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Permanent Secretariat Extra-Regional Relations 8 the region as a whole and of individual countries, as well as their potential to effectively move towards a green economy based on their own capacities, while embracing the concept of green economy in their policies and programmes. It is also important to identify public policies to allow for creating appropriate incentives for adopting public policy instruments to ensure a real and effective transition towards a green economy. In sum, with this document, the Permanent Secretariat of SELA offers a series of proposals to support the region in promoting discussions and analyses on how to move towards an inclusive green economy. It is considered to crucially important for the State to develop policies and programs with a high social impact and economic and environmental sustainability through time, but above all to ensure an effective participation of the majorities in such transition. II. TOWARDS A CONCEPTUALIZATION OF THE GREEN ECONOMY What do we mean by a green economy? Basically, a green economy refers to a low-carbon economy with an efficient use of natural resources, as well as traditional inputs such as labour, capital and fossil energy. A green economy values natural capital and invests in it, offering better conditions to ensure sustainable growth and seeking to conserve and preserve the environment, with the understanding that it is essential to guarantee the sustainability of production for future generations. Over the past few years, the concept of environmental or ecological economics, which had originally been confined to academic circles, has started to permeate and dominate the political and economic agendas in various international forums. The studies and contributions made by the United Nations Environment Programme (UNEP) and the Organization for Economic Cooperation and Development (OECD) are noteworthy. In this section we analyze the definitions offered by both agencies and compare them, highlighting their main similarities and differences. The global financial crisis unleashed in late 2008 has led to rethinking financial and environmental issues, among many other topics. In fact, the Group of 20 (G-20)2 has considered environmental issues and the transition towards a green economy as a way to overcome the current economic crisis.3 Gordon Brown, former Prime Minister of the United Kingdom, pointed out that the mitigation measures to overcome the effects of the crisis should be a central component of the so-called “New Global Deal”, whereas the U.S. pledged to allocate US$ 59 billion from its economic stimulus package to promote clean energy projects. Similarly, China's President Hu Jintao announced that the country would earmark 38 percent of a US$ 586 billion package for green issues.4 Environmental organizations such as Greenpeace have urged the G-20 to develop clean energy as the only option to save both the global economy and the planet. 2 The G-20 is made up by the Ministers of Finance and the presidents of the Central Banks of 19 countries and the European Union, namely: Germany, Saudi Arabia, Argentina, Australia, Brazil, Canada, China, United States, France, India, Indonesia, Italy, Japan, Mexico, United Kingdom, Republic of Korea, Russia, South Africa, Turkey and the European Union. 3 In previous joint statements by G-20 leaders and international organizations. The German Federal Chancellor, Angela Merkel, and the directors of the OECD, WTO, ILO, IMF and World Bank gathered in Berlin, Germany, on 6 October 2011, and made a call to restore confidence and improve balanced and sustainable growth as well as employment prospects prior to the G-20 Summit in Cannes in November 2011. 4 “G-20, green economy to save the planet,” in El Informador. 2 April 2010. http://www.informador.com.mx/tecnologia/2009/91440/6/g20-economia-verde-para-salvar-el-planeta.htm.PDF Image | green economy In Latin America and the Caribbean
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