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Accelerating Bottom-up Approach on Green Growth and Eco-Innovation @ASEM ENV Forum Sustainable Development Assessment: Towards Measurable Goals Juhern Kim 21 November 2012

05 juhern kim_asem env forum nov2012

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Accelerating Bottom-up Approach on Green Growth and Eco-Innovation

@ASEM ENV Forum

Sustainable Development Assessment: Towards Measurable Goals

Juhern Kim

21 November 2012

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Table of Contents

1. Introduction 2. MDGs and SDGs, why we are setting the Goals?

3. Accelerating Green Growth and Eco-Innovation at the bottom-up level 4. Case studies in BOP market 5. Conclusion

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1. Introduction

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2. MDGs and SDGs , why we are setting the goals?

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MDGs and Post-2015

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Source: The UN Millennium Development Goals Report 2012

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Rio+20, and challenges ahead

Green Growth Eco-Innovation - Over 1.3 billion people still do not have access to electricity

- 2.5 billion people live without basic sanitation

- 4 billion people live on less than $9 per day

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3.Accelerating Green Growth and Eco-Innovation at the bottom-up level

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Green Growth and Eco-Innovation

Green growth means fostering economic growth and development, while ensuring that natural assets continue to provide the resources and environmental services on which our well-being relies. - OECD

Green growth is the new revolutionary development paradigm that sustains economic growth while at the same time ensuring climatic and environmental sustainability. - GGGI

Eco-innovation is any form of innovation resulting in or aiming at significant and demonstrable progress towards the goal of sustainable development through reducing impacts on the environment, enhancing resilience to environmental pressures, or achieving a more efficient and responsible use of natural resources. - European Commission Eco-Innovation Action Plan (2012)

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Innovation status in Developing Countries (policy view)

Insufficient integration from innovation to implementation, and a lack of international mechanisms that might support this

Insufficient innovation capacity in LDC countries, and scarcity of capacity building in international initiative

Insufficient green growth innovation activity and a lack of international initiatives to remedy this

Focus on building innovation capacity in LDCs Be flexible and take risks to respond to unknown future market needs

Source: GGGI and Brookings Institute (2012)

Current status

Suggestions

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- Scarce public and global funding - ODA tends to support direct spefic target - Local enterprise has limited access to long-term financing

Potential in BOP market (living on less than 9 dollars per day) – collective purchasing power: estimated 5 trillion dollars

Source: Hammond (2007)

- Untapped eco-innovation potential in not-so-high tech in developing countries (‘appropriate technology’) - Opportunities are there to nurture local entrepreneurship

Challenges Opportunities Eco-Innovation

Innovation status in Developing Countries (bottom-up view)

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14:00 Saw Kre Ka village, Tha Song Yang District In Thailand

Source: Appropriate Technology Foundation

Why Innovation is difficult?

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“Design thinking is a human-centered approach to innovation that draws from the designer's toolkit to integrate the needs of people, the possibilities of technology, and the requirements for business success.” — Tim Brown, president and CEO

Source: IDEO

Learning from design thinking

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Learning from design thinking Source: Jeongtae Kim (2012)

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4.Case studies in BOP market

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Case #1

Source: Edit-the-world

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Case #2

Economic Benefit Micro lending concept, 20 technology centers set up, 300,000 installed as of 2009

Environmental Benefit Reduce fossil fuel consumption

Social Benefit Community participation: 660 women employed, 600 youth trained, aiming to create 100,000 jobs by 2015

Solar Home Systems (SHSs) Source: UNEP Green Economy Developing Countries Success Stories (2010)

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Responding to actual needs

of local people Identifying Problems

of local residents in LDCs

through ‘appropriate technology’

Establishing sustainable business (development) model

Comprehensive Development Strategy

and funding suport

GO/ IO

SMEs

Local Workforce

Academia

Local government

Poverty Reduction Job Creation

Social Development

Some key characteristics regarding ‘appropriate technologies’ • Affordable price • Utilizing local resources • Generating jobs and finding untapped local opportunities • Small in scale and simple in design • Fostering social collaboration and local development • Easily adaptable to changes in local environment

ex) Solar cooker, Micro Solar Home System, Improved Solar Dryer, etc.

• Energy shortage (water, wood and forest, land, materials, etc.)

• Environmental problems (deforestation, desertification, drought, extinction of species, pollution, etc.)

• Social and economic vulnerability (low-income, lack of jobs, lack of education, etc)

ASEIC Programme Concept Basic Framework

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Severe indoor pollution

Deforestation and energy shortage

Eco-InnovativeTechnologies Background Takeo, Phnom Penh Solar cooker, Micro Solar Home System

Expected Outcomes

Comprehensive Development Strategy

GO/ IO

SMEs

Local Workforce

Academia

Local government

Poverty Reduction Job Creation

Social Development

ASEIC Cambodia Project

Solar cooker for small-scale use

Micro solar home System (SHS)

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Learning from design thinking Source: Jeongtae Kim (2012)

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Feasibility Study – Solar Cooker case

Local survey at Takeo region (97 households)

Clear need of local residents

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Cambodia Project – desirability

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Cambodia Project – feasibility

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International Organization Government International

& Local Experts Local Workforce

GGGI : Supports international cooperation with the Royal Government of Cambodia and international organizations, disseminates the project outcome to the international community, fund raising if necessary : Linked to the GGGI-Cambodia Green Growth Country Program

Tech. Experts and Local Partners : Produces solar cookers, improved solar dryer, etc., while sharing technologies with local community

ASEIC : Manages project and provides funds as host organization/liaises with participating local/global agencies

Business Experts : Advises on a business strategy : find possible way to make a local business sustainable , by applying shared technologies

Local Business Model

Tech. Experts

Business Experts

Local Partners

ASEIC (SMBA/SBC) Gov’t of

Cambodia

GGGI-Cambodia Country Program

GGGI-ASEIC Project

in Cambodia

GGGI

Local AT Center

ASEIC Project Scope

Cambodia Project – viability

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Other information……

Technology sharing

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Discussion

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Discussion

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Capacity Building

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Capacity Building

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Demonstration

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Demonstration

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Demonstration

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Demonstration

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Demonstration

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“This solar panel can change lives of Cambodians – both users and manufacturers – and shows how foreign aid should be implemented.” – The Korea Times, 15 October 2012

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5. Conclusion

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Source: Brookings (2012)

Innovation capacity is needed

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Concluding remarks

- Green Growth and Eco-Innovation can be regarded as key drivers towards sustainable development

- Decoupling environmental degradation and resources consumption from economic growth requires innovative solutions from public and private sector, but developing and least developed countries has insufficient support and needs specially tailored approach

- Dedicated funds to de-risk entrepreneurial investments and international program are needed to catalyze capacity building to develop innovation ecosystems in least developed countries

…... - Measurable indicators for innovation activity and performance in

developing countries needs to be developed to foster sustainability

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Thank you Please contact through this email,

Juhern Kim, [email protected]