Unep.org/NewsCentreBeijing, 16 November 2011-A new UN report demonstrates that governments
and businesses alike are taking steps to accelerate a global shift towards a
low-carbon, resource-efficient and socially inclusive green future. From China to Barbados, Brazil to South Africa, countries are developing Green
Economy strategies and activities to spur greater economic growth and jobs,
environmental protection and equality.
In a statement issued on the release of UNEP's flagship report, Towards a Green Economy: Pathways to Sustainable Development and Poverty Eradication,
UN Secretary General Ban Ki-moon said: "With the world looking ahead to the
Rio+20 UN Conference on Sustainable Development in June 2012, the UNEP Green
Economy report challenges the myth that there is a trade-off between the economy
and the environment. With smart public policies, governments can grow their
economies, generate decent employment and accelerate social progress in a way
that keeps humanity's ecological footprint within the planet's carrying
capacity."
Key Messages
The report, a result of a three-year global research effort involving
hundreds of experts, underwent a three-month public review before being unveiled
today. It confirms that an investment of two percent of global GDP across 10 key
sectors is what is required to kick-start a shift from the current brown,
polluting and inefficient economy to a green one.
The report estimates that such a transition would grow the global economy at
around the same rate, if not higher, than those forecast, under current economic
models.
But without rising risks, shocks, scarcities and crises increasingly
inherent in the existing, resource-depleting, high carbon 'brown' economy, says
the study.
In addition to higher growth, an overall transition to a Green Economy would
realize per capita incomes higher than under current economic models, while
reducing the ecological footprint by nearly 50 per cent in 2050, as compared to
business-as-usual.
The Green Economy Report acknowledges that in the short-term, job losses in
some sectors - fisheries for example - are inevitable if they are to transition
towards sustainability.
However, it adds that over time the number of "new and decent jobs created"
in sectors - ranging from renewable energies to more sustainable agriculture -
will, however, offset those lost from the former "brown economy".
As a result, a growing number of countries are undertaking activities to
accelerate this transition.
At the China Council meeting this week, for example, the government's
international advisory group is expected to put forward its own study for moving
towards a Green Economy.
China is the world's lead investor in renewable energy, overtaking Spain in
2009 and spending US$49 billion in 2010. Overall, China is committed to spending
US$468 billion over the next five years, more than double the previous five
years, on key industries, including renewable energy, clean technologies and
waste management.
"China considers the Green Economy to be a strategic choice in an
increasingly resource constrained world, and we have made that choice in our
development plans," said Mr. He Bingguang, Director General of the Department of
Resource Conservation and Environmental Protection in China's National
Development and Reform Commission.
"We appreciate UNEP's contribution in promoting a global Green Economy
transformation, which holds the potential for all countries to benefit," he
added.
Some countries, such as Barbados, Cambodia, Indonesia, the Republic of Korea
and South Africa, already have national Green Economy plans that reflect the
report's recommendations.
Others such as Armenia, Azerbaijan, Egypt, Kenya, Jordan, Malaysia, Mexico,
Nepal, Senegal and Ukraine are focusing on greening priority sectors, such as
agriculture, renewable energy, tourism and clean technologies.
Today in Rwanda, East African countries are meeting to explore how laws and
regulatory frameworks can help drive a Green Economy at the national and
regional level. Participants from Burundi, Kenya, Tanzania and Uganda, as well
as Rwanda, will examine case studies and continent-wide initiatives, the latter
being led by the African Union.
On the business side, UNEP has teamed up with 285 of the world's leading
investors, representing US$20 trillion in assets, who called on governments to
mobilize action on climate change, including investments in emerging industries
- like renewables and green buildings. Similar calls have been echoed by the
International Chamber of Commerce, which represents hundreds of thousands of
businesses in more than 130 countries.
"The elements of a transition to a Green Economy are clearly emerging across
developing and developed countries alike. There are now some nations going
further and faster than others which is in many ways generating a 'pull factor'
that, if maintained, may bring others along over the coming months and years,"
said Achim Steiner, UN Under Secretary General and Executive Director of the UN
Environment Programme (UNEP).
The recent drive in clean investment is not only benefitting emerging
economies, but also other developing countries. According to the latest
Bloomberg figures, global investments in renewable energy jumped 32 per cent in
2010, to a record US$211 billion. After the emerging economies of Brazil, China
and India, countries in Africa posted the highest percentage increase of all
developing regions.
In Egypt, renewable energy investment rose by US$800 million to US$1.3
billion as a result of the solar thermal project in Kom Ombo and a 220 megawatt
onshore wind farm in the Gulf of Zayt. In Kenya, investment climbed from
virtually zero in 2009 to US$1.3 billion in 2010 across technologies such as
wind, geothermal, small-scale hydro and biofuels.
In the California Mojave Desert, one of the world's largest solar-thermal
power plants is under construction and others are also being built in Spain and
other parts of the United States.
"The Durban climate convention meeting in a few week's time and Rio+20 next
year are key opportunities to accelerate and scale-up the Green Economy. Central
cooperative actions range from advancing Reduced Emissions from Deforestation
and Forest Degradation (REDD+), moving on green procurement to switch national
efforts into the sustainability space up to a new indicator of wealth that goes
beyond GDP and internalizes the costs of pollution and degradation while
bringing the true value of the planet's nature-based assets into calculations of
a successful and sustainable economic path," said Mr. Steiner.
