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In the Name of Allah International Conference on Environmental health and safety October 24-25, 2016 Valencia, Spain The Impacts of Energy Management and Environmental Health on the Indexes of Societies Progress and Sustainable Development Ali Emami Meibodi (PhD) Allameh Tabataba’i University, Tehran , IRAN Introduction For the most of the twentieth century, growing reliance on fossil fuels was almost universally celebrated as a good, a symbol of society progress. nowadays, with the rise of environmental concerns, efforts are mounting around the world to curtail and manage the consumption of all fossil fuels, due to different pollutions such as air, land, water, noise and the climate changes. Since the second half of the twentieth century upon revealing the environmental issues and problems, fundamental principles of society’s advancement and progress have been changed. Following two important meetings, regarding environmental issues, held in 1972 and 1992, development Indexes and Measures of Progress of society have been changed. During 1920 to 1960, merely, the economic indicators were used for measuring and comparing the progress of different countries. From 1960 to 1992, Economic Indicators + Social Indicators, were used. Global Stage: From 1992 until Now, Economic Indicators +Social Indicators + Environmental Indicators, are used. Chronological Evolution of Related Measures of Progress of Society Economic Growth (GNP/GDP) GNH Gross National Happiness Price Stability ISH ISEW Index of Sustainable Economic Welfare Sustainable Development EIA Index of Social Health Full Employment HDI Human Development Index Balance of Payments ILS Environmental Impact Assessment Index of Living Standard Consumer Utility Maximization Physical Quality of Life Index Profit Maximization MEW Measure of Economic Welfare Economic Indicators + Social Indicators Economic Indicators 1920 PQLI 1960 1992 SEA Strategic Environmental Assessment EPI Environmental Performance Index Eco- Efficiency and GP Economic Indicators +Social Indicators + Environmental Indicators 2016 The major progress indexes: • ISEW • Sustainable Development • EPI • Eco-efficiency and Green Productivity Index of Sustainable Economic Welfare (ISEW) The Index of Sustainable Economic Welfare (ISEW) develops MEW (Measure of Economic Welfare) by adjusting GDP further by taking into account a wider range of harmful effects of economic growth. In order to explain the necessity of environmental considerations in Measuring the Progress of society and shortcoming of GNP/GDP, it is referred to Robert Repetto statement as follows: “A country could exhaust its mineral resources, cut down its forests, erode its soils, pullet its aquifers, and hunt its wildlife and fisheries to extinction, but measured income (GNP/GDP) would not be affected as these assets disappeared.” Sustainable Development Development that meets the needs of the present generations without compromising the ability of future generations to meet their own needs. Environmental Performance Index (EPI) EPI ranks countries performance on high-priority environmental issues in two areas: • Protection of Human Health • Protection of Ecosystems Complete report, data, and results for current year (2016), available : www.epi.yale.edu. Efficiency and Productivity The Main reason for using efficiency and productivity analysis in all areas of economy is the resources constraint. Human efforts have been always focused on obtaining the maximum results of the available facilities and inputs. This can be called desire to achieve higher efficiency and productivity. Environmental efficiency and Green productivity Nowadays, new types of efficiency and productivity are realized, which is considered both desirable and undesirable (pollution) outputs in the process of efficiency and productivity measurements. That is, environmental efficiency and Green productivity. These have important policy implications for Environmental Health and Sustainable Development. The Economics of pollution and theoretical backgrounds In Economics, the environment is viewed as a composite asset that provides a variety of services. Several sub disciplines of the Economics deal with interactions between the economy and the environment. These sub disciplines include resource economics, ecological economics and Environmental Economics. Environmental Economics Environmental Economics provides a framework for evaluating alternative technologies and public policies for reducing environmental pollution. Much of the new environmental economics is concerned with issues of pollution and the design and administration of pollution control programmes. Environmental Economics Solutions We shall lay the foundation for understanding the policy approach to controlling the pollution. In the next diagrams, theoretical, and the policy approaches to controlling the pollution have been shown: Environmental protections and all Solutions (Coase Theorm,1960) through Property-Rights and Bargaining Policy Solutions GNP per capita progress EKC (Environmental Kuznets Curve) Policy Solutions National Externalities Market Based Instruments Command and Control