Examples of Economic Growth Challenges in Green Growth

Here are some examples of economic growth challenges that participants face in areas of green growth:

• Growth driven by energy-intensive industries produced in energy-poor places.
• Growth dependence on one, non-green energy source.
• Disruption of major economic activities due to changing energy prices.
• High cost of capital reducing the comparative advantage of green energy projects.
• Skills mismatch between skills you have and the jobs in a greening world.
• Increasing inequality, with many not being included in the growth process in a low-carbon future.
• Electrical grid unprepared to absorb new, intermittent renewable energy sources.
• Lack of credible carbon markets to take advantage of global market prices for carbon offsets through internationally contractable, certifiable credits.
• Endowment of critical minerals without the legal framework to achieve local returns to global use for green technology production.

Here are some examples of economic growth opportunities that participants face in areas of green growth:

• Ready diversification into green technology supply chains given existing, related knowhow.
• Existing green energy systems to create new comparative advantage to relocate energy-intensive activities locally.
• Well-diversified economy with inclusive employment in industries that will increase in demand in a greening world.
• New comparative advantage to open new export markets based on existing green energy sources to enhance competitiveness of existing industries.
• Electrical grids that can absorb new, green energy sources, particularly in mixing intermittent sources with consistent sources.
• Carbon sinks with the potential for contractable, credible carbon markets to make forest protection a path to economic prosperity.
• Endowment of critical minerals for green technologies that offer rising prices to maximize local returns for use in reducing global emissions.
• Vocational training / university systems that can readily adapt to supply the necessary skills to enter new green technology supply chains.