A major new report released by a commission of global leaders co-chaired by Lord Nicholas Stern finds that governments and businesses can now improve economic growth and reduce their carbon emissions together.

Better Growth, Better Climate: The New Climate Economy Report says that rapid technological innovation and new investment in infrastructure are making it possible today to tackle climate change at the same time as improving economic performance.

“The New Climate Economy report refutes the idea that we must choose between fighting climate change or growing the world’s economy. That is a false dilemma,” said former President of Mexico Felipe Calderón, Chair of the Global Commission on the Economy and Climate. “Today’s report details compelling evidence on how technological change is driving new opportunities to improve growth, create jobs, boost company profits and spur economic development. The report sends a clear message to government and private sector leaders: we can improve the economy and tackle climate change at the same time.”

The Global Commission on the Economy and Climate comprises 24 leaders from government, business, finance and economics in 19 countries. The year-long study has been conducted by leading research institutes from Brazil, China, Ethiopia, India, South Korea, the United Kingdom and United States, advised by a panel of world-leading economists chaired by Lord Nicholas Stern.

Better Growth, Better Climate: The New Climate Economy Report was presented to governments and business and finance leaders at a global launch event at the UN headquarters in New York City, attended by United Nations Secretary General Ban Ki-moon. The report has been published just one week before the UN Climate Summit.

The report finds that over the next 15 years, about US $90 trillion will be invested in infrastructure in the world’s cities, agriculture and energy systems.

“The decisions we make now will determine the future of our economy and our climate,” said Lord Nicholas Stern, Co-Chair of the Global Commission. “If we choose low-carbon investment we can generate strong, high-quality growth – not just in the future, but now. But if we continue down the high-carbon route, climate change will bring severe risks to long-term prosperity.”

The report finds that there are now major opportunities to achieve strong growth with lower emissions in three key sectors of the global economy – cities, land use and energy. To achieve this growth, governments and businesses need to improve resource efficiency, invest in good-quality infrastructure, and stimulate technological and business innovation.

The report finds that competitive markets and consistent government policy signals are essential for businesses and investors to create low-carbon jobs and growth.

“Major companies, smart investors and a new generation of entrepreneurs are already demonstrating how markets can drive low-carbon growth,” said Jeremy Oppenheim, Global Programme Director of the New Climate Economy project. “But inconsistent policy in many countries is now creating uncertainty, hurting investment and job creation. Businesses and investors need clearer market signals.”

Better Growth, Better Climate sets out a detailed 10-point Global Action Plan of practical recommendations which will all lead to net benefits to the economy, even before their climate benefits are considered.

The Commission calculates that if fully implemented its recommendations could potentially achieve up to 90% of the emissions reductions needed by 2030 to avoid dangerous climate change. However, this would require decisive and early action by economic decision-makers.

Over the next six months the Commission will discuss the report with economic decision-makers across the world. It aims to stimulate stronger action by governments and businesses to drive growth and emissions reductions together.

Uwe Krueger, CEO, Atkins and one of the Commissioners commented:

“This well researched and timely report demonstrates that we can create a world in which economic growth and prosperity sit alongside efforts to reduce carbon emissions. Given the scale of anticipated infrastructure need there is an unprecedented opportunity to plan, design, and build a smarter future. Nowhere is this more apparent than in the world’s growing cities where a greater focus on integrated urban planning and infrastructure delivery can create better, more productive cities. Leaders in the private and public sectors, in countries, regions, and cities need to seize the opportunity now."

 Click here to read the report in full.