1. Poverty Number 23
International Policy Centre for Inclusive Growth
Poverty Practice, Bureau for Development Policy, UNDP
Dimensions of Inclusive Development

2. 2 International Policy Centre for Inclusive Growth
Growth, Equity and Sustainability: A Declaration of Interdependence
GUEST
Over one billion of us live without many of the basics that the other six billion take as given.
E D I TO R S Although 28 countries have moved from low-income status to middle-income status, with
Ghana and Zambia among the newest Middle Income Countries, an estimated 800 million
people still live in low-income countries. Of these, half live in just five countries, three of
which are in sub-Saharan Africa. In these least-developed countries (LDCs), conflict, disaster
and broader human insecurity impose structural limits on efforts to move from crisis to risk
reduction and from growth to sustained development. So although many millions have been
Poverty in Focus is a regular publication of
lifted out of poverty in the last ten years, it is also true that more people live in chronic hunger
the International Policy Centre for Inclusive
Growth (IPC-IG). Its purpose is to present the than ever before. Significant and sustained progress will require faster and better efforts.
results of research on poverty and inequality The message of this Poverty in Focus is that, “For Growth to be inclusive, it must be sustained
in the developing world. and sustainable and that, for it to be sustained and sustainable, it must also be equitable.”
As a contribution to the dialogue around Rio+20 and to the ongoing discussions around
Guest Editors a post-2015 MDG Agenda, this Poverty in Focus links future development to sustainability and
Leisa Perch and Gabriel Labbate particularly to social sustainability. Looking beyond the critical issues of ‘carbon footprints’,
‘low-carbon development’,’ green economy’ and the economics behind saving the planet,
Desktop Publisher it draws attention back to the continuing challenge of ensuring that growth and development
Roberto Astorino
deliver for the poor and vulnerable. In its many forms—energy poverty, lack of access
Copy Editor to water and sanitation, malnutrition or insecure access to food, and lack of access to
Lance W. Garmer education and health—the scale and scope of global deprivation call current
development policy and practice into question.
Front page: Multiple Dimensions of
Development is the spirit behind this Poverty Growth, gender, poverty and the environment can no longer be treated as loosely connected
in Focus. The images represent the range components of development. Recognizing their interdependence is at the core of improved
of issues, the people and the regions we and sustained development for all.
covered and also the message of dimensions
within a broader context. They also reinforce
For one thing, the continuing decline of the quantity and quality of natural resources and
the duality which lies behind development
at all levels, including the need for social as of ecosystem functions is likely to exacerbate the likelihood of conflict over resources,
well as technological innovation as part of particularly water. According to UNDP’s Bureau for Crisis Prevention and Recovery,
structural transformation. Images 1, 3, 5-7 35 countries had entered what could be designated a ‘post-conflict phase’ by 2008.
are from the IPC-IG “Humanizing Development” The cost of conflict has been enormous, matching or surpassing, according to some
Global Photography Campaign (photographers
estimates, the value of ODA received in the last 20 to 30 years in the same countries.
respectively: GB Mukherji, Soleyman Mahmoudi,
Ramesh Pathania and Joyce Wambui).
Image 2 (Adrian Jankowiak) and image 4
Addressing topics such as the evolving debate on environmental and social justice
(Max Thabiso Edkins and ResourceAfricaUK). and improved accounting frameworks to ‘include’ environmental assets and services
in considerations of growth, the enclosed articles can help us go beyond lip-service to
Editors’ note: IPC-IG and the editors the notion of sustainability. They focus on the ‘software’ components of development,
gratefully acknowledge the generous highlighting the need for equal attention to process and to results. Suggesting that inclusive
contributions, without any monetary or
material remuneration, by all the authors
and sustainable development will need to leverage ‘social technologies’ such as political
and photographers of this issue. innovations, true engagement and honest evaluation, they make a clear case for a strong,
representative state and the complementary roles of civil society and the private sector
in defining and achieving sustained and sustainable development. They underscore the
role of formal and informal mechanisms in the negotiation and reconciliation
IPC-IG is a joint project between the United of conflicting and competing interests.
Nations Development Programme and Brazil to
promote South-South Cooperation on applied
In view of the high expectations placed on the next year’s Rio+20 meeting, let us remind
poverty research. It specialises in analysing
poverty and inequality and offering research- ourselves that ‘social sustainability’ will be built on the foundations of productive and social
based policy recommendations on how to reduce inclusion. Too often, the focus has fallen largely on productive inclusion, with limited effort
them. IPC-IG is directly linked to the Poverty to address the structural factors that cause and sustain exclusion and marginalization, be
Group of the Bureau for Development Policy, they related to gender, political processes, property rights for the poor, and so on. Moreover,
UNDP and the Government of Brazil. a focus on ‘sustained’ development as well as sustainable development acknowledges that,
for many countries, existing development gains are fragile and easily reversed. The acute
IPC-IG Director
Rathin Roy
challenges faced by countries in the Horn of Africa due to persistent drought, displacement,
conflict and poverty are a case in point.
International Policy Centre for Inclusive
Growth (IPC-IG), Poverty Practice, A socially sustainable approach, say these authors, is one in which policy efforts do not shy
Bureau for Development Policy, UNDP away from the many interdependent multiple dynamics, processes and situations that affect
vulnerability and predispose the poor and the vulnerable to harm from shocks and change.
Esplanada dos Ministérios, Bloco O, 7º andar
70052-900 Brasilia, DF Brazil
Growth, equity and sustainability are mutually compatible, if efforts have enough time
ipc@ipc-undp.org and resources, are responsive to underlying structural causes and encourage the vigorous
www.ipc-undp.org participation of the poor, allowing them to define their futures. What follows illuminates the
complexity of inclusiveness as a development outcome and highlights bold action in and by
The views expressed in IPC-IG publications the South. We hope that these articles serve as a source of further innovation and inspire
are the authors’ and not necessarily those of more cooperation and the spread of knowledge within the South. Ours is an age of political
the United Nations Development Programme
or the Government of Brazil.
convulsions, global economic shifts, inexorable climatic change and stubborn poverty.
Informed and catalytic strategies are needed now more than ever before.
Rights and Permissions – All rights reserved. The
text and data in this publication may be reproduced
as long as written permission is obtained from IPC-IG
and the source is cited. Reproductions for
by Olav Kjorven, Assistant Administrator
commercial purposes are forbidden. and Director of the Bureau for Policy Development, UNDP

3. Poverty in Focus 3
Overview:
Where People, Poverty, by Leisa Perch,
International Policy Centre for Inclusive Growth
Environment and Development Meet
Twenty years after Rio, we are still recently, within ‘making growth more
struggling with many of the same issues inclusive including integrating both Often, the backdrop
and contradictions in the development environmental risk and co-benefits’. for the discourse on
process that we faced earlier; in fact, sustainability has been
many have become even more complex. Overall, the successful combining of characterised by tension,
social and environmental co-benefits in rather than by reconciliation,
The Rural Poverty Report 2011 (IFAD, 2010) policy and practice has remained more among the economic,
notes that some 1.4 billion people elusive. The Government of China’s social and environmental
continue to live in extreme poverty, recent statements4 on the need to dimensions of development
struggling to survive on less than reconcile growth and social development (i.e., the three pillars).
