Emergence of Green economy as a Concept And Its Relevance To Corporate Strategy

Why are we talking about Green Economy?

• Global warming and Climate change - Rising sea levels

• “The Death of Birth”

• Fresh water shortages

• Ecological Footprint

• Growing Unemployment

• Ecological Footprint’ already exceeds Earth’s regenerative capacity… our demands

on the planet have doubled over the last 40 years…

Social Justice and Crises

– Poverty widespread, 3 billion under $2 per day: 9.1 billion by 2050, biggest increase in developing countries

– Almost 1 billion people chronically undernourished

– Wealth of 3 rich = 600 million poor

– No schooling for 1 in 5 children

– Most population growth in poorest regions

– 80 countries poorer than 20 years ago

Homes are now more energy efficient, but also much larger, increasing pressures on land, water and materials

19901991

19921993

19941995

19961997

19981999

20002001

20022003

20042005

20062007

20082009

0.7

0.8

0.9

1

1.1

1.2

1.3 Total energy con-sumption of housing stock for space heat-ing

Energy consumption per dwelling for space heating

Energy consumption per m2 for space heating

Growth in floor area of housing (19 EU countries)

Index 1990 = 1

Resource use

Efficiency gains

Consumption

Cars are more efficient but contribute to a range of negative impacts on people’s quality of life in cities

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

80

90

100

110

120

130

140

150

160

GDP (fixed prices)

Total car km travelled

Total fuel consumption of private cars

Specific fuel consump-tion of average car (l-itres/km)

Total CO2 emissions of cars

Stock of cars

Index, 1990 = 100

Resource use

Efficiency gains

Consumption

Copyright: Tesla

nor new technologies only ...

To reach ambitious environmental visionsNot just incremental efficiency gains ...