Feeds

What would you pay for 400,000 new green jobs?

This New Green Deal is gonna cost

  • alert
  • submit to reddit

Top three mobile application threats

Good news emerged from the recent Low Carbon Summit hosted by bailed-out £10bn loss-making bank, RBS. Peter Mandelson got covered in custard, and the government announced a new industrial strategy.

Apparently 400,000 new "environmental sector" jobs will be created by 2017, according to Gordon Brown, who reckoned 1.3 million people would by then be working in "green" jobs. According to Mandelson, "The huge industrial revolution that is unfolding in converting our economy to low carbon is going to present huge business and employment opportunities."

But what are these jobs - and how did they get that number?

In order to make the argument for the 'Green New Deal', the Department for Business, Enterprise and Regulatory Reform (BERR) commissioned Innovas, a market analysis consultancy, to research the size of the green economy.

Innovas identified three fundamental areas of economic activity in the ‘Low Carbon and Environmental Goods and Services’ (LCEGS) sector – ‘Environmental’, ‘Renewable’, and ‘Emerging Low Carbon’. These break down into 4 further levels, only one of which is detailed in the documents published by BERR.

Each sector was surveyed to establish how many it employed, and its value and growth over 2007-2008. This growth was applied to the employment baseline to project the number of jobs in the LCEGS sector by 2015. So far, so rosy. But what lies beneath these figures, and what assumptions are behind these growth projections?

Garbage in, garbage out

Take the LCEGS ‘Waste Management’ and ‘Recovery and Recycling’ sectors, which together promise nearly 25,000 new jobs. In 1996, the Landfill Tax was introduced, creating substantial revenues for the Government, and ‘incentives’ for alternative disposal, including recycling. According to the Office of National Statistics (ONS), the Landfill Tax earned £900m in 2007-8.

In 2007, the tax on a tonne of rubbish was £24, but the existing £3 escalator was raised to £8 so that the tax on a tonne of rubbish will be £48 in 2010. Under the EU Landfill Directive, local authorities are subject to fines of £150/tonne for exceeding their allowances. This increasing expense has forced widespread and unpopular changes to refuse collection services. Regulation has been one half the story of this sector’s growth. BERR speculated last year that "up to £30bn will need to be invested across the [waste management] sector by 2020" including £5-6bn by 2013 to achieve environmental targets for the disposal of municipal solid waste, "and a further £4-5bn to reach the 2020 target." With a current market value of £11bn, it would be a surprise if £30bn investment, expensive targets and punitive measures over the next 11 years didn’t yield a (roughly) 25% increase in the size of the market. So if 25,000 extra jobs in these sectors are created, it will be at the cost of £1.2m per job. Not bad for the bin men, but terrible for us lumbered with the interest on PFI loans, inadequate refuse collection, and rising council taxes, for no tangible benefit.

Green growth or just mould?

Citing Innovas’s report, Secretary of State for Energy and Climate Change, Ed Miliband said that the global green sector is already a three-trillion-dollar industry set to grow by fifty per cent. Agriculture accounts for 4 per cent of the World’s GDP of around $70tn. Is it plausible that the world’s ‘green’ economy is larger than the agricultural economy? These big numbers raise questions about the meaning of 'green'?

"We try to create as wide a definition as possible", says John Sharp, MD of Innovas Solutions, "because that way we can capture the supply chain. We don’t count things like toilet roll and stationery."

But it includes the manufacture, installation, supply, and distribution of battery testing equipment, and nearly the entire chain from development to decommissioning and decontamination of nuclear power stations.

3 Big data security analytics techniques

More from The Register

next story
Fancy joining Reg hack on quid-a-day challenge?
Recruiting now for charity starvation diet
Red-faced LOHAN team 'fesses up in blown SPEARS fuse fiasco
Standing in the corner, big pointy 'D' hats
KILLER SPONGES menacing California coastline
Surfers are safe, crustaceans less so
Opportunity selfie: Martian winds have given the spunky ol' rover a spring cleaning
Power levels up 70 per cent as the rover keeps on truckin'
KILLER ROBOTS, DNA TAMPERING and PEEPING CYBORGS: the future looks bright!
Americans optimistic about technology despite being afraid of EVERYTHING
Discovery time for 200m WONDER MATERIALS shaved from 4 MILLENNIA... to 4 years
Alloy, Alloy: Boffins in speed-classification breakthrough
Elon Musk's LEAKY THRUSTER gas stalls Space Station supply run
Helium seeps from Falcon 9 first stage, delays new legs for NASA robonaut
prev story

Whitepapers

Securing web applications made simple and scalable
In this whitepaper learn how automated security testing can provide a simple and scalable way to protect your web applications.
3 Big data security analytics techniques
Applying these Big Data security analytics techniques can help you make your business safer by detecting attacks early, before significant damage is done.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.