40
However, other institutions are also influential (banks, insurance and trade companies, research institutions, think tanks, etc.). Financial institution could achieve
an even bigger impact by mainstreaming the green agenda in the financial sector and
providing the right financial incentives for the society’s green development.
Businesses (local-level stakeholders) are key operators of green economy policies.
Rather than actively driving or demanding change, for the most part, they passively
receive government instructions and directions, at least in the initial stage. Once
incentives are in place, businesses often drive innovation in technology and implementation – for instance, in renewable energy, eco-city construction, green transportation and the environmental industry. Finally, research institutes provide
technical inputs and policy advice to the government, businesses and civil society.
Government-affiliated think tanks in particular inform their corresponding ministries (Weng et al. 2015).
According to the European Environment Agency (2011), an emphasis of national
green economy assessments varies considerably, ranging from the agriculture to the
business sector and from innovation and green jobs to energy efficiency. In general,
those countries that have been badly affected by the global recession, for example,
Greece, Ireland and Iceland, place a greater emphasis on green jobs and growth as
a spur to a green economy. Countries that are highly dependent on primary and
extractive sectors such as Ukraine and France tend to emphasise natural resource
efficiency, whilst those that have not had the benefit of extensive fossil fuel reserves
including Moldova and Austria tend to focus on the energy sector. A wide range of
specific targets related to elements of the green economy are set out by countries
and progress is reported against indicators (European Environment Agency 2011)
(Table 3.1).
There is a strong economic case for improving social and environmental sustainability of trade, and there are clear instances where the opportunities to increase
revenues through trade fully coincide with the objectives of a green economy.
Developing countries, and particularly the least developed ones, are faced with an
urgent need to diversify their economies. Trade-driven pressure on natural resources
has escalated and resulted, with few exceptions, in detrimental environmental and
social impacts, such as biodiversity loss, environmental degradation and inequitable
income distribution. Opportunities to reverse these trends can be found in the growth
of existing sustainable trade markets, relative to conventional markets, and in the
opening of new markets for green goods and services. Developing countries with
abundant natural capital, as well as competitive production costs and valuable
human capital, may have an absolute advantage for capturing these opportunities
(UNEP 2013).
V. Kaputa et al.
However, other institutions are also influential (banks, insurance and trade companies, research institutions, think tanks, etc.). Financial institution could achieve
an even bigger impact by mainstreaming the green agenda in the financial sector and
providing the right financial incentives for the society’s green development.
Businesses (local-level stakeholders) are key operators of green economy policies.
Rather than actively driving or demanding change, for the most part, they passively
receive government instructions and directions, at least in the initial stage. Once
incentives are in place, businesses often drive innovation in technology and implementation – for instance, in renewable energy, eco-city construction, green transportation and the environmental industry. Finally, research institutes provide
technical inputs and policy advice to the government, businesses and civil society.
Government-affiliated think tanks in particular inform their corresponding ministries (Weng et al. 2015).
According to the European Environment Agency (2011), an emphasis of national
green economy assessments varies considerably, ranging from the agriculture to the
business sector and from innovation and green jobs to energy efficiency. In general,
those countries that have been badly affected by the global recession, for example,
Greece, Ireland and Iceland, place a greater emphasis on green jobs and growth as
a spur to a green economy. Countries that are highly dependent on primary and
extractive sectors such as Ukraine and France tend to emphasise natural resource
efficiency, whilst those that have not had the benefit of extensive fossil fuel reserves
including Moldova and Austria tend to focus on the energy sector. A wide range of
specific targets related to elements of the green economy are set out by countries
and progress is reported against indicators (European Environment Agency 2011)
(Table 3.1).
There is a strong economic case for improving social and environmental sustainability of trade, and there are clear instances where the opportunities to increase
revenues through trade fully coincide with the objectives of a green economy.
Developing countries, and particularly the least developed ones, are faced with an
urgent need to diversify their economies. Trade-driven pressure on natural resources
has escalated and resulted, with few exceptions, in detrimental environmental and
social impacts, such as biodiversity loss, environmental degradation and inequitable
income distribution. Opportunities to reverse these trends can be found in the growth
of existing sustainable trade markets, relative to conventional markets, and in the
opening of new markets for green goods and services. Developing countries with
abundant natural capital, as well as competitive production costs and valuable
human capital, may have an absolute advantage for capturing these opportunities
(UNEP 2013).
V. Kaputa et al.