Making of a green economy

Why India needs sustainable development planning

arnabm

Arnab Mandal | February 7, 2011



At the recent World Economic Forum in Davos sustainable development was a much talked about topic. Indian delegates discussed about inclusive growth and sustainable development on media. But what does sustainable development mean? Can it become a driver for inclusive growth? The Aam Aadmi does not have the answer.

As per the definition by the UN Bruntland Commission (1987) sustainable development means the development that “meets the needs of the present without compromising the ability of future generations to meet their own needs.” Standing in the 21st century we can easily understand the importance of sustainable development. But the million dollar question is - “Is it possible to make this planet a happy world by applying the concept of sustainable development?”

There is no doubt that sustainable development is a buzzword today. It has become able to create a hype in the world just like what IT did years ago. Each of the burning problems of today's world (climate change, poverty, conflicts, population growth, etc.) has ability to shake the globalized world. Sustainable development tries to look into solution to all of these problems. A healthy living with economic prosperity is what a common man wants. Economists say that demands of individuals shape the market. From this statement we can understand how every country matters for sustainable development of the world. Global sustainability is very much needed to save our planet. Although several people criticize this concept by saying it is not possible to develop the world of human beings without affecting the environment. But the need of the hour is to grow economically with minimal impact on environment. We need to build mechanism, policies and professionals for that. But if we do not believe in the concept we would never be able to save our mother earth. There are several interlinked aspects of sustainable development. Solution to each of the problems will produce a desired outcome. The world will be able to experience sustainable development if all the countries follow sustainable development practices. The concept of sustainable development depends on the interlinked relationship of society, economy and environment.

India's theme at WEF this year was inclusive growth. Many experts see sustainable development as a driver for inclusive growth. In fact this year at WEF, Davos there was a panel discussion on this where the UN Secretary General, Ban Ki Moon gave opening address. It was moderated by Thomas L. Friedman, author of The World Is Flat. United Nations' Millennium Development Goals(MDGs) are very crucial for the entire world as far as sustainable development is concerned. The MDGs are the first targets that we need to meet if we want to move towards a happy future for all. Everyone knows that there are several challenges to achieve MDGs. Although significant work has been done at some places, there are still a lot to be done at different parts of the world in order to achieve the target by 2015. The LDCs are lagging behind in terms of moving towards achieving MDGs primarily due to the following reasons:

Corruption in government
In countries like India this is the biggest reason why such a large population live below poverty line. India has good policies, great brain power and huge natural resources but still India is a developing country (Rank: 119 as per the UNDP Human Development Report 2010). The main reason behind this is corruption in Indian bureaucratic and political system. It is like termite which is gradually ruining such a nice country. There are several instances of loot of public money by officials and politicians. A youngster becomes IAS officer after clearing the “very tough” Civil Services Examination. This extraordinary person licks feet of an illiterate corrupt MP or MLA after becoming bureaucrat. Majority of the honest Indian youths are not interested in politics. Now- a-days people see IAS not as an opportunity to serve the nation but to make easy money (black money). Until corruption goes away from the Indian system, India will suffer with various problems be it poverty or child mortality.

Absence of public administration
This is the toughest challenge for achieving MDGs in countries like Somalia which has been going through civil war. The 3D Strategy Framework (Defense, Diplomacy & Development) has to followed strongly to mitigate this problematic situation. Only after solving the internal conflict it will be possible to achieve the targets for MDGs.

Policy failure
There are several countries in the world suffering from government policy failures. Kyrgyzstan, Thailand and Egypt are examples of some countries where citizens took active role to overthrow government as the government has failed to meet needs of the people. Thailand with its huge tourism industry has become a hub of prostitution. As we all know how prostitution is linked with human trafficking and violation of human rights. Government over there is not serious about changing this image of the country and to make it an economically prosperous country enriched with with indigenous technologies and expertise.

Lack of capacity building methods
Nobel Laureate economist Amartya Sen gives emphasis on capacity building. Lack of well trained and knowledgeable manpower is a vital reason why African countries lag behind. Brainpower and right skill-sets fuel the growth of the economy. In terms of capacity building all LDCs should follow the Indian model. In India there are some very good institutions like IIT, IIM, IISc, ISI, etc. They have produced some of the finest brains of the country and the world as well.

We live in a planet where we have a country like the USA in one hand and a country like Kenya in another. There are several factors why the USA is USA and why Kenya is Kenya. These factors can be clubbed together into PESTEL factors (Political factors, Economic factors, Social factors, Technological factors, Environmental factors and Legal factors). Each of the PESTEL factors are significant for global sustainability.

As per the Human Development Report 2010 by UNDP, India ranks 119 on the Human Development Index. Our neighbour China is at 89. Countries like Morocco and Vietnam are ahead of India. There are several reasons why the “emerging giant” India does not score high in the HDR. An ADB study showed last year that only 0.0009% of Indians earn more than Rs 10,000 per month. Last year 69 Indians were on Forbes' dollar billionaires' list. India is in the global top three when it comes to the number of billionaires. It clearly indicates that inclusive growth has not happened in India. Indian policies have to be made to attain the goal of inclusive growth.

The state of education in India's rural areas has not changed, years after Sarva Siksha Abhiyan's launch. How the right to education will change things is for tomorrow to answer. A significant number of students remain illeterate after completing studies upto 5th standard. How will a rural kid compete with an urban kid?

Government claims that MGNREGA is a path breaking policy and it has positively changed condition of the poor in society. It should be modified to provide sustainable livelihoods to people. Simply giving money is not a long term solution. The Left-wing extremist activities in the “Red Corridor” is largely due to underdevelopment and deprivation of the tribal population. Natural resources in that region is also a vital factor. The Mines and Minerals (Development & Regulation) Act, 2010 can be a catalyst for development of the Red Corridor and the tribal population if implemented properly.

India as an economy is growing at more than 8% rate. But if India wants to see itself as an economic superpower in true sense, it should have policies suitable for the upcoming “Green Economy” or low-carbon economy. One important aspect of sustainable development is to overcome challenges of climate change. Scientists and engineers around the globe working on improvement of renewable energy (e.g. solar, wind, etc) technology as it has potential to cool the earth. Many experts have linked energy access with poverty. So, good energy policies not only have solution to the environmental challenge but also challenges in socio-economic sphere. This is just one example of significance to put sustainable development framework in policy making. The World Development Report 2010 by The World Bank has many instances that can establish the importance of the concept of sustainable development in policy making process. The Planning Commission needs to go for sustainable development planning and build suitable policies after that. Sustainable development has ability to cater to the needs of the society and take care of the natural capital, social capital and financial capital at the same time. Sustainable development planning is very much needed to have policies and development strategies that are socially equitable, economically viable and environmentally just.

Sustainable development is not possible without active participation of the government, non-profit organizations, civil societies and the corporate world. Time has come for business houses to give more emphasis on the Triple Bottom Line. The 4Ps will be always remain crucial to businesses but the 3Ps (Planet, People & Profit) need to be given due recognition in corporate board room. In the sustainable development planning process various stakeholders (government, businesses, experts, civil society organizations, etc) should be involved.

Great policies can really make a nation strong. That is why India urgently needs sustainable development planning that will not only trigger inclusive growth but also enable a smooth transition into a “Green Economy”.

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