LIANA BRATASIDA EXECUTIVE DIRECTOR OF APKI FORMER DEPUTY MINISTER, MINISTRY OF ENVIRONMENT

What is new ? Integrating Economy & Env. is not new: SD However, NEW Ideas are - Turning climate/resource crisis into Economic Opportunity - GG/GP/GE will end up in higher growth than BAU Higher Growth: positive for poverty but no guarantee that growth will be fairly distributed: need inclusive approach

Global Challenges Require a New Growth Paradigm  Is “brown growth” still an effective paradigm of economic development? Industrialized by the end of the 19thcentury No new developed country since then  New constraints & challenges: Unprecedented climate change Depleted natural resources, biodiversity loss, scarce food & water Deepening economic & social inequality  A new development paradigm is needed that simultaneously addresses key aspects of Economic performance Environmental sustainability Social inclusiveness

Productivity Practices

From Productivity To Green Productivity

Green Industry UNIDO’s organization-wide strategic priority that focuses on the pivotal role of manufacturing and related sectors for achieving sustainable industrial development Industrial development for low carbon, resource efficient and green growth As development and poverty alleviation are driven by sustained, accelerated growth of manufacturing and related sectors, there cannot be sustainable development without sustainable industrial development

New Paradigm of Economic Growth: Green Growth

The role of SCP in the transition towards a sustainable development SCP is more than a tool to implement a transition towards a green economy/green productivity. It is a fundamental condition ad there is a need to strategically promote resource efficiency and sustainable consumption and production to all sectors and at all levels SCP includes both of Avoid/Reduce and Improve approaches. SCP will drive the consumers and producers in avoiding the common products (not green type product/producs that are not produced in sustainable way

Key Challenges 1. Policy makers are generally aware of their most urgent resource risk, hit the link between knowledge and implementation is logging 2. The lack of confidence from policy makers in grening development with focus on the GP, while other equally important policy goals need to be tackled 3. Many policy makers do not have a sustainability plan, and they need guidance on how to internalize and mainstream GP into existing planning, processes, and actions 4. The lack of data and information (science base) on sustainable development strategies, new technological innovation

Key Challenges (Cont’d) 5. Institutional weakness: Coordination between multistakeholder – different focus and priorities perspectives 6. Capacity building and also communication campaigns and project management efforts 7. Knowledge of funding sources and facility to raise capital, also lack of financial incentives 8. Tools and database to monitor plan and implementation are not available

Transformations Required Change the way we design products Change the way people move: from private cars to public transport, from road to rail Change the way we design and operate buildings: from energy wasting to energy saving Change the way we produce, transport and consume energy: improve the efficiency of the energy system and diversify to renewable energy sources Change the way water resources are managed: develop an integrated, decentralized and water cycling system Change the way solid waste is managed: turn waste from a cost into a resource

How can we ensure a smooth transformation to a green economy/green productivity? Having the same understanding on the concept Knowing whether we really are in the same ship – knowing the different perspectives (if any) and then trying to get the solution on how could fit in one ship or more ships needed but still going to the same directions Coordination with all stakeholder (NGOs, donors, private, CSO, community, and policy makers) Having good coordination and communication, the understanding can be enhanced and hope the commitment from stakeholders can be growing as well Having a clear panning of development towards sustainable development with a reachable objectives and indicators as well as inspire yet understandable vision and mission Having consistent monitoring and evaluation with knowledge management for the transition process. With the monitoring, it could help to always recheck and think out of box Giving incentives/rewards for not only the privates but also public/media, etc Consideration of political issues and improving education

GP/GG Roadmap Policy Options for System Change From quantity to quality of growth Internalizing ecological price Sustainable Infrastructure: Re-design city, building, transport, energy, water system Promoting Green Business Enabling Low Carbon Economics To be completed by the end of 2011

Track 1. from quantity to quality of growth * different from Quality of Life, Well-being : * GG: ecological quality of growth Social Quality Inclusive, income equity, quality of life, happiness, well-being Social Quality Inclusive, income equity, quality of life, happiness, well-being Economic Quality low unemployment, high value-added, competitiveness, resilience against outside oil price & financial shocks, low stocks and real estate bubble Economic Quality low unemployment, high value-added, competitiveness, resilience against outside oil price & financial shocks, low stocks and real estate bubble Ecological Quality eco-efficient growth, decoupling growth with energy consumption, Resilience to climate change, dynamic eco-system, water security Ecological Quality eco-efficient growth, decoupling growth with energy consumption, Resilience to climate change, dynamic eco-system, water security

Track 2: Internalizing Ecological Prices Changing tax base from Labor to Pollution Making Market Driver of GE/EE Revenue Neutrality Double Dividend Explore potential for Double Dividend & applicability to DCs Leapfrogging Strategy for DCs

Track 3. Promoting sustainable infrastructure Transport: public transport > private car road to rail, minimize congestion, - losing 3-5% GDP from traffic congestion City design for People not for Car, Walk-able street Buildings for energy efficiency

Track 4. Turning “green” into business opportunity As ecology has price: green is economic opportunities Business: needs to grasp Green Ocean, not resisting transition Governments needs to support Green R&D, technology Creating New Market Closing long & short term time gap Market & Ecological Price Gap

Track 5. Low Carbon Economics Nicklaus Stern: 2% investment could save 5-20% global GDP loss by 2050 Low Carbon Economics: 2% investment could increase global GDP by XX % by 2050 What are the conditions for mitigation actions to result in GDP growth and job creation?

Green Productivity/Green Growth is a must 1. High competition for space: a. Population growth b. Space needed for higher production  fulfill higher consumption c. More variety of spatial use d. Environmental degradation  due to high pollutan and poor management 2. Less natural resources available  previous utilization and excessive use So  efficient use of natural resources and clean utilization (minimum and/zero waste)

There is no medium and long term trade-off 1. Development and environment protection are interdependent to each other  vicious cycle 2. There is a transition period to show that those two are mutual interdependent and if combined  new opportunity will increase more result  higher growth and GDP – greener and more sustainable for next and future generations 3. Keys: a. Making the transition period short b. Prepare policy and its instruments c. Provide the quick results – demonstration effect

Recommendation Sustainability need to be effectively mainstreamed in development policy Transition to sustainable infrastructure should be supported Specific targets to use resources more efficiently and plans to achieve them should be set Enhancement of cooperation among APO Member Countries Working together to compile lessons learned Sharing information and best practices Technology transfer & capacity building among APO Member Countries Sharing resources (finance) in APO Member Countries Look forward to a strong partnership in APO Member Countries

Specific Recommendation Green Productivity/Green Growth Knowledge Platform can provide lessons for developing instruments, analytical tools, and analysis for policy making to formulate green productivity/green growth and green development strategy This platform can be used for share lesson: successes as well as failures This platform can facilitate country’s capacity building for actors in government institutions, private sectors and civil society