Global Warming: Create an Efficient and Sustainable Economy - STWR

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Global Warming: Create an Efficient and Sustainable Economy

"In order to tackle climate change it is necessary for policy makers to re-examine key aspects of the global economy such as the pursuit of economic growth at all cost; unhealthy export-orientated agricultural practices; biased trade and finance structures; unsustainable over-consumption; and the excessive influence of multinational corporations on the economic and social life of the global public" - Rajesh Makwana.

13th Oct 06 - Rajesh Makwana ~ STWR

Despite these meetings, action on reducing emissions has been far too slow on what is described by leading scientists as humanity’s most pressing problem. Major environmental catastrophe is only two degrees centigrade away, and some scientific models suggest this could occur by 2050.

In his new book, Heat: How to Stop the Planet Burning, George Monbiot suggests that a global cut in carbon emissions of 60% by 2030 is necessary if we are to keep below dangerous temperature levels, although this seems unlikey given the current lack of leadership on the issue [3].

The result of inaction will be catastrophic, not only for developing countries that bear the brunt of climatic extremes, but also for developed countries which will become more susceptible to widespread flooding and drought.

Today, Friends of the Earth released a report that estimates the global cost of dealing with the environmental catastrophes will reach $20 trillion a year by 2100. This will be equivalent to 8% of global GDP [4].

To make matters worse, as of next week the US population will reach 300million, and it continues to grow by 2.7 million each year [5]. This will have a significant impact on the environment since Americans, who make up less than 5% of the world’s population, consume some 40% of the world’s oil and are by far the world’s highest carbon dioxide emitters.

A major shift in the US administration’s stance on the environment is long overdue. However, a UN expert voiced his concern yesterday that any efforts to extend Kyoto talks may have to wait until after President Bush steps down from office in 2009 [6].

The reason policy makers have delayed meeting these challenges can be explained by economics, or more precisely, the profit motive. Yesterday, Shell released a report that identified a $1 trillion global market for 'businesses that develop technologies, products and services that help combat climate change'. Shell's chairman, James Smith, said on the BBC Radio 4 Today program that "The cost-benefit equation of action to tackle climate change is favourable. That's true not just for the UK but internationally as well” [7].

Last week environment and energy ministers from the 20 biggest polluting countries met privately and concluded that developing countries need more and better technology for producing greener energy[8]. The World Bank, the leading body for financing projects in developing countries, is likely to facilitate this process.

We cannot rely on corporate interests to dictate our response to climate change. Unfortunately, the close relationship between big business and government has resulted in a prevalent economic model whose holy grail is economic growth. With industrial competitiveness still guiding the economic policies of the most polluting nations, efforts to tackle climate change will always favour technological and industrial approaches even though reducing emissions is the surest and quickest method of controlling climate change.

Opting for the technological approach was also the main reason given by President Bush for shunning the Kyoto agreement. His reasoning was simple: reducing emissions means reducing consumption, and that will hurt corporate profits and the economy.

In order to tackle climate change it is necessary for policy makers to re-examine key aspects of the global economy such as the pursuit of economic growth at all cost; unhealthy export-orientated agricultural practices; biased trade and finance structures; unsustainable over-consumption; and the excessive influence of multinational corporations on the economic and social life of the global public.

Another meeting or report is not needed for concerned citizens to know that carbon emission can be significantly reduced by creating a more efficient production, distribution and consumption of the most essential resources - energy and food. It is common sense. One way to achieve this efficiency is by sharing these essential resources cooperatively rather than capitalizing on them through a competitive and inefficient economy.

Environmental neglect, poverty and inequality are largely the result of unfettered market forces controlling the distribution of the most essential resources. Sound environmental stewardship cannot occur whilst the profit motive alone drives the global economy.

Creating a more sustainable global economy by sharing resources and implementing strict environmental safeguards is not an easy option. We have the incentive, we know what to do and we have the technology to achieve it. We mustn’t wait for the right market conditions before we act.

Rajesh Makwana is the director of Share The World's Resources(www.stwr.org), an NGO campaigning for global economic and social justice. He can be contacted at This e-mail address is being protected from spam bots, you need JavaScript enabled to view it .

Notes:

[1] New technology needed to cut pollution-World Bank

The world's top polluting nations agreed new energy-generating technologies are needed to curb global warming and developing countries asked rich states for training and know-how, a World Bank official said on Wednesday.

"All participants agreed on the urgency and the issue of technology," World Bank energy director Jamal Saghir said.

Energy and environment ministers from the 20 biggest polluting countries met behind closed doors for two days last week and vowed to work faster to control greenhouse gases as scientists told them each year wasted would cost them dearly.

[2] “Sustainable Bioenergy – Challenges & Opportunities” Conference Opens in Bonn

The United Nations Foundation and the German NGO Forum on Environment & Development today announced the opening of the Sustainable Bioenergy conference in Bonn, Germany.

The two-day conference, held Oct.12-13 at the Altes Wasserwerk (former German Parliament building), brings together experts from governments, NGOs, business and science for a series of meetings, workshops and speeches looking at opportunities for bioenergy, assessing sustainability challenges, and identifying viable solutions for responsible utilization of these important renewable energy sources. Source: United Nations Foundations

[3] The Freshwater Boom is Over. Our Rivers Are Starting to Run Dry

We can avert global thirst - but it means cutting carbon emissions by 60%. Sounds ridiculous? Consider the alternative.

It looks dull, almost impenetrable in places. But if its findings are verified, it could turn out to be the most important scientific report published so far this year. In this month's edition of the Journal of Hydrometeorology is a paper written by scientists at the Met Office, which predicts future patterns of rainfall and evaporation.

[4] Warming will cost trillions, says report

Failure to take action to combat climate change will cause environmental catastrophe and cost the global economy $20 trillion (£10.8 trillion) a year by the end of the century, the pressure group Friends of the Earth says today.

In a report based on research from more than 100 scientific and economic papers, the group says allowing global warming to continue unchecked will mean a temperature rise of 4C by 2100, causing economic damage worth up to 8% of global GDP.

The study coincides with research from the oil group Shell yesterday, which said the need to find solutions to climate change could create a £30bn market for British business over the coming decade.

[5] U.S. Population Reaches 300 Million, Heading For 400 Million : No Cause for Celebration

Sometime this month, the U.S. population is projected to reach 300 million. In times past, reaching such a demographic milestone might have been a cause for celebration. In 2006, it is not," says Lester Brown, President of the Earth Policy Institute.

Population growth is the ever expanding denominator that gives each person a shrinking share of the resource pie. It contributes to water shortages, cropland conversion to non-farm uses, traffic congestion, more garbage, overfishing, crowding in national parks, a growing dependence on imported oil, and other conditions that diminish the quality of our daily lives.

[6] Post-Kyoto Climate Talks May Last to 2010, Expert Says

OSLO -- Talks on extending a U.N.-led fight against global warming beyond 2012 may last until 2010 to allow a wider U.S. role after President George W. Bush steps down, a U.N. expert said on Wednesday.

Many environmentalists, and some governments, want a new pact on cutting greenhouse emissions agreed by 2008 to give businesses and investors time to adapt to new rules after the U.N. Kyoto Protocol's first period ends in 2012.

"I sense in the rhetoric that people are talking more about 2009 (than 2008)", said Michael Zammit Cutajar, a climate expert from Malta who leads a U.N. group looking at how to extend Kyoto.

"We need a deal that includes Kyoto and includes the United States," he told Reuters during a conference in Oslo on carbon dioxide emissions.

[7] –see [4]

[8] –see [1]