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61. The Arctic within EU Strategies: A Renewed Centrality

Author:
Luca Cinciripini
Publication Date:
07-2023
Content Type:
Commentary and Analysis
Institution:
Istituto Affari Internazionali
Abstract:
In June 2023, the Arctic Council resumed its work after a year’s suspension in response to Russia’s invasion of Ukraine.[1] The Council is a pillar of the institutional architecture of the region; the main framework for cooperation between the Arctic states that also involves the North’s indigenous peoples in issues of environmental protection and sustainable development. In recent years, the overlap between climate and security crises has profoundly transformed the region, generating economic opportunities but also endangering local populations and amplifying international competition.[2] The European Union, which is increasingly interested in the issue of climate security (the multiplier effect of climate change and its, even indirect, impact on security risks spanning several dimensions – economic, human and political),[3] has long tried to devise an Arctic policy that takes into account such changes by tackling emerging challenges and grasping opportunities. To better address these issues, since 2013 the EU has been applying for full observer status to the Council; however, it has only been permitted to observe the organisation’s activities without a formalisation of its role. At the same time, however, to be able to play an active role in the region, the EU’s strategy must cover the full width of the Arctic institutional architecture, which encompasses a plurality of diplomatic, legal and institutional instruments that go beyond the framework of the Council.
Topic:
Climate Change, Environment, Politics, European Union, Institutions, and Russia-Ukraine War
Political Geography:
Europe and Arctic

62. The Role of Social Protection in Environmental Fiscal Reforms

Author:
Daniele Malerba
Publication Date:
01-2023
Content Type:
Working Paper
Institution:
German Institute of Development and Sustainability (IDOS)
Abstract:
Socio-ecological transitions need to address the pressing challenges of our time, namely climate change mitigation and social development – including poverty and inequality reduction – in a complementary manner. The importance of achieving resilient and sustainable societies has been made more evident by recent shocks such as the Covid-19 pandemic and the war in Ukraine. As a consequence, national and international development policies need to foster links between social and environmental goals and policies. One way to achieve such synergies is through environmental fiscal reforms, defined as the combination of carbon-pricing mechanisms and consequent revenue spending for environmental and socio-economic goals. Even though carbon pricing is just one of the instruments needed to achieve climate goals, it provides the complementary benefit of expanding revenues while incentivising a reduction in emissions though market signals. This paper discusses environmental fiscal reforms from the perspective of low- and middle-income countries and development cooperation, with a focus on how to improve the social outcomes of such reforms. While revenues can be recycled for different purposes – including compensating industries with high adaptation costs, further investments in environmental projects and research, and use for the general budget – the paper focusses on social spending. The revenue can be used to decrease poverty and inequality levels and to compensate the poorest for increases in prices by utilising social protection mechanisms. This is particularly important to garner broad societal support and to make environmental fiscal reforms and carbon pricing more socially acceptable and implementable at sufficient levels in more countries. The paper first presents the key features of different carbon-pricing policies and the revenues they can generate, especially for low- and middle-income countries that have limited fiscal space. It then shows how the revenue can be used to fund social protection mechanisms that can compensate the poorest and address distributional concerns. It underlines the gaps and limitations of current social protection programmes, especially in terms of low coverage of vulnerable populations. This also constrained the response to the war in Ukraine, as lower-income countries had to use price stabilisation mechanisms – which ultimately generated negative fiscal and environmental effects – to avoid inflicting greater burdens on the poor instead of providing targeted programmes. The paper also offers some design principles to best address distributional concerns, including sequencing and sectoral coverage. It then discusses the role that development cooperation can have in implementing environmental fiscal reforms in low- and middle-income countries. Overall, the paper suggests that environmental fiscal reforms can be used to achieve resilient societies and accelerate the fight against climate change, with the goal of building a more inclusive and sustainable future. Such reforms should become a priority of German development cooperation and a key lever for its strategic goals, instead of occupying a peripheral role, as it currently does. Most importantly, the analysis strongly underlines the case for environmental fiscal reforms rather than the current use of subsidies and price controls; this is true when considering both climate goals (as keeping prices low does not incentivise shifts in production and consumption) as well as social goals (e.g. cash transfers result in significantly greater levels of poverty and inequality reduction when compared to untargeted subsidies). Therefore, social protection investments are urgently needed, also in lower-income countries. The current energy crisis due to the war in Ukraine and the Covid-19 pandemic has made this clearer.
Topic:
Climate Change, Development, Environment, Reform, and Protection
Political Geography:
Global Focus

63. Chinese Firms and Adherence to Global Environmental, Social and Governance (ESG) Standards in Developing Countries: Is there Potential to Create Common Ground?

