Presentation by Patrick ten Brink, Director of IEEP Brussels on Green Growth, Competitiveness and Sustainability 29 November 2016

1. www.ieep.eu
@IEEP_eu
Green Growth: Promoting Solutions Towards
Better Sustainability and Competitiveness
Patrick ten Brink
Director of IEEP Brussels and Head of Green Economy Programme
With thanks for inputs by Jean-Pierre Schweitzer
Green Growth:
Promoting Solutions Towards Better Sustainability
and Competitiveness
Tuesday 29th November 2016
Thon Hotel Brussels City Centre,
Brussels

2. Green Growth Solutions: Presentation Structure
1. Building blocks from a Brown to a Green Economy
2. From a Linear to a Circular Economy
3. Instruments to bring Circularity
4. Innovation to support Sustainability and
Competitiveness
Green Growth (OECD, 2011) – “fostering economic growth and development, while ensuring
that natural assets continue to provide the resources and environmental services on which
our well-being relies”

3. GoodGovernance
&funding
Current Situation
Declining Sustainability:
Brown, Linear, Economy
Resource over-exploitation &
pollution pressures
Climate Change
Biodiversity and natural
capital loss
Critical ecological & resource
thresholds passed or at risk
Resource scarcity and limited
access to a clean
environment
Health impacts and man-
made natural disasters
GDP growth driven
An economy that is not
resource efficient, low carbon
and socially inclusive
Ambitions for the Future
A Green Economy
Improved human well-being &
social equity, while reducing env.
risks and ecological scarcities
Staying within a ‘safe operating
space’: resource use within the
planet’s regenerative capacities &
avoid critical ecological thresholds
No net loss of biodiversity &
‘acceptable’ climate change
Sustainability for future
generations & business: available
natural capital, resources & clean
environment
Health and livelihoods for citizens
and communities
Beyond GDP metrics
An economy decoupled from
environmental impacts and
resource use
Building Blocks in the
Transition to a Green Economy
Business-as-Usual
Approaches
Avoiding Unsustainable Trade-
offs
+
Environmental compliance &
infrastructure
Active environmental
management
Active Risk Management
+
Proactive Investment in Natural
Capital
Pursuing environmental
sustainability
Eco-efficiency
+ Circular Economy measures
+ Decoupling via Radical
Innovation & Demand change
+
+
Source: Patrick ten Brink, Leonardo Mazza, Jean-Pierre Schweitzer - own representation
Building Blocks in the Transition to a Green Economy

4. Our linear economy
Source: Patrick ten Brink and Paulo Razzini

5. Limits of our linear economy: built in wastefulness
• Waste – significant economic losses,
– average EU citizen 16 tonnes of material consumed, >60% to
landfill/incineration, 95% of material and energy value lost
• Future trends – growing populations and consumption.
– 5 billion global middle class by 2030  increasing
environmental & resource pressures
• Environmental pressure – over exploitation of natural capital
threatens planetary boundaries and the economy
The economy is currently based primarily on linear production and consumption
model. Consequently resource use and wastefulness are inherent. The economy is
closely coupled with environmental degradation and advancing planetary boundaries.
Extraction
Production
processes
Distribution
Consumption/
use
Collection

6. The Circular Economy
Source: Patrick ten Brink and Paulo Razzini

7. Opportunities in a circular economy
• Reducing input – efficiencies, closing the loop, industrial symbiosis, diversifying
streams
• Reducing demand – sharing/collaborative models, repair
• Innovative design – biological waste streams, intelligent/modular design
• Creating social opportunities – job creation, inclusion of minority groups in the
development of this economic model
Circular economy approaches can reduce the extraction of raw materials,
reduce the production of waste and reduce pressures on the environment.
More materials and their value can remain in the economy and out of the
landfills and the wider environment – innovation for value retention.
Can create new markets, new products and materials, and jobs
This requires changes in both production and consumption systems.
Policy opportunities at the EU level not limited to CE Action Plan  i.e. CP;
CAP reform; Innovation via FP7/Horizon 2020; trade dialogues e.g. TTIP

8. Landfill Directive
EuP Dir
Landfill Tax
EHS reform
GDP & Env Accounting
Eco-label
ELV,
WEEE,
RoHS,
Batteries,
Packaging
CAP: PES
CAP: Cross
compliance
Education
VAT
Corporate
accounting
& CSR
SCP/IPP
Extended producer
responsibility
Full Cost Recovery;
resource pricing
Waste Hierarchy
EU-ETS
CBA & discount rate
Polluter pays principle
Product taxes Bans
R&D
Pricing, charges,
Certification
Standards
Take back
requirements
Renewable energy
certificates
Taxes, liability, compensation for impacts
Resource stocks: Biotic and abiotic
Impacts: Environment, Social/Health, Economic Disclosure
Source:Buildingonfigure2fromHelenMacArthurFoundation(2012)CircularEconomyExecutivesummary
Recycling targets
Benchmarking
Targets & timescales
Leakage targets
Investment /
expenditure
Compost and
energy recovery
targets
Resource
Efficiency
Flagship
7EAP
Accounting Regulation
Life Cycle Assessment
Monitoring/Metering
Biodiversity
Strategy
Thematic Strategies on
Waste/Recycling and
Natural Resources
Raw materials initiative
Sewage sludge
Directive
Waste Framework
Directive
Sustainable
Industrial Policy
Sustainable
construction
Eco-innovation Action
Plan
GPP

