Towards a green economy Sector

Agriculture Buildings

Energy (supply)

Green Economy Report investment allocation 2011 (US$ bn/yr., see Note 1)

108 134

308 362

233 500

611 460 – 1,500 Fisheries Forestry 108 90 - 280 15 37 2 - 30 Industry Tourism Transport

Waste Water

76 50 - 63

134 194

325

108 108

18 50

Total 1,347 1,053 – 2,593

Investment assessment (US$ bn/yr., see Note 1)

Details Target: increase and maintain nutrition levels to 2800 to 3000 Kcal/person by 2030

Target: increase energy efficiency to reach energy consumption and emissions targets set in IEA’s BLUE Map scenario

IEA ETP 2010 BLUE Map scenario, Additional (see Notes 3 and 4).

Target: increase penetration of renewables in power generation and primary energy consumption to at least reach targets set in IEA’s BLUE Map scenario

IEA ETP 2010 BLUE Map scenario, additional (see Notes 3 and 4).

World Economic Forum (2010a) estimate of annual spending on clean energy necessary by 2020 to restrict the increase in global average temperatures to 2°C

European Renewable Energy Council and Greenpeace Energy [R]evolution (2010) Advanced Revolution scenario estimate of average global investment in renewable energy to 2007 to 2030 (see Note 5).

HSBC (2010) estimate of total investments in low carbon energy generation (supply) and energy effi- ciency and management (demand), required to build a low-carbon energy market by 2020 (see Note 6).

Achieve maximum sustainable yield by an aggregate world cut in fishing effort of 50 per cent by decom- mission of vessels, reallocation of labour force, and fisheries management.

Same (from Global Economy Report fisheries chapter analysis).

Target: 50 per cent reduction in deforestation by 2030 as well as increased planted forests to sustain forestry production.

Effective management of the existing network of protected forests and 15 per cent of land area in each region (Balmford et al. 2002) – adjusted for inflation.

REDD+ (more an assessment of potential flow of funds).

Target: increase energy efficiency to reach energy consumption and emissions targets set in IEA’s BLUE Map scenario.

IEA ETP 2010 BLUE Map scenario, additional (see Notes 3 and 4).

Target: increase energy efficiency to reach energy consumption and emissions targets set in IEA’s BLUE Map scenario, and expand public transport.

IEA ETP 2010 BLUE Map scenario, Additional (see Notes 3 and 4). Target: reduce the amount of waste going to landfills by at least 70 per cent .

Target: Meet Millennium Development Goal (MDG) to halve the number of people without access to water and sanitation by 2015, plus reduce water intensity (without quantitative target).

Meet MDG to halve the number of people without access to water and sanitation by 2015 (Hutton and Bartram 2008).

Meet world’s water needs (2030 Water Resources Group, McKinsey). (See Note 2).

Notes to Table 1: 1. All amounts are annual investment figures; Green Economy Report investment allocation in 2010 dollars; IEA investment needs are in 2007 dollars (difference should be considered negligible relative to im- precision of estimates). The GER investment portfolio allocates investments totalling 2 per cent of global GDP across the range of given sectors, with a number of specific sectoral targets, which are described in the details column. These will rise over the period 2011 to 2050 as economic growth proceeds to reach US$ 3.9 trillion in 2050 (in constant 2010 dollars). Investment needs are assessments generally taken from other sources, but many of which have influenced the allocation of the Green Economy Report investment portfolio, especially IEA. 2. For the investment assessment under the right-hand column, the range of total investments corresponds to the sums of low and high estimates per sector. 3. Most IEA figures are simple averages of estimated total investment over 2010 to 2050; however, it appears that lower investments are projected for earlier years, and higher figures for later years. 4. The figures for IEA Energy Technology Perspectives (2010) BLUE Map Scenario represent only the additional investment, totalling an average of US$ 1.15 trillion per year, and do not include the projected investments for the reference scenario, which involves investments to meet increased energy demand through a continuation of existing investment trends. 5. The European Renewable Energy Council and Greenpeace’s Advanced [R]evolution scenario have a key target for the reduction of CO2

emissions down to a level of around 10 gigatonnes per year by 2050,

and a second objective of phasing out of nuclear energy. The [R]evolution scenario has similar target, but assumes a technical lifetime of forty40 years for coal-fired power plants, instead of 20 years; the estimated average global investment needed for this scenario is US$ 450 billion (European Renewable Energy Council and Greenpeace 2010). 6. These estimates are for HSBC’s Conviction scenario, which projects “the most likely pathway to 2020”, which sees the EU meeting renewable but not energy efficiency targets, limited growth in clean energy in the USA, and China exceeding current clean energy targets. This scenario does not correspond to any specific climate policy target. In addition to the supply of low carbon energy, this estimate also includes energy efficiency investments that would be undertaken in transport, buildings and industry sectors. In terms of the breakdown, HSBC estimates that US$ 2.9 trillion will be required between 2010 and 2020 in total for low carbon energy supply and US$ 6.9 trillion for energy efficiency and management.

Table 1: Annual green economy investment by sector 592