Stern: Recession can boost green investment

Nicholas Stern, author of the influential Stern Report on Climate Change, says recession is the ideal time to build a low carbon future. Writing for The Guardian newspaper he said increased government spending should not be focused just on boosting short term demand but promoting growth that can be sustained.

He said:

“It must be structured carefully with the public and private sectors working together. It will be the private sector that makes most of the investments, but the public sector must shape the incentives and the investment climate that allows the investment to take place.

“That will mean working with the EU and the UN Framework Convention on Climate Change in Copenhagen to sustain a price for carbon, by use of carbon trading and taxation. It means regulation, for instance, on car emissions to give clear signals that allow economies of scale and reduce uncertainty.”

The full Guardian report is here.