized.

This joint Poverty-Environment Partnership paper aims to stimulate a dialogue among developing country policymakers, development partners and other stakeholders on how best to support country-led efforts to build inclusive green economies. Through a shared commitment to putting into place the building blocks of a green economy for all, real and lasting progress can be made towards overcoming poverty and inequality and achieving sustainable human development.

MEDIA ADVISORY: Hope or Hype? WRI Experts Host Press Call on Rio+20 Summit

James Anderson — Wed, 16 May 2012 13:28:05 -0400

As leaders in government, business and civil society prepare to head to Rio de Janeiro for the UN Sustainable Development Summit, known as Rio+20, experts from the World Resources Institute will host a press call to discuss issues and expectations for the meeting.

WRI experts will discuss issues, including the green economy, governance, climate change, role of business, and more. WRI will provide an update on the state of play and on possible outcomes for the global summit.

Listen to the audio recording of WRI’s press call below:

WHAT:

Press call to discuss expectations for the Rio+20 Summit.

WHO:

Manish Bapna, Interim President, WRI

Craig Hanson, Director, People & Ecosystems Program, WRI

Lalanath de Silva, Director, The Access Initiative

Jennifer Morgan, Director, Climate & Energy Program, WRI

Followed by a Q&A session

WHEN:

Tuesday, May 22, 10:00a.m. EDT // 11:00a.m. BRT

CALL-IN:

United States (Toll free): (866) 803-2143

Brazil (Toll Free): 0800-8911992

Other international locations (Toll): +1 (210)795-1098

Passcode: Callers should ask for “RIO”

You can read more about WRI’s work at Rio +20 at: http://insights.wri.org/topic/rio20.

MEDIA CONTACT:

Michael Oko: Tel. + 1 (202) 729-7684; email: moko@wri.org; or

James Anderson: Tel. +1 (202) 729 7608; email: JAnderson@wri.org

RELEASE: WRI Names Andrew Steer as New President

Michael Oko — Tue, 13 Mar 2012 23:36:12 -0400

World Bank Economist and Special Envoy for Climate Change to Lead Global Institute Known for Excellence and Impact

The World Resources Institute today named Dr. Andrew D. Steer as its next president. Steer is a highly-recognized leader in economics and environmental issues, who brings a breadth of international expertise to the Institute. Steer will take the helm of WRI, as it celebrates its 30th anniversary of developing solutions to the world’s most urgent environmental and human development challenges.

“Andrew is a dynamic and gifted leader, with a deep knowledge of sustainability issues and on-the-ground experience in the world’s most rapidly developing economies. As these issues become more urgent, Andrew is ideally suited to lead WRI in achieving its mission,” said James A. Harmon, Chairman of WRI’s Board of Directors. “A passionate and eloquent communicator, Andrew will champion the organization’s evidence-based and results-focused approach to build a healthier and more sustainable planet.”

Dr. Steer is currently serving as the Special Envoy for Climate Change at the World Bank, where he helps guide the Bank Group’s climate change activities in over 130 countries. He co-chairs the Strategic Climate Fund and leads the Bank Group efforts with international negotiators and in promoting pro-development solutions to climate change. Steer also serves on UN Secretary-General Ban Ki-moon’s High Level Group on Sustainable Energy for All and on the B20 Board on Green Growth (the private sector wing of the G20).

“I am deeply honored and delighted to be stepping into this role for such an extraordinary organization, with its history of innovative and transformative solutions to environmental and development challenges,” said Steer. “In the coming decade, we will face unparalleled challenges and opportunities, and WRI, with its global focus and high-quality analysis, is ideally equipped to find solutions. I look forward to leading the organization into the next stage of its remarkable history.”

WRI is a global, independent think tank that goes beyond research to put ideas into action, working with governments, companies, and civil society to build solutions to urgent environmental and human development challenges.

Steer arrives at WRI at a key moment in its evolution. In recent years, the organization has been expanding its global presence. WRI has been deepening its engagement in China and India, and is active in 40 additional countries in Africa, Asia and Latin America. Since 2008, WRI’s staff has grown from 160 to 225 people and its operations have expanded from $26 million to $45 million.

