Post-crisis investment in green tech will go up, shows study

Esther Ng, Today Online 14 Nov 09;

SINGAPORE - A new school of thought seems to have emerged post-financial crisis: Whether economies have mended should be measured not just with financial yardsticks, but also social and ecological ones.

Those of this view believe that new paradigms are needed to manage both the economy and the environment.

According to a survey commissioned by electronics conglomerate Siemens, more than half of sustainability experts polled said the economic crisis may stimulate progress towards sustainable development, with 86 per cent anticipating increased investment in green technologies.

The findings of the study, The Economic Crisis and Sustainable Development, were released at the Asia-Pacific Economic Cooperation (Apec) CEO Summit on Friday, as leaders from 21 economies gathered to examine issues surrounding sustainability in the context of the global economic crisis.

About 270 people from government, the private sector, academia and non-profit organisations took part in the poll.

When asked for their ideas on fixing the world's economy, 22 per cent suggested a "triple bottomline" - one which includes environmental, economic and social performance.

To achieve this, they suggested switching to renewable and low-carbon sources and improving energy efficiency, while some called for better regulation of financial markets and banks.

Seven in 10 believe a green industrial revolution will improve people's living conditions and create jobs. While 52 per cent said the crisis may stimulate progress towards sustainable development, 30 per cent foresee a mild negative impact.

North American respondents (63 per cent) were most positive, as were those in Apec member economies (54 per cent).

But experts were split over whether a paradigm shift will take place in the next five years, with opinions ranging from very optimistic to very pessimistic.

Respondents in non-Apec economies were more inclined to be sceptical (52 per cent) than those Apec economies.