Green Competitiveness

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1 Green Competitiveness Høyskolen i Oslo og Akershus, 28 August 2017 Idar Kreutzer, CEO Finance Norway

2 Climate Change Economic Growth Jobs Creation

3 Changes in Carbon Emissions from European Countries Source: BP Statistical Review of World Energy 2016/Carcon

4 CO2 Emissions Norway 2014 Emissions to air (millions of tons C02-equivalents) Expected reductions towards 2030 Emissions to air (millions of tons C02-equivalents) 4 Sources: Norwegian Environment Agency and Ministry of Finance

5 From a resource based economy to a more knowledge based business sector Norway Fish Sweden Machinery Electronics Cars Metals Oil Oil Chemicals Plastic Oil Woodworking 5 Source: Center for International Development, Produktivitetskommisjonen

6 Tusen personer The Norwegian transition Net changes in number of employees in different sectors Competitive industries downsizing Increase in public sector 6 Source: Statistics Norway

7 Mandate: A new reality for Norway a call for change Oil and gas is no longer our primary source of economic growth Norway will be a competitive low emission society in 2050 The private sector is the foundation of economic growth We need new and green jobs and value creation

8 Stakeholder engagement 45 one-on-one meetings with businesses and organizations 8 dialogue meetings with the largest industries 8

9 Dialogue meetings Real estate and construction Knowledgebased innovation Circular economy Shared economy and consumption Oil and Gas Energy Fishing and Aquaculture Processing Industry 9

10 Roadmaps: Feedback from the private sector Processing Industry Transport Sector Circular Economy Forestry Knowledge based Industries Agriculture Construction and Real Estate Norwegian Continental Shelf Green Shipping Water Industry Trade Industry Platform for policy framework development

11 Green competitiveness the road ahead Broad hearing White paper on industrial policy White paper on long-term perspectives on the Norwegian Economy White paper on the shared economy National strategy on green competitiveness 11

12 Key findings and recommendations 1. Principles for policymaking 2. Dynamic and competitive private sector 3. Public sector engagement 4. Competent and green

13 10 principles for policymaking 1. The polluter should pay. 2. Emissions and other externalities should be priced. 3. Higher taxes on what we want less of. Lower taxes on what we want more of. 4. Informed decision-making by consumers should be facilitated. 5. Public procurement should require green solutions. 6. Public planning and investments should be based on the objective of becoming a low emission society by A life cycle perspective should be the basis for public investments and procurement. 8. New legislative proposals should include an evaluation of CO2 effects where relevant. 9. Green competitiveness should be built on well-functioning markets. 10. There should be consistent reporting on what we want to achieve and what we want to avoid. 13

14 Ambitious roadmap from the processing industry

15 Forestry Biofuel 15 Construction materials Charcoal

16 Sustainable development of marine resources Large potential Growth must be based on biology Knowledge based Innovative Market oriented Export oriented Need for world class research throughout the value chains

17 Green shipping Strong industry throughout the value chain Use of concessions and procurement to create markets Photo: Christina Svanstrøm, tromso.no Continue the focus on onshore power supply both hybrid and fully electric solutions Photo: Fjellstrand

18 The role of the financial services sector The transition to the low emissions society Innovation Robust societies and the value of prevention 18

19 The role of the Government The public sector as a regulator Predictable goals Efficient national and regional planning and implementation The public sector as an active part The state leading the way as an owner Using public procurement power to stimulate green innovation Risk mitigation 19

20 From excellent research to creating value and new jobs 20

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