“This appointment is great news for WRI and for all who care about environment and development issues,” said Robert B. Zoellick, President of the World Bank Group. “WRI has a distinguished record at the key intersection between development and the natural environment, and I am confident that under Andrew’s able leadership its future impact will be even stronger. Andrew brings deep technical, policy, and political experience in the field of sustainable development. He played a superb role as Special Envoy and helped make the World Bank part of the solution to climate change.”

Steer has held leadership roles at the World Bank and the UK government, including Director of the Bank’s Environment Department, and Bank Country Director for Indonesia and Vietnam. From 2007 to 2010, he was Director General for Policy and Research at the UK’s Department for International Development (DFID). Steer has a PhD in Economics, and has taught and lectured at several universities.

James Harmon also reflected on the passion and dedication of Manish Bapna, WRI’s managing director, who has served as the organization’s acting president since July 2011.

“As acting president, Manish not only helped to sustain WRI; he made it stronger,” said Harmon. “He helped advance the organization’s program goals and enhanced its financial stability, including expanding our engagement in China, India and Brazil.”

Steer will begin his tenure as WRI’s president in August 2012. Until then, Bapna will continue to serve as the acting president.

Steer takes the helm as WRI’s third president, following two highly-respected environmental leaders: Jonathan Lash (president from 1993-2011), now President of Hampshire College; and James Gustave Speth (1982-1993), currently Professor of Law at Vermont Law School.

# # # #

Read an article in the New York Times on the announcement, here.

Fact Sheet: The Power of Innovation: Meeting our Energy Challenges through Accelerated Innovation

Micah Ziegler — Mon, 14 Nov 2011 12:44:38 -0500

Innovation can close the gap between the low-carbon technologies of today and the low-cost, high performance technologies the world needs.

Download PDF (PDF, 920 Kb) (includes additional references)
More WRI Climate Fact Sheets
Read more on WRI Insights: Want Low-Cost Clean Energy? Bank on Innovation

This fact sheet is based on the WRI working paper Two Degrees of Innovation — How to Seize the Opportunities in Low-Carbon Power.

Download Fact Sheet (PDF, 920 Kb)

We are facing two urgent energy challenges. We need to maintain modern energy services and expand energy access to another 1.4 billion people.¹ We also need to mitigate further climate change by reducing greenhouse gas emissions, including carbon dioxide from fossil fuel burning.² Low-carbon technologies such as wind and solar power exist and have the technical capacity to meet global energy needs,³ but they are expensive compared to high-carbon alternatives and face performance challenges like requiring large quantities of water or land. They are new to the energy system and can create integration headaches. Innovation—improvements in cost and performance—will close the gap between the low-carbon technologies of today and the low-cost, high performance technologies the world needs.

These infographics demonstrate how innovations in solar photovoltaic (PV) and wind power over the past thirty years have dramatically improved performance and reduced cost, creating the technologies we recognize today. They also project the target costs that experts estimate are necessary to reach our energy goals, highlighting how much more we need to innovate.

For example, if we built the solar PV installations necessary by 2050 using technology from 1982, we would spend US$53.5 trillion (2010$). Building the same solar capacity with 2008 technology would only cost US$8.46 trillion. If we meet the cost goal set by the United States Department of Energy (DOE) Advanced Research Projects Agency-Energy (ARPA-E) we would spend just US$1.58 trillion. Similarly, between 1982 technology and ARPA-E’s goal technology, the total land area required for solar panels would drop by 64 percent.

Innovation is a powerful, cumulative process but it does not happen automatically in a highly regulated sector like electricity. It is critical that policymakers support innovators by building a robust, dynamic innovation ecosystem. This goes beyond investing in public research and development and creating markets through subsidies. It also includes building collaborative networks, creating stable regulatory environments, providing infrastructure, supporting innovators’ needs for finance, and building capacity in the workforce.

To achieve a 50 percent reduction in greenhouse gas emissions by 2050 (compared to 2005 levels) the International Energy Agency estimates that 3,155 GW of photovoltaic capacity will be required by 2050, enough to provide 11 percent of global electricity production. Over time, innovations have made reaching this target easier.⁴ Innovations like new materials and improved methods of production, including improvements through learning-by-doing and finding economies of scale, made solar photovoltaic cells significantly cheaper and more efficient between 1982 and 2008. While many factors—such as commodity prices—also impact costs, future innovations can continue to improve solar cells and push toward a competitive cost of equipment, estimated in U.S. electricity markets to be US$0.50/Wp by the U.S. Department of Energy.

