International Labour Organization

Research Conference: Green Jobs for Asia and the Pacific

Overview Presentation – Session II

Low Carbon Economies and the Labour Market:
Renewables and Energy Efficiency

21st April 2008

Development Alternatives
New Delhi
The Sustainability Imperative

… more urgent than ever before

Abject poverty - 40 Million Families in India alone. . .
> 300 million people

– No Clean Drinking Water

> 500 million
people
do not have
commercial
energy
let alone
electricity
> 700 million
people
in more than
400,000
villages
have no
sanitation
What kinds of Jobs
will fulfill their needs

?
Climate Change
Eco-Refugees
 People
are the victims of climate change
 People
working with nature
will secure the future of our planet
 People
working with nature
will secure the future of our planet

IF
doing so…
 gives millions of
People
particularly the poor
a meaningful and dignified livelihood

DECENT WORK
 gives millions of
People
particularly the poor
a meaningful and dignified livelihood

DECENT WORK

Green Jobs
The Sustainable Livelihoods Approach

Informed and
empowered
communities

SL
clean & healthy dignified & viable
environment income generation
opportunities
 Green Jobs
in the context of
Low Carbon Economies
Low Carbon Economies

… are of different kinds

Low Carbon Perspective – Type A

Maintain pre-eminence in economic

development and quality of life
… with perhaps, less energy
and definitely, lesser emissions
Taking care to prevent job losses and protect
resources
Low Carbon Perspective – Type B

Accelerate economic growth, eradicate

poverty and regenerate natural resources
… with definitely, more energy
and hopefully, lesser emissions
Making sure to create new jobs, in millions
 China and India
=
(Type A + Type B) x 100
Job Markets
Options for change – Technology Driven

Doing
Renewables things
A further
Nuclear
Bio-products
Carbon
Mass
Road
Buildings
Low energy
transport
capture
energy
shift to
differently
natural
and
transportation
appliances
Wind,
1
US storage
solar,
7002050,
By
Could
The GW
rise
DOE gas
geothermal,
bio-products
plants
to 3Zero
Gtrather
carbon
Energy
could
by
hydroelectricity.
Imagine
than
contribute
2050
Home 700
with what
program can
conventional
over
100 EJ
2
has be
billion
ofrather
shown
final
coal
1400
A
CO
0.5possible
–
achieved
2 emissions
1 Gt
GW carbon
route
withCCGT per
the toreductions
person
using
internet our
e.g.
fired
energy300,000
vehicles.
that a700
plants
90%with 5 MW
reduction
means
little wind
orby1noGt
inturbines
net
less
than
abundant
could
vary
and
is
be
over achieved
wireless
equivalent
conventional
coal
a 3:1 resources,
range
totechnology!
1achieved
Gt per
2050
coal
for
carbonfor from
carbon
CO
energy
Improved
fired
but
just 2 emissions.
can
emissions
numerous
by
plants be
efficiency
changing
means the1or Gta
lights!!
less
developed
conventional countries
coal, but – mass
would
annum.
new.
hydrogen
carbon buildings.
implementation economy could
cover isemissions
transitPortugal!
one challenges
of the perreasons.
each
annum.
remain. reduce this by 1 Gt.
Emission reduction

Energy conservation
and efficiency
Job Markets thrive on Investment
with commercial energy costs escalating and increasing
emphasis on good environmental performance
Business, Industry and the Public Sector
will find it profitable or be compelled to
invest in technology for
“Greening” their Corporations
Job Markets thrive on Investment
with commercial energy costs escalating and increasing
emphasis on good environmental performance
Large Companies and the Public Sector
will find it profitable or be compelled to
invest in new
Green Corporations

… with very few new jobs

Options for change – Society Driven

Rejuvenating
the Natural
Resource
Base
Options for change – Society Driven

Livelihood
Enterprises
Options for change – Society Driven

Upgrading
Village and City
Infrastructure
Job Markets thrive on Investment

Who will invest in

Green Jobs
for the poor?
Green Enterprises
Green Enterprises

are Sustainable Businesses that:

 deliver goods and services for sustainable
living and create sustainable livlihoods
… by the millions

… so that billions of people can work their

way out of poverty and contribute to a
greener planet
Example: India

250 million new jobs needed by 2015

Agriculture can absorb no more than 25%

Therefore, must create

15 million new jobs off-farm
-- each year, starting today
The Industrial Economy

Creating one workplace in today’s industry

costs

$ 100,000 to $ 1,000,000
Example: India

Each year, job creation by conventional route

would need investment of at least
1 trillion dollars

-- several times the GNP

 Needed Every Year:
12 Million Livelihoods & Jobs

 Off-farm
 Low Capital
 Reasonable Income
 Sustainable
 And Each Job

Must Help Build:

 Security of Livelihood
 Identity and Dignity
 Productive Assets
 Natural, Infrastructure
Vermicomposting
 Wasteland
Development
Handmade, Recycled Paper
Green Energy Jobs
Key Challenges

Energy – Resource Constraints

 High Cost of Irrigation
… Lack of Productivity and less Profitability

Lack of power for local value-addition
… Absence of enterprise and livelihood
opportunities

… affect Job Creation

 DA Group Initiatives

Energy Services for Micro-enterprises

Bio-energy Applications for agri-based Livelihoods

… through Renewable Energy based Distributed

Generation
DESI Power

Use of Invasive Biomass for Gasification

Baharbari Oudyogik Vikas Sahakari Samiti
Cooperative energy
enterprise model with
service orientation
 Package of energy services in
response to tangible needs of
diverse users
… not electricity but water

 Value addition to local resources

(rice, jute, bamboo, biomass)
 Panchayat influence in collection
of revenue
The Indian 100 Village EmPP Programme
Decentralized EmPower
Village Projects:
• 10 Clusters with a total of
500 kW each.
• Identification,
organisation and training
of promoters / owners of
each village plant.
• Support for plant
construction
• DESI_MANTRA for
Training.
• Running the Cluster
Financing: Capacity Building /
Extension Services:
• Government subsidies
and loans. • Initial orientation for
project development
• Equity: local and
external. • Technical and
managerial training of
• Commercial loans.
local trainers,
• Grants. managers and staff.
• CDM: Sale of CO2. • Training tools for local
refresher courses.
• Fund Managements
• Women’s capacity
building.
• Performance audit and
continuing support
services.
 Bio-energy Application Services

Input Operation Output Economic

Value

Income from Sale

Animal More Fodder

Digester Bio-Fertiliser

Economic Empowerment
Dung

Model Sustainability
Value added
Farm Output

Biogas Heat Energy Milk processing

Wasteland
development for
Irrigation Fodder cultivation &
open grazing
Electricity
Chilling Plant /
Cold Storage Reduced losses of
agriculture products

Domestic Lighting More value added

activity after sunset
Livestock Based “Gaushala” Model

Biogas based power &

nutrients
 “Rural Entrepreneurship Zones”

Rural
Driving Force
Economy
Green Power
ICT support

Impact
Amplification
REZ
Technological, Institutional and Financial
Innovation

Connected Businesses

+ Information service
Credit Linkages =  REZ
Technological Support

Market linkages
Policy Advocacy

Assured power
Green Building Jobs
In production of building material
… and marketing, distribution, application
Vertical Shaft Brick Kiln
50% CO2 Reduction
CDCF Benefits
 The Key

Work Tailored specifically to

the Needs
of the Jobless
Minimize
Hijacking
 The Keyhole

 Mini Enterprises

Maximise Local
Action
Strategic Imperatives
for
Acceleration and Scale-up
Business Models and Financing
Equity Investments and Carbon Finance

Bundling

Debt: equity ratio of 1:2
 Upfront payment for Carbon

Securing investments with Carbon Finance
Credit for Micro-enterprises

Maximizing CER generation
Insurance Mechanisms

Hedge risk of inadequate performance and delivery
Capacity Building

Skill Building for Green Jobs


Operation of energy installations

Operation of enterprises

Training for Resource Management


Biomass Management

Management of Waste and Residues
Community Management of Energy Services
 Responding to users demand (New Services, ICT, Lighting)
 Tariff Management
Partnerships for Large Scale Impact
Networking with large institutional networks

Indian Council for Agricultural Research

“Gaushala” Samitis
Engagement with local bodies

Bundling of energy security projects in micro-watersheds
 Building knowledge around success
Involvement of Private Sector

Securing investments

Leveraging technical and management resources
 How do we
Scale Up and Sustain?
 INNOVATION

New Marketing Systems

The Internet
Financing Systems
Technology Support
Delivery Systems
 Network Enablers
TARAhaat
TARA Livelihood Academy
EDSS
Immediate Goals for the International Community

Accelerate Job Creation

Regenerate the Environment

Decentralise Economic Activity

Emphasise Use of Renewables

Build Capacity
Innovate, Incubate and Influence
Thank you