Transcript The Green Race is on

Business and Sustainable Development
– The Green Race is on
Beijing, March 2011
Björn Stigson
WBCSD Regional Network
Channel to globally disseminate WBCSD’s messages, to
promote implementation of concrete projects on the ground
and to provide input to WBCSD work program
Chinese Members
A World in Transition to Sustainability
Environment
Economy
Society
The Future Society: A growth story
World population (in Billions): 1950-2050
10
2050= 9.2 billion
9
+33%
8
7
2010= 6.9 billion
6
85%
5
4
3
2
Population in less developed countries
85%
Population in more developed countries
15% 15%
1
0
1950
1960
1970
1980
1990
2000
2010
2020
2030
2040
2050
Source: United Nations Population Division, World
Population Prospects: The 2006 Revision.
Development: The Poverty Challenge
Income poverty:
 Over 2 billion people live on less than $2/day
Energy poverty:
 1.6 billion people today without access to electricity
Mobility poverty:
 900 million people without access to transport
Water poverty:
 1.8 million deaths per year due to lack of sanitation,
poor hygiene and unsafe drinking water.
Urbanization
50% urban in 2010: 3 billion
70% urban in 2050: 6 billion
7
Shifting Fortunes
% Share of GDP
* At purchasing-power parity
Emerging economies
Developed economies
80
40
20
1913
1950
2005
2025
0
Source: Angus Maddison, OECD; IMF
From The Economist print edition.
“Wrestling for influence.” July 3rd 2008.
60
Emerging economies > 50% of global GDP and trend will continue
Shifting demographics
A largely aging world
Source: UN population prospects, 2008
The cost of growing old
Age-related spending (as % of
GDP in selected countries)
Source: Standard and Poor’s 2010
A World With Limits
 A resource constrained world
 Oil
 Food
 Water
 Rare earth minerals
 A pollution constrained world
 Carbon concentration in the atmosphere will grow
Consequences
 Competition for resources
 Increased pressure on how to “share the pain” in
reducing CO2 emissions
 Environment will become an economic development
and trade issue
A World in Transition to Sustainability
Environment
Economy
Society
The World is Turning Green
“The Green Race is on” between countries to
transform to low carbon economies and to
become the leading supplier of resource
efficient technologies & solutions
If you want to win:
oTransform your home market to build domestic
demand, competences and scale for exports
The Green Race is On
China
– About to become the leader in the race
– Key component of 12th 5-Year Plan
(2011-2015)
– Clean energy investment : No. 1 rank with
21% of the 162 billion USD invested globally
in 2009
– Taking the lead on solar & wind
The Green Race is On
Korea
–
Largest share of economic stimulus devoted to
“green” sector (80%)
–
“1 of 5 Green Powerhouses globally”
–
GGGI – Global Green Growth Institute
Japan
–
Most energy efficient economy
–
Has a good technology platform for green solutions
The Green Race is On
India
– Supplier of low cost solutions based on
domestic demand from a large, poor
population
The Green Race is On
EU
– Market leader today on green technology
exports (40% market share)
– 300% increase in R&D for green technologies
in 2009
– Transformation of the internal market?
US
– Mobilizing the US innovation capability?
– Transformation of the home market?
WBCSD Vision 2050
Vision 2050:
A platform for dialogue
about the role of business in
a resource & carbon
constrained world.
Source: GFN / UNDP
Ecological Footprint (Global Hectares per Person)
Vision 2050:
Living well, within limits of the planet
Human Development Index (HDI)
The path we know
The path we need
Source: GFN / UNDP
Ecological Footprint (Global Hectares per Person)
Reaching Vision 2050: Two innovation challenges for
the world
Human Development Index (HDI)
Vision 2050 Pathway: 9 elements
The pathway to Vision 2050
TODAY
22
Opportunities in Vision 2050
Building &
transforming…
a. Cities
b. Infrastructure
c. Livelihoods & lifestyles
Improving
biocapacity &
managing
ecosystems
Helping change
happen
China pathway: 1975-2003
China Council for International Cooperation
on Environment and Development (CCICED)
CCICED Taskforces 2009-2011
 2009: Towards a Low-Carbon Economy in China
 2011: Green Economy
– “Greening” industry, manufacturing, service and
agriculture sectors
 2011: Low Carbon Industrialization Strategy
– Decarbonising heavy industry
– Accelerating the emergence of low carbon
industries
WBCSD Work Program
Focus Areas
The Business Role
Energy and
Climate
Sector
Projects
- Water
- Buildings
- Forest Products
- Cement
- Electricity
Utilities
- Tires
-Mobility
- Mining
-SDMI
• Urban Infrastructure
• Sustainable Consumption
& Value Chains
• Urban Infrastructure
• Sustainable
Value
•Food,
water & land-use
Chains
Systems Solutions
-GHG
Protocol
-Eco Patent
Commons
Capacity
Building
The Business Role
 Roll-Out of Vision 2050
 OECD Cooperation on Green Growth
 Integrated reporting
WBCSD Work Program
Focus Areas
The Business Role
Energy and
Climate
Sector
Projects
- Water
- Buildings
- Forest Products
- Cement
- Electricity
Utilities
- Tires
-Mobility
- Mining
-SDMI
• Urban Infrastructure
• Sustainable Consumption
& Value Chains