US$1.25 a day, and that more than two with environmental sustainability signal
thirds reside in rural areas of developing potential shifts, but the extent of such Overall, the successful
countries. Papers by Andrew Sumner reconciliation is not yet clear. Similarly, combining of social and
(2010)1 and Ortiz and Cummins (2011)2 Indonesia and India have also taken environmental co-benefits
further emphasise that growth has not steps to address such concerns, with the in policy and practice has
been equitable, with the latter paper Government of India recently launching an remained elusive.
highlighting that the rate of change incentive mechanism5 to promote greater
on the trajectory from indigence energy efficiency in the private sector. The sustainability of
to poverty and from poverty to the supply of resources
non-poverty has been very slow for Given the predominant view of the role (environment), sustained
the global poor as a constituency. of capital and labour (in the economic access to resources in
system) as factors of production and securing livelihoods
As the world turns its attention to COP 17 growth, competition and tensions are (society) and the quality
in Durban and the 20th anniversary of the manifest in policy and institutional of financial resources
Rio Convention (the UN Convention on frameworks. Natural capital is still seen (investments) are essential
Environment and Development), phrases as another, even abundant factor of to stabilizing environmental
such as the ‘green economy’ and ‘inclusive production, and the capacity of change cycles, reducing/
and sustainable development’ are now institutional checks and balances— mitigating ecological
shaping the discourse on development. environmental ministries—to drive scarcity, and enhancing
In view of the expectations placed on the agenda remains relatively weak. the renewal of the
the ‘green economy’, carbon credits, Social sectors remain peripheral to ecological system.
and market-based mechanisms as many of the debates, national and
policy responses for development ills, global alike, about how to arrest
this is a good time to remind ourselves catastrophic environmental change.
about the need for ‘social sustainability’, a
critical pillar of sustainable development The articles in this Poverty in Focus serve
—in other words, to reaffirm that to highlight both the need for greater 1. See: <http://www.ipc-undp.org/pub/
IPCOnePager120.pdf>.
greening processes will not automatically focus on ‘software’ components to make
deliver for the poor or the vulnerable. development work and the capacity of 2. See: <http://www.unicef.org/socialpolicy/files/
Global_Inequality_Beyond_the_Bottom_Billion.pdf>.
‘social technologies’ to produce
Often, the backdrop for the discourse on development and growth. Contributing 3. See Silent Spring by Rachel Carson (1962) and Limits
to Growth by Donella Meadows (1972).
sustainability has been characterised by to the debate about getting policy right,
tension, rather than by reconciliation, Gabriel Labbate discusses the challenges 4. Thomas, L. (2011). ‘The Earth is Full’
among the economic, social and and opportunities that policy makers in The New York Times. Available from
<http://www.nytimes.com/2011/06/08/opinion/
environmental dimensions of face in implementing policies with 08friedman.html?_r=1&src=me&ref=general>.
development (i.e., the three pillars). probably environmental and social
5. See: <http://moef.nic.in/downloads/public-
At times, the discourse has been framed dividends, and, together with Kishan information/India%20Taking%20on%20
within ‘limits to growth’,3 and, more Khoday, argues that the environment Climate%20Change.pdf>.

4. 4 International Policy Centre for Inclusive Growth
and society are organic systems While not a comprehensive list of policy mixes that combine
constantly in flux and change and that or accounting of the richness of social the macro and the micro to deliver.
there may therefore be no ideal state of and political innovation available for
sustainable development. Specifically, development, the examples highlighted On this point, Lucy Wanjiru’s article on
Khoday’s article, supported by many underscore the need for global policy, accounting for gender and sustainability
others, including those of Lindiwe Sibanda including the global climate change raises the profile of equality as an
(FANRPAN) and Dan Smith and Janani agenda, to focus on incremental and important condition for a green
Vivekananda (International Alert), signals long-term gains as well as immediate economy and shows the potential of
the need for more flexible policymaking, ‘wins’. From the perspective of social the Women’s Business Initiative to tackle
one able to adjust as new information is innovations, the comparative analysis by growth and affordability in tandem with
made available. Nicolas Perrin’s article on Darana Souza and Danuta Chmielewska equity, access, opportunity and the
the ECA region argues for the importance highlights the benefits of ‘publicly- quality of development. Leonardo
of taking note of the political economy assigned rights and rights-holders’, Hasenclever and Alex Shankland’s
dimensions of various policies. particularly when policy and review of REDD+ makes the case for
programmes then reinforce them. the indigenous community as an equal
The article by Helene Connor and Laura partner, not just a beneficiary. Thus, a
Williamson further reinforces this by The contributions by Leonardo picture of cautious optimism, balanced
calling for a “blinders off” approach Hasenclever, Alex Shankland and with the need to move beyond
which move us beyond simplistic Nicolas Perrin highlight the continuing rhetoric, emerges.
viewpoints of how power relationships lack of coherence and the need to
define the interactions of the three avoid complacency even when big Reviewing the development context
pillars of development and how battles are won. Leisa Perch’s article and challenges in the smallest countries
those pillars interact with each other. on gender and employment also (SIDS) to one of the largest (India), the
speaks to a number of subtle localized authors’ common clarion call is for
Individually and collectively, the and micro realities that continue to sustaining development and anchoring
contributions herein make a clear undermine socio-economic resilience. development in society.
case for a strong, representative state While specific to SIDS, they highlight
and the complementary role of civil the dynamic interplay between the The authors argue that the sustainability
society and the private sector in economy at the household, group of the supply of resources (environment),
defining and achieving sustained and macro level which often limits sustained access to resources in securing
and sustainable development. sustained growth. livelihoods (society) and the quality of
They also refer directly and indirectly financial resources (investments) are
to the role of formal and informal Moreover, concerns expressed about the essential to stabilizing environmental
institutions necessary for the negotiation quality of employment and about the change cycles, reducing/mitigating
and reconciliation of conflicting and disconnect between needs and income ecological scarcity, and enhancing
competing interests. The article by as well as the continuous exposure of the renewal of the ecological system.
