PtB of IEEP at green growth and competitiveness 29 november 2016 final
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Transcript of PtB of IEEP at green growth and competitiveness 29 november 2016 final
www.ieep.eu@IEEP_eu
Green Growth: Promoting Solutions Towards Better Sustainability and Competitiveness
Patrick ten BrinkDirector of IEEP Brussels and Head of Green Economy Programme
With thanks for inputs by Jean-Pierre Schweitzer
Green Growth: Promoting Solutions Towards Better Sustainability
and CompetitivenessTuesday 29th November 2016
Thon Hotel Brussels City Centre,
Brussels
Green Growth Solutions: Presentation Structure
1. Building blocks from a Brown to a Green Economy
2. From a Linear to a Circular Economy
3. Instruments to bring Circularity
4. Innovation to support Sustainability and
Competitiveness
Green Growth (OECD, 2011) – “fostering economic growth and development, while ensuring that natural assets continue to provide the resources and environmental services on which our well-being relies”
Go
od
Go
vern
ance
& f
un
din
g
Current Situation
Declining Sustainability: Brown, Linear, Economy
Resource over-exploitation & pollution pressures
Climate Change
Biodiversity and natural capital loss
Critical ecological & resource thresholds passed or at risk
Resource scarcity and limited access to a clean
environment
Health impacts and man-made natural disasters
GDP growth driven
An economy that is not resource efficient, low carbon
and socially inclusive
Ambitions for the Future
A Green Economy
Improved human well-being & social equity, while reducing env.
risks and ecological scarcities
Staying within a ‘safe operating space’: resource use within the
planet’s regenerative capacities & avoid critical ecological thresholds
No net loss of biodiversity & ‘acceptable’ climate change
Sustainability for future generations & business: available natural capital, resources & clean
environment
Health and livelihoods for citizens and communities
Beyond GDP metrics
An economy decoupled from environmental impacts and
resource use
Building Blocks in the
Transition to a Green Economy
Business-as-Usual
Approaches
Avoiding Unsustainable Trade-offs
+ Environmental compliance &
infrastructure
Active environmental
managementActive Risk Management
+ Proactive Investment in Natural
Capital
Pursuing environmental
sustainabilityEco-efficiency
+ Circular Economy measures+ Decoupling via Radical
Innovation & Demand change
+
+
Source: Patrick ten Brink, Leonardo Mazza, Jean-Pierre Schweitzer - own representation
Building Blocks in the Transition to a Green Economy
Limits of our linear economy: built in wastefulness
• Waste – significant economic losses, – average EU citizen 16 tonnes of material consumed, >60% to
landfill/incineration, 95% of material and energy value lost• Future trends – growing populations and consumption.
– 5 billion global middle class by 2030 increasing environmental & resource pressures
• Environmental pressure – over exploitation of natural capital threatens planetary boundaries and the economy
The economy is currently based primarily on linear production and consumption model. Consequently resource use and wastefulness are inherent. The economy is closely coupled with environmental degradation and advancing planetary boundaries.
ExtractionProduction processes
DistributionConsumption/
useCollection
Opportunities in a circular economy
• Reducing input – efficiencies, closing the loop, industrial symbiosis, diversifying streams
• Reducing demand – sharing/collaborative models, repair
• Innovative design – biological waste streams, intelligent/modular design
• Creating social opportunities – job creation, inclusion of minority groups in the development of this economic model
Circular economy approaches can reduce the extraction of raw materials, reduce the production of waste and reduce pressures on the environment.
More materials and their value can remain in the economy and out of the landfills and the wider environment – innovation for value retention.
Can create new markets, new products and materials, and jobs
This requires changes in both production and consumption systems.
Policy opportunities at the EU level not limited to CE Action Plan i.e. CP; CAP reform; Innovation via FP7/Horizon 2020; trade dialogues e.g. TTIP
Landfill Directive
EuP Dir
Landfill Tax
EHS reform
GDP & Env Accounting
Eco-label
ELV, WEEE, RoHS,
Batteries,Packaging
CAP: PES
CAP: Cross compliance
Education
VAT
Corporate accounting
& CSR
SCP/IPP
Extended producer responsibility
Full Cost Recovery; resource pricing
Waste Hierarchy
EU-ETS
CBA & discount rate
Polluter pays principle
Product taxes Bans
R&D
Pricing, charges,
Certification
Standards
Take back requirements
Renewable energy certificates
Taxes, liability, compensation for impacts
Resource stocks: Biotic and abiotic
Impacts: Environment, Social/Health, Economic Disclosure
Sou
rce:
Bu
ildin
g o
n f
igu
re 2
fro
m H
elen
Mac
Art
hu
r Fo
un
dat
ion
(2
01
2)
Cir
cula
r Ec
on
om
y Ex
ecu
tive
su
mm
aryRecycling targets
Benchmarking
Targets & timescales
Leakage targets
Investment / expenditure
Compost and energy recovery
targets
Resource Efficiency Flagship
7EAP
Accounting Regulation
Life Cycle Assessment
Monitoring/Metering
Biodiversity Strategy
Thematic Strategies on Waste/Recycling and
Natural Resources
Raw materials initiative
Sewage sludge Directive
Waste Framework Directive
Sustainable Industrial Policy
Sustainable construction
Eco-innovation Action Plan
GPP
Unsustainable Production – Microbeads
Plastic micro beads in cosmetics (EU wide) – plastic beads used as an abrasive in cosmetics
Policy: USA ban on micro beads from June 2017, EU only voluntary agreements
Impact: estimate more than 4,000 tonnes of microbeads used in 2012, straight into the ocean as not captured in water treatment facilities.