To achieve a 50 percent reduction in greenhouse gas emissions by 2050 (compared to 2005 levels) the International Energy Agency estimates that 2,000 GW of installed wind capacity will be required by 2050, enough to provide 12 percent of global electricity production. Over time, innovations have made reaching this target easier.⁵ Between 1985 and 2010, innovations like new materials and improved methods of production, including improvements through learning-by-doing and finding economies of scale, made wind turbines more capable and their electricity cheaper. While many factors—such as commodity prices—also impact costs, future innovations can continue to improve wind turbines and farms and push toward a competitive position in electricity markets, estimated in U.S. electricity markets to be a levelized cost of electricity of US$.069/kWh by the American Wind Energy Association.

International Energy Agency, “Access to Electricity,” World Energy Outlook, 2010, http://www.worldenergyoutlook.org/electricity.asp. ↩
Intergovernmental Panel on Climate Change, Working Groups I, II and III, Climate Change 2007: Synthesis Report, IPCC Assessment Report (Valencia, Spain, 2007), http://www.ipcc.ch/pdf/assessment-report/ar4/syr/ar4_syr.pdf. ↩
Ottmar Edenhofer et al., IPCC Special Report on Renewable Energy Sources and Climate Change Mitigation - Summary for Policymakers (Cambridge, United Kingdom and New York: Intergovernmental Panel on Climate Change, 2011), 7, http://srren.ipcc-wg3.de/report/IPCC_SRREN_SPM. ↩
These calculations focus on crystalline silicon photovoltaic technology only, assume photovoltaic cells operate at peak capacity, and only consider module cost. For simplicity, this excludes many other factors that can make solar photovoltaic installations more efficient and cheaper, such as careful siting, improved operations, and reduced maintenance costs. This analysis includes only the solar module cost and omits installation and maintenance costs. ↩
The graphic slightly understates the story; the difference in number of turbines needed is so large that it was necessary to round up to make the comparison visible at all. Each turbine in the graphic represents approximately 1 million turbines. The 50% reduction goal could be met by 1.25 million 1.6 MW turbines and 200,000 10 MW turbines. In addition, these calculations focus on horizontal-rotor, onshore wind turbines and treat the 2,000 GW target as “nameplate” capacity. The cost calculations use estimates of the levelized (or lifecycle) cost of energy (or electricity) and compute the cost of producing 5,200 TWh of wind energy, which is stipulated in the IEA Blue Scenario Wind Goal. ↩

Two Degrees of Innovation: How to Seize the Opportunities in Low-Carbon Power

Maggie Barron — Fri, 09 Sep 2011 10:38:40 -0400

This paper offers a strategic framework for those seeking to capitalize on the low-carbon transition. The first section presents innovation as a key strategy to achieve economic development, energy, and environmental goals. The second section explains why the innovation process is unique in the low-carbon power sector and introduces the innovation ecosystem. The third section lays out a stepby- step process to identify and capitalize on the enormous potential and emerging opportunities in this sector.

Key Points

A global transformation of the energy infrastructure is urgently needed to meet the need for modern energy services while avoiding a climate disaster.
There is a large and growing global market for utility-scale, low carbon power technologies as this transformation begins. Both developed and emerging economies can benefit from it but competing in the global value chain will require explicitly building innovation capacity.
Innovation—improvements in price and performance—will close the gap between low-carbon technologies today and the low-cost, high performance technologies that are needed.
Innovations include new products, processes, or policies that reduce costs or improve performance and can happen at any point in a technology’s lifecycle—from design through manufacturing through operations and maintenance.
The innovation ecosystem approach captures the complexity, uncertainty, and heterogeneity of innovation processes and identifies the critical services innovators need to thrive. These are the services policymakers need to focus on when investing in innovation.
The framework provides step-by-step guidance to identify the opportunities in the sector and build a robust innovation ecosystem to capture them.

Q&A: What is a "Green Economy?"

Manish Bapna — Tue, 05 Apr 2011 12:20:24 -0400

The global recession has brought new attention to chronic structural flaws in current economic models and assumptions. As economies struggle to recover, many are taking a closer look at the broad concept of a “Green Economy,” one that simultaneously promotes sustainability and economic growth What would this type of economy look like, and how could we get there? WRI Managing Director Manish Bapna responds to some of the most commonly-asked questions:

What is a Green Economy?