Denis Sonwa and Olufunso Somorin, SIDs to external shocks, resonate also Even so, they also note that population
for example, makes a clear case for other countries and suggest the growth and other demands place
anchoring rights and responsibilities need to focus on adaptation and significant and potentially exponential
in law where they can be defended resilience-building, not just as marks pressures on assets, goods and services
yet linked to fluid systems of on the development trajectory, but that are critical to future generations.
institutional building that respect also as continuously evolving processes.
local reality and culture. Perhaps most critical for a rapidly
By probing some of the ‘uncomfortable’ globalizing and changing South is
This consensus suggests that the questions of politics and interests and our reconfirmation that transnational,
planned discourse for the Rio+20 by highlighting the potential for regional and global concerns will
meeting on ‘institutional frameworks’ conflict, both overt and gradual, these increasingly influence ‘national’ policy.
may need to ensure a broad scope articles suggest the need for greater There can be no green economy
that can set standards and promote caution when addressing complex without an international enabling
innovation and adaptation at all development challenges where not all environment, particularly on trade,
levels of society. interests, capacities and implications that allows countries to invest, support
rest easily or clearly on the surface. and anchor today’s development
This accords with Hodgson’s definition decisions in tomorrow’s possibilities.
of institutions as “systems of established They particularly outline the acute but
and prevalent social rules that structure lesser known ‘social’ knock-on effects
social interactions. Language, money, of public policy failures and warn that
law, systems of weights and measures, socially blind policies are unlikely 6. Hodgson, Geoffrey M. (2006). ‘What are Institutions?’
Journal of Economic Issues, Vol. XL No. 1. Pp 1-25.
manners and firms (and other to be sustainable in the long term. March edition. Accessed from <http://checchi.
organizations) are thus all institutions”.6 Critically, the articles show the capacity economia.unimi.it/corsi/whatareinstitutions.pdf>.

5. Poverty in Focus 5
Integrating Poverty and by Gabriel Labbate, Ph.D,
Senior Programme Officer,
UN-REDD Programme/Poverty
Environment Policies: and Environment Initiative
Issues, Challenges and Opportunities
The integration of environmental the poor, with a substantial share of
and development policies can be damage originating in commercial The integration of
traced as far back to the 1960s with the ventures attempting to satisfy the poverty and environment
publication of Silent Spring (Carson, 1962), increasing demands of a growing policies has taken centre
to the 1970s with the establishment population that has an increasing stage in the development
of UNEP, and to the 1980s with the spending capacity and shifting debate for their potential
Brundtland Commission (WCED, 1987). consumption patterns for value-added to generate substantial
The concept took central stage in the good and services (MEA, 2005). social benefits.
Rio 1992 conference on environment and
development and continues today as a There is little challenge to the idea that Contrary to accepted
pivotal element in the ‘green economy’ the integration of development and beliefs, these policies
discussion (UNEP, 2011). environment can result in cost-effective do not produce systematic
policy options. The benefits can be win-win situations for
The understanding of how poverty and non-trivial and encompass almost all sectors of society
environment interact with each other every policy area, from local to national/ and therefore their
has also evolved. Initially, the idea regional, from urban to rural (DFID, EC, implementation faces
of a poverty-environment nexus UNDP, WB, 2002; TEEB, 2010). However, political difficulties.
as a synergistic spiral of environmental while integrating poverty and
degradation and poverty dominated environment policies can produce
the discussion (WCED, 1987; World Bank, significantly positive and quantifiable
1992). Short-term needs overran potential results, it remains more the
long-term benefits, with poverty inducing exception than the rule.
environmental degradation, which,
in turn, exacerbated poverty. In this Even development agencies find
conceptual model, poor individuals the integration of their poverty and
are both victims and agents of environment portfolios a challenge,
environmental degradation. despite expanded efforts like the
Poverty and Environment Initiative,
This synergistic cycle, however, a partnership between UNEP and UNDP,
provides limited insight into the and the global commitment to the
true dynamics of resource use by poor MDGs as an overarching development
groups (Brocklesby and Hinshelwood, policy framework.
2001; Dasgupta et al., 2005). Formal and
informal institutions are better at There are good reasons for this:
explaining the short- and long-term
incentives that influence patterns First, poverty and environmental
of resource use (North, 1990). policies can have significant
synergies and be complementary,
The generalisation of this synergistic but they still comprise largely
spiral also ignores issues of heterogeneity, different types of intervention
or the notion that not all poor individuals packages. A healthy environment
have the same capital endowments and can be a necessary, but not sufficient,
that, therefore, equally poor groups can condition to lift people out of
make different use of similar pools of poverty. Some of the deepest poverty
resources (Chomitz, 1999; Barbier, 2000). readings take place in quite pristine
environments, such as in tropical forests
Often, the drivers of environmental beyond the agricultural frontier
degradation are also moving away from (Chomitz, 2007).

6. 6 International Policy Centre for Inclusive Growth
The relationship can go the other way, too. developing countries. In this context,
The effect of very rapid Addressing social imbalances can be a integrating poverty and environment
growth on ecosystems necessary, but not sufficient, condition would require policies that could be
and their services has not to ensure sustainable resource use politically unpalatable. The notion
(see also Gilbert, 2010). that sectors of society might have to
been trivial. More than sacrifice some consumption to achieve
half of all ecosystem Second, a healthy environment is a world free of poverty under conditions
services are degraded or not a binary (0,1) variable. In most of sustainability is still anathema to some
cases, the challenge is to find that citizens in developed and developing
being used unsustainably. level of resource pressure which allows countries (Lind, 2010; Soley, 2010).
for increased income among the poor,
Some estimates put yet that stays within perceived safe Fourth, mainstreaming poverty-
limits—for example, those required to environment policies in development
global environmental preserve the resilience of ecosystems. plans is not cost-free. It demands
damages in 2008 alone This can turn into a complex time and attention from qualified
at 11 percent of global optimisation problem, one in which staff, a generally scarce resource.
the target is not to maximise a single It can also entail re-accommodation
GDP, several times the variable, but rather to find the of expenditures between sectors
impact of the global best balance among several. because realizing the benefits of
financial crisis in the same poverty-environment mainstreaming
Third, improving the well-being of the can require increases in environmental
year (UNEP, 2010). poorest implies increased consumption spending, a potentially difficult choice
capacity (e.g., more food, better for a policy maker with limited resources
The best chances of clothing, housing, etc.). Traditionally, (see also Bah, 2008).
development has been coupled with an
success will come from increased production and consumption As a result, some needed environmental
sustained interventions of goods and services, resulting in a investments may not be carried out
that are honest at rate and pattern of growth in the last because, as portfolio theory teaches us,
50 years in which the global economy the fact that an intervention has a
recognizing challenges, has increased six-fold, food production positive payoff is not a sufficient
focus on impact, do not has increased by two and a half times, reason to automatically expect
divorce themselves from and water use has doubled. The effect its implementation. Proposed
of this very rapid growth on ecosystems interventions must have a positive
the underlying reasons and their services has not been trivial. payoff and a rate of return above
of poverty, and invest More than half of all ecosystem that of other competing demands.
in better governance services are degraded or being In the long run, environmental
used unsustainably. The species policy can pay for itself, but, in
and greater efficacy extinction rate is 1,000 times above the short run, the transition costs
of public policy. the estimated normal level. Cultivated can often be significant. Development
systems already cover one quarter agencies would do well to better
of the Earth’s terrestrial surface, while understand these costs and their
the amount of water impounded in influence on the decision-making process.
