principles, mechanisms and instruments of green economy workshop 11 june 2015 modul 1 minsk claude...

Principles , mechanisms and instruments of Green Economy

Workshop 11 June 2015 Modul 1MINSK

Claude ROUAMConsultant

Former European Commission Official

"Technical Assistance to Support the Development of Green Economy in Belarus"

Contract № ENPI/2014/350-889This project is funded by the European Union

The project is implemented by consortium led by Human Dynamics

Belarus

Working method for this session ?

. Nearly 3 hours about principles , mechanisms and instruments for a Green economy. Starting point = report “Elaboration of national principles of Green Economy in Belarus” April 2015. Focus on the EU and Belarus (some ref. to UNEP, OECD, …). Power point presentation. Time for questions and reactions : should be an interactive session !. Your remarks are welcome at any time in order to make the session lively .



EuropeAid/135512/DH/SER/BY This project is funded

by the European UnionBelarus

Green Economy ?

• Well known UNEP definition• In practice : reduced ecological footprint for

production, consumption, public and private investment, jobs creation, foreign trade, …..

• Which principles , mechanisms and instruments ?





Which GE principles for UNEP ?

1 GE delivers sustainable development2 Justice principle (equity)3 Dignity principle ( prosperity and wellbeing for all)4 Earth integrity principle (nature and biodiversity)5 Inclusion principle (participatory decision making)6 Governance principle (accountability, transparency)7 Resilience principle (economic, social, environmental)8 Efficiency principle (sustainable production/consumption)9 Intergenerational principle





Questions for the audience :

. Can you agree with these principles ?

. Do you consider them useful for building a common understanding of GE ?

. Are some of them particularly relevant for Belarus ?

. Are some them less relevant for Belarus ?





Which GE principles for the EU ? . EU 2020 strategy : aims at having by 2020 an economy in Europe that is smart, sustainable and inclusive, and delivers high levels of employment, productivity and social cohesion. Flagship initiative for a resource-efficient Europe (includes a Roadmap to frame the concept of Green economy) .On going public consultation on the concept of Circular Economy until 20 August 2015 (stakeholders of third countries may contribute !)









The policy options for developing a competitive Circular Economy in Europe will look at waste policy and beyond and address the full product lifecycle, taking into account the situation in all Member States. It will include actions on intelligent product design, reuse and repair of products, recycling, sustainable consumption, waste policy, recycling levels, smart use of raw materials, stronger markets for secondary raw materials and specific sectorial measures.





?

Which GE principles for Belarus (1) ?

. Avoid re-inventing the wheel

. Consistency with the National Report on the sustainable development of the Rep. of Belarus based on Green Economy principles (Ministry of Economy 2012). Focus on a limited number of priorities. Build synergies with economic priorities. Build synergies with public health policy





Which GE principles for Belarus (2) ?

Priorities could include:

.Energy (safety and efficiency). Food safety. Waste management (and circular economy). Adaptation to climate change. Health related environmental challenges(air, water, waste, chemicals,radioactive contamination)





Beyond GE PrinciplesPrinciples are useful to build a vision, to give a frame and to ensure sense of ownership of all stakeholders but …. mechanisms and instruments are necessary to switch from theory to practice and make the “Green Economy dream come true “ !





OECD





Six National Enabling Conditions for Green Growth

1.Shift government expenditure 2.More effective enforcement of legislation 3.Education and training 4.Resource and land rights regimes 5.Creating enabling conditions for psychological and behaviour change 6.Facilitating businesses to fully integrate sustainability and equity concerns

OECD





Four Green Growth Mainstreaming Mechanisms

1 Public Environmental Expenditure Review

2 Strategic Environmental Assessment

3 Councils for Sustainable Development

4 Greening Accounting

What are GE Mechanisms ? they can be understood as general provisions and policy measures which will facilitate transition towards GE (enabling conditions to be differentiated from specific instruments)They can relate to :- Institutional framework- Legislation- Governance- Innovation policy- Support to SMEs- Awareness campaign






. Can you agree with this list of key mechanisms/ enabling conditions ?

. Which ones should be priorities for Belarus ?

. Where do you see difficulties in Belarus ?

. Can you think of ways and means to overcome these difficulties ?





In the EUUnclear border between mechanisms and instruments !Enabling conditions/mechanisms include :

- institutional framework (Ex. : EU Commission)- 300 pieces of legislation related to Environment- Public consultation before new legislation is proposed- Specific legislation involving stakeholders (EIA/SEA/Espoo/ Aarhus,…)- Support to green innovation (LIFE, Eco-AP)- Support to SMEs- Communication campaign and Eurobarometer





Efficiency of GE Mechanisms and instruments largely depend on their ability to modify individual and collective behaviours .

Examples :Waste collection and recycling (households)Water savings (farmers)Energy savings (households, industry , agriculture)Interest for organic food (households)Preference for public transports Support of public opinion is of major importance for GE





EUROBAROMETER (Sept 2014)“ 5 Main environmental issues you are worried about ?”

56% air pollution50% water pollution43% health impact of chemicals43% growing amount of waste36% depletion of natural resources29% agricultural pollution27% shortage of drinking water26% loss of species and natural ecosystems23% urban problems





EUROBAROMETER (Sept 2014)“what should be the top 3 priorities for people in their daily life in order to protect the environment ?”

54% sort waste for recycling39% reduce home energy consumption39% use public transports33% reduce food waste24% reduce waste (packaging, products with longer life)22% buy local products22% purchase environmental friendly products14% reduce water consumption at home





EUROBAROMETER (Sept 2014)

“Who do you trust more to obtain reliable info on environmental issues ?”

