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Report: Activating states and regions for a green recovery of heavy industry

Report 5 August 2021, 8:00 UTC

A green recovery of heavy industry is a transformation that will bring economic recovery alongside carbon emissions reduction.

This study, conducted for the Under2 Coalition by strategic energy consultants Element Energy and funded by Stiftung Mercator, shares recommendations on the policies available to promote a green recovery of heavy industry in states and regions, as well as highlighting the powers of subnational governments in influencing strategies to build back greener. 

It draws upon Climate Group and Mighty Earth’s Global Framework Principles which launched earlier this year as a first of its kind framework to support policymakers decarbonise their heavy industries as part of COVID-19 economic recovery plans.

Objectives of the study

  • Share advice on integrating policy into industrial green recovery mechanisms, to achieve a just transition.
  • Understand the power of subnational governments to address the impact of COVID-19 on their heavy industries, and their opportunities to influence strategies to build back greener by using the Global Framework Principles.  
  • Provide opportunities for heavily industrialised states and regions to shape the Global Framework Principles, with a focus on achieving a just transition in the heavy industry sector. 
  • Communicate ambition and achievements of Under2 Coalition members for a green recovery of their industries; demonstrating leadership and inspiring similar action.

Key findings

  • Subnational governments must act urgently to minimise the impacts of the COVID-19 pandemic on heavy industry.
  • COVID-19 has added further strain to the challenges already faced by heavy industry.
  • Policy action for a green recovery in heavy industry can be guided by keeping both social and ecological dimensions in focus.
  • Several approaches and a wide range of policy designs have been implemented in the past to recover from economic crises.
  • The Global Framework Principles can be applied by adapting the policy options for long term decarbonisation.
  • Subnational governments have different levels of autonomy to implement the policy options as described in this study. Nevertheless, they can all still use the proposed policy options as guidance.

Activating states and regions for a green recovery of heavy industry.pdf

Size: 42.05 MB

Date added: 16/08/21

In summary, subnational governments must act urgently to minimise the impacts of the current pandemic on heavy industry. 

By considering the economic and social dimensions of a green recovery, the benefits will be far reaching and impact carbon emissions reduction, waste and pollution reduction, jobs creation and safeguarding, just transition, education and skills development and global health.

Find out more about our work on industry.