1. EaP GREEN
To move towards a green economy by
decoupling economic growth from
environmental degradation and resource
depletion.

2. Why a Green Economy?
• It was born out of multiple crises and
accelerating resource scarcity.
• A Green Economy is the economic vehicle
for sustainable development.
• A Green Economy has strategies to end
the persistence of poverty.
• It is a new economic paradigm that can
drive growth of income and jobs, without
creating environmental risk.

3. A business-as-usual approach is no longer feasible: planetary
boundaries constrain economic growth as traditionally
conceived.
Science tells us we are approaching and crossing bio-physical
tipping points: environmental degradation threatens to
undermine our collective well being.
Threat exacerbated by a mounting social crisis, with growing
unemployment and a daunting challenge to provide for
new jobs and income opportunities, especially for youth.
Rationale: Why is an Inclusive
Green Economy needed?
This calls for bold action to find new
pathways for creating prosperity,
decent work and income within a
resource-constrained world.

4. • In 2009, global GDP
reached US$58.22
trillion and yet, almost
80% of humanity
continues to live on
less than US$ 10/day.
• The poorest 40
percent of the world’s
population produce
only 5 percent of
global income.
The threat to the planet and inequality go hand in hand.
Income distribution under the
current growth scenario

5. A green economy can reduce
poverty
• Inextricable link between poverty alleviation and wise
management of natural resources and ecosystems.
• Ecosystem services and other non-marketed natural goods
account for 47 to 89% of the so-called ‘GDP of the Poor’
• Hence need to invest in natural capital as a source of growth and
well-being.
Natural-resource dependent
sectors and ESS (2005)
Brazil Indonesia India
Original share of GDP (%):
agriculture, forestry, fisheries
6% 11% 17%
Adjusted share of GDP (%):
including non market/ESS
17% 15% 20%
Share of ESS/non market goods
of total income of the poor (%)
90% 75% 47%

6. A Green Economy is one that results in
increased human well-being & social equity,
while significantly reducing environmental
risks & ecological scarcities.
What is a Green Economy?

7. In Other Words…
A Green Economy is one whose growth of income and
jobs is driven by investments and policy reforms that
reduce carbon emissions and pollution, enhance
efficiency and sustain biodiversity and ecosystem
services.

8. UNEP’s Green Economy Report
Investing or reallocating just 2% of global GDP
in 10 key sectors can kick-start a transition to a
low-carbon, resource-efficient economy.

9. BAU vs. a Green Scenario
Green Scenario
2 % of GDP or 1.3
trillion USD per year
invested in greening
10 key sectors from
2010-2050.
Policies adopted to
help reduce harmful
CO2 emissions and
subsidies, and
incentives created to
increase
investments, i.e., in
natural capital and
energy
efficiency.
Business as Usual
Current trends assumed
to continue with 2% of
GDP per year allocated in
a BAU across 10 key
sectors from 2010-2050.
Policies continue to
support investment in
non-green infrastructure,
harmful fossil fuel and
fishing subsidies, etc.

10. Key Findings
Investing in natural capital, resource and
energy efficiency can lead to:
• Higher rates of GDP growth over time and
enhanced wealth
• Natural capital stocks
• Reduced poverty
• Decent employment

11. Key Finding: A Green Economy
Stimulates Growth & Exceeds BAU
Over Time…
GDP growth (%)

12. …while reducing ecological scarcities
and environmental risks

13. Results by 2050
… While preserving
NATURAL CAPITAL
…create
employment
… ensure
economic growth
…alleviate
poverty
… outperform
BAU
GREEN ECONOMY
can…

14. Asia – Pacific: 23% of global green stimulus investments,
originated in this region
China: investing US$ 468 billion in greening key sectors by 2015;
>double past five years.
Indonesia: national development plan has a goal of a “green and
everlasting Indonesia” by 2025. 7-41 target. (7% GDP
increase; 41% GHG reduction by 2030)
Republic of Korea: Green New Deal policy. 2% of GDP invested
in Green Growth.
Green Economy in Action

15. Towards a Green Economy
• Economic growth, social
development and environmental
sustainability can be mutually
compatible
• Not a single «recipe» for all
countries but financing is the key

16. 16
of ecosystems
damaged or being
used unsustainably
additional middle class
consumers by 2030
of global extraction of natural resources
per year by 2050, if consumption stays
at current developed country rates.
rise in temperature by
the end of the century,
due to doubling of GHG
emissions by 2050 ,
under BAU.