dams is three to six times that
of natural rivers (MEA, 2005). Finally, the mainstreaming of
poverty-environment policies
Some estimates put global environmental does not escape the law of diminishing
damages in 2008 alone at 11 percent of returns. Projects that provide technical
global GDP, several times the impact support to countries in order to integrate
of the global financial crisis in the same poverty and environment policies
year (UNEP, 2010). should prioritise those interventions
in which payoffs are maximised,
The unlimited production of preferably in the short run, and use
consumer goods is not a feasible these as building blocks for more
option. Consequently, the increased complex efforts.
consumption of the poorest under
conditions of sustainable resource use will Vaguely focused interventions
need to be balanced by readjustments distract scarce public-service talent,
in the consumption patterns of middle render poor services to the objective of
and upper classes in developed and scaling up the mainstreaming of poverty-

7. Poverty in Focus 7
environment policies, and generally exposure to toxics, the informal discussion notes prepared for the
WDR Summer Workshop on Poverty and
have difficulties in demonstrating impact. waste collection sector, and recycling, Development, 6-8 July 1999, Washington DC.
an area in which the Poverty
Notwithstanding the above, the potential Environment Initiative is already Chomitz, K. (2007). At Loggerheads?:
Agricultural Expansion, Poverty Reduction,
for integrating poverty-environment working in Uruguay.
and Environment in the Tropical Forests,
policies is immense. The following Washington DC, World Bank.
examples outline the scale of potential The increased production of
payoffs for rural and urban environments. waste has surpassed the capacities DFID, EC, UNDP and the World Bank (2002).
Linking poverty reduction and
of most urban centres in developing environmental management:
For the rural sector, small-scale countries and has provided grounds Policy Challenges and Opportunities.
agriculture and improved for the establishment of an informal
Gilbert, N. (2010). ‘Can Conservation
water and soil management hold waste collection sector that is Cut Poverty?’ Nature 467, 264–265.
,
great potential for integrated poverty responsible for most recycling. Available at: <http://www.nature.com/news/
and environment policies. In many The conditions under which this 2010/100913/full/467264a.html>.
settings, it can reverse ongoing activity takes place are extremely Holt, E. (2001). ‘Measuring Farmers’
processes of land degradation, harsh and often reinforce Agroecological Resistance to Hurricane
improve food security, and diminish structural poverty. Mitch in Central America’, Gatekeeper
Series No.Sa102, International Institute
the vulnerability of poor populations for Environment & Development.
(Barbier, 1987; Holt, 2001). It is true In summary, the integration of poverty
that, in many rural settings, realising and environment policies can have Lind, M. (2010). From Shrillness to S
obriety: Pragmatism in Climate Politics.
the benefits of poverty-environment significant social rewards. Sustained Available at: <http://www.policy-network.net/
policies can require addressing land interventions that keep structural publications_detail.aspx?ID=3758>.
tenure issues, land concentration, and realities in view, focus on impact,
Millennium Ecosystem Assessment (2005).
power asymmetries, underscoring the do not divorce themselves from Ecosystems and Human Well-being:
observation that environmental the underlying causes of poverty, Synthesis, Washington DC, Island Press.
investments are insufficient, in of and invest in better governance
North, D. (1990). Institutions, Institutional
themselves, to lift people in and greater efficacy of public Change and Economic Performance,
out of poverty. policy are more likely to deliver Cambridge, Cambridge University Press.
the transformations necessary
Soley, C. (2010). ‘Needs Must: Should the
Current efforts at reducing to anchor sustainable development. Environment Trump Prosperity?’
deforestation and forest Available at: <www.policy-network.net/
degradation (REDD+) provide publications_download.aspx?ID=3662>.
Bah, El-hadj M. (2008). ‘Structural
another avenue with tremendous TEEB (2010). The Economics of
Transformation in Developed and
potential for ‘win-win’ poverty Developing Countries’ MPRA Paper 10655.
, Ecosystems and Biodiversity.
and environment policies. Available at: <http://mpra.ub.uni- Available at: <http://www.teebweb.org/
muenchen.de/10655/1/ TEEBSynthesisReport/tabid/29410/
A mosaic of improved land Default.aspx>.
MPRA_paper_10655.pdf>.
use practices and forested areas
supported by economic incentives Barbier, E. (1987). ‘Cash Crops, Food Crops UNDP (2005). Millennium Project.
and Agricultural Sustainability’ Gatekeeper
, Report of Task Force 7 on Water
and technical support is probably and Sanitation. Available at: <http://
Series 2, International Institute for
the best option currently available Environment & Development. www.unmillenniumproject.org/documents/
to stabilise frontiers in large sectors WaterComplete-lowres.pdf>.
Barbier, E. (2000). ‘The Economic Linkages
of developing countries and to UNEP (2010). Why environmental
between Rural Poverty and Land
reduce rural poverty. Such efforts Degradation: Some Evidence from Africa’, externalities matter to institutional
alone will not reverse deforestation Agriculture, Ecosystems and Environment, investors. Available at: <http://
Vol. 82, pp. 355-370. www.unepfi.org/fileadmin/documents/
trends; they should be accompanied universal_ownership.pdf>.
by efforts to tackle large-scale Brocklesby, M. and Hinshelwood, E. (2001),
agriculture, real estate speculation, ‘Poverty and the Environment: What the UNEP (2011). Towards a Green Economy:
Poor Say: An Assessment of Poverty- Pathways to Sustainable Development
and other forces that promote and Poverty Eradication.
Environment Linkages in Participatory
forest cutting. Poverty Assessments’, DFID. Available at: <http://www.unep.org/
greeneconomy/GreenEconomyReport/tabid/
Carson, R. (1962). Silent Spring. 29846/Default.aspx>.
At the urban level, the traditional
New York, Houghton Mifflin.
sectors of water and sanitation World Bank (1992). World Development
remain the most promising Dasgupta, S., Deichmann, U., Meisner, C., Report 1992 – Development and the
and Wheeler, D. (2005). ‘Where is the Environment, New York, Oxford
areas for a twin-track approach.
Poverty Environment Nexus? Evidence University Press.
The poverty-environment linkages from Cambodia and Lao PDR and Vietnam’,
here have been well researched World Development, Vol. 33, No. 4, World Commission on Environment
pp. 617–638. and Development (1987). Our Common
and the payoffs are substantial
Future, Report of the World Commission
(UNDP, 2005). Linked to these Chomitz, K., (1999). Environment-Poverty on Environment and Development, Oxford,
is the interface between health, Connections in Tropical Deforestation, Oxford University Press.

8. 8 International Policy Centre for Inclusive Growth
by Lucy Wanjiru,
Programme Specialist,
Gender and Environment,
Accounting for Green
UNDP/BDP Gender Team
Growth From the Lens
of Gender Equality: Why It Matters!
The world is shifting away from While a green economy has the potential
While a green economy economic growth models based on fossil to contribute to global economic
has the potential to fuels and toward a new ‘green’ economy recovery and to create both high- and
contribute to global based on low-carbon development. low-skill jobs, it also supports quality
economic recovery and to The financial and economic crises have investments at the community level to
create both high- and prompted increased investments in provide clean, affordable energy and
low-skill jobs, it also environmental infrastructure through to reduce threats from food, water,
supports quality economic stimulus packages, while ecosystem and climate crises. A green
investments at the countries continue to make commitments economy that functions in this way is
community level to provide and substantial monetary pledges to more likely to deliver on its promise to
clean, affordable energy support emerging financing mechanisms eradicate poverty and to promote equity,
and to reduce threats from to mitigate and adapt to climate change. especially among women.
food, water, ecosystem
and climate crises. A green economy can help to achieve In many developing countries, women
sustainable development by alleviating are living on the frontlines of climate
A green economy that environmental threats, contribute to the change. As primary producers of staple
functions in this way is creation of dynamic new industries and foods—a sector that is highly exposed
more likely to deliver on its income growth, and create quality jobs to the risks of drought and uncertain
promise to eradicate poverty that can improve workers’ economic rainfall—women are disproportionately
and to promote equity, standing and thus their ability to impacted by climate change and are
especially among women. better support their families. often excluded from political and
household decisions that affect their
These new industries and jobs can help lives. During natural disasters such as
protect and restore ecosystems and floods and hurricanes, for example,
biodiversity, reduce energy consumption, women suffer disproportionately and
decarbonize the economy, and often count higher among the dead.1
contribute to climate change
mitigation and adaption. In addition, women tend to possess
fewer assets and have insecure forest
The sustainability of the new green and land tenure rights. Even where
1. Oxfam International (2005).
economy depends, however, not only legislation to secure women’s land rights
2. Gender Justice: Key to Achieving the Millennium on that economy’s ability to yield exists, the process of implementing the
Development Goals. Available at <http://
www.ungei.org/resources/files/MDGBrief-English.pdf>.
environmental benefits, but also on laws remains a challenge. In Madagascar,
its effectiveness in helping to eradicate for example, only 15 percent of women
3. Policy Paper: Intellectual Property, Agro poverty and to increase gender equality own small landholdings, although the
biodiversity and Gender.
and women’s empowerment. constitution guarantees women’s land
4. Evidence for Action Gender Equality and Economic rights and 83 percent of employees
Growth. Available at: <http://www.oecd.org/dataoecd/
34/15/45568595.pdf>. Green economy initiatives that aim at in the agricultural sector are women.
creating more environmentally-sound Furthermore, agricultural financing
5. UNDP and Energy Access for the Poor: Energizing the
Millennium Development Goals. Available at: <http://
economies are not automatically processes do not often include gender
www.undp.org/energy/>. inclusive of fundamental social considerations. “OECD statistics show
requirements such as income equity, that of the US$18.4 billion spent on
6. “A Gender Perspective on the “Green Economy”
Equitable, healthy and decent jobs and livelihoods“, job quality and gender equality. In failing agricultural aid between 2002 and 2008,
Women’s major group position paper in preparation to account for social factors, they could donors reported that just 5.6 percent
of the “Rio+20" United Nations Conference on
Sustainable Development 2012. maintain or even aggravate the negative included a focus on gender”.2
Available at: <http://www.unep.org/civil-society/ social and distributive trends of the
Portals/59/Documents/12_GMGSF/
docs_and_presentations/Additional_messages/
traditional economy, such as existing Although women generally lack decision-
gender_perspective_on_the_green_economy.pdf>. inequalities and gender gaps. making power in social and political

9. Poverty in Focus 9
institutions and are excluded are essential for climate change mini-grids, water pumping and biofuel)
from leadership positions or given only mitigation, can have significant and are also being introduced rapidly.
secondary roles, they are not only victims rapid economic benefits for women Scaling up energy access in off-grid
of adverse climate impacts. Indeed, they in developing countries. It can improve areas across Africa will be instrumental
are also active agents of change, leaders, productivity and efficiency and open up in empowering women and accelerating
and champions of economic growth and new income-generating opportunities progress on multiple MDGs.5
sustainable development. for women, especially in currently
underserved rural areas. Still, despite recent gains in gender
Despite suffering from socio-economic equality and women’s empowerment,
disadvantages, women are already Supporting women in designing, a significant wage gap and extremely
responding to climate changes while producing and marketing new energy- low numbers of women in high-growth
they work to maintain their families related equipment could trigger a employment fields remain. Women
and communities. They are at the positive chain reaction. Research shows still face significant challenges in
frontlines of everyday adjustment and that women are most likely to invest in entrepreneurship, including limited
adaptation to changing conditions the wellbeing of their families; their access to start-up capital, financing,
and environments. increased control over resources likely networks, and technical expertise,
leads to increased spending on children, as well as a lack of opportunity to
As primary caretakers of families, a greater accumulation of human capital bid on competitive federal contracts.6
communities and natural resources, in the next generation, and the creation
women are energetically supporting of sustainable livelihoods for A truly sustainable ‘green economy’
rural food security and maintaining whole communities.4 must promote gender-friendly, green-
agricultural biodiversity.3 collar employment and entrepreneurship
The green economy will need to support opportunities and social equity and
They have accumulated specific innovative approaches and business must create green pathways out of
knowledge and skills about local models to facilitate women’s poverty for both genders.
conditions and ecological resources entrepreneurship opportunities and
and have the power to contribute to support the scaling-up of field-proven The Case of UNDP’s Women’s Green
economic transformation and sustainable solutions and approaches that facilitate Business Initiative
development. But to reach their full growth for female-owned business The United Nations Development
potential, they need support in scaling up ventures beyond social assistance and Programme’s (UNDP’s) strategic approach
and upgrading their activities related to micro-credit schemes. In Mali, Burkina to addressing climate change is guided
sustainable agriculture, renewable energy, Faso and Senegal, for example, access by the principles of inclusion and
and the conservation of water supplies, to mechanical power (multifunctional sustainable development, recognizing
forests and other natural resources so that platforms), some of which is run from that climate change is a development
they can generate greater economic clean biofuel, is generating income for issue and must be addressed hand-in-
benefits from their labour. 2 million rural women, increasing school hand with efforts to reduce poverty.
completion rates, and equalising the To this end, UNDP has launched the
Increased access to cleaner fuels, energy girl-to-boy ratio in primary schools. Women’s Green Business Initiative,
sources and technologies, all of which New options (e.g., off-grid decentralised a global programme aimed at
promoting women’s employment and
entrepreneurship opportunities through
Women and the Environment: climate change mitigation and
adaptation activities.
