An Introduction to the new Hungarian Sustainable Development Strategy

Transcription

1 An Introduction to the new Hungarian Sustainable Development Strategy Gábor Bartus Ph.D. Secretary, Hungarian Council for Sustainable Development Rotterdam, 10 October 2012

2 The schedule First Hungarian SDS was adopted in 2007 in force yet. Decision about renewal by 2011 in NFFT published a white paper (called Jövőkereső [Searching for the Future]) in First draft in August Public consultations in October-December Final draft in May 2012 NFFT approved. Parliament helds debate over the SDS in November 2012.

3 What the SD is? Confidence is what you have, before you understand the problem. (Woody Allen) Since the Brundtland Report (1987) few would dispute the principle: Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs. More questions than answers arising: What are needs? How can we compare the needs of different generations? (Problem of discounting and to choose a right social discount rate) etc.

4 Various interpretations of SD SD is equal to environmental protection 2.0 a potpourri which collect all contemporary ideas and political goals EU SDS: knowledge-based economy, job creation, economic growth, social cohesion, poverty eradication, environmental protection, fight against climate change, a swiss army knife - solving all problems of the humankind lingua franca for urging aid transfers from North to South cryptic code of anti-capitalism If sustainable development is everything, maybe it is nothing (In t Veld (ed.), 2011, Transgovernance, IASS, Potsdam)

5 Operationalization: Get stuck right at the start Agreement ends with attempts at operationalizing the elusive notion of sustainability. (Peter Bartelmus, 1999, Wuppertal Papers Nr. 93) current guidance on Sustainable Development does not provide a readily useable approach to factoring sustainability into policy advice (Price Durham Chan, 2010, UK Gov. Economic Service Review)

6 One possible way to operationalization Source One: Results from political science The modern representative democracy has definitely a structural problem: an inherent contradictory tension between the short time-horizon of a decision-makers, and the long time-horizon of the (direct or external) effects of the decisions. Consequence: more and more debt on future generations Types of debt: Pollution or use up natural resources, exhaust the earth Governmental Debt, Implicit Pension Debt Demographic deficit (where the population decreasing) Poorer condition of public infrastructure

7 One possible way to operationalization Source Two: The findings of modern macroeconomics The prosperity of nation is based not only on man-made capital and labour, but on quality of values, institutions (social capital) and knowledge (human resources) too. Y = f(km, Kh, Kn, Ks) Acemoglu (2011) Introduction to Modern Economic Growth, Princeton University Press Barro and Sala-i-Martin (1995) Economic Growth, McGraw Hill: New York Capitals (or assets) approach: to ensure thats assets (stocks of capital) are a maintained so that overall capacity to deliver wellbeing is non-declining over time.

8 The four dimension SD concept K = Km + Kh + Kn + Ks where: K total assets, Km man-made (phisical) capital, Kh human resources, Kn natural assets és Ks social capital. Hanley and Atkinson (2003) in: Negotiating Environmental Changes, Cheltenham: Edward Elgar Human assets: demography, knowledge, health, poverty Social assets: norms, values, institutions, trust, cooperation Natural assets: biodiversity, quality of ecosystems Economic assets: man-made (phisical) capital

9 The conceptual system of Hungarian SDS Type: Framework Strategy Because of it was made by NFFT, not the Government (lack of information for a detailed action plan) Core principle: The right answer to the unsustainability is finding the right way of cultural adaptation we have to change our thinking, and social-economical patterns Guiding (operationalization) principles: Future-oriented view stress on long-term effects effective institutions are needed Assets approach the four dimension SD system the objectives organised related to these dimensions

10 The start line (1) New Constitution (Fundamental Law) of Hungary - in effect from 1 Jan 2012 include: the recognition of our responsibility for future generations; the assumption that the cause of sustainable development is a cause of the entire human race, and in this regard, the new Fundamental Law places Hungary s role into the context of international cooperation; the declaration of the importance of the right to a healthy environment as a basic right; the introduction of the concept of a common national heritage, and in this context, the new Fundamental Law prioritises the protection of the natural resources of the Carpathian Basin;

11 The start line (2) New Constitution (Fundamental Law) of Hungary - in effect from 1 Jan 2012 include: underlining the fact that management and protection of national property also serve to preserve natural resources and accommodate the needs of future generations; spelling out the obligation of protecting and sustaining natural resources, in particular biological diversity, indigenous plant and animal species, as well as of preserving the soil, forests and the water supply and keeping agriculture free of genetically modified organisms; specifying the liability to compensate for environmental damage.

12 The structure (the content) of the SDS 1. Challenges global outlook 2. SD what does it mean (our answer to the operationalization problem) 3. Vision the values 4. The past and the present - The state of the four SD assets in Hungary 5. The future Goals and objectives For the Government and for the intermediate institutions (families, firms, NGOs, churches, etc.) Based on and organised with an extended DPSIR-model 6. Horizontal issues The proposed institutions for the enforcement 7. Indicators

13 Characteristics of the (Draft) Hungarian SD Strategy Not only the environment is under stress, but the other three assets are in critical condition (i.e demography, education, health, trust, cooperation) Step-by-step approach strategy of transition towards a sustainable society Strategy is urging, but not alarmist Pluralistic disagreement about the content of well-being, further society-wide dialogue is needed Subsidiarity as a key principle importance of intermediate institutions SDS not only a road map for Government, but also make recommendations for intermediate institutions and individuals Balance between individual s and community s responsibilities From economical point of view: a-growth based (nor pro-growth, neither de-growth)

14 Do not underestimate the importance of subsidiarity There is no one-size-fits-all SD policy (1) Global versus national level Population growth in the world, population collapse in Hungary: decreasing population since 1981 (No.1 rank in the world in this category), total fertility rate is only 1.26 (2) In national level: importance of intermediate institutions Polarization between individuals and the state decreasing importance of intermediate institutions like families, civil organisations, churches, chambers, etc. Modern society's individualism denied an important human drive toward community as it left people without the aid of their fellows in combating the centralizing power of the state. Centralization of decision-making the global economic crisis is one of the driving forces

15 Key horizontal instruments independent institutions as a watch-dogs of sustainability (Constitutional Court, Budgetary Council, Ombudsman for Future Generation, SD Council, etc.) ex-ante sustainability assessments constitutional limits automatic governance increasing share of deliberative decision-making process openness, social dialogue: make trade-offs between shortterm and long-terms objectives transparent

16 How the independent watch-dogs are work? One example: Budgetary Council The Fundamental Law constrains public debt at the level of 50% of GDP Budgetary Council can declare a budget passed by Parliament to be null and void at any time if public debt seems to grow over the 50% limit

17 Thank you for your attention!