9. Unsustainable Production – Microbeads
Plastic micro beads in cosmetics (EU
wide) – plastic beads used as an abrasive
in cosmetics
 Policy: USA ban on micro beads from
June 2017, EU only voluntary
agreements
 Impact: estimate more than 4,000
tonnes of microbeads used in 2012,
straight into the ocean as not captured
in water treatment facilities.
 Sustainability: lesser impact on
marine environment & human health
 Competiveness: opportunities for
alternative products and materials
https://www.ellenmacarthurfoundation.org/assets/downloads/publications/EllenMacArthurFoundation_Growth-Within_July15.pdf
Plastic Soup Foundation (2016) Companies that have pledge to stop using microbead. Beatthemicrobead. Available online (21st June 2016) at:
https://www.beatthemicrobead.org/en/industry

10. Unsustainable Consumption – EHS
Tax reduction for diesel fuel – lower
tax on diesel intended to favour
commercial vehicles. Example :
 Policy: 47.04c/l compare to
65.45c/l for petrol (2010)
 Impact: concession for diesel of
EUR 6.15 bn/yr, diesel 10x more
nitrogen oxides, & 13% more CO2
 Sustainability: lesser impact on air
pollution & human health
 Competitiveness: Reform pricing can
encourage lower emissions vehicles
https://www.umweltbundesamt.de/sites/default/files/medien/publikation/long/3896.pdf
Oosterhuis F. and ten Brink P. (Eds) (2014) Paying the Polluter. Environmentally Harmful Subsidies and their Reform. Edward Elgar 2014)
http://www.e-elgar.co.uk/bookentry_main.lasso?currency=US&id=15338
http://www.e-elgar.com/shop/paying-the-polluter?___website=uk_warehouse

11. Sustainable Consumption – GPP Denmark
Green Public Procurement (national,
Denmark) – public procurement is
equivalent to EUR 2 trillion in the EU (19%
of GDP), EUR 38 bn in Denmark
 Policy Mix: Partnership for GPP with
Ministry of Environment and Food. 14
partners integrate greening across 11
product groups.
 Impact: total procurement value now
EUR >5 billion
 Sustainability: lesser impacts from
product production, use and disposal
 Competitiveness: GPP can finance
sustainable products, increasing their
competitiveness
https://www.ellenmacarthurfoundation.org/case-studies/denmark-public-procurement-as-a-circular-economy-enabler

12. Green Growth: Promoting Solutions Towards Better
Sustainability and Competitiveness
• There are many building blocks to catalyse the transition from a
brown to green economy.
• Circular economy solutions are at the heart of the transition
• Need to fast track circular economy measures to keep resources and
their value in the economy and out of the environment
• These can support sustainability while improving competitiveness
• Range of tools that address each – from fiscal reform, to standards,
product design, information provision, enabling civil society action,
assessment tools, investment….
• Requires all stakeholders to engage
• EU, Member States and industry has self-interest in progress &
responsibility within global context

13. www.ieep.eu
@IEEP_eu Follow us!
IEEP is an independent, not for profit institute dedicated to advancing an
environmentally sustainable Europe through policy analysis, development and
dissemination.
In 2016, we celebrate 40 years since IEEP was established!

14. Recent and ongoing work at IEEP
Analysing new areas of policy …
• e.g. The optimised cascading use of wood– for DG Growth
Assessing socio-economic costs…
• e.g The Socio-Economics of Marine Litter – for UNEP
Assessing socio-economic benefits …
• e.g. Health and Social Benefits of Biodiversity and Nature Protection – for DG Environment
Presenting the evidence base and innovative solutions …
• e.g. Paying the Polluter book edited by Oosterhuis and ten Brink
Reviewing stakeholders roles …
• e.g. Building the Europe we want: Models for Civil Society Involvement in the Implementation of the SDGs
Engaging stakeholders and capacity building …
• e.g. Capacity building in environmental taxation reform (ETR) to address resources & pollution – for DG Environment
Disseminating best practice …
• e.g. Beyond GDP Service – for DG Environment
Pooling knowledge …
• e.g. ACES: Alliance for Circular Economy Solutions – for the MAVA foundation, with the Green Alliance and partners:
Aldersgate Group (UK), De Groene Zaak (NL), Ecologic Institute (DE) & UnternehmensGrün (DE) - e.g. links to plastics, marine
litter and the circular economy.
IEEP aims to make the value of the environment better understood and to better
integrate it into policies in Europe and beyond. Work on the SDGs and supporting SCP,
decoupling and the circular economy are priority areas for IEEP. Our activities include: