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Green economy

Posted on July 5, 2022July 5, 2022 By Dineshjatdj No Comments on Green economy

In a green economy, public and private investment in such economic activities, infrastructure, and resources that enable decreased carbon emissions and pollution, improved energy and resource efficiency, and prevention of the loss of biodiversity and ecosystem services, is what drives growth in employment and income.

Green economy

The Advantages

The simple definition of Green Economy sufficiently clarifies how its adoption benefits both companies and society. Nevertheless, we have decided to summarize the 4 most immediate benefits of this concept:

  • reduction of production and costs resulting in a more responsible use of raw materials and an increase of efficient energy consumption;
  • reduction of waste through recycling and reuse of products that have reached the end of their life cycle;
  • creation of new jobs (e.g. project managers, consultants, installers, coordinators, etc.);
  • increase in sales that address environmental issues and respect the planet.

The Disadvantages

There are no real disadvantages when we talk about Green Economy, however, the concept faces some challenges.

Firstly, there is a need for a real transformation of our society. Unfortunately, many companies and communities are not ready for this change.

Green Economy requires companies to acknowledge and become aware of their corporate social responsibility, to adopt new processes and to lower their environmental impact as much as possible. In many countries, this concept is still far from becoming a reality.

Fortunately, in many areas of the world, organizations have emerged to support and accompany companies in their transition to a green and sustainable corporate approach. Among them is the Sustainability Accounting Standards Board, an independent US body, who since 2011 has been promoting companies committed to sustainability, to favorize investments.

The second challenge lies in the transition to Green Economy in developing countries. They face increasing environmental problems and high poverty. In these regions, adopting an effective green economic system is complicated and requires more complex bioeconomic analysis.

 

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