A Green Economy can be thought of as an alternative vision for growth and development; one that can generate growth and improvements in people’s lives in ways consistent with sustainable development. A Green Economy promotes a triple bottom line: sustaining and advancing economic, environmental and social well-being.

The prevailing economic growth model is focused on increasing GDP above all other goals. While this system has improved incomes and reduced poverty for hundreds of millions, it comes with significant and potentially irreversible social, environmental and economic costs. Poverty persists for as many as two and a half billion people, and the natural wealth of the planet is rapidly being drawn down. In a recent global assessment, approximately 60 percent of the world’s ecosystem services were found to be degraded or used unsustainably. The gap between the rich and poor is also increasing – between 1990 and 2005, income inequality (measured by the gap between the highest and lowest income earners) rose in more than two thirds of countries.

While the prevailing economic growth model focuses on increasing GDP above all other goals, a Green Economy promotes a triple bottom line: sustaining and advancing economic, environmental and social well-being. Photo credit: flickr/Yodel Anecdotal.

The persistence of poverty and degradation of the environment can be traced to a series of market and institutional failures that make the prevailing economic model far less effective than it otherwise would be in advancing sustainable development goals. These market and institutional failures are well known to economists, but little progress has been made to address them. For example, there are not sufficient mechanisms to ensure that polluters pay the full cost of their pollution. There are “missing markets” – meaning that markets do not systematically account for the inherent value of services provided by nature, like water filtration or coastal protection. A “market economy” alone cannot provide public goods, like efficient electricity grids, sanitation or public transportation. And economic policy is often shaped by those who wield power, with strong vested interests, and rarely captures the voice and perspectives of those most at risk.

A Green Economy attempts to remedy these problems through a variety of institutional reforms and regulatory, tax, and expenditure-based economic policies and tools.

What does a Green Economy look like?

The transition to a Green Economy has a long way to go, but several countries are demonstrating leadership by adopting national “green growth” or “low carbon” economic strategies. And there are many examples of successful, large-scale programs that increase growth or productivity and do so in a sustainable manner. For example:

The Republic of Korea has adopted a national strategy and a five-year plan for green growth for the period 2009–2013, allocating 2 per cent of its gross domestic product to investment in several green sectors such as renewable energy, energy efficiency, clean technology and water. The government has also launched the Global Green Growth Institute which aims to help countries (especially developing countries) develop green growth strategies.
In Mexico City, crippling congestion led to a major effort to promote Bus Rapid Transit (BRT), a sophisticated bus system that uses dedicated lanes on city streets. Significant public investment in the BRT has reduced commuting times and air pollution and improved access to public transit for those less able to afford private cars. This remarkable success is now being replicated in cities across Mexico and has led to investment from the federal government in urban public transit for the first time.
China now invests more than any other country in renewable energy. Its total installed wind capacity grew 64 percent in 2010. This growth is driven by a national policy that sees clean energy as a major market in the near future, and one in which China wants to gain a competitive edge.
Namibia is managing its natural resources to generate economic, social, and environmental benefits. Local communities across the country are granted the right to use and capitalize on the benefits of using wildlife and other natural resources within the boundaries of “communal conservancies.” With an economic incentive to sustainably manage these areas, food and employment is being provided for hundreds of thousands of Namibians in rural areas. More than half of the jobs are filled by women, and wildlife populations have increased.
Businesses are increasingly leading progress toward a Green Economy. For example, the carpet company Interface FLOR is improving its competitive positioning in this normally petroleum-intensive industry by focusing on how sustainability can enhance its business model. The company is working towards a closed loop system, meaning that its waste products are also its manufacturing inputs. Its company culture reinforces its goals – when employees know they are making a difference in the world, they tend to work harder and be better at their jobs, making the enterprise more productive. Interface’s CEO, Ray Anderson, has said “If we can do it, anyone can. And if anyone can, everyone can.”

More examples can be found in the recent United Nations Environment Programme’s report on the Green Economy.

How does Green Economy differ from previous efforts to promote sustainability – what is new?

In many ways, Green Economy objectives simply support those already articulated for the broader goal of sustainable development. But this new framing responds to two recent developments.

