Dr.DEBESH BHOWMIK

Dr.DEBESH BHOWMIK

Tuesday 1 January 2013

GLOBAL WARMING,SUSTAINABLE DEVELOPMENT AND W.T.O.






Abstract
GLOBAL WARMING,SUSTAINABLE DEVELOPMENT AND W.T.O.

Dr.DEBESH BHOWMIK
JEL-F18,Q01,Q17,Q54,Q56
Keywords-Global warming,agricultural production,climate policy,sustainable development
WTO,CO2 emission,multilateral environment agreement


In this paper,we have showed that global warming is the outcome of increased green house gases like CFC,HCFC,C,CH4,CO2 etc by which diarrheal diseases,air pollution,soil erosion, salinisation, ozone depletion,loss of biodiversity will continue to grow and the global temperature will increase 10ºC in the next 100 years for which sea level will step up 6 metres.A sound international climate policy is absent due to non-ratification of Kyoto Protokol by USA,so that EU,Brazil,China,Mexico,ASEAN planned to reduce green house gas emissions by 30% within 2020.Most of the developed countries followed Stern and IPCC reports and Clean Development Mechanism for sustainability.A number of research studies proved that the impact of global warming on agriculture is negative at 2ºC-3ºC increase in temperature with/without carbon fertilization with severe loss of agricultural production in Africa,South America,Western Asia and India. WTO has no expertise to deal with environmental problem such as heating the upper atmosphere, or has no  objection or targets to reduce green house gas emissions.Members of WTO are ,however,concerned with trade measures applied pursuant to Multilateral Environmental Agreements which can affect WTO members’ rights and obligations.Thus why, Doha summit calls for the reduction or as appropriate , elimination of tariff and non tariff barriers to environmental goods and services in which WTO made a list of 153 environmental goods and EU-USA submitted 43 goods claiming zero tariff on or after 2013.Thus,WTO ,through increased dissemination of cleaner technologies,win win climate policies by improving resource allocation,promoting economic growth and increasing welfare,may lead to grow 7-14% of trade in climate friendly technologies.  

For full article , read -Anil Kumar Trhakur and Dipti Taneja edited ,"Economics of Sustainable Development(2012)(Deep and Deep Publications,NewDelhi),pp356-378

Monday 31 December 2012

TRADE AND CLIMATE CHANGE NEXUS : A WAY FORWARD






TRADE AND CLIMATE CHANGE NEXUS  :  A  WAY  FORWARD+
Dr.Debesh Bhowmik
JEL- F13 , F18 , H23  ,  Q54  , Q56
Key Words – Trade  policy  , Trade and Environment ,Environmental taxes and subsidies,  , Climate ,Environment and Development
Introduction
The Stern Review[1] calculated that the impact of climate change would be a loss of at least 5% of global GDP each year and could be reach as much as 20% of global GDP at 2.5°C and 75-250 million African people would experience water stress in 2020  and some African countries would suffer from a 50% decline in agricultural yields. The required change in consumption and production patterns will neither be easy to achieve nor occur without seriously altering global trade patterns. Both climate change and measures taken to combat it will thus have an impact on international trade.
Trade intersects with climate change in a multitude of ways. In part, this is due to the innumerable implications that climate change may have in terms of its potential impacts and the profound regulatory and economic changes that will be required to mitigate and adapt to these impacts. Climate change is expected to have an impact on trade infrastructure and trade transportation routes. Literature indicates that more open trade is likely to increase CO2 emissions as a result of increased economic activity (the scale effect). On the other hand, trade opening could facilitate the adoption of technologies that reduce the emission-intensity of goods and the production process (the technique effect) and lead to a change in the mix of production from energy-intensive to less energy-intensive sectors if it is where it has a comparative advantage  (the composition effect). Although most studies to date have found that the scale effect tends to outweigh the technique and composition effects in terms of CO2 emissions, it remains difficult to determine in advance the magnitude of each of these three effects, and therefore estimating the overall impact of trade on green house gas emissions can be challenging.
Trade and climate change are linked in multiple ways in the domestic and international rules and institutions because climate change is already affecting the productive base of international trade which may help or hinder climate efforts by transferring climate friendly technologies or increasing transport-related emissions. In the realm of climate policy such as new regulations or standards may affect trade and competitiveness. On the other hand, trade policies may influence economic activities and associated GHG emissions. Trade and climate policies may also intersect with each other as a matter of law. Domestic climate measures and climate negotiations are likely to be scrutinized in the WTO rules. The linkage is essential in preamble of the WTO in the interest of developing countries and achieving sustainable development.The existing WTO agreements such as trade in goods,trade in services and protection of intellectual property transverse the territory covered by climate issues and institutions.Doha Work Programme in relation to agriculture,industrial products and environmental goods and services may also affect efforts to mitigate and adapt to climate change . WTO’s dispute settlement body may also come into play in the event that climate-related trade disputes cannot be addressed through diplomatic or other channels.