17. Why SCP?
The Resource Crisis
If we keep
the current patterns of
production & consumption
Since the late 1980 ecological Footprint
exceeded the Earth’s bio-capacity
in 2003 by about 25%
2002 20501900 2100

18. Continued…
Global material Use 1900 – 2005 (Krausmann et al. 2009)

19. Continued…
Macro Trend: GDP, Material Productivity and Domestic Material
Consumption in EU (Michal Miedzinski, 2011)
Although the EU has achieved a relative
decoupling of GDP growth from material
use, the absolute level of consumption
also grew.

20. Resource consumption on the rise
MoldovaBelarus Ukraine
Source: www.footprintnetwork.org accessed 5 Feb 2013
Armenia Azerbaijan
No data for Georgia
Resource consumption (measured in ecological footprint) exceeds available natural resources
(measured in bio-capacity). While being on the rise in the region, resource consumption yet varies
substantively in different countries and from a year-by-year perspective (between 1.7-4.o
ha/person, relative to global average of 2.7)

21. Some environmental results of transition:
decoupling economic growth from air
emissionsArmenia BelarusAzerbaijan
Georgia: no data Moldova Ukraine
0
50
100
150
200
250
300
350
400
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
0
50
100
150
200
250
300
350
400
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
0
50
100
150
200
250
300
350
400
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
0
50
100
150
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250
300
350
400
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
0
50
100
150
200
250
300
350
400
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
GDP (constant
prices)
Air emission from
mobile sources
Air emission from
stationary sources

22. Ukraine Domestic Material
Consumption and Trade Balance
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
16.0
1992 1997 2002 2007
kg/$
DMC / GDP (kg / $US Year 2000 exchange based)
Ukraine
EECCA
World
Rest of World
-2.5
-2.0
-1.5
-1.0
-0.5
0.0
0.5
1.0
1.5
2.0
2.5
1992 1997 2002 2007
Tonnes/Capita
Physical Trade Balance / Capita
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
16.0
18.0
1992 1997 2002 2007
Tonnes/Capita
Domestic Material Consumption / Capita
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
16.0
1992 1997 2002 2007
Tonnes/Capita
Domestic Material Consumption / Capita
Biomass
Fossil fuels
Metal ores and industrial minerals
Construction minerals

23. The context of SCP in GE
Transition to a Green Economy will be achieved
through:
a. Investments and policy measures aimed at
improvements in resource efficiency
b. Development of cleaner and low-carbon
technologies and markets, and
c. Reduction of environmental risks, while enhancing
human well being, fostering green growth and
decent job creation

24. UNEP Green Economy Initiative
• Selecting and driving
transformation in key sectors ‐
critical or highly material for
greening the global economy
• On enabling conditions (finance,
subsidies, taxes, regulations, and
related reforms that achieve GE
objective)
FOCUSAPPROACH
taxes, regulations
Sub‐
sidies
Finance

25. Sector - Agriculture
• Strong comparative advantage for many
countries, inter alia:
– suitable climatic conditions and rich biodiversity
– less contaminated soils
• Organic:
– 2010: $59 billion > 2015: $105 billion
– most production is in developing countries (>
75%), most consumption in developed countries (>
95%)
– development of regional organic trade (e.g. South
America)
– increasing demand for value-added organic
products (e.g. juices, spices)
• Higher price premiums
• Improved trade balances: use of local, instead
of costly imported, inputs and increased exports
of sustainable agrifood products

26. Seizing new trade opportunities
US$ 22.8 mil (2007/8)
US$ 6.2 mil (2004/5)
US$ 3.7 mil (2003/4)
48-68% less emissions and
carbon sequestration
The global
market:
97% of buyers in
OECD countries;
80% of
producers in
Africa, Asia and
Latin America
A $ 50 bn
market in 2007
growing at 10%
per year
The case of Uganda

27. Sector – Manufacturing
impact on the environment
Resource use:
•35 per cent of global electricity use
•Over 25% of primary resource extraction.
•Water use by industry is expected to grow to over 20
per cent of global total demand by 2030.
•High quality metal ores are gradually being depleted. As
industries resort to lower‐grade ores, more energy is
required to extract useful metal content.
Responsible for:
•Over 20 per cent of CO2 emissions.
•Increasing risks associated with the use of hazardous
substances.
•17 per cent of air pollution‐related health damages with
external costs equivalent to 1‐5% of global GDP.

