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Pathways to sustainable growth - a conference about how to move from words to action The role and challenges of firms and entrepreneurs in a sustainable.

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Presentation on theme: "Pathways to sustainable growth - a conference about how to move from words to action The role and challenges of firms and entrepreneurs in a sustainable."— Presentation transcript:

1 Pathways to sustainable growth - a conference about how to move from words to action The role and challenges of firms and entrepreneurs in a sustainable economy Eva Alfredsson Stockholm October 18

2 The role and challenges of firms and entrepreneurs in a sustainable economy 13.00 – 13.15: A green sustainable business arena - Boundary conditions for businesses and entrepreneurs in the green economy and its tentative consequences and opportunities. Eva Alfredsson, Growth Analysis 13.15 – 13.35 Comments: Anna Borgeryd - Polarbröd Anders Eklind - Forsman & Bodenfors Karl-Henrik Robèrt - Founder The Natural Step, Professor Blekinge Institute of Technology 13.35 – 14.30 Discussions - Moving from words to action Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

3 Green economy ” The concept of ”green economy does not replace sustainable development but reflects a growing recognition that achieving sustainability rests almost entirely on getting the economy right.” UNEP Towards a Green economy, 2011 Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

4 UNEP defines a green economy as: “one that results in improved human well-being and social equity, while significantly reducing environmental risks and ecological scarcities.” In its simplest expression, a green economy can be thought of as one which is: Low carbon Resource efficient Socially inclusive Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

5 An economy within planetary boundaries The Planetary boundaries approach by Rockström et al defines broad limits for Economic activity. Nature 461, 472-475 (24 September 2009) Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

6 An economy above socially sustainable and just limits Kate Raworth at Oxfam have added a social dimension consisting of minimum requirements above critical human deprivations – such as hunger, illiteracy, poverty and voicelessness. Together these boundaries form a safe and just space for humanity – and economic activity CAN WE LIVE WITHIN THE DOUGHNUT? Oxfam Discussion Papers 2012 Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

7 How do we translate this into policy? - for a sustainable, inclusive green economy Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

8 Framing economic activity within environmentally sustainable boundaries Sustainable withdrawals: - Renewable & - Non renewable resources Maximizing marginal utility Economic Activity Sustainable caps on emissions and waste: CO2, ozone, chemicals etc Safeguarding biodiversity Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

9 Framing economic activity within socially sustainable boundaries (human rights) Economic activity Regulated working hours Minimum livable Income Job security Safe working environment Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

10 Today´s Corporation: ”A cost externalizing monster”? Corporation 1920 has four defining characteristics: 1.Determined pursuit of size and scale in order to achieve market dominance 2.Aggressive lobbying for regulatory and competitive advantage 3.The extensive use of advertising, largely unhindered by ethical considerations, in order to influence consumer demand and, to create entirely new demand by playing on human insecurities and ”turning wants into needs” 4.Aggressive use of borrowed funds to leverage the investment that shareholders have made in their corporation Source: Corporation 2020, Transforming Business for Tomorrow´s World, Pavan Sukhdev, Island Press Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

11 Corporation 2020: ”A capital factory aligned with the goals of society” Corporation 2020 - Four Strands of a New DNA: Goal Alignment - Goals that are closely aligned with those of society Capital Factory - A vision of the corporation as a capital factory Community - An understanding of the corporations role as a community Institute – A commitment to developing the corporation as an institute of learning Source: Corporation 2020, Transforming Business for Tomorrow´s World, Pavan Sukhdev, Island Press Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

12 There is a lag between increasingly strong evidence within the natural science of climate change and a lack of reliable knowledge in climate economics  we need a strategy for action based on risk management in the face of uncertainty Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis

13 Discussion 1.What can be done now to jump-start transitioning businesses into a green sustainable arena? 2.What is the role of policy – to set the stage or to assist in the transition? 3.What are the main policy tools to be applied 4.What are down-sides and up-sides of this transition for the stakeholders (entrepreneurs, business leaders, employees, customers)? Pathways to sustainable growth, Stockholm October 18 - Dr Eva Alfredsson, Growth Analysis


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