The association  between trade and climate change measures in the climate regime is governed by, among others, Art. 3.5 of the UNFCCC which states that “measures taken to combat climate change, including unilateral ones, should not constitute a means of arbitrary or unjustifiable discrimination or a disguised restriction on international trade.” This reflects Art. XX of the General Agreement on Tariffs and Trade (GATT), which allows WTO Members to adopt measures that may be inconsistent with their WTO obligations if such measures are, inter alia, “necessary to protect human, animal or plant life or health” or are related “to the conservation of exhaustible natural resources if such measures are made effective in conjunction with restrictions on domestic production or consumption”, provided that these measures “are not applied in a manner which would constitute a means of arbitrary or unjustifiable discrimination between countries where the same conditions prevail, or a disguised restriction on international trade.”
The climate –trade nexus has gained increasing attention after Kyoto Protocol  in relation to unilateral action and multilateral efforts in GATT Article XX[2] and in regional agreements in Article XXIV, for the interpretation of the causal link required to justify environmental measures under Article XX(b) and, by implication, XX(g). However, the relevance of WTO rules to climate change mitigation policies, as well as the implications for trade and the environmental effectiveness of these measures, will very much depend on how these policies are designed and the specific conditions for implementing them.
The discussion on  trade-and-climate-change is also expanding the notion of what constitutes “unfair” trade. For decades, international trade law, as reflected in both the WTO system and the domestic law of most trading nations, has recognized that pricing imports below certain levels (whether due to “dumping” by foreign exporters or subsidies provided by foreign governments) is a form of “unfair” trade that should be redressed where it harms domestic industries. This notion of unfair trade is based purely on how an imported product is priced. Climate change concerns are now expanding the notion of unfair trade to take into account how imported products are made - specifically, the volume and nature of the greenhouse gases associated with their manufacture.


[1] Stern Review: The Economics of Climate Change, Executive Summary, available at http://www.hm-treasury.gov.uk/
independent_reviews/stern_review_economics_climate_change/sternreview_index.cfm
+ The paper has been written to show my gratitude ,respect and honour to Prof.Raj Kumar Sen  who is my friend,philosopher and guide.


[2] For a detailed explanation of Article XX, see WTO (2002).


For full article -see,Environment Problems and Challenges-Recent Issues and Opportunities(A Festschrift for Prof.Raj Kumar Sen)(2013)-Somnath Hazra,(Regal Publishers, NewDelhi), pp498-524

Sunday 16 December 2012

ECONOMICS OF RENEWABLE ENERGY,ECONOMIC GROWTH AND GREEN JOBS





VARTA-VOL-XXXII,NO-2,OCTOBER 2011,13-25
ECONOMICS OF RENEWABLE ENERGY, ECONOMIC GROWTH AND GREEN JOBS
DEBESH BHOWMIK
(International Institute for Development Studies, Kolkata)
Keywords- Renewable energy, Sustainable development , Green jobs
JEL-Q2 ,   Q56,    J62,


Abstract

Renewable energy has its potentiality to enrich the process of sustainable development path showing enhance growth of green jobs.In energy consumption, the world’s share of renewable energy constitutes only 16%where global renewable energy increased from 200GW in 2008 to 312GW in 2010.The top five countries are USA, China, Germany, Spain and India.Other than the solar and wind energy,the geothermal,ocean energy,ethanol and bio-diesel and nuclear power production are accelerating.World investment in those sectors are stepping up gradually to 17.9 trillion dollar in 2030 from which 4289 mt could be produced in 2030 compared to 1364 mt in 2001.Stern(1993, 2000),Masih and Masih(1996) and many others found that energy is significant in explaining GDP in time series data (significant in India,Pakistan,Indonesia etc) but Yu and Jin(1992),Kaufmann (1992) and a few writers found no direct relation between energy and GDP.Renewable energy use has a direct impact on the sustainable development which essentially improves quality of life in a way that can be sustained, economically and environmentally, over the long term supported by the institutional structure of the country.The social energy, economic energy indicators andthe environmental energy indicators can determine the sustainable development.The barriers in the use of renewable energy resources such as lack of information,lack of knowledge,discrimination against sources,lack of training,and R&D can hinder the path of sustainable development.The potentiality of renewable energy in creating green job is high for which national energy policy aligned with international energy policy should be built up with strong governance.

Wednesday 21 November 2012

ASEAN SUMMIT VIS-À-VIS INDIA AND USA.









ASEAN SUMMIT VIS-À-VIS INDIA AND USA.
Dr.Debesh Bhowmik

On 18 November 2012: The ASEAN Heads of State/Government and the Secretary-General of ASEAN gathered at the Peace Palace, Phnom Penh, Cambodia, for the 21st ASEAN Summit.They prepared Roadmap for an ASEAN Community,and made Master Plan on ASEAN Connectivity, signed Phnom Penh Statement on the Adoption of ASEAN Human Rights Declaration, Exchange of View on Regional and International Issues, and issued Leaders’ Statement on the Establishment of an ASEAN Regional Mine Action Center (ARMAC).
ASEAN Leaders agreed to sign, following documents :
- Phnom Penh Statement on the Adoption of the ASEAN Human Rights Declaration;
- ASEAN Human Rights Declaration (AHRD);
- ASEAN Leaders’ Joint Statement on the Establishment of an ASEAN Regional Mine Action Centre (ARMAC);
- Concept Paper on the Establishment of an ASEAN Regional Mine Action Centre (ARMAC)


Mr. Le Luong Minh, of Viet Nam, elected Secretary-General of ASEAN for 5 year term, January 2013 – December 2018. Leaders discussed the review and future direction of the ASEAN Plus Three cooperation and also exchanged views on regional and international issues which was 15th Anniversary of the APT Cooperation. Moreover, the Leaders took note of the Report of the East Asia Vision Group II, Memorandum No. 9 of the Network of East Asian Think-Tanks.They announced the joint statement of the APT Cooperation Work Plan, and the APT Plan of Action on Education: 2010-2017.For this,they cited the success stories of APT Cooperation, namely i) the “Workshop on APT Partnership on Connectivity” held on 15 June 2012 in Bangkok, Thailand; ii) the “APT Youth Leaders’ Symposium” held on 18-19 October 2012 in Phnom Penh, Cambodia; iii) the “APT Joint Cultural Performance: Unity in Diversity” held on 2-3 November 2012, in Siem Reap, Cambodia; and iv) the Track II Symposium on the Commemoration of the 15th  Anniversary of the APT Cooperation on 17-18 September 2012 in Beijing, China. The Leaders also welcomed the selection of Siem Reap City of Cambodia as the “Cultural City of East Asia 2012 within the framework of the ASEAN Plus Three” and the designation of the year 2012 as “Visit ASEAN Plus Three Year.”
The Heads of State/Government of the Member States of the Association of Southeast Asian Nations declared by oath are as follows:
REAFFIRMING our adherence to the purposes and principles of ASEAN as enshrined in the ASEAN Charter, in particular the respect for and promotion and protection of human rights and fundamental freedoms, as well as the principles of democracy, the rule of law and good governance;
REAFFIRMING FURTHER our commitment to the Universal Declaration of Human Rights, the Charter of the United Nations, the Vienna Declaration and Programme of Action, and other international human rights instruments to which ASEAN Member States are parties;
REAFFIRMING ALSO the importance of ASEAN’s efforts in promoting human rights, including the Declaration of the Advancement of Women in the ASEAN Region and the Declaration on the Elimination of Violence against Women in the ASEAN Region;

CONVINCED that this Declaration will help establish a framework for human rights cooperation in the region and contribute to the ASEAN community building process;
The brief of Their declarations can be classified as ,[i] dignity and rights. [ii]rights and freedom irrespective of race, gender, age, language, religion, political or other opinion, national or social origin, economic status, birth, disability or other status.[iii] Every person is equal before the law.,[iv] The rights of women, children, the elderly, persons with disabilities, migrant workers, and vulnerable and marginalised groups are an inalienable,[v] for  violating the rights granted to that person by the constitution or by law.,[vi] The enjoyment of human rights and fundamental freedoms must be balanced with the performance of corresponding duties,[vii] The human rights and fundamental freedoms of every person shall be exercised with due regard to the human rights and fundamental freedoms of others,[viii] objectivity, non-selectivity, non-discrimination, non-confrontation and avoidance of double standards and politicisation, should always be upheld,[ix] Every person has an inherent right to life which shall be protected by law.[x] No person shall be subject to arbitrary arrest, search, detention, abduction or any other form of deprivation of liberty,[xi] No person shall be held in servitude or slavery in any of its forms,[xii] No person shall be subject to torture or to cruel, inhuman or degrading treatment or punishment.,[xiii] Every person has the right to leave any country including his or her own, and to return to his or her country.,[xiv] Every person has the right to seek and receive asylum in another State in accordance with the laws ,[xv] No person shall be arbitrarily deprived of such nationality nor denied the right to change that nationality,[xvi] Men and women of full age have the right to marry on the basis of their free and full consent, to found a family and to dissolve a marriage, as prescribed by law.,[xvii] Every person charged with a criminal offence shall be presumed innocent until proved guilty according to law,[xviii] No person shall be liable to be tried or punished again for an offence for which he or she has already been finally convicted or acquitted in accordance with the law and penal procedure of each ASEAN Member State.,[xix] Every person has the right to the protection of the law against such interference or attacks,[xx] All forms of intolerance, discrimination and incitement of hatred based on religion and beliefs shall be eliminated,[xxi] Every person has the right to freedom of opinion and expression,[xxii] Every person has the right to freedom of peaceful assembly,[xxiii]every person has the right to participate in the government,[xxiii] Every citizen has the right to vote in periodic and genuine elections,[xxiv] ASEAN Member States affirm all the economic, social and cultural rights,[xxv] Every person has the right to work, to the free choice of employment, to enjoy just, decent and favourable conditions of work and to have access to assistance schemes for the unemployed,[xxvi] Every person has the right to form trade unions and join the trade union of his or her choice for the protection of his or her interests, in accordance with national laws and regulations,[xxvii] No child or any young person shall be subjected to economic and social exploitation,[xxviii] Every person has the right to an adequate standard of living for himself or herself and his or her family,[xxix] Every person has the right to the enjoyment of the highest attainable standard of physical, mental and reproductive health, to basic and affordable health-care services, and to have access to medical facilities,[xxx] The ASEAN Member States shall create a positive environment,[xxxi] Every person shall have the right to social security,[xxxii] Special protection should be accorded to mothers during a reasonable period,[xxxiii] Motherhood and childhood are entitled to special care and assistance,[xxxiv] Every person has the right to education,[xxxv]every person freely take part in cultural life, to enjoy the arts and the benefits of scientific progress,[xxxvi] ASEAN Member States should take steps, individually and through regional and international assistance and cooperation,[xxxvii]ASEAN members would guarantee the economic and social rights,[xxxviii] every human person and the peoples of ASEAN are entitled to participate in, contribute to, enjoy and benefit equitably and sustainably from economic, social, cultural and political development,[xxxix] ASEAN Member States should adopt meaningful people-oriented and gender responsive development programmes aimed at poverty alleviation,[xxxx] ASEAN Member States share a common interest in and commitment to the promotion and protection of human rights and fundamental freedoms which shall be achieved through, inter alia, cooperation with one another as well as with relevant national, regional and international institutions/organizations,[xxxxi] Nothing in this Declaration may be interpreted as implying for any State, group or person any right to perform any act aimed at undermining the purposes and principles of ASEAN.
In this context,we can add one important forthcoming programme To mark the 20th anniversary of the ASEAN-India dialogue partnership and the 10th anniversary of ASEAN-India Summit-level partnership, India is hosting the ASEAN-India Commemorative Summit in New Delhi on December 20-21, 2012. The theme of the summit is ‘ASEAN-India Partnership for Peace and Shared Prosperity’. In maintaining the future direction of ASEAN-India relations, the ASEAN-India Commemorative Summit will be the culmination of  several events being organized in celebration of the partnership. These include a number of Ministerial level Meetings, people to people initiatives, B2B activities and cultural programmes both in India and the ASEAN countries.

Summit as a further step towards raising the ASEAN-US partnership to a strategic level,since ASEAN is the United States'fourth largest export market. At the meeting, the United States and ASEAN welcomed the launch of the US-ASEAN Expanded Economic Engagement (E3) initiative a new framework for economic cooperation designed to expand trade and investment ties between the United States and ASEAN, creating new business opportunities and jobs in all eleven countries and endorsed the cooperation on science and technology in a new dimension. Besides, leaders discussed the importance of building the role and influence of the East Asia Summit so that it can effectively address pressing political and strategic issues in the region and they also discussed the importance of putting mechanisms and processes in place to peacefully manage disputes over competing claims in the South China Sea. "In this context, they expressed support for the ASEAN Foreign Ministers'Statement on "Six-Point Principles on the South China Sea" and called for early conclusion of a Regional Code of Conduct," it said.
At the meeting, the US government announced the creation of the Expanded ASEAN Seafarer's Training (EAST) program to improve counter-piracy training and education in the region.  
The ASEAN region is home to over half of the world's seafaring workers, it said, adding that the program, administered by the Maritime Administration under US Department of Transportation, will be expanded from its current pilot phase working with the Philippines.  
Meanwhile, to further enhance cooperation confronting the shared challenge of piracy, Washington announced its intention to join the Regional Cooperation Agreement on Combating Piracy and Armed Robbery against ships in Asia.

Japanese Prime Minister Yoshihiko Noda, after meeting the ASEAN leaders, warned that a row over the South China Sea and West Philippine Sea could directly influence “peace and stability” in Asia. Other ASEAN members Vietnam, Malaysia and Brunei, as well as Taiwan, have claims to parts of the sea, which is home to some of the world’s most important shipping lanes and believed to be rich in fossil fuels. But China insists it has sovereign rights to virtually all of South China Sea and West Philippine Sea. Tensions have risen steadily over the past two years, with the Philippines and Vietnam accusing China of increasingly aggressive tactics to stake its claims. Tensions could rise further on US President Barack Obama’s arrival to join the East Asia Summit.Obama had previously angered China, and emboldened the Philippines, by calling for the rival claimants to agree on a legally binding code of conduct to govern their actions over the sea.
Lastly,the strategic role of Japan,USA, and China in the ASEAN+3 is quite important in economic dominance as well as political supremacy where India’s role as dialogue partner is becoming fade which leads India less integrated motivation since the concept of ASEAN+3 rejecting the hypothesis of ASEAN+4 turned a painfull solution of Asian integration in which USA’s role is vital and pivotal.