A series of UN-backed regional consultations on the Green Economy have
underscored the growing interest in the report. While issues of financing and
trade need to be addressed further, there is an acknowledgement that the current
economic model, based solely on GDP growth, has resulted in the gross
misallocation of capital and inequitable distribution of wealth.
The Report shows that investing the equivalent of two per cent of global GDP
into agriculture, energy, buildings, water, forestry, fisheries, manufacturing,
waste, tourism and transport would not only shift the global economy onto a more
sustainable growth trajectory, but it would actually maintain or increase growth
over time compared to the current business-as-usual scenario.
Policy recommendations on each of the 10 key sectors, as well as on finance
and enabling conditions, are outlined in the report.
On transport, for example, the report suggests that prices need to take
account of the societal costs accumulated as a result of congestion, accidents
and pollution, which in some cases amount to over 10 per cent of the national or
regional GDP. In Beijing, a 2009 study estimated that the social costs induced
by motorized transportation are equivalent to between 7.5 and 15 per cent of the
city's GDP.
Globally, the transport sector's impact on natural resources is wide-ranging,
from the manufacturing of vehicles, which uses metals and plastics, to its use
of fossil fuels, which involves engine oil, rubber and other consumable
materials. Between 2007 and 2030, the transport sector is expected to account
for 97 per cent of the increase in the world's primary oil use.
With the number of vehicles in China expected to more than triple during this
period, the government is promoting low-carbon, energy efficient cars and
related infrastructure. In the city of Shenzhen, home of China's first electric
car, plans are underway to build large recharging stations and replace
traditional buses with more than 7,000 electric ones in five years time.
Generating Jobs
The Green Economy Report suggests that over time "new and decent jobs" will
be catalyzed in these key sectors. A recent study by ILO and the Chinese Academy
of Social Sciences (CASS), entitled, Low Carbon Development and Green Employment
in China, confirms that this is the case.
It provides a list of likely winners and losers and the scale of direct and
indirect impact involved to identify net gains. It concludes that while 800,000
workers in small coal power plants in China are likely to lose their jobs due to
climate mitigation actions, some 2.5 million jobs could be created by 2020 in
the wind energy sector alone.
Currently, Denmark is home to the world's top wind turbine manufacturer in
terms of market volume, and China is in second place, followed by the United
States and then another Chinese company. Germany ranks fifth. However, Germany
has recently committed to scale up its renewable energy, following a decision to
phase out nuclear power by 2022, and has thus set a target to source 35 per cent
of its electricity from renewable energies by 2022, instead of the earlier
target of 19 per cent.
In Africa, despite recent economic gains, there is increasing interest in
creating green and decent employment. Representatives from 11 African countries
met in June this year with ILO, UNDP and UNEP to look at case studies in the
areas of recycling, sustainable construction and natural resource management. As
a result, participants adopted action plans for creating green jobs in
fisheries, agriculture and forestry, sectors which represent over 70 per cent of
the employment in the region.
In Brazil, the ILO recently helped support the construction of 500,000 new
homes with solar heating systems, resulting in 30,000 new jobs. In South Africa,
a similar project on water ecosystem restoration created 25,000 green jobs for
previously unemployed people, and at the same time, restored vital freshwater
sources.
Generating Social Equity
Approximately two billion people live on smallholder farms, and despite
making a significant contribution to food security, the majority of these
farmers are malnourished and live in poverty. Low prices, unfair trade practice
and a lack of transport contribute to their dilemma. The Green Economy Report
argues that by moving to more sustainable agriculture practices, these farmers
could increase their yields and profits.
Globally, an investment of US$100-300 billion per year in green agriculture,
between now and 2050, could lead to better soil quality and better yields for
major crops, representing a 10 per cent increase over the current
business-as-usual strategies. As many of these farmers are also women, any
benefits would most likely be shared with their families and communities.
The waste sector is another area that is expected to enhance social equity.
Efforts to green the sector are often driven by cost savings, environmental
awareness and resource scarcity.
However, the report notes that greening the sector not only requires
improving the often sub-standard waste treatment and disposal facilities, it
also entails training the workers, providing more equitable compensation and
ensuring proper health care protection for them. Decentralizing large scale,
capital-intensive waste management operations could also provide more employment
opportunities in the community.
Electronic waste (or e-waste) is also a concern, particularly for developing
countries. Current estimates suggest 20 to 50 million tonnes of e-waste are
generated each year, while trade in waste becomes more prevalent, heightening
threats to human health and the environment.
As sales in mobile phones and computers continue to grow in China, India, and
across Africa and Latin America, the report finds that resource recovery and
recycling offer the greatest potential in terms of contributing to a Green
Economy.
Notes to the Editors:
Rio Earth Summit: In 1992 the UN Conference on Sustainable Development,
popularly known as the Rio Earth Summit, was convened in Rio de Janeiro, Brazil,
to address the state of the environment and sustainable development. In June
2012, there will be the follow up meeting or Rio+20 in Brazil, where one of the
main themes governments are expected to address is Green Economy "in the context
of sustainable development and poverty eradication".
For more information, please contact:
Nick Nuttall, UNEP Division of Communication and Public Information Acting
Director and Spokesman, Tel. +41 795 965 737 or +254 733 632 755 or email
nick.nuttall@unep.org
Ms. Jiang Nanqing, UNEP China Office, Tel. +86-10-85320922, Mobile:
+86-13501051650, Email: nanqing.jiang@unep.org
Ms. Chen Hao, UNEP China Office, Tel: +86-10-85320921, Mobile:
+86-15810425490, Email: hao.bath@gmail.com