Author:
Mike Morris
Publication Date:
01-2023
Content Type:
Working Paper
Institution:
German Institute of Development and Sustainability (IDOS)
Abstract:
This paper focuses on analysing how Chinese firms operate in Latin America, Asia and Africa in regard to ESG (environmental, social and governance) standards and sustainability issues. How do they respond to the increasing global value chain requirement to incorporate and maintain ESG standards? Is their space for an alignment between Western development cooperation ESG policies, frameworks, strategies and practices and Chinese political and economic stakeholders in the developing world? The paper uses a variety of case studies covering Chinese firms (disaggregated into SOEs (state-owned enterprises) and large, medium and small private sector firms) operating in various sectors in countries across the developing world. It uses a three dimensional framework to analyse different types of Chinese firms in terms of value chain operations covering many of the ESG standards they are required to meet: 1. Supply chain relations (i.e. approach to supporting upgrading of local suppliers); 2. Internal firm processes (i.e. approach to local labour, training and upskilling); 3. Social licence to operate (i.e. approach to meaningfully engaging with local communities taking account of their social and economic needs).
Topic:
Development, Environment, Governance, Business, and Supply Chains
Political Geography:
Africa, China, Asia, and Latin America

64. Trade and Climate Change: How to Design Better Climate-Related Provisions in Preferential Trade Agreements

Author:
Clara Brandi, Kateryna Holzer, Jean-Frédéric Morin, Harro van Asselt, and Katherina Weber
Publication Date:
01-2023
Content Type:
Working Paper
Institution:
German Institute of Development and Sustainability (IDOS)
Abstract:
To bring our economies on a path to climate neutrality, investments in carbon-intensive production processes have to stop. At the same time, we need to mobilise large amounts of capital for investments conducive to a just transition. Reforming the financial sector in a way that allows this redirection of capital flows to take place is crucial. As one element of a comprehensive sustainable finance strategy, taxonomies can potentially play a pivotal role in this regard. By providing common definitions for sustainable economic activities, these taxonomies aim to increase transparency on financial markets and help market participants to align their investment decisions with sustainability considerations. This policy brief presents policy recommendations concerning the implementation of sustainable finance taxonomies based on experiences with the South African Green Finance Taxonomy (GFT). It mainly builds on data collected in semi-structured expert interviews with different stakeholders of the GFT conducted in South Africa between February and April 2023 (Hilbrich et al., 2023). The implementation phase of the GFT has revealed multiple challenges, including a need for improved regulatory embedding and enhanced capacities on the part of potential users. This has led to a low uptake by market participants.
Topic:
Climate Change, Environment, Investment, Trade, Fossil Fuels, and Preferential Trade Agreements
Political Geography:
Global Focus

65. Global Perspectives on ESG and Implications for Korea

Author:
Jinyoung Moon, Sang-Ha Yoon, Jiwon Park, Seung Kwon Na, and Sunghee Lee
Publication Date:
06-2023
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
ESG, which stands for Environmental, Social, and Governance, has gained significant importance in recent years. Adoption of Paris Agreement and Sustainable Development Goals and efforts to recover from COVID-19 have contributed to this global trend. Businesses and regulators are now placing more emphasis on the sustainability of economic activities and transparent disclosure of ESG information. In light of this, our study focuses on examining global ESG policy trends and supply chain due diligence regulations. We also compare ESG scores of firms across major countries and analyze the impacts of ESG performances on employment and productivity. Based on our findings, we aim to provide recommendations and implications for the government and private sector to address ESG in practice.
Topic:
Development, Economics, Environment, Governance, and Sustainability
Political Geography:
Asia and South Korea

66. Environmental Migration and Labor Market

Author:
Young-ook Jang
Publication Date:
07-2023
Content Type:
Policy Brief
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
This report highlights the significant impact of climate change on migration patterns and the need for Korea to prepare for the influx of climate migrants. While natural disasters have historically caused population displacement, the effects of climate change-induced slow-onset changes, such as rising sea levels and droughts, are increasingly evident. Environmental migration disrupts social, labor, and industrial structures in sending and receiving countries, particularly through labor migration, which affects wages, employment rates, production costs, commodity prices, and business cycles. The study by Jang et al. (2022) investigates regional patterns of environmental migration and the potential labor market implications. Although Korea is currently unaffected, it is projected to experience an increase in climate migrants in the near future, as Southeast Asian and South Asian countries facing climate and environmental challenges contribute significantly to Korea's migrant population. The report emphasizes the importance of understanding the socio-economic characteristics of potential migrants to develop appropriate policies to mitigate the negative impacts of this anticipated influx. By proactively addressing these challenges, Korea can better prepare for the future dynamics of climate-induced migration and its impact on society, labor markets, and industrial sectors.
Topic:
Climate Change, Environment, Migration, and Labor Market
Political Geography:
Asia and South Korea

