KINGSTON, Jamaica – As Jamaica advances local action on climate resilience, a new study calls on the nation to consider full transition to a green and climate resilient economy modelled on green industries and green-tech, sustainable agriculture and tourism, and renewable energy.
This green growth model is projected to increase household income, leading to poverty alleviation, jobs and a higher and diversified growth path for the economy, while making Jamaica more resilient to climate crisis, the study forecasts.
The new study, Green Economic Growth Model supported by the United Nations Development Programme (UNDP) Multi Country Office in Jamaica and the International Labour Organization (ILO) Office for the Caribbean was officially handed over to the ministry of economic growth and job creation and the ministry of labour and social security, in Kingston recently.
In acknowledging the policy recommendations of the Green Economic Growth Model, UNDP resident representative, Dr Kishan Khoday called for government to carefully consider the study’s five key policy actions recommended for a just and equitable transition process that leaves no one behind – namely social dialogue and social protection, skills training, green enterprise development and entrepreneurship, and fiscal policy reform.
The Study explains that social protection will be necessary to help workers who face job restructuring and households negatively impacted by the energy transition, while green tech and climate-smart practices must be integrated into skills training output and curricula to satisfy increasing demand for STEM and green service sector jobs. Green enterprise development and green entrepreneurship are also recommended to support diversification of the economy, and fiscal policy reform is proposed as key to driving the economic restructuring process.
The Green Economic Growth study also proposes a fiscal neutral and progressive fossil fuel or carbon tax which would recycle and redirect revenues from richer households to the less well-off. The study calls for revenue from the carbon and energy taxes to be directed to a just transition fund to finance skills training, green tech investment and social protection for negatively impacted workers and households. The study further recommends that this progressive tax should be coupled with reduced labour taxes.
Dr Khoday called on the government to advance social dialogue on the Green Economic Growth Model report through stakeholder consultations with private sector, civil society, academia and vulnerable communities.
He said as Jamaica considers advancing its plans for a climate-resilient economy, the nation must ensure the transition leaves no vulnerable community behind. “This requires adequate consultations, resources and programmatic alignment to secure full participation and benefits in the green economy”, he explained.
The Green Growth study forecasts up to 8000 new jobs in Jamaica and a nearly one per cent greater GDP growth from a Green Economy compared with a business-as-usual economy. The study was supported under UNDP’s Climate Promise Pledge to Impact Programme, which has supported over 120 countries to enhance and implement Nationally Determined Contributions (NDCs) under the Paris Agreement. This UNDP flagship programme is generously supported by the governments of Germany, Japan, United Kingdom, Sweden, Belgium, Spain, Iceland, the Netherlands, Portugal and other UNDP core contributors. This programme underpins UNDP’s contribution to the NDC Partnership and the path to this year’s critical UN Climate COP30 gathering in the region.
The study is available here.
