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OECD Green Growth Papers

The OECD Green Growth Strategy, launched in May 2011, provides concrete recommendations and measurement tools to support countries’ efforts to achieve economic growth and development, while at the same time ensure that natural assets continue to provide the ecosystems services on which our well-being relies. The strategy proposes a flexible policy framework that can be tailored to different country circumstances and stages of development. OECD Green Growth Papers complement the OECD Green Growth Studies series, and aim to stimulate discussion and analysis on specific topics and obtain feedback from interested audiences.

English

The inequalities-environment nexus

Towards a people-centred green transition

The COVID-19 crisis has amplified the urgency of addressing together the dual challenges of inequality and environmental degradation. This paper contributes to the debate on the inequalities-environment nexus by analysing the consequences of the environmental degradation and of environmental policies on four well-being dimensions: health, income and wealth, work and job quality, and safety. The analysis shows that the impacts of environmental degradation tends to be concentrated among vulnerable groups and households. At the same, the benefits and costs of environmental policies are also likely to be unevenly distributed across households. In this context, policy packages for an inclusive green transition should aim at: (i) mitigating the possible regressive impact of pricing environmental externalities, (ii) investing in human capital and upgrading skills to facilitate labour reallocation, (iii) addressing systemic inequalities with sectoral and place-based policies, (iv) ensuring efficient and responsive governance. The paper concludes by highlighting the need for an effective framework to measure progress towards a people-centred green recovery, and possible areas of future work.

English

Keywords: inequalities, green transition
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