The content of this study was prepared by Lead authors: Dean Gioutsos and Alexander Ochs. Contributing authors: Ana Maria Majano, Christoph Muschner, Sara Engström, Sebastian Helgenberger, Ieva Indriunaite, Isaac Ward-Fineman. The contents were commissioned and developed under the coordination of the Office of the Presidency (OPR) and the 2030 Agenda Initiative project of Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, funded by the German Federal Ministry for Economic Cooperation and Development (BMZ). Lead coordinator: Alejandra Cervantes Enríquez ([email protected]) Crunching numbers QUANTIFYING THE SUSTAINABLE DEVELOPMENT CO-BENEFITS OF MEXICO’S CLIMATE COMMITMENTS © Miguel Ángel Sicilia Manzo / CONABIO 5 TABLE OF CONTENT Welcome Message........................................................................................................8 Foreword ........................................................................................................................9 Acknowledgements .....................................................................................................11 Abbreviations ...............................................................................................................12 Making climate action a success for the people of Mexico ................................15 Guidance for the reader: Rationale for the selection of climate actions and development benefits .................................................................................................19 1 Energizing Mexico’s development with clean sources .....................................23 1 Background: Clean electricity in Mexico ................................................................24 2 Clean electricity for emissions mitigation .............................................................24 3 Clean electricity as a driver of Mexico’s development ...........................................25 3.1 Social co-benefits ..............................................................................................25 3.2 Economic co-benefits .......................................................................................26 3.3 Environmental co-benefits ...............................................................................26 4 Analysis of selected co-benefits of clean electricity ...............................................26 4.1 Applied scenarios and selected co-benefits .....................................................26 4.2 Improving public health through clean electricity ..........................................27 4.2.1 Methodology .............................................................................................27 4.2.2 Results ........................................................................................................27 4.2.3 Discussion ..................................................................................................30 4.3 Employment creation from clean electricity ...................................................31 4.3.1 Methodology .............................................................................................31 4.3.2 Results ........................................................................................................32 4.3.3 Discussion ..................................................................................................32 4.4 Improving energy security through clean electricity ......................................33 4.4.1 Methodology .............................................................................................33 4.4.2 Results ........................................................................................................34 4.4.3 Discussion ..................................................................................................36 5 Summary and outlook .............................................................................................36 2 Protecting Mexico’s forests to sustain national development ........................39 1 Background: Deforestation in Mexico ....................................................................40 2 Net-zero deforestation as a driver of Mexico’s development ................................41 2.1 Social co-benefits ..............................................................................................42 2.2 Economic co-benefits .......................................................................................42 6 2.3 Environmental co-benefits ...............................................................................42 3 Analysis of selected co-benefits of net-zero deforestation ....................................43 3.1 Applied scenarios and selected co-benefits .....................................................43 3.2 Improving livelihoods and community resilience through forest protection ...43 3.2.1 Methodology .............................................................................................44 3.2.2 Results ........................................................................................................45 3.2.3 Discussion ..................................................................................................47 3.3 Forests’ contribution to improving water resources........................................48 3.3.1 Methodology .............................................................................................48 3.3.2 Results ........................................................................................................48 3.3.3 Discussion ..................................................................................................50 4 Summary and outlook .............................................................................................50 3 Treating wastewater for Mexico’s progress .........................................................53 1 Background: Status of wastewater treatment in Mexico .......................................54 2 Treating wastewater to mitigate and adapt to climate change ...............................56 3 Wastewater treatment as a driver of Mexico’s development .................................57 3.1 Social co-benefits ..............................................................................................58 3.2 Economic co-benefits .......................................................................................58 3.3 Environmental co-benefits ...............................................................................58 4 Analysis of selected co-benefits of wastewater treatment .....................................59 4.1 Applied scenarios and selected co-benefits .....................................................59 4.2 Improving livelihoods and community resilience through wastewater treatment ..60 4.2.1 Methodology .............................................................................................60 4.2.2 Results ........................................................................................................60 4.2.3 Discussion ..................................................................................................60 4.3 Wastewater treatment’s contribution to improving water resources .............62 4.3.1 Methodology .............................................................................................62 4.3.2 Results ........................................................................................................62 4.3.3 Discussion ..................................................................................................63 4.4 Improving energy security through wastewater treatment ............................64 4.4.1 Methodology .............................................................................................64 4.4.2 Results ........................................................................................................64 4.4.3 Discussion ..................................................................................................65 5 Summary and outlook .............................................................................................66 4 Boosting electric vehicles to advance the well-being of Mexicans ................69 1 Background: EVs and transport in Mexico .............................................................70 1.1 Charging infrastructure ....................................................................................70 1.2 Policy landscape ................................................................................................71 1.3 Automotive industry ........................................................................................71 2 EVs for emissions mitigation ..................................................................................72 3 EVs as a driver of Mexico’s development ...............................................................73 3.1 Social co-benefits ..............................................................................................73 7 3.2 Economic co-benefits .......................................................................................74 3.3 Environmental co-benefits ...............................................................................74 4 Analysis of selected co-benefits of EVs ..................................................................74 4.1 Applied scenarios and selected co-benefits .....................................................74 4.2 Employment creation from EVs .......................................................................75