Sustainability: lesser impact on marine environment & human health
Competiveness: opportunities for alternative products and materials
https://www.ellenmacarthurfoundation.org/assets/downloads/publications/EllenMacArthurFoundation_Growth-Within_July15.pdf Plastic Soup Foundation (2016) Companies that have pledge to stop using microbead. Beatthemicrobead. Available online (21st June 2016) at: https://www.beatthemicrobead.org/en/industry
Unsustainable Consumption – EHS
Tax reduction for diesel fuel – lower tax on diesel intended to favour commercial vehicles. Example :
Policy: 47.04c/l compare to 65.45c/l for petrol (2010)
Impact: concession for diesel of EUR 6.15 bn/yr, diesel 10x more nitrogen oxides, & 13% more CO2
Sustainability: lesser impact on air pollution & human health
Competitiveness: Reform pricing can encourage lower emissions vehicles
https://www.umweltbundesamt.de/sites/default/files/medien/publikation/long/3896.pdfOosterhuis F. and ten Brink P. (Eds) (2014) Paying the Polluter. Environmentally Harmful Subsidies and their Reform. Edward Elgar 2014) http://www.e-elgar.co.uk/bookentry_main.lasso?currency=US&id=15338http://www.e-elgar.com/shop/paying-the-polluter?___website=uk_warehouse
Sustainable Consumption – GPP Denmark
Green Public Procurement (national, Denmark) – public procurement is equivalent to EUR 2 trillion in the EU (19% of GDP), EUR 38 bn in Denmark Policy Mix: Partnership for GPP with
Ministry of Environment and Food. 14 partners integrate greening across 11 product groups.
Impact: total procurement value now EUR >5 billion
Sustainability: lesser impacts from product production, use and disposal
Competitiveness: GPP can finance sustainable products, increasing their competitiveness
https://www.ellenmacarthurfoundation.org/case-studies/denmark-public-procurement-as-a-circular-economy-enabler
Green Growth: Promoting Solutions Towards Better Sustainability and Competitiveness
• There are many building blocks to catalyse the transition from a brown to green economy.
• Circular economy solutions are at the heart of the transition
• Need to fast track circular economy measures to keep resources and their value in the economy and out of the environment
• These can support sustainability while improving competitiveness
• Range of tools that address each – from fiscal reform, to standards, product design, information provision, enabling civil society action, assessment tools, investment….
• Requires all stakeholders to engage
• EU, Member States and industry has self-interest in progress & responsibility within global context
www.ieep.eu@IEEP_eu Follow us!
IEEP is an independent, not for profit institute dedicated to advancing an environmentally sustainable Europe through policy analysis, development and dissemination.
In 2016, we celebrate 40 years since IEEP was established!
Recent and ongoing work at IEEP
Analysing new areas of policy …
• e.g. The optimised cascading use of wood– for DG Growth
Assessing socio-economic costs…
• e.g The Socio-Economics of Marine Litter – for UNEP
Assessing socio-economic benefits …
• e.g. Health and Social Benefits of Biodiversity and Nature Protection – for DG Environment
Presenting the evidence base and innovative solutions …
• e.g. Paying the Polluter book edited by Oosterhuis and ten Brink
Reviewing stakeholders roles …
• e.g. Building the Europe we want: Models for Civil Society Involvement in the Implementation of the SDGs
Engaging stakeholders and capacity building …
• e.g. Capacity building in environmental taxation reform (ETR) to address resources & pollution – for DG Environment
Disseminating best practice …
• e.g. Beyond GDP Service – for DG Environment
Pooling knowledge …
• e.g. ACES: Alliance for Circular Economy Solutions – for the MAVA foundation, with the Green Alliance and partners:
Aldersgate Group (UK), De Groene Zaak (NL), Ecologic Institute (DE) & UnternehmensGrün (DE) - e.g. links to plastics, marine litter and the circular economy.
IEEP aims to make the value of the environment better understood and to better integrate it into policies in Europe and beyond. Work on the SDGs and supporting SCP, decoupling and the circular economy are priority areas for IEEP. Our activities include: