Green economy: A challenge to inclusive and equitable growth

Abstract

Economy has been the cause of and the solution for our present day problems. It has brought material prosperity to some, but at the expense of others both within and across national boundaries. The traditional trickle-down economic growth theory is increasingly being questioned and renounced. This is witnessed by the growing level of dissent observed not only in developing countries, but also in the developed world. An urgent need for a new economic model exists and the United Nations Environment Programme (UNEP) has addressed this urgent need by proposing a ‘Green Economy’. This has been defined as an economy that results “in improved human well-being and social equity, whilst significantly reducing environmental risks and ecological scarcities”.Countries around the globe are trying to figure out how to grow green i.e, how to generate economic activity that preserves and enhances environmental quality while using natural resources more efficiently. The focus is on linking the three Es for of development, i.e., Environment-Economy-Equity, and achieve economic growth while reducing the human impact on the environment and benefitting the society’s least advantaged members.At the most basic level, the green economy is the clean energy economy, consisting primarily of four sections: renewable energy (e.g. solar, wind, geothermal); green building and energy efficiency technology; energy efficient infrastructure and transportation; and recycling and waste to energy. The green economy is not just about the ability to produce clean energy, but also technologies that allow cleaner production processes, as well as the growing market for products which consume less energy, from fluorescent lightbulbs to organic and locally produced food. Thus it might include products, processes and services that reduce environmental impact or improve natural resource use.This paper surveys the various reports and studies in the area of green economy with a purpose to provide a comprehensive overview of the concept of Green Economy. The various policy approaches being proposed and adopted around the world to move towards Green Economy has also been discussed with special reference to India.