40% Scientists37% Environmental protection associations34% Television19% Newspapers(…)7% European union6% Regional or local government6% National government3% Trade unions2% Companies






Same environmental worries ?

Same priorities for people involvement in their daily life ?

Same preferences for access to environmental information ?





GE mechanisms in Belarus (1)

From the institutional point of view :. Need to have leadership for the GE policy. Need to have cooperation between all Ministries. Need to have coordinated policies at national and local level

For legislation :. Need to identify possible gaps. Need to ensure convergence with EU legislation. Need to identify implementation failures and remedies





GE mechanisms in Belarus (2)Governance. Need for transparency in decision making. Practice of public consultations. Role for NGOs and Consumer’s associations. Cooperation with business and PPP. Importance of legislation involving the civil society

Innovation policy. Involvement of Universities and Research centres. Financial or tax incentives for RD





GE Mechanisms in Belarus (3)SMEs

. They are essential for the development of the private sector

. They are more flexible, can more easily switch to GE, so their role in transition towards GE must be recognised . They should benefit from incentives (access to research centres , tax incentives, access to public procurement ,…)

Awareness

. Administrative bodies, business, academics, general public





OECD





Eight Green Growth Policy Instruments

1 Certification of Sustainable Production and Trade 2 Subsidy Reform 3 Payments for Ecosystem Services 4 Environmental Fiscal Reform 5 Green Energy Investment Frameworks and Incentives 6 Inclusive Green Social Enterprise 7 Sustainable Public Procurement 8.Green Innovation


. Currently what are the most efficient instruments used in Belarus to promote GE ?

. What progress can you imagine in a near future ? In the long term ?

. Where do you see obstacles ? Do you also see ways and means to overcome them ?





GE instruments in the EU (1)

Legislative tools

Waste legislationWater framework DirectiveEIA and SEAIndustrial Emissions DirectiveEco design (electric/ electronic goods) REACH (chemicals)






Market instruments

They aim at promoting green production and consumption :. Integrated product policy / Eco design. Ecolabelling. Green Public Pocurement. Environmental certification (EMAS, ISO). Green standardisation (ISO, CEN, CENELEC, …). Voluntary agreements. Other measures promoting green economy (water pricing for instance)






Financial incentives

Common Agricultural Policy DG AGRI 407 Billion € (2014/2020)Research programme H2020 DG RTD 70 Billion € (2014/2020)Cohesion Policy DG REGIO 350 Billion € (2014/2020)

LIFE DGENV & CLIMECO-AP DGENV DABLAS (methodology) DG ENV + EIB+ WB +….






Other initiatives

Funding of NGOs (thru LIFE)Capacity building (mainly during accession stage of New Member States)Awareness campaignsMonitoring and reporting (role of EEA)





Room for improvement in the EU : The example of Tax policy

Environmental taxation as % of total taxation (2012) :

EU28 6.1% SL 10.2% , BUL 10.1% , NL 9.1% …… SP 4.8% , BEL 4.8% , FR 4.1%

Labour taxation as % of total taxation (2012) :

EU28 51% SW 58.6% , NL 57.5% , AUT 57.4% …. CY37.1% , MT 34.6% , BUL 28%





Some difficulties on the way towards GE ( non exhaustive list )

. Some measures are not popular (water or energy pricing)

. Some measures may be costly (investments)

. Some measures may destroy jobs (in non sustainable industries)

. Some measures will not bring immediate results (training, investments)

. Some measures may conflict with other policy priorities (nature protection)

. Some measures may be delayed by administrative resistance

. Tax reforms are complicated in nearly all countries

. The economic situation may (wrongly) be used to delay switch towards GEThe project is implemented by consortium led by Human Dynamics




GE instruments in Belarus Based on the Report , recommendations could include :

. Definition of quantified targets and indicators for priority areas

. Optimisation of the use of legislative, Tax and Market based instruments

. Cooperation with private sector

. Reform of municipal infrastructure . Development of Accountability instruments (reporting , monitoring) . An energy package (incentives for energy efficiency, energy pricing, renewables) . Diffusion of best available techniques . Capacity building and awareness raising of all target groups





Propositions made in the Report

1 Further development of environmental legislation and applying of best practices in management of air, water, soil, wastes

2 Enabling widening of organic farming, introduction of organic certification, expanded imports of organic production

3 Promotion of eco-innovation solutions, based on the high research potential of The Republic of Belarus

4 Mitigation of the consequences of Climate change and promoting adaptation measures, using legislative and economic tools

5 Introduction of energy efficiency measures in urban areas of the Republic of Belarus

6 Attracting foreign investments and promoting the creation of green jobs






. Could you agree with these recommendations and proposals ?

. What are the obstacles to overcome for their implementation ?

. What are the first measures you would suggest to speed up the transition towards GE ?





Some readings on the transition to GE

. “Building an Inclusive Green Economy for All” Joint Agency Paper (EU Commission, UNEP, OECD, WBCSD …) 2012

. “Greening Household behaviour “ OECD 2011 . “ The business case for the Green Economy “ UNEP 2012





Thanks for your patience and your attention





principles, mechanisms and instruments of green economy workshop 11 june 2015 modul 1 minsk claude...

Documents

development of green

concept of green economy

belarus europeaid135512dhserby

human dynamics belarus

ge principles

concept of circular

belarus contract enpi2014350

common understanding