67. Liberalizing Markets for Environmental Goods and Services

Author:
Jukwan Lee
Publication Date:
10-2023
Content Type:
Working Paper
Institution:
Korea Institute for International Economic Policy (KIEP)
Abstract:
The international community is striving to establish trade rules for the environmental market in order to secure a free and fair trade order and contribute to achieving carbon neutrality and sustainability. This paper examines the related discussions, reviews the current status and market openness of environmental goods and services, and analyzes the effects of environmental market regulation and liberalization on the global and Korean economies.
Topic:
Environment, Markets, Economy, Trade, and Liberalization
Political Geography:
South Korea and Global Focus

68. Nature's Metaphorical Tapestry: Unravelling Green Discourse in Pakistani Newspapers in English through an Ecolinguistic Lens

Author:
Sabeen
Publication Date:
11-2023
Content Type:
Journal Article
Journal:
Review of Human Rights
Institution:
Society of Social Science Academics (SSSA)
Abstract:
Metaphors wield a profound influence on our cognitive processes and actions. This research investigates the nature metaphors embedded in Pakistani newspapers in English within the context of green discourse. It delves into an analysis of how metaphors shape our conceptualization of the environment by considering their multiplicity, duality, and cultural diversity. By employing Stibbe's stories model as a foundational framework and applying semi-automated corpus methods to achieve the research objectives, this study discerns prevalent metaphorical structures that portray nature as a competitive entity, a personified being, a mechanical construct, a interconnected web, and a valuable resource. This research advocates for adopting a more responsible use of metaphorical language by the media personnel to have a more harmonious relationship with nature.
Topic:
Environment, Media, Linguistics, and Metaphors
Political Geography:
Pakistan and South Asia

69. Security at Sea: A Turning Point in Maritime

Author:
Scott Tait
Publication Date:
06-2023
Content Type:
Policy Brief
Institution:
University of California Institute on Global Conflict and Cooperation (IGCC)
Abstract:
Since the end of the Second World War, the United States has been the pre-eminent naval power and ultimate guarantor of global maritime security. It has also been one of the primary beneficiaries of the global maritime economic system, which in turn resourced its naval strength and increased the incentive to use that strength to protect the freedom of the seas. But a number of global changes, all likely beyond the United States’ control, are driving new dynamics in both security and economics in the maritime domain. These challenges include the return of great power competition at sea, the maritime consequences of climate change, increased pollution, the rapid rise of illicit trade and resource exploitation, and the erosion of maritime governance. These challenges are dynamic and inter-related—a change in one will often drive second and third order changes in the others. The United States has proven historically to be resilient and adaptive in the face of great challenges, and the maritime community has traditionally been a leader in innovation, collaboration, and positive-sum solutions. To meet the challenges of today and tomorrow, the United States should double down on those strengths, and work with allies to maintain and strengthen the rules-based international maritime system. Moreover, the United States should be a leader in envisioning changes to that system that will ensure it equitably meets the needs of all, accounts for the changes being driven by climate change and pollution, and anticipates a near-term future where autonomous systems will play a major role in the ecosystem.
Topic:
Security, Environment, Science and Technology, United Nations, and Maritime
Political Geography:
North America and United States of America

70. Peacekeeping in Nonpermissive Environments: Assessing Troop-Contributing Countries’ Perspectives on Capabilities and Mindsets

Author:
Fiifi Edu-Afful
Publication Date:
03-2023
Content Type:
Policy Brief
Institution:
International Peace Institute (IPI)
Abstract:
Many peacekeepers are deployed in areas where ongoing armed conflicts or other situations of violence, including attacks against peacekeepers, have constrained their capacity to implement their mandate and protect themselves. This has led some troop-contributing countries (TCCs) to raise concerns about the high-risk environments to which their troops are deployed. One of the most critical issues when deploying troops to nonpermissive environments is ensuring they have the right capabilities and mindset. This paper interrogates TCCs’ perspectives on capabilities and mindsets and explores their implications for peacekeeping policy and practice. The goal is not only to deepen understanding of the UN’s progress on implementing the A4P+ priorities but, more importantly, to assess the state of play of peacekeeping in nonpermissive environments, drawing on the diverse perspectives of TCCs. The paper concludes by considering how capabilities and mindsets relate to accounta­bility for and accountability of peacekeepers. Failure to properly train, equip, and support troops being deployed to nonpermissive environments raises questions about whether the UN and TCCs are accountable to peacekeepers. Likewise, it is unclear to what extent peacekeepers should be held accountable for their performance when they have not been provided the proper equipment, training, and mindset.
Topic:
Environment, United Nations, Peacekeeping, and Armed Conflict
Political Geography:
Global Focus