GREEN ECONOMY: The Path to Reduce ECOLOGICAL FOOTPRINT In Arab Countries Najib Saab

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1 GREEN ECONOMY: The Path to Reduce ECOLOGICAL FOOTPRINT In Arab Countries Najib Saab Secretary General, AFED

2 2012 AFED Report on Ecological Footprint found that the Arab Countries are in a state of Ecosystems Bankruptcy

3 50 Years at a Glance GDP: x4 Biocapacity: 2 Water: 4 [Constant $US year 2000 per capita] 3

4 Ecosystems Bankruptcy Natural resources in the Arab region fell to less than half Biocapacity by Land Use Type,

5 According to the 2012 AFED Annual Report: The Arab region is in a state of ecosystem deficit since 1979 gha/capita % Change Ecological Footprint % Biocapacity % Ecological Footprint Accounts

6 6

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9 Arab Ecological Footprint Increased by 78 % from 1.2 to 2.1 Global Hectares per capita. 1.2 gha 2.1 gha 9

10 Biocapacity Decreased by 60 Percent, from 2.2 to 0.9 Global Hectare per Capita

11 Ecological Deficit Bridged by Imports and an Over-Exploitation of Local Resources. 11

12 Inadequate Resource Management Has Dire Consequences on the Environment. Overexploitation of resources Impact of climate change High population growth rates Uncontrolled economic growth and urbanization 12

13 Main Environmental Challenges: Water scarcity Land degradation Inadequate waste management Coastal and marine environment degradation Air and water pollution Cost of environmental degradation in the Arab region 5% of total GDP environment budgets less than 1% 13

14 Variations in Ecological Footprints: Qatar highest Footprint per capita in the world Followed by Kuwait and UAE Ecological Footprint by Country and Land Use Type,

15 Average Arab: 1.2 planets Average resident of Qatar: 6.6 planets Average Moroccan: three-quarters of the planet Earth 15

16 DESPARITY Freshwater Availability per Capita: Kuwait 8 cubic meters Mauritania 3,460 cubic meters GDP per capita: Sudan and Yemen $1,000 Qatar $92,000 16

17 For some Arab Countries Average Footprint is Too Small to Meet Basic Needs. Better access to resources Share of renewable natural resources to be more balanced and equitable across countries and regions. 17

18 Carbon Component: Biggest Increase Ecological Footprint by Land Use Type,

19 Energy Efficiency and Renewable Energy: Main factors to reduce Ecological Footprint 19

20 Beyond GDP Wellbeing & Progress = Economic + Prosperity Ecological Health Limits of nature to support life Population Expatriate Proportions? Improve resource productivity by prioritizing energy and water efficiency 20

21 If the major Arab cereal producers raise their productivity and enhance irrigation efficiency to match the world average, they can move from deficit to surplus 21

22 Regional programs in scientific research Transform the income from finite oil resources into strong science and technology base 22

23 The Challenge: How to provide sustainable wellbeing for all inhabitants PROGRESS NOT growth for the sake of growth at any cost No Arab country can survive as an isolated entity The diversity of resources is foundation for survival and renewal Regional economic cooperation and Arab trade free of barriers 23

24 AFED Report Tracks Glimpses of Hope: UAE National Footprint Initiative: Science-based policies to advance sustainable development. King Abdullah University of Science and Technology in Jeddah. MASDAR Institute. Qatar Foundation: Sustainable development through research. Morocco: 40% renewable energy by

25 Survival Options: Regional Cooperation Resource Efficiency Balanced Consumption 25

26 AFED 2011 annual report on Green Economy reached similar findings BUT concluded that the transition to a green economy helps to reduce Ecological Footprint through better resource management

27 GREEN ECONOMY IN A CHANGING ARAB WORLD Arab countries have adopted aggressive economic growth models, but in doing so have gravely undermined progress on social and environmental issues. The persistent poverty and unemployment have led to social marginalization, which is further compounded by income disparities. A main finding of the AFED 2011 report is that transitioning to a green economy helps to generate decent and lasting job opportunities. And when people whose lives are most impacted have more say in shaping policies, this will result in better management of Arab natural resources. One major demand which drove people to the streets was the plight for decent jobs

28 SHORTFALLS OF ARAB DEVELOPMENT MODELS POVERTY: 65 million people in Arab countries. UNEMPLOYMENT RATES: 15% for the general population, 30% among the youth. Annual cost of environmental degradation in Arab countries has been estimated to be $95 billion, equivalent to 5% of combined GDP. 60 million new jobs required by 2020

29 GREEN ECONOMY IN A CHANGING ARAB WORLD Green Economy places emphasis on the efficient use of natural assets to diversify the economy, which in turn provides immunity against the volatilities and recessionary pressures of the global economy. Green Economy is NOT an alternative to Sustainable Development- It simply is the economic component of Sustainable Development.

30 CHANGING COURSE: TRANSITIONING TO A GREEN ECONOMY AGRICULTURE Prioritize agricultural rural development as a strategic policy objective to alleviate rural poverty. Employ regional cooperation to take advantage of comparative advantages. 40% share by agricultural workers in the labor force, in agriculture-oriented countries, from 28% now generates more than 10 million jobs. Shifting to sustainable agricultural practices results in savings between 5-6% of GDP, about $100 billion annually, as a result of increased water productivity, improved public health, and better-protected environmental resources.

31 CHANGING COURSE: TRANSITIONING TO A GREEN ECONOMY WATER Allocating 1.5% of GDP annually to investments in clean sanitation, water infrastructure, innovative water efficiency, and recycling technologies, amounts to $28 billion annually, and will create jobs in both rural and urban regions. Wastewater treated should increase from below 60% today to a %. The portion of treated wastewater which is reused should increase from 20% today to 100%. Innovative technologies for water desalination should be developed locally, incorporating the use of solar energy.

32 CHANGING COURSE: TRANSITIONING TO A GREEN ECONOMY ENERGY Reduction in the average annual per capita consumption of electricity in Arab countries to the world average (now double) through energy efficiency measures generates consumption savings of $73 billion annually. 25% reduction in energy subsidies would free up over $100 billion over a threeyear period, an amount that can be shifted to finance the conversion to green energy sources. 30% reduction in energy requirements due to more efficient industrial processes is estimated to result in annual savings of 150,000 billion kwh or $12.3 billion.

33 CHANGING COURSE: TRANSITIONING TO A GREEN ECONOMY TRANSPORTATION Support public transit systems and endorse vehicle fuel efficiency standards. 50% greening of the transport sector, resulting from higher energy efficiency and increased use of public transport and hybrid vehicles, generates savings of $23 billion annually.

34 CHANGING COURSE: TRANSITIONING TO A GREEN ECONOMY CITIES AND BUILDINGS A 20% increase in investments for greening the construction sector will result in additional investments of between $23-46 billion and will create 10% more jobs. Spending $100 billion in improving water and energy efficiency in 20% of the existing building stock in Arab countries over the next 10 years, by investing an average of $10,000 per building for retrofitting, creates 4 million jobs.

35 Green Economy insures the transition from the "virtual economy" based on speculation in real estate and financial markets, to the "real economy" based on sustainable production, which creates jobs and preserves the natural capital GREEN ECONOMY SUSTAINABLE TRANSITION IN A CHANGING ARAB WORLD

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