By: Fredrik Nilsson
The vast, wooded expanses of the northernmost region of Sweden, Norrland, have traditionally been known for their timber, mining, and the pillar of Swedish society that is Norrlands Guld lager. However, after facing decades of high unemployment and brain drain, the small towns of Norrland have become central to the country’s green transition strategy. Skellefteå, a town of about 30,000, is home to Europe’s first battery mega factory that will power over one million electric vehicles per year. Further north lie the old mining towns of Boden and Luleå where they are even transforming the steel industry, building the world’s first fossil-free steelworks and cutting 90% of emissions typical for such operations. Over the next 20 years, Sweden’s least populated and often most neglected region is projected to attract up to $150 billion in investments and create 100,000 new jobs from their green transition strategy.
Compare this to developing countries today who struggle immensely in meeting their green transition goals. Reasons such as limited resources, political instability, and lack of infrastructure and human capital handicap most efforts to build sustainable economies and societies. The aid provided through UN organizations is many times insufficient or allocated inefficiently. It is inadequate for funding impactful green energy projects, does not give access to latest technologies, does not help governments implement green policies, fails to involve local communities, and lacks accountability mechanisms to ensure responsible usage. Unfortunately for us, we are not currently on track to reach our environmental goals. According to Reuters and the UN, “scientists say greenhouse gas emissions must fall 45% by 2030 to stay on track for net-zero targets – but instead are set to increase by 14%”.
While there are many reasons as to why a country like Sweden is more effectively able to implement their green transition than developing nations, the unequal pace is unsustainable in what must be a global effort to minimize the irreparable damages of climate change. Today’s advanced economies are absolutely to blame for the climate crisis. However, the situation is too dire for developing nations to one day become developed, polluting economies themselves – from where a green transition is far more difficult. Environmental progress in developing nations must be accelerated through increased cooperation with economies that have reached a high level of sustainability. An international program like a Green Transition Task Force could streamline expertise and green technology to the most committed developing countries. Two-way incentives can be formed where developing countries receive more concentrated support in exchange for more flexible investment opportunities. Furthermore, to either qualify for the task force or receive aid, minimum sustainability benchmarks must be met. As a result, governments feel more incentivized, global environmental progress accelerates, and resources are used more efficiently.
A recent report by the UN Conference on Trade and Development (UNCTAD) further warns that economic inequalities risk growing as developed countries reap most of the benefits of green technologies. However, they also found that developing nations are the least prepared to use transformational green technologies, regardless of if they have the proper environmental, technology, and industrial policies. It claims international trade and IP rules must provide more flexibility for developing nations to nurture their burgeoning green technology and sustainable industries. The report also calls for an international program for multilateral green technology research, increased support for regional innovation centers, and a multilateral fund to stimulate green innovations and enhance cooperation between countries. By creating something like the Green Transition Task Force, this gap can be addressed through greater cooperation nurtured between prosperous, sustainable economies and developing nations who have achieved the proper political climate yet lack the necessary resources and technical expertise.
To be sure, a solution like this may neglect the green transition initiatives of developing countries who do not meet the minimum benchmarks to receive streamlined aid. Yet, while they may face setbacks in the short-term, the long-term outlook of the global green transition will accelerate. Consequently, if regional economic hubs in areas like West Africa, Southeast Asia, or Latin America succeed in their green transition, similar practices and industries then have a higher likelihood of diffusing to neighboring areas.
Nations like Sweden have certainly had advantages in their green transition. Yet, the global inequity in sustainable development shows that their successes are not being properly applied in developing economies. Through an international program like the Green Transition Task Force, greater cooperation can accelerate the global green transition initiative by concentrating aid, technology, and expertise in the developing countries with the most promising prospect for success.
About the Author
I am a 2023 Master’s graduate from the Seton Hall School of Diplomacy and International Relations with professional and academic experience extending across Sweden, Hong Kong, Switzerland, and the United States. Following my undergraduate studies in International Studies and History from UC Irvine, I spent three years in client management for two IPO software companies in San Francisco before transitioning back into the field of IR. Now, my interests include the intersection between international trade, security, and emerging technology and I am looking to enter the technology policy or risk analysis field where I can contribute to innovative solutions to increasingly complex global challenges.