Forests contribute to the livelihoods of many of the 1.2 billion people living in
extreme poverty, and the large majority of these poor (over 70 percent) are women Working in close collaboration with
(Gurung and Quesada, 2009). governments, civil society organizations,
70 percent of the 1.3 billion people living in conditions of poverty and the private sector, the Initiative is
are women. In urban areas, 40 percent of the poorest households are establishing “service delivery platforms”
headed by women (UNDP, 2009 from UNFPA, 2008). that offer policy advice, capacity
building, financing options, information,
Women predominate in the world’s food production (50-80 percent), but they
and increased access to new
own less than 10 percent of the land (UNDP, 2009 from UNFPA, 2008).
technologies for developing countries.
In sub-Saharan Africa, women comprise 60 percent of the informal economy, This initiative will further the UN System-
provide about 70 percent of all the agricultural labour and produce about wide Policy on Gender Equality and the
90 percent of the food (FAO, 2008). Empowerment of Women7 and the UNDP
By training women, including grandmothers, to be solar engineers, the Barefoot Gender Equality Strategy (2008-2013).8
College has helped them and communities to access renewable energy and reduce
reliance on biomass as an energy source (Castonguay, 2009). The Women’s Green Business Initiative
will contribute to poverty reduction

10. 10 International Policy Centre for Inclusive Growth
The green economy
The Types of Enterprises that can be Supported by the
Women’s Green Business Initiative Include: will need to support
innovative approaches
Producing and marketing low-emission, more efficient stoves and equipment.
and business models
Producing, marketing, and installing renewable energy technologies. to facilitate women’s
Producing biofuels and biogas for lamps, cookers and motorised equipment. entrepreneurship
Expanding existing businesses using new energy efficient and renewable opportunities and
energy sources. support the scaling-up
Preserving forest and biodiversity through tree planting, ecosystem conservation of field-proven solutions
and sustainable use of indigenous resources.
and approaches.
Providing financial, business and environmental management
and consulting services.
Integrating gender
considerations in the
and the achievement of the Millennium access to existing climate change green economy is critical
Development Goals (MDGs), especially of funds and pursues the establishment to the creation of a more
MDG 3 on gender equality and women’s of new targeted financing options for
equal and sustainable
empowerment. This is particularly women’s green business initiatives.
important for gender-responsive society for all.
and green public investment. The Women’s Green Business Initiative
aims to directly empower women in
The Initiative equips women to engage developing countries to engage in the
vigorously in new economic activities design, production and delivery of green UNDP (2009) Resource guide on
Gender and Climate Change.
that address climate change threats while technologies, products, services, and Available from: <http://content.undp.org/
building stronger, more resilient and self- information to adapt to and mitigate the go/cms-service/download/publication/
reliant communities by implementing effects of climate change. It also provides ?version=live&id=2087989>.
three strategic elements: support services to remove legal, policy FAO (2008). Gender Equality: Ensuring rural
and regulatory biases that hinder women’s and men’s equalparticipation in
Creating a policy environment that women’s entrepreneurship and development. Food and Agriculture
Organization. <ftp://ftp.fao.org/docrep/fao/
enhances equal economic opportunities employment in the new green industries 011/i0765e/i0765e10.pdf>.
for women: The Initiative provides and activities of the future. Evidence
advice and technical support to shows that investing in gender equality Castonguay, Sylvie (2009).
Barefoot Colleague Teaching Grandmothers
governments on policy and planning can accelerate economic growth and to be Solar Engineers. WIPO Magazine,
frameworks to remove legal, reduce poverty.9 3/2009. June 2009. WIPO, Communications
administrative and financial constraints Division. Available from: <http://
www.wipo.int/wipo_magazine/en/2009/03/
affecting women’s economic Therefore, integrating gender article_0002.html>.
advancement and provides incentives considerations in the green economy
and resources for the expansion of is critical to the creation of a more
women’s green enterprises. equal and sustainable society for all. 7. UN System Doc. CEB/2006/2.
Doing any less means not involving
8. The UNDP Gender Equality Strategy calls
Building capacity for women’s and capitalising on the capacity, for tailored initiatives to support broad-based,
organizations and women entrepreneurs: innovation and learning of 50 percent equitable development that is inclusive of women’s
needs and contributions—especially those of poor
The Initiative provides training and of the world’s population. women. Section 6.1 of the Gender Equality Strategy
support services to assist women’s deals broadly with “Poverty Reduction and the
Achievement of the MDGs” and includes initiatives
organizations and entrepreneurs in for “Promoting inclusive growth, gender equality
starting, incubating and scaling up The following references are related and MDG achievement.” Paragraph 51 states that
viable business enterprises that to the box on page 9: UNDP will be pro-active in working with national
entities to incorporate a gender perspective,
contribute to climate mitigation, with special attention to four areas:
Gurung, Jeannette and Andrea Quesada
adaptation and resilience. 1) macro-planning instruments that incorporate
(2009). Gender-Differentiated Impacts
gender analysis and specify gender equality results;
of REDD to be addressed in REDD Social 2) women’s unpaid work; 3) gender-responsive public
Standards. A report prepared for an
Increasing women’s access to climate investment; and 4) gender-sensitive analysis of data.
initiative to develop voluntary Social
change finance mechanisms: and Environmental standards 9. Klasen, S. “Does Gender Inequality Reduce
The Initiative promotes gender- for REDD. Available from: Growth and Development? Evidence from
<http://www.wocan.org/files/all/ Cross-Country Regressions“.
responsive public and private
gender_differentiated_impacts_of_redd_final_ Available at: <http://siteresources.worldbank.org/
investments. It facilitates increased report1.pdf>. INTGENDER/Resources/wp7.pdf>.

11. Poverty in Focus 11
Sustainable Development by Kishan Khoday,
Deputy Representative,
UNDP Saudi Arabia1
as Freedom: Energy, Environment
and the Arab Transformation
Control over energy and the people’s long-term choices and freedoms.
environment has been central to state Unless trends of resource scarcity and As countries across the Arab
legitimacy and power in the Arab region, ecological change are addressed, basic region move forward with
shaping the nature of governance freedoms, human security and human new social compacts, the
and influencing how sovereignty and development stand in jeopardy. equitable and sustainable
statecraft function in the region. use of natural resources
As the systemic transition across the Arab In particular, the vulnerability of food, will emerge as an issue
region proceeds and countries craft new water and energy resources and the of contention.
social compacts for development, the exacerbation of climate change together
equitable and sustainable use of natural bring serious risks to sustaining human Transformational change
resources will likely emerge as a central development. As noted by former UN in the Arab region is an
issue of contention. Secretary General Kofi Annan, “when opportunity to rethink
resources are scarce—whether energy, the role of natural resources
The social compact in past decades has water or arable land—our fragile in creating more inclusive
been defined by a balance between state ecosystems become strained, as do and sustainable growth and
control over natural capital, on the the coping mechanisms of groups and as a means of expanding
one hand, and the provision of social individuals. This can lead to a breakdown people’s long-term choices
welfare benefits, on the other. However, of established codes of conduct, and and freedoms.
sustainable development is about more even outright conflict.” Underlying shifts
than charity—it is also about justice and in global resource demand and fragility Sustainable development is
accountability, with a key challenge of supply combined to create record about more than charity—it
being to expand the benefits of the prices for basic food and energy is also about justice and
region’s natural wealth for the average commodities in recent years, accountability.
citizen and the poor in particular. exacerbating social and political
instability in many countries.
