gtbr: tool for green growth: gtbr: tool for green growth: rae kwon chung director environment and...
TRANSCRIPT
![Page 1: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/1.jpg)
GTBR: Tool for Green Growth:
Rae Kwon ChungDirector
Environment and Development Division, ESCAP
![Page 2: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/2.jpg)
Why Green Growth/Economy ? 1. Brown Growth cannot continue due to rising oil price & climate impact
- Lesson from Fuel & Food Crisis: Poor will suffer most from the Brown Growth
- Thus GG & Poverty: win-win synergy
- If oil/energy price is to rise & resource crisis to continue, then we need new paradigm
![Page 3: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/3.jpg)
2. Mismatch of Market and New Reality - Market Price: only for capital & labor Ecological services: No price, climate etc.
- New Reality: Capital & Labor: readily available Ecology: getting more scarce
- Gap: Market Price < Ecological Price Market Cost Efficiency < Ecological E. 3. Financial Crisis: Green New Deal
![Page 4: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/4.jpg)
What is GG/GE?
• Investing in Green can generate, profit employment & growth
• Green: driver of growth, not cost • Not replacing SD • SD: concept & principle, MDG: list of
goals, lack strategy • GG: implementing strategy for 2 pillars
of SD; GG process to arrive at GE
![Page 5: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/5.jpg)
Is it feasible? How about Poverty ?
• “How to make it happen?” rather than “Is it possible?”• As we do not have other choices • GG: in the long run will support poor by
investing in natural capital on which poor depends more
• has to supported by inclusive approach • ESCAP: inclusive & sustainable Dev since 2007
![Page 6: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/6.jpg)
What is new ?
• Integrating Economy & Env. is not new• However, this is NEW - turning climate/resource crisis into economic opportunity - in the long run, GE will end up in higher growth than BAU • No guarantee that Higher Growth will be
fairly distributed: need inclusive approach
![Page 7: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/7.jpg)
Projected trends in annual GDP growth rate (2)
Source: UNEP Green Economy Report (2011)
![Page 8: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/8.jpg)
Assumption
• Green scenario : 1-2 percent of global GDP is channeled to green investment.
• Focused Sectors: agriculture, buildings, energy (supply), fisheries, forestry, industry, tourism, transport, waste, water
• Green scenario 2: 2 percent of global GDP is invested prioritizing energy and climate change
• BAU: 1-2 percent of global GDP is invested across the economy in a BAU context
![Page 9: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/9.jpg)
GG will not happen automatically by Market
Due to Time/Price gap 1. Time gap: Short term cost < Long term gain 2. Price gap: market < ecological price
![Page 10: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/10.jpg)
Government have to jump start GG
• By closing 2 gaps Price Gap: by internalizing Ecological Price into
Market Price by Ecological Tax Reform (ETR) Time Gap: by investing in long term gains through Green Budget Reform (GBR) • GG is not just an incremental change promoting
green technologies and removing subsidies
![Page 11: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/11.jpg)
DC are taking actions
• Korea: Low Carbon Green Growth 2008• China: Green Development • Kazakhstan: Green Bridge 2010• Cambodia: Green Growth Roadmap 2010• Indonesia, Thailand • Learning by doing: with political commitment • Leapfrogging strategy
![Page 12: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/12.jpg)
GG applicable to DCs?
• AP DC lack financial resources & technology• GG: not only a matter of money & technology but also policy options• Greater potential to leapfrog• Easy to initiate at the early stages of
development• Strong Political Commitment & Leadership • Kazakhstan & Korea : good example • The Sooner, The Better : Singapore from 70’s
![Page 13: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/13.jpg)
Vision for Rio+20, 2012 • How to work together to make GE to happen ? which is NOT an automatic process • Opportunity for mobilizing political
commitment & leadership • Partnership for GG/GE Government Lead Private Sector Grasp as Business Opportunity People accept lifestyle change & provide
political support
![Page 14: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/14.jpg)
Economic System Change • By internalizing ecological prices into market
price• Thus improving ecological efficiency of growth• But can we internalize Ecological Price without
damaging economy? • YES!!!!!! • Through ETR/GBR: GTBR • 6 European Countries have tried: Positive
results
![Page 15: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/15.jpg)
Structural Transformation • Restructuring Invisible/Visible Structure 1. Invisible Structure: internalizing EE Price, Regulation, Lifestyle, Value, Technology, Institutional Capacity etc. 2. Visible Structure: based on EE Built Environment, Building, City Design,
Transport, Energy, Water infra.
![Page 16: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/16.jpg)
Getting the Price Right is Critical • Eco-Tax Reform: Powerful tool for GG/GE - shifting tax base from Labor to Pollution without raising tax burden (revenue neutrality) - then Double Dividend of improving ecological efficiency & increasing Employment & Growth is possible. Some empirical evidence - Income Regressive, Competitiveness Issue can
be addressed
![Page 17: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/17.jpg)
Eco-Tax Reform
REVENUE NEUTRALITY DOUBLE DIVIDEND
![Page 18: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/18.jpg)
Double Dividend of ETR• Key Driver of Green Growth/Economy• Potential of ETR: yet to be fully discovered • Applicability in DC: to be explored• How to make Double Dividend to happen ? In DC ? Is The Question we all have to work together .• ESCAP: working on ETR as 1of the 5 tracks of GG Roadmap
![Page 19: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/19.jpg)
ESCAP leading Inclusive & Sustainable Development
• GG Ministerial Declaration 2005• Astana Green Bridge Initiative 2010• Developing Roadmap for GG 2011• UNEP Green Economy 2008/2011• OECD Green Growth 2009 • G20: Green New Deal 2009/GG 2010
![Page 20: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/20.jpg)
ESCAP MCED5: Green Growth 2005• UNEP: Green Economy 2008• OECD: Green Growth Strategy 2009
![Page 21: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/21.jpg)
MCED6: Astana Green Bridge 2010linking Europe & AP with GG
![Page 22: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/22.jpg)
5 Tracks of ESCAP GG Roadmap
• Policy Options for System Change 1. From quantity to quality of growth2. Internalizing ecological price3. Sustainable Infrastructure: Re-design city, building,
transport, energy, water system 4. Promoting Green Business5. Enabling Low Carbon Economics
• To be completed by the end of 2011
![Page 23: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/23.jpg)
• Justify unbridled greed of speculation Financial crisis
• Pushing maximization of production Quantity of GDP-only paradigm
• Uncontrolled exploitation of ecology Climate Change
• GG/GE could turn these crisis into new opportunities
Limits of Conventional Economy
![Page 24: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/24.jpg)
Turning crises into opportunities is surfing waves, not drawning! Only the Brave jumping into the water can swim and enjoy surfing
![Page 25: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/25.jpg)
FOSSIL
FUELS
Economy
Mitigation actions
BUSINESS AS USUAL
Mitigation actions
Mitigation actions
Mitigation actions
Mitigation actions
![Page 26: GTBR: Tool for Green Growth: GTBR: Tool for Green Growth: Rae Kwon Chung Director Environment and Development Division, ESCAP](https://reader035.vdocument.in/reader035/viewer/2022062619/5519911b55034643068b462a/html5/thumbnails/26.jpg)
CLEAN
ENERGY
Economy
LOW CARBON GREEN GROWTH