Understanding the term “green growth”
Green growth on a broad basis means to ensure the growth and development in economic terms while simultaneously making sure that the environmental assets continue to serve our interests keeping in our concerns that the use of these resources is made efficiently and in a sustainable manner. To make this into reality, the idea is to fuel our system with innovative and creative technologies that would trigger sustained growth and pave way for newer opportunities in economic terms.
Green growth is a much required and appreciated aspect since the number of associated risks are witnessing a rise which in turn would erode the natural resources. If a check is not placed well in time then it would lead to a worsening situation that might make the water resources scarce, open avenues to change in climate and loss of biodiversity.
The above-mentioned tensions may cause hindrance to the future growth potential mainly erupting from two reasons:
1) Substituting the physical capital from that of the natural capital is entailing huge expenses. To put into simple words, we can say that for instance if the water resources become scarce somehow then it would ask for setting up the infrastructure that would help in purifying the polluted water.
2) On a second basis, it is very difficult to say whether change would stick on a well-defined calculated basis.
It’s high time to take note of the fact that we are in dire need of the new paradigm to set in relation to the methods of producing and consuming things and work on redefining the meaning of progres.
Green growth and its related sources
Green growth can trigger the surfacing of relatively newer sources, some of them are listed below:
- Level of productivity: Efforts to be directed at bringing more efficiency while using the natural assets inclusive of the enhanced level of productivity and putting a stop on the consumption of the energy. Also it swears by the principle that there has to be maximum utilization of any resource.
- Making innovation a crucial part: Environmental problems can very well be addressed by the introduction of innovative technologies. Value addition follows it quite distinctively.
- New markets will establish: With the increase in excessive demand for the green technologies, new markets would set its foot which in turn would lead to creation of job opportunities.
- A boost in confidence: It would entail an increase in confidence of the investor as it would become easier to predict and off course investors will start investing in plastic waste recycling business or others recycling programs for protection of the environment.
- Increase in stability: It would bring more stability in the economy and would lead to reduction in the volatility of resource price.
Is there a link between green growth and sustainable development?
Sustainable development works towards imbibing the concept of green growth. The green growth strategy of the OECD leverages the substantial level of analysis being done in this field.
Green growth must not be studied in isolation but be construed to mean a subset of the development under sustainable means. The strategies with respect to green growth should pay attention to the issues that are social in nature arising at the national and international level.
To achieve this, they should be streamlined into a parallel process with that of sustainable development. The strategy must be formulated on grounds of policy framework that is actionable and must be tailored to suit the different national circumstances.
What are the essentials of green growth strategies?
The clear fact in front of us is that we have to learn to live with the consequences of the decisions made in the past even when it means that the change in the habits, infrastructure and technology is taking place at a rapid rate.
Green growth strategies must therefore entail a flexible approach so that it is able to quickly adapt to the ever-changing technologies and the cropping of opportunities at unexpected times. Most importantly it must be so flexible that it should be able to discard the redundant approach and employ the recently developed one.
Green growth must embrace the efficient resource mechanism. It must be its basic foundation. Policies that must be adhered to can be broadly listed below:
- On the first hand, framework policies should be designed as such that ensures the coexistence of both economic growth and techniques to conserve natural resources. Efficient allocation of resources must be done by stimulating our tax and competition policy. Innovative policies must be relied on.
- On the second hand, it must be instilled in the minds of the people that if they pollute the environment, they must get ready to face consequences. Policies should be such that should offer incentives in event of efficient utilization of resources and on the other hand if pollution is forged then it must be tackled with the monetary give back. It must also involve voluntary initiatives that work on the lines of conserving the environment.
Adopting a greener approach through innovation
Innovation plays an instrumental role in triggering the much-needed green growth and it can be carried out by breaking the chain of blindly following established norms of doing things. Certain challenges must be paid due regard while ensuring to give birth to green growth, some of them are as follows:
1) Various externalities related to the environment are yet to be priced or entail an underpriced approach.
2) The new technologies entering the market would find it extremely difficult to mark its presence, specifically in the industries related to the energy sector.
3) Trade and investment barriers can cause hindrances in the path to adopting green technologies.
Conclusion
In the nutshell it can be concluded that the dream of green growth is not a distant dream anymore. With the combined effect of green technologies and concerted efforts from all the responsible stakeholders