Higher expectations have emerged
for more transparent, accountable The transformation in the Arab region
and participatory use of energy and now provides space to rethink the role
the environment as a public good, of natural resources in the economy, with
combating corruption, preventing new green economy concepts potentially
the squandering of natural wealth, providing a channel to increase social
and preserving natural capital equity and the efficiency of resource use
for future generations. and generating new knowledge-based
approaches to economic innovation and
The spirit of transformational change competitiveness. Such rethinking would
in the region stands as an opportunity do well to consider the role of the green 1. Kishan Khoday has served with UNDP since 1997,
to address entrenched systems of economy, defined as an economy “that as UNDP Sustainable Development Advisor and
Deputy Coordinator for Natural Resources
control, broaden access and benefit- results in improved human well-being and the Environment in Indonesia (1997-2005), UNDP
sharing related to natural wealth, and social equity, while significantly Assistant Representative and Team Leader for Energy
& Environment in China (2005-2009) and UNDP
expand the role of local governance, and reducing environmental risks and Deputy Representative in Saudi Arabia (since 2009).
strengthen resilience of the natural asset ecological scarcities”. 2 The concept has
emerged as a way to stimulate economic 2. UNEP, Towards a Green Economy: Pathways to
base on which the poor depend.
Sustainable Development and Poverty Eradication –
While analyses of the links between activity, while responding to food, water, A Synthesis for Policy Makers, UNEP, Nairobi (2011), 2.
environment and human development energy and climate crises and reorienting
3. Jose Antonio Ocampo, The Transition to a Green
often focus on consumption the global economy from a “system that Economy: Benefits, Challenges and Risks from a
sustainability, a broader perspective is allowed, and at times generated, these Sustainable Development Perspective, Report of
Experts to Second Preparatory Committee for the UN
needed to address the important role of crises to a system that proactively Conference on Sustainable Development (Rio2012),
natural resources as a means to expand addresses and prevents them.”3 UNDESA, UNEP and UNCTAD, New York (2010), 2.

12. 12 International Policy Centre for Inclusive Growth
Food Security at the Crossroads Energy and Inclusive Growth
The 2012 Rio Earth
Food security accelerated the emergence As noted by the 2010 IMF World Economic
Summit is an opportunity of some civil society movements, with Outlook, “the persistent increase in oil
to engage in new south- 2011 seeing record prices because of prices over the past decade suggests
surging global demand and historic that global oil markets have entered a
south cooperation for
droughts and flooding in key exporting period of increased scarcity. Given
sustainable development, countries in 2010. the rapid growth in oil demand in
to engage the new role of emerging market economies and a
The Arab region already stands as the downshift in the trend growth of oil
the South in emerging
world’s largest net food importer and supply, a return to abundance is
risks and solutions. many fear we are witnessing a shift away unlikely in the near term.”5
from cyclical price fluctuations towards
longer-term structural change driven The convergence of declining energy
A south-south solutions
by a shift in supply and demand reserves, the dramatic rise in emerging
exchange can support fundamentals—a convergence of surging economy demand, and a gradual global
sharing of models for emerging economy demand alongside shift to climate-friendly growth have
bottlenecks to expansion of agricultural created a break from the type of cyclical
sustainable development
land and productivity that include climate factors that shaped the past, with oil
and green economy change, rising energy costs, reduced prices likely to remain high for some
policy, and the transfer groundwater irrigation capacities, time to come. This holds risks for
desertification and reduced soil fertility. Arab countries, most of which
and development of clean
are net energy importers.
technologies within the Enhanced social safety nets and new
south. It could also approaches to agricultural productivity There is now recognition that rising
gains are needed for Arab countries to prices could constrain future human
facilitate the integration
adapt to these challenges. New attention development trends unless energy
of green economy is needed to review economic and fiscal alternatives are engaged. As a result,
approaches into rapidly policies related to agricultural production countries across the region are now
and land use, subsidy and social security intensifying efforts to expand renewable
growing ODA and foreign
systems, ecologically sound farming, crop energy and energy efficiency measures
investment flows from diversification, expansion of sustainable to reduce import dependence and
emerging economies to irrigation and water use efficiency, use of thus to save public resources for social
energy efficiency and renewable energy development goals while also creating
least developed countries.
measures, and soil replenishment. the foundations for new growth
and a green economy.
Furthermore, food insecurity is driving
some Arab countries to explore overseas Energy plays an equally important role
land acquisition and leasing. Globally, in defining the nature of the state and
the acquisition of land for food security human development in oil-exporting
has topped 140 million acres, bringing countries in the Arab region. The energy
with it an investment potential of US$50 sector remains central to the region’s
billion to host countries.4 economy, making up approximately 40
percent of GDP, but, as reserves decline,
Saudi Arabia, for example, is now active oil-exporting countries are also
in land acquisitions and leasing in intensifying efforts to expand local
Ethiopia, Indonesia and Sudan driven by renewable energy and energy efficiency
high population growth in the Arab Gulf, measures. This is meant to conserve
with populations expected to double increasingly scarce oil reserves for future
from 2000 levels by 2030 in an export revenues, on the one hand, and to
environment of scarce arable land and diversify economies beyond oil to ensure
groundwater resources. However, this a sustainable base for economic growth
new global trend brings concerns and youth employment, on the other.
about the impact on local communities
in terms of land and water rights and In Saudi Arabia, for example, which is
their own food security, with a need largely dependent on oil-burning power
for South-South cooperation and facilities and the expansion of non-oil
integration of sustainability, inclusion industrial sectors, recent years have seen
4. Lester Brown, The New Geopolitics of Food, May/ and equity into growth and a dramatic increase in local direct oil use.
