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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
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
1. Introduction
2. MDGs and SDGs , why we are setting the goals?
MDGs and Post-2015
Source: The UN Millennium Development Goals Report 2012
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
3.Accelerating Green Growth and Eco-Innovation at the bottom-up level
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)
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
- 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)
14:00 Saw Kre Ka village, Tha Song Yang District In Thailand
Source: Appropriate Technology Foundation
Why Innovation is difficult?
“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
Learning from design thinking Source: Jeongtae Kim (2012)
4.Case studies in BOP market
Case #1
Source: Edit-the-world
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)
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
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)
Learning from design thinking Source: Jeongtae Kim (2012)
Feasibility Study – Solar Cooker case
Local survey at Takeo region (97 households)
Clear need of local residents
23
Cambodia Project – desirability
Cambodia Project – feasibility
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
Other information……
Technology sharing
Discussion
Discussion
Capacity Building
Capacity Building
Demonstration
Demonstration
Demonstration
Demonstration
Demonstration
“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
5. Conclusion
Source: Brookings (2012)
Innovation capacity is needed
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