Instruments International Externalities Other Instruments International Cooperation (Based on Conventions and protocol) Regional Cooperation (Game Theory) The National or Government policies In the case of the national externalities, the Instruments that governments are using to improve the environmental indicators are: • Market Based Instruments (MBI): The taxes, subsidies and Marketable Pollution permits • The Command and Control Instruments (C&C): Different standards • Other approaches: Education, training, Zooning, International Trade and etc. The International Policies For the governments, in the case of the international externalities, there are various opportunities for cooperation to improve their environmental indicators: • International Cooperation Based on Conventions and Protocols • Regional Cooperation Based on Game Theory For instance, since Acid Rain and Dust Phenomenon are the Regional Environmental Externalities; Regional Cooperation Based on Games Theory is needed. Games Theory is a useful Method for the analysis of these issues Good Governance Environmental policies and energy management, through with, the National and International Solutions are expected by Good Governance. Indicators of Good Governance Indicators of Good Governance are key factors in Energy Management, environmental health and Sustainable Development. The Worldwide Governance Indicators (WGI), measuring six dimensions of governance starting in 1996. Indicators of Good Governance • Voice and Accountability • Political Stability and absence of violence/Terrorism • Government effectiveness • Regulatory Quality • Rule of Law • Control of Corruption Energy Management and Environmental Health • Energy and Environment Issues Addressed Simultaneously. • Energy-use is a major cause of atmospheric pollution. • The extensive use of exhaustible resources to meet energy demand worsens the level of Green House Gases (GHG) emissions. Energy Management Energy management includes planning and operation of energy production and energy consumption units, while the users have permanent access to the energy they need. Objectives: • Resource Conservation • Climate Protection • Cost Savings Energy management is a critical response to the pressing Climate Change, Sustainable Development and energy security challenges facing many countries. Energy efficiency and Energy Management A rapid change in energy technology and industrial patterns could permit a continuation of economic growth, but oriented strongly towards Energy Efficiency. Energy efficiency is “using less energy to provide the same service”. Energy Efficiency is part of a process that is called: Energy Management. Energy Efficiency Governance More articles have been written on the role of energy management in delivering energy efficiency. However, much less is known about the legal, institutional, and coordination arrangements needed to scale-up energy efficiency, that is, Energy Efficiency Governance. Core elements of Good energy efficiency Governance • Enabling frameworks • Institutional arrangements • Co-ordination mechanisms These elements are the major indicators of Good Governance There is general agreement on Good Governance which will provide a great deal for Sustainable Development, especially in natural resource-rich economies. In the other words, Good Governance is a key factor in the Energy Management and Environmental Health. Conclusions and Policy Recommendations We have been able to look at the economics of pollution within the criteria of society’s progress. Given our findings regarding the importance of indicators contributing to progress of the society, the following suggestions are recommended: Prospects for international cooperation International Co-operation is by no means a foregone conclusion. For instance, it can be referred to the Kyoto Protocol. The Clean Development Mechanism (CDM) is one of the flexibility mechanisms of the Kyoto Protocol, The other ones are: emissions trading and Joint Implementation. The Clean Development Mechanism (CDM) The CDM is the only mechanism involving developing countries without any obligation to reduce the GHG emission. Thus, developing countries receive capital for investments in projects and clean technologies to reduce their emissions and enhance socioeconomic well-being. Prospects for National or Government policies Energy management in a sustainable Development prospect, through with, Good Governance, makes possible that the use of fossil fuels to meet present needs do not adversely affect the environment or the economy’s ability to produce goods and services in the future. Only the economic progress is not sufficient. A society which is able to address basic human needs, equip citizens to improve their quality of life, protect the environment, and provide opportunity for its citizens is succeeding. It is recommended to widen the understanding of the success of societies beyond economic and social indicators. Moreover, the environmental indicators are also important. Energy management and Environmental Health, through Good Governance, is able to improve the Indexes of Societies Progress and Sustainable Development. Thanks for your kind attentions