First, there is a deeper appreciation today by many governments, companies, civil society and the public that we are reaching planetary limits, not just in terms of greenhouse gas emissions but also in our use of water, land, forests and other natural resources. The environmental and social costs of our current economic model are becoming more and more apparent.

Past sustainability efforts have not focused sufficiently on fixing the failures of economic policies. But we now have a chance to tackle these challenging problems given the policy openings created by the response to the financial crisis.

Second, and perhaps even more important, the global recession has led to a reconsideration of key tenets of the current economic model – such as the primacy of growth and the belief in light-touch regulation. In openly questioning the strength of the status quo, many public- and private-sector leaders are seeking:

Policies and regulations that can identify and manage financial and other risks more effectively
New markets and industries that can create good, long-term jobs
Public support for innovation to position a country to compete in tomorrow’s markets

These developments point to the need for new sources of growth that are environmentally sustainable – for example, employment in high-growth sectors such as clean energy. Past sustainability efforts have not focused sufficiently on fixing the failures of economic policies such as pricing pollution. But we now have a chance to tackle these challenging problems given the policy openings created by the response to the financial crisis. A good example is Korea’s adoption of a national green growth strategy (described above).

Some see marrying sources of new growth with sustainability as the future. Why is China investing in wind? To win tomorrow’s markets, not necessarily to compete in today’s. As the late C. K. Prahalad – a visionary on corporate strategy ―was fond of saying, “we need to move from seeing sustainability as a cost or hindrance to realizing that it’s a key driver of innovation”.

What are some of the concerns and tensions with the concept of a Green Economy?

One question people ask is “can we afford this?” We’re still in the wake of the global financial crisis and many people perceive Green Economy solutions as expensive. The United States is asking itself whether it can afford to put a price on carbon today. Developing countries are concerned that transitioning to a Green Economy will hinder economic growth and the ability to reduce poverty.

Moreover, there will be short-term, nontrivial losses associated with changes in industry and market structure (e.g., a decline of the coal industry and related job losses.) Supporting those actors who will bear the brunt of the transition will be critical to building broad ownership for a Green Economy.

Some countries feel that they are lagging in green technology know-how and therefore will be at a competitive disadvantage in the race for future markets. Others feel that the Green Economy is a pretense for rich countries to erect “green” trade barriers on developing country exports. These are all legitimate concerns that deserve attention.

Ultimately, a hard-nosed economic analysis should inform decisions on what policies and investments to promote today. When the full costs and benefits over time are taken into account however, many Green Economy solutions will be seen as more attractive. Nevertheless, there will still be difficult choices and tradeoffs. For example, should India aggressively promote grid-connected, relatively expensive solar power when hundreds of millions in the country still have no access to electricity? And even where Green Economy solutions make economic sense, they may be politically challenging. The transition to a Green Economy will not be easy.

What are the challenges to a transition to a Green Economy, and what will make it possible?

The principal challenge is how we move towards an economic system that will benefit more people over the long run. Transitioning to a Green Economy will require a fundamental shift in thinking about growth and development, production of goods and services, and consumer habits. This transition will not happen solely because of better information on impacts, risks or good economic analysis; ultimately, it is about politics and changing the political economy of how big decisions are made.

The problem is vested interests. Those who benefit from the status quo are either overrepresented in or have greater access to institutions that manage natural resources and protect the environment. U.S. climate legislation, for example, was defeated in no small part by resistance from fossil-fuel based energy advocates.

The following steps would help create a more level policy-making playing field:

Increase public awareness and the case for change. Greater visibility on the need for this transition can motivate voters and consumers - not just because of the costs but also the economic benefits generated by a Green Economy, such as new jobs and new markets. People will not adopt policies because they are green. They will do so when they believe it is in their interest.
Promote new indicators that complement GDP. Planning agencies and finance ministries should adopt a more diverse and representative set of economic indicators that focus less exclusively on growth and track the pace and progress of development.
Open up government decision-making processes to the public and civil society. This would help ensure policies are accountable to the public and not to vested and well-connected interests.
Identify and take advantage of political leadership when available as this will be crucial in order to limit the undue influence of “dirty” economic holdouts.

Timing is everything when it comes to big policy reforms. Green Economy advocates will need to be ready when that window of opportunity presents itself.

Ultimately, the widespread transition to a Green Economy will depend on whether or not the long-term public interest is reflected in today’s economic policies.