June 2011, Earth Policy Institute, Washington DC, 7-8. investment policies. The new King Abdullah City for Atomic

13. Poverty in Focus 13
and Renewable Energy forecasts that, if
current trends prevail, local oil demand
could increase from about 2.5 million
barrels per day (mbpd) out of the 10
mbpd produced today, to as many
as 8 million barrels per day by 2028.6
Thus, in addressing energy risks and
opportunities in the Arab region, two
complimentary goals are taking shape
in the region, both in line with the vision
of the UN Secretary General’s Advisory
Group on Energy and Climate Change:
1) to reduce the energy intensity of
growth and 2) to expand access to
sustainable forms of energy for the
poor, the latter of which is in particular
focus in 2012 as the International
Year of Sustainable Energy for All.7
As a result of the global shift in Source: Cleantech Group (2011).
resource supply and demand and
emerging green economy opportunities, social development and must be Opportunities exist to build new strategic
clean technology reached a record high overcome if the MDGs are to be achieved.” partnerships to combine experiences and
market capitalization of US$386 billion expertise and to establish policies and
in 2010, of which US$200 billion was in South-South Solutions institutions as the foundations for new
clean energy (see Figure).8 This is driven Coming 20 years after the landmark 1992 green growth and benefits to the poor.
by emerging economies like Brazil, Rio Earth Summit, the upcoming 2012 Rio Scope also exists for cooperation
China, and India.9 Potential also exists Earth Summit will place a major focus on among natural resource exporting and
for the Arab region to join this trend institutions for sustainable development importing countries in the South to find
by building on its world-leading energy and on the green economy. new solutions to surging prices, market
sector capacities and solar radiation volatility, and vulnerability of the poor.
levels. Initial steps include renewable Two underlying issues are important:
energy and energy efficiency targets the role of emerging economies in global A South-South solutions exchange
in Algeria, Egypt, Jordan, Lebanon, sustainability challenges and solutions on issues of natural resources and
Morocco, Tunisia and UAE, and plans and the emerging risks from resource the environment can add value to this
for a pan-Arab solar power network. scarcity for social equity and inclusive process, connecting achievements and
growth. Unlike in previous eras of best practices among partners and
However, while clean energy holds economic transformation, current helping shape evolving green economy
benefits for the sustainability of responses to food, water and energy strategies in follow-up to the upcoming
development, it will not necessarily security are emerging through 2012 Rio Earth Summit.
benefit the poor without policies leadership of the South.
for inclusive growth in the sector.10
5. IMF, World Economic Outlook, International Monetary
Thus, South-South cooperation can play Fund (IMF), Washington (2011), 89.
The 2008 Riyadh Declaration on a key role in harnessing the comparative
Energy for Sustainable Development, advantages of partners in the South to 6. KACARE (2011), Statement by the President
of the King Abdullah City for Atomic and Renewable
for example, advocated to make clean bring about transformational change in Energy to the Global Competitiveness Forum,
energy accessible for Least Developed the global economy and to support 14 January 14 2011, Riyadh.
Countries and was supported by sustainability of their own economic 7. UN, Report of the UN Secretary-General’s Advisory
the OPEC Fund for International and social development. Group on Energy and Climate Change, United Nations
Publications, New York (2010), 7-9.
Development and other partners.
Just as the agricultural green revolution 8. Nicholas Parker, The Emerging Global Clean Economy:
This is important for the Arab region, of the past reduced poverty across the The Race for Sustainability Prosperity Goes Mainstream,
Cleantech Group, Presentation to the Global
where 40 percent of the poor lack energy world, so, too, could the next wave of Competitiveness Forum, 24 January 2011, Riyadh.
access, with electrification rates in Sudan clean technologies emerge as a critical
9. UNEP, Towards a Green Economy: Pathways to
and Yemen as low as 25 percent. As noted tool for achieving inclusive growth and Sustainable Development and Poverty Eradication:
at the global MDG+10 Summit in 2010, sustainable development. South-South Policy Synthesis, UNEP, Nairobi (2011), 23.
“lack of access to modern energy services cooperation can be a transformative 10. IEA and UN, Energy Poverty: How to Make Modern
is a serious hindrance to economic and force in this regard. Energy Access Universal, OECD/IEA (2010), Paris.

14. 14 International Policy Centre for Inclusive Growth
by Nicolas Perrin,
Senior Social Development Specialist
Europe and Central Asia Region,
Challenges and Opportunities
World Bank
for Inclusive
Green Growth
In the Europe and Central Asia and legacy issues, even countries and
A focus on the social region (ECA), where the effects of sectors that potentially stand to benefit
dimensions of climate climate change are already being felt, from a warming climate are poorly
change improves post-Communist legacies create unique positioned to do so (Fay et al., 2009).
operational quality in environmental and infrastructural
terms of both substance problems, and the consequences of Although most ECA countries have
and process, thereby climate change could easily exacerbate achieved an absolute reduction in
contributing to better existing social inequalities. emissions during the past two decades
overall results. due to industrial decline, emissions
This article seeks to identify some have begun to rise again, as efforts
Social and institutional of these intersecting considerations to de-couple economic development
analysis helps provide a and the role of social approaches in from carbon intensity meet with little
snapshot of vulnerability sustaining efforts to mitigate and success (World Bank, 2010).
and assesses institutional adapt to climate change.
capacity for responding to Among the world’s top ten highest
climate change helping us Why? A focus on the social dimensions greenhouse gas emitters per unit of GDP,
not just to understand of climate change improves the five are from the ECA: Uzbekistan (1),
vulnerability in itself but operational quality of substance Kazakhstan (3), Ukraine (6), Russia (7),
who is vulnerable, for and process, thereby contributing Azerbaijan (8). Still, while reducing GHG
how long and why. to better overall results. Social and emissions is vital for stabilising the
institutional analyses help provide global climate, national public policy
This strategy is particularly a snapshot of vulnerability often seeks to balance this with the need
important in the Europe and and assess institutional capacity to provide access to affordable energy,
Central Asia region (ECA), for responding to climate change, opportunities for the mobility of people,
where the effects of climate helping us to understand not just goods and services, and transitional
change are already being vulnerability itself, but also who is support to those dependent on
felt, post-Communist vulnerable, for how long, and why. carbon-intensive livelihoods.
legacies create unique
environmental and Can ECA countries adapt to climate Structural transformation of the
infrastructural problems, risks and reduce emissions while economy to renewable energies in ECA
and existing social safeguarding development? offers opportunities for GHG reductions
inequalities could easily be Climate change represents a multi- and important distributional and
exacerbated by the sectoral concern for the Europe institutional challenges.
consequences of and Central Asia region. Temperature
climate change. increases between 0.5 degrees celsius in Social dimensions of green
the south and 1.6 degree celsius in the growth and climate change in ECA
north have been noted, with anticipated Unprepared to manage a changing
increases of up to 1.6 to 2.6 degrees climate, ECA countries face increasing
celsius by the mid-century. economic losses and inequitable social
impact that will be disproportionately
Climate variability significantly threatens borne by the poor. Climate change,
ECA countries, with negative effects combined with a crumbling and
already evident. The region’s poor inflexible infrastructure, renders ECA
infrastructure and dire environmental countries vulnerable.
situation, rather than the changing
climate itself, figure most prominently as Over the past 30 years, natural disasters
the region’s key drivers of vulnerability. have cost ECA countries about US$70
Due to these pervasive socio-economic billion, a figure anticipated to rise.