RESOURCE EFFICIENCY IN LATIN AMERICA: ECONOMICS AND OUTLOOK

1. RESOURCE EFFICIENCY IN LATIN AMERICA: ECONOMICS AND OUTLOOK 1

2. Objectives of the project Offer an economic perspective to address the conceptual discussion on the importance of improving resource efficiency and reduce emission intensity to achieve sustainable development. Bring empiric evidence and analysis on the regional situation concerning this matter. REEO - LAC

3. What is the report providing? • A better understanding of the links between resource efficiency (RE) and economy. More specifically on the impact of RE on development and the international insertion of our countries. • Identify opportunities and needs • Identify lessons at national and regional scale: policies and public – private initiatives.

4. Activities Recompile and analyze existing information Suggest focus (methodology-themes guidelines) to debate in an initial discussion and validation workshop Investigation: a) regional analysis of trends and perspectives; b) national case studies Elaborate conclusions: derive policy lessons and implications (national – regional) Preliminary report Discussion and validation workshop Elaborate targeted executive summaries specific for each target group Develop dissemination activities of the report’s results Final report

5. Resource Efficiency List of involved countries: Argentina, Brazil, Chile, Mexico, Paraguay and Uruguay. Those countries have a profile of productive and commercial specialization and a development pattern which is rather intensive in resources and emissions. This derives both from the evident expansion of primary sectors (mining, oil, forestry, agriculture, cattle breeding) and industry sectors (metal processing, chemicals, oil derivates, etc.)

7. Report structure • Chapters 1 and 2: • Concept revisions, literature and indicators relevant to focus the question addressed and its regional applications; • Detailed analysis of tendencies and regional perspectives in the evolution of a series of RE indicators. • Specific attention to those related to air emissions, energy use, water use and contamination and those related to land use change.

8. Ecological footprint vs. biocapacity

9. Evolution of Energy Intensity

11. Report structure • Chapter 3: • Situation related to development and resource efficiency in the region; • Regional performance compared to other regions and also from the perspective of historical trends; • Preliminary projections for those variables whose data availability and reliability allow. • In which measure can resource efficiency contribute to improve long-term sustainability of the regional development?

15. Report structure • Chapter 4: • Analysis of a number of experiences, policies and public – private initiatives associated to the key topics for the region • For this purpose,12 case studies of relevant experiences in the countries covered by this report were included. The lessons learned and pending challenges, deriving from them, are highlighted.

17. Report structure • Chapters 5, 6 and 7: • Analysis of the scenarios developed base on the situation analysis in the countries and its implications on policies; • Based on the results of chapters 3, 4 and 5, general conclusion (ch. 6) and lessons / recommendations (ch.7) for policy design and future analysis. • Opportunities for regional and international cooperation and vision for the future related to this theme.

20. Recommendations I • Adapt and improve the current institutionality to broaden the scale of successful local experiences of resource efficiency (going from cases or local practices to a policy approach) • More efficient, sustainable and inclusive use of resources implies a role of leadership, articulation, regulation and control from the State • Public policies alone are not enough unless their implementation promotes public-private partnerships and agreements with different stakeholders.

21. Recommendations II • In order to include the resource efficiency approach in the design of public policies, it is essential to strengthen research capacities and the availability of environmental statistics. • National regulatory systems and productive strategies must consider the efficient and sustainable land use and the social and environmental impact of agricultural and livestock production. • Improvements in institutional and regulatory engineering, along with the inclusion of incentives for the rational water use have proven to be successful tools for resource efficiency.

22. Recommendations III • It is necessary to review existing national development strategies including climate change response initiatives under future scenarios. • Biofuels imply different challenges depending on the country's characteristics and on the technology and type of biofuel involved. • In order to limit the environmental impacts of primary activities, it is necessary to promote sustainability and efficiency initiatives both at the national and regional levels. • Economic implications of environmental impacts caused by production, which are already being reflected in exports markets’ requirements, have to be considered in terms of competitiveness and sustainability.

23. Recommendations IV • The promotion of sustainable consumption and production practices should be seen as a key issue in regional cooperation. • Regional cooperation is a key aspect to coordinate actions related with innovation, applied scientific research, generation and dissemination of basic information on sustainability and resource efficiency indicators. • National, regional and international financing mechanisms for development should ensure the availability of financial resources to promote investments that will lead to resource efficiency.

24. Thank you for your attention Elisa Tonda UNEP / ROLAC Regional Officer – Resource Efficiency and Sustainable Consumption and Production E-mail: elisa.tonda@unep.org Reference websites: www.pnuma.org www.unep.org - www.unep.fr www.redpycs.net