Green Jobs: What they are and how we promote them Seminar on Climate Change and Green Jobs New Delhi, 3 November 2010 Hideki Kagohashi, Enterprise Development Specialist ILO-DWT for South Asia 1
Green Jobs Initiative Green Jobs Report The partners: 2
Green Jobs: Meeting challenges of 21st century Achieving economic and social development and environmental sustainability Environmental: climate-related disasters (262 mill), water shortages (1.8 mill), environmental refugees (50 mill), displacement by flooding (330 mill), food shortages (180 mill now+600 mill 2080), loss of biodiversity Social/decent work: working poor (1.3 bill), unemployed (190 mill), young job seekers (500 mill), no access to social security (5.3 bill), food, shelter (1 bill), energy (1.6 bill) 3
Green jobs Reduce consumption of energy and raw materials (dematerialize economies) Avoid greenhouse gas emissions (decarbonize economies) Minimize waste and pollution Protect and restore ecosystems and environmental services Adapt to climate change 4
Green jobs Can be created in all sectors and enterprises (direct, indirect and induced jobs) Decent jobs: adequate incomes, social protection and respect for workers rights 5
Towards decent work and environmental sustainability E N V I R O N M E N T E.S, but not Decent Neither ES nor decent E.S & Decent Decent but not E.S DECENT WORK 6
Greening across economy + High potential sectors Energy efficiency: buildings, industry, transport Renewable energy Mobility: mass transportation Recycling, waste management Sustainable agriculture and forestry Environmental services 7
Green Jobs in Brazil 2.65 m formal green jobs 6.7% formal employment ~ construction industry Growing faster than overall labor market 8
Brazil : Social housing, sustainable construction My house-my life social housing program (5/2009) 500,000000 units energy savings measures (solar water heaters) - 40% electricity bill - 18% peak demand + 18,000 jobs Sustainable construction 9
Upgrading of social housing South Africa Slum population > 1 bn 10 10
Rural energy: Photovoltaic in Bangladesh 1.6 bn people without access to modern energy 11
Green infrastructure Social security and anti- poverty schemes Public works programmes Environmental rehabilitation Adaptation ti climate change Potential ~100 m jobs/y 12
Mind the gap: skills Skills bottlenecks in all countries and most green jobs Technology cannot be used effectively : Ex. UK social housing Or not at all: China building industry 13
Eco-taxes net gain 14.3 m jobs globally within 5 y Source: IILS (2009) 14
Policy instruments Regulation Mandates Public investment Public procurement Skills development Getting prices right : Subsidies (shift) Cap-and-trade, CO 2 tax, CDM (Eco-) taxes 15
Conclusions Jobs: Positive balance in numbers likely Improvement job quality Short response time Critical conditions: supportive and coherent policies (mixes) Well prepared p enterprises and workers 16
Green Jobs in the Inclusive Growth How our efforts to promote Green Jobs (quantitatively & qualitatively) can contribute to the inclusive growth scenario in India? da 17
National Comission for Enterprises in the Unorganized Sector found that... t 1. The Indian economy is dominated by informal employment in the informal sector (around 85 % as of 2004-05). 2. The net growth of employment e (1999-00 to 2004-05) 05) has been largely of an informal kind. 3. The growth rate of wages of almost all categories of workers has declined d during 1993-9494 to 2004-05. 05 4. A large proportion of the Indian workforce and population (more than 3/4) continues to be poor and vulnerable with very low rates of improvement in living standards. 5. The growth that t occurred has been unequal, concentrating its benefits among the top segments of the population. 18
Green Jobs in the Local Economy - a scenario Access to (clean) energy for the poor Grid extension Greener development of sectors with vast informality (incl. green & conventional jobs) Agriculture Area-wide collective options HH level solutions Induced impact MSMEs Waste mgt & Recycling Building & Construction - repair & maintenance jobs - some manufacturing jobs 19
What we can do (1) Access to (clean) energy for the poor Grid extension Area-wide collective options HH level solutions - repair & maintenance jobs - some manufacturing jobs We support: gauging the labour market impact of selected energy projects and resulting skills gap Value-chain and business model dev Partnership required e.g., regulators, technology providers, training providers, financiers, market facilitators 20
Jobs created ed or lost? Introduction of green technologies Cost saving in terms of energy & waste reduction Technology supplier firms grow, creating more GJ Brown technology supplier firms decline, reducing brown jobs loss Alternative use of the waste may eliminate jobs previously dealt with sate Firms become more competitive Parts supplier firms grow, creating more GJ Parts supplier firms decline, reducing brown jobs gain gain loss Firms grow, creating more GJ Demand for maintenance services grow, creating more GJ Demand for maintenance services decline, reducing brown jobs 21
Jobs created or lost? How about quality? Introduction of green technologies Cost saving in terms of energy & waste reduction Technology supplier firms grow, creating more GJ Brown technology supplier firms decline, reducing brown jobs loss Alternative use of the waste may eliminate jobs previously dealt with sate Firms become more competitive Parts supplier firms grow, creating more GJ Parts supplier firms decline, reducing brown jobs gain gain loss Firms grow, creating more GJ Decent Work Challenge Integrated approach to green, decent and profitable businesses Demand for maintenance services grow, creating more GJ Keeping jobs Demand for maintenance services decline, reducing brown jobs Conversion of brown jobs into GJ in the same firm/vc Alternative livelihood thru entrepreneurship & ALMP Absorption of the labour within the expanding segment of VC Alternative livelihood thru entrepreneurship & ALMP Compensating the loss 22
Materialize the impact of access to energy into local l economic develop... Access to (clean) energy for the poor Greener development of sectors with vast informality is NOT AUTOMATIC Calls for an integrated approach Need to work w/ various stakeholders incl. convergence w/ gov prog/schemes 23
What we can do (2) ILO programmes & tools Greener development of sectors available: with vast informality Local competitiveness & value chain tools Agriculture Entrepreneurship, skills and MFI training MSMEs Workplace enhancement & productivity prog. Waste mgt & Recycling Support to expand social protection coverage Building & Construction Tools to address needs of vulnerable groups 24
New tools to be introduced Tools to assess the size of Green Jobs potential Sectoral (ILO-GHK guide) project level (under development) Tools to support Local Economic Development 1. Value Chain Development for Green Jobs (policymakers guide/reader + practitioners guide) 2. Sustaining Competitive & Responsible Enterprises SCoRE (workplace & productivity programme) 3. Generate Your Green Business Ideas (a module of SIYB entrepreneurship programme) 25
Support of ILO in India to date Support to the GJ Task Force Capacity building of constituents GJ pilot in Jabalpur Af few studies on GJ(NREGA (NREGA, skills, value chain) 1 st National Conference on GJ (24-25 June) 26
Current and planned support in India Continue supporting GJ Task Force Continue building capacity of constituents GJ mapping and sensitization Support to the 8 missions on CC, e.g.: Skills support to solar mission Energy efficiency through enterprise & skills support Adaptation support through integrated approach Contribute to Knowledge mission through research Support to the state level action plan on CC, e.g.: Assess GJ potential ti and integrate t GJ into the plan Area-based integrated approach through Jabalpur pilot (biogas) and NREGA pilot Convergence to other government programmes (e.g., NREGA, programmes of MNRE, Skills Development Initiative, Green MSME development through SCORE) 27
8 Missions of National Action Plan on CC Mission Objective Responsible Entity National Solar Mission 20,000 MW of solar power by 2020 National Mission for Enhanced 10,000 MW of EE savings by 2020 Energy Efficiency National Mission for Sustainable Habitat National Water Mission National Mission for Sustaining the Himalayan Ecosystem EE in residential and commercial buildings, public transport, Solid waste management Water conservation, river basin management Conservation and adaptation practices, glacial monitoring Ministry of Non Renewable Energy Sources Ministry of Power Ministry of Urban Development Ministry of Water Resources Ministry of Science & Technology National Mission for a Green 6 mn hectares of afforestation over degraded Ministry of Environment & India forest lands by the end of 12 th Plan Forests National Mission for Sustainable Agriculture Drought proofing, risk management, agricultural research Ministry of Agriculture National Mission i on Strategic t Vulnerability assessment, Research & Ministry i of Science & Knowledge for Climate Change observation, data management Technology 28
Recommendations for policy Win win not by default, but by design Policies that work: 1.Map employment/income ment/income opportunities and risks 2.Start t with low-hanging fruit 3.Target: youth, women, the poor, SMEs 4.Engage stakeholders in social dialogue 29
Useful websites Green Jobs India site: http://www.ilo.org/newdelhi/whatwedo/projects/lang-- / lhi/ h t d / t /l en/wcms_123411/index.htm ITC-Turin s Green Jobs training site: http://greenjobs.itcilo.org/ org/ LED knowledge website: http://www.ledknowledge.org/ Boosting Employment through Small Enterprise Development: http://www.ilo.org/empent/workingunits/lang-- en/wcms_doc_ent_dpt_see_en/index.htm SCoRE: http://www.ilo.org/empent/whatwedo/projects/lang-- en/docname--wcms_101367/index.htm Informal economy resource guide: http://www.ilo.org/public/english/support/lib/resource/subj ect/informal.htm 30