• Urban Infrastructure
• Sustainable
Value
•Food,
water & land-use
Chains
Systems Solutions
-GHG
Protocol
-Eco Patent
Commons
Capacity
Building
UNFCCC Climate Negotiations
 COP 16 – Cancun:
o Limit global warming to 2°C
o Focus is on national action plans and bilateral action
o Support will be provided to developing countries via a
Technology Mechanism and a Green Climate Fund
• Committed 30 BUSD to 2012
• 2nd phase - 100 BUSD annually by 2020
o Underpinned by stronger measurement, reporting and
verification of national emissions
o Reducing Emissions from Deforestation and Forest
Degradation (REDD+)
WBCSD Post Cancun
Focus on four areas
 Development of NAMAs (Nationally Appropriate Mitigation Actions)
o Leverage WBCSD and strength in key sectors
o Electricity Utilities, Buildings, Cement and mobility sector
 MRV (measurement, reporting & verification) of national actions and
link to corporate emissions measurement
 Financing
o Market mechanisms
o Green Climate Fund
 Technology mechanism design
Mexican Dialogues
 Business-government dialogues on key policy issues
WBCSD Work Program
Focus Areas
The Business Role
Energy and
Climate
Sector
Projects
- Water
- Buildings
- Forest Products
- Cement
- Electricity
Utilities
- Tires
-Mobility
- Mining
-SDMI
• Urban Infrastructure
• Sustainable Consumption
& Value Chains
• Urban Infrastructure
• Sustainable
Value
•Food,
water & land-use
Chains
Systems Solutions
-GHG
Protocol
-Eco Patent
Commons
Capacity
Building
Convention on Biological Diversity
COP 10, Nagoya, Japan – October 2010
Strategic Plan approved by 193 countries
1. National biodiversity action plans
2. “Aichi” targets for biodiversity by 2020 e.g.
• Increase land protected area to 17%; marine
to 10 %
• Halve rate of habitat lost including forests
3. Nagoya Protocol on Access & Benefit Sharing
WBCSD and Ecosystems
 Ecosystem Services Review (ESR)
– method to develop strategies to manage
risks and opportunities arising from
dependence and impact on ecosystems
 “Corporate Ecosystem Valuation”
– Being roadtested in 15 companies
WBCSD Work Program
Focus Areas
The Business Role
Energy and
Climate
Sector
Projects
- Water
- Buildings
- Forest Products
- Cement
- Electricity
Utilities
- Tires
-Mobility
- Mining
-SDMI
• Urban Infrastructure
• Sustainable Consumption
& Value Chains
• Urban Infrastructure
• Sustainable
Value
•Food,
water & land-use
Chains
Systems Solutions
-GHG
Protocol
-Eco Patent
Commons
Capacity
Building
WBCSD Water
Water
 “Water, Energy and Climate Change”
– Water & Energy linked
– Impacts from ecosystems and climate
change
 Measuring water use & assessing
impacts:
– WBCSD Global Water Tool
– Water Footprint Network
– Development of ISO standard on water
footprint
Cement Sustainability Initiative
 23 member companies - 10 years of successful collaboration
 Of which 5 are Chinese
 Cooperation with China Cement Association
Cement Sustainability Initiative
 Achievements:
–Cement CO2 Protocol
–Global database on energy and CO2
–Industry guidelines & company
commitments
o Emissions, fuels, raw materials, safety
management
CSI/ IEA Technology Roadmap
 Outlines existing and potential
technologies, and how they may help
the industry support a halving of
global CO ₂ emissions (Dec. 2009)
39
Energy Efficiency in Buildings (EEB)
 Buildings represent 50 % of world
energy use
 Report: “Transforming the Market”
• Cutting building emissions by 50% globally by
2050 is possible at an average abatement cost of
25USD/tCO2 (PIIE, 2009)
 EEB Manifesto – 102 Signatories so far
Electricity Utilities
 “Power to Change: A business
contribution to a low-carbon electricity
future”
 Updates planned for Power to Change:
– Energy Efficiency (in generation, distribution
and demand side management)
– Strengthening distribution networks and
smart grids
– Financial implications of the “Power to
Change” Roadmap
 Role of Utilities in NAMAs
Co-Chairs:
WBCSD Work Program
Focus Areas
The Business Role
Energy and
Climate
Sector
Projects
- Water
- Buildings
- Forest Products
- Cement
- Electricity
Utilities
- Tires
-Mobility
- Mining
-SDMI
• Urban Infrastructure
• Sustainable Consumption
& Value Chains
• Urban Infrastructure
• Sustainable
Value
•Food,
water & land-use
Chains
Systems Solutions
-GHG
Protocol
-Eco Patent
Commons
Capacity
Building
Urban Infrastructure Initiative (UII)
Helping transform the city vision
into an effective action plan using
accumulated experience and
models in a systemic approach
City vision
Action plan
Transformation
team
UII area of interest
Implementation
Private sector
usual company area of action
A World in Transition to Sustainability
2011
 The Green Race is on in a
resource and pollution constrained
world
 Business has a major role to play
as a solution provider
Rio 2012
2 Key Themes:
1. Green Economy
2. Global Governance of Sustainable
Development
 Business Action for Sustainable Development 2012
(BASD2012)
– Conveners: WBCSD, ICC and UN Global
Compact
– 10-15 additional partner organizations
WBCSD program for Rio 2012
– Business achievements since 1992
– Role of business in achieving Vision 2050
– Sustainability Through the Markets
(implementation)
www.wbcsd.org