WP 275 INTERNATIONAL LABOUR ORGANIZATION Sectoral Activities Department Green Jobs Creation Through Sustainable Refurbishment in the Developing Countries Ramin Keivani Joseph H.M. Tah Esra Kurul Henry Abanda INTERNATIONAL LABOUR OFFICE GENEVA Copyright © International Labour Organization 2010 First published 2010 Publications of the International Labour Office enjoy copyright under Protocol 2 of the Universal Copyright Convention. Nevertheless, short excerpts from them may be reproduced without authorization, on condition that the source is indicated. For rights of reproduction or translation, application should be made to ILO Publications (Rights and Permissions), International Labour Office, CH-1211 Geneva 22, Switzerland, or by email: [email protected]. The International Labour Office welcomes such applications. Libraries, institutions and other users registered with reproduction rights organizations may make copies in accordance with the licences issued to them for this purpose. Visit www.ifrro.org to find the reproduction rights organization in your country. 978-92-2-123610-8 (print) 978-92-2-123611-5 (web pdf) ILO Cataloguing in Publication Data The designations employed in ILO publications, which are in conformity with United Nations practice, and the presentation of material therein do not imply the expression of any opinion whatsoever on the part of the International Labour Office concerning the legal status of any country, area or territory or of its authorities, or concerning the delimitation of its frontiers. The responsibility for opinions expressed in signed articles, studies and other contributions rests solely with their authors, and publication does not constitute an endorsement by the International Labour Office of the opinions expressed in them. Reference to names of firms and commercial products and processes does not imply their endorsement by the International Labour Office, and any failure to mention a particular firm, commercial product or process is not a sign of disapproval. ILO publications and electronic products can be obtained through major booksellers or ILO local offices in many countries, or direct from ILO Publications, International Labour Office, CH-1211 Geneva 22, Switzerland. Catalogues or lists of new publications are available free of charge from the above address, or by email: [email protected] Visit our web site: www.ilo.org/publns Printed by the International Labour Office, Geneva, Switzerland i FOREWORD Green Jobs have become an emblem of a more sustainable economy and society that preserves the environment for present and future generations and is more equitable and inclusive of all people and all countries. Green jobs reduce the environmental impact of enterprises and economic sectors, ultimately to levels that are sustainable. Specifically, but not exclusively, this includes jobs that help to protect ecosystems and biodiversity; reduce energy, materials, and water consumption through high-efficiency strategies; de-carbonize the economy; and minimize or altogether avoid generation of all forms of waste and pollution. Green jobs in emerging economies and developing countries include opportunities for managers, scientists and technicians, but the bulk can benefit a broad cross-section of the population which needs them most: youth, women, farmers, rural populations and slum dwellers. However, many jobs which are green in principle are not green in practice because of the environmental damage caused by inappropriate practices. The notion of a green job is thus not absolute, but there are ‗shades‘ of green and the notion will evolve over time. Moreover, the evidence shows that green jobs do not automatically constitute decent work. Many of these jobs are ―dirty, dangerous and difficult‖. Employment in industries such as recycling and waste management, biomass energy and construction tends to be precarious and incomes low. If green jobs are to be a bridge to a truly sustainable future, this needs to change. Green jobs therefore need to comprise decent work. Decent, green jobs effectively link Millennium Development Goal 1 (poverty reduction) and Millennium Development Goal 7 (protecting the environment) and make them mutually supportive rather than conflicting. The Green Jobs Initiative is a joint initiative by the United Nations Environment Programme (UNEP), the International Labour Organization (ILO), the International Organization of Employers (IOE) and the International Trade Union Confederation (ITUC), which has been launched to assess, analyze and promote the creation of decent jobs as a consequence of the needed environmental policies. It supports a concerted effort by governments, employers and trade unions to promote environmentally sustainable jobs and development in a climate- challenged world. Construction was the first specific sector of the economy to be addressed in the Green Jobs Initiative. This process started with the paper here published, which was produced by SECTOR. This paper has set the scene for a number of studies in specific countries (Bangladesh, Brazil, China, Malaysia, South Africa), with an aim at feeding policy-making. This Working Paper is timely since construction has been recognised as a significant contributor to climate change through its emission of global warming gases (GWG). Construction of new buildings and refurbishment of existing buildings alike give the opportunity to reduce CO2 emissions and energy consumption and to encourage the development of new professional skills leading to employment opportunities. The greening of the construction industry requires the development and implementation of new technologies aimed at reducing the negative impact of construction on the environment, and the delivery of enhanced performance by infrastructure. This green technology development requires new skill sets, new training methodologies and materials, and new entrepreneurs. There is a need to better understand the technical and economic dynamic of the construction sector as well as the relationship between the technological changes and the issue of employment. How is a possible win-win situation forecasted and, especially, encouraged? It is ii important to better understand how to use the shift to environment-friendly technologies to also improve employment and decent work opportunities. These are issues addressed in this Working Paper. The focus on refurbishment is relevant due to its impact on employment-generation. Finally, the paper includes policy recommendations which are in line with the Global Jobs Pact. The paper was written by Ramin Keivani, Joseph H. M. Tah, Esra Kurul and Henry Abanda from the Oxford Institute for Sustainable Development, International Land Markets Research Group, Department of Real Estate and Construction, Oxford Brookes University. The work was technically supervised by Edmundo Werna, edited by Michael Richter and Colin Smith, and assisted by Angelique Flores-Girod in SECTOR. SECTOR would like to thank Peter Poschen (ILO) and the representatives of the all the other organizations which have been together with the ILO in the discussions of green jobs in the construction sector, for their comments and suggestions in this paper – namely Building and Workers International (BWI), IOE (International Organization of Employers), ADEME (Agence de l'Environnement et de la Maîtrise de l'Energie, France) and the Sustainable Building and Climate Initiative (SBCI) of UNEP. Elizabeth Tinoco Director, Sectoral Activities Department iii Contents ABSTRACT .................................................................................................................................... 1 1. INTRODUCTION ................................................................................................................ 3 1.1. BACKGROUND ........................................................................................................ 3 1.2. AIM AND OBJECTIVES .......................................................................................... 5 1.3. METHODOLOGY AND SCOPE .............................................................................. 6 1.4. STRUCTURE ............................................................................................................ 7 2. CLIMATE CHANGE AND THE CONSTRUCTION INDUSTRY .................................... 9 2.1. CLIMATE CHANGE AND CO2 EMISSIONS.......................................................... 9 2.2. SUSTAINABLE DEVELOPMENT: WHAT DOES IT MEAN? ............................ 10 2.3. SUSTAINABILITY IN THE CONSTRUCTION INDUSTRY .............................. 13 2.3.1. The significance of the construction industry ................................................. 13 2.3.2. Sustainable construction ................................................................................. 16 2.3.3. Sustainable refurbishment .............................................................................. 17 2.4. GLOBAL CO2 EMISSIONS FROM ENERGY USE IN BUILDINGS AND POTENTIAL FOR MITIGATION ..................................................................................... 18 2.4.1. An overview of energy end-uses in buildings ................................................ 19 2.4.2. Mitigation through sustainable refurbishment measures ............................... 22 2.5. OVERVIEW OF SUSTAINABLE REFURBISHMENT AND POTENTIAL FOR JOB CREATION IN DEVELOPING COUNTRIES .......................................................... 24 3. ENERGY EFFICIENCY POLICIES AND EMPLOYMENT IMPLICATIONS