ICC comments to OECD on harnessing freedom of investment for green growth (2011)
The International Chamber of Commerce (ICC) underscores the private sector’s key role in contributing to the majority of investments essential to greening economies. The private sector is indispensable to achieve green growth.
Through domestic and foreign direct investment (FDI), the private sector is essential in developing and diffusing the innovative products, processes, technologies, and services that generate and will continue to generate sustainable solutions. For example, to halve global emissions by 2050, the United Nations and the International Energy Agency (IEA) estimate that the private sector will contribute more than 80% of the predicted $1 trillion in climate finance required.
Part of the challenge and opportunity for business is to understand the concrete possibilities of a “Green Economy” with its investment opportunities and risks for both, developed and developing countries. While no single agreed definition or set of financial measurements as to what exactly constitutes “Green Growth/Economy” exists, the ICC Green Economy Task Force defines “green economy” as follows:
“The business community believes that the term “green economy” is embedded in the broader sustainable development concept. The “green economy” is described as an economy in which economic growth and environmental sustainability work together in a mutually reinforcing fashion while supporting progress on social development. Business and industry have a crucial role in delivering the economically viable products, processes, technologies, services, and solutions required for the transition to a Green Economy.”