Growth and sustainability (part 2)
degradation. He also claimed that the Paris deal ‘unfairly burdened the United States’ 9 to decarbonize, highlighting that neoliberal growth models are underpinned by carbon consumption, as if the earth were self-healing and in possession of infinite resources. To redesign growth models, well-developed countries will need to address the problem of ‘The treadmill of production’ (Orr, 1980). In contrast, developing countries can replace the conventional industrial growth model, reducing environmental costs to make the whole world better off. Industrial trajectory for LICs Many developing nations have economies vulnerable to climate shocks (farming), malnutrition, high rates of poverty and insufficient infrastructure. Manufacturing growth is therefore used to ameliorate these problems. Yet when these countries follow the proven prosperity path that has financially enriched developed nations chained to fossil fuels, they move along the trajectory of the ‘linear industrial system of take → make → use → lose ’. 10 Modifying the standard business model of industrial manufacturing to be ‘net zero’ is crucial to protect an already depleted natural resources. In Jalisco, Mexico (manufacturing totalling 19.6% total GDP), 11 Nestlé’s ‘Cero Agua’ dairy plant has saved 1.6 million litres of water each day to relief the stress of groundwater reservoirs 12 – a regenerative design production model that emulates natural cycles and safeguards limited resources. This integration of ‘net-zero’ has contributed to a cumulative effect of a 17% decrease in CO2 emissions per capita from 2000-2022 in Mexico. 13 Such results can only be achieved with government policies that rigidly regulate industrial activities and push for the net-zero growth model.
Additionally, altering the trajectory of the inverted u-shape of industrialization (illustrated by the Environmental Kuznets Curve) is plausible, decoupling GDP growth from GHG emissions during industrialization. For instance, Kenya’s adoption of Feed-in Tariffs 14 mandates energy companies to purchase renewable energy sources at pre-determined prices is projected to stimulate 1300MW of electricity generation capacity. 15 Also, the trickle-down effects embrace equity, as the FIT policy indirectly contributed to supporting 200,000 small- scale farmers in the sugar belt in western Kenya. 16
Figure 4: The Environmental Kuznets Curve
9 BBC. (2025, January 21). What is the Paris climate agreement and why has Trump withdrawn? See https://www.bbc.co.uk/news/science-environment-35073297. 10 See Raworth (n.7). 11 Trading Economics. (2024). Mexico - Manufacturing, value added (% of GDP) . See https://tradingeconomics.com/mexico/manufacturing-value-added-percent-of-gdp-wb-data.html. 12 Water Online. (2014, October 22). Nestlé Opens Its First Zero Water Factory Expansion In Mexico . See https://www.wateronline.com/doc/nestle-zero-water-factory-expansion-mexico-0001. 13 iea. (2022). How much CO2 does Mexico emit? See https://www.iea.org/countries/mexico/emissions. 14 Pavan Sukhdev, S. (n.d.). Green Economy: Developing Countries Success Stories. UNEP - UN Environment Programme. 15 beyond lab. (2023, November 13). Wellbeing Beyond GDP . See https://www.thebeyondlab.org/article/wellbeing-beyond-gdp-embracing-a-beyond-growth-approach-for-
sustainable-futures-fe726. 16 See Pavan Sukhdev (n.14).
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