29. Opportunities for manufacturing
•greening manufacturing industries will help reduce energy
consumption and emissions, reduce the upward pressure
on prices of fossil fuels and – through avoided energy costs
– help boost productivity and profit whilst stimulating GDP
and overall employment.
•Redesign of products and systems – cleaner
technology and closed‐cycle manufacturing (re‐use,
repair, remanufacturing and recycling)
•Extend products life
•Life‐cylcle approach
•Sustainbale value chain management
Modelling results : reduction of industrial energy
consumption by almost one half compared to BAU senario.

30. Policy and policy instruments
options
•Emission and discharge standards for industries with requirements
for the best available or best possible technology (BAT, BPT), 3P, 3R,
EPR
•Fiscal policy, comprising public expenditure, subsidies and taxation,
can provide powerful incentives that alter the basic cost‐benefit
calculation of producers and consumers:
– govt can establish prices through taxes, fees and royalties or
limit quantities through tradable permit schemes
•Public institutions can support the validation and harmonization of
eco‐labeling schemes, and establish consumer awareness and
education programmes
•Institutional support and soft technology approaches,
•Research and Development to forster eco‐innovation
•New industrial eco‐parks

31. • Global sales of organic food and drink = US$ 46 billion in 2007
(threefold increase since 1999)
• Sales of certified ‘sustainable’ forest products quadrupled
between 2005 and 2007
• From April 2008 to March 2009, the global market for eco‐
labeled fish products grew by over 50%, to a retail value of
US$ 1.5 billion
• Major consumer brand owners and retailers added
‘ecologically‐friendly’ attributes to their products:
– Mars (Rainforest Alliance cocoa)
– Cadbury (Fairtrade cocoa)
– Kraft (Rainforest Alliance Kenco coffee)
– Unilever (Rainforest Alliance PG Tips).
Growing consumer interest in ‘green’
products...

32. UNEP’s Green Economy Initiative started in late 2008, and
is focused on the following areas:
• Advisory Services
– providing technical assistance and advise in more than 20
countries
• Research
– including on how to measure progress towards a green economy
• Partnerships
– with UN agencies, governments, academic institutions,
businesses and NGOs

33. For Europe & Central Asia:For Europe & Central Asia: Bosnia and Herzegovina,Bosnia and Herzegovina, Montenegro, Serbia, Armenia, Azerbaijan,Montenegro, Serbia, Armenia, Azerbaijan,
Belarus, Moldova, Ukraine,Belarus, Moldova, Ukraine, Kazakhstan,Kazakhstan, (Russian Federation)(Russian Federation)
UNEP’s work at countries
Advisory Services World Map

34. A UN‐led response to the Rio+20 call for action

35. Provide targeted support that will
enable countries to transition to socially
inclusive green economies.
35
Vision
Objectives •To provide a springboard for action on
commitments made at the Rio+20 Summit.
•To create an enabling environment and
strengthen the capacity of Governments in
their transition to a green economy.
•To harness expertise and ensure a
coordinated response to countries’ needs.

36. PAGE is designed to mobilize resources and deliver
tailored support for green economy action at the
national level, which in turn will spur a global
transition.
Specifically, PAGE aims to:
•Enable countries to formulate and adopt green economy
policies.
•Strengthen capacity of national partners to implement focused
green economy initiatives, including key sectors.
•Develop global access to green economy training and tools.
•Create and share knowledge and country‐level applications.

37. PAGE Founding Partners
• International Labour Organization (ILO)
• United Nations Environment
Programme (UNEP)
• United Nations Industrial Development
Organization (UNIDO)
• United Nations Institute for Training
and Research (UNITAR)

38. Collective Expertise and
Assistance

39. Investing in a New Generation of
Assets
• Clean technologies
• Resource-efficient
infrastructure
• Well functioning
ecosystems
• Green skilled labour
• Good governance

40. Measuring the Impact of PAGE
• Increased decoupling of
economic growth from
resource consumption
and environmental
degradation
• More decent green jobs
• Number of people with
access to safe water,
clean energy, sanitation
and other
environmental
amenities.

41. Thank you!