WEBVTT 1 00:00:01.640 --> 00:00:04.440 Here at the COP28 conference in Dubai, 2 00:00:04.440 --> 00:00:06.320 the United Arab Emirates, 3 00:00:06.320 --> 00:00:10.680 almost 200 countries gathered to try to tackle the climate crisis. 4 00:00:10.680 --> 00:00:13.880 What can countries and corporations in the Gulf 5 00:00:13.880 --> 00:00:17.360 do to accelerate their path to net-zero emissions? 6 00:00:17.360 --> 00:00:18.960 And what are the costs, 7 00:00:18.960 --> 00:00:23.120 but also the opportunities, of the green transition? 8 00:00:29.800 --> 00:00:33.640 Governments that are embarking on a net-zero planning process 9 00:00:33.640 --> 00:00:36.080 should mainly have three things in place. 10 00:00:36.080 --> 00:00:40.680 First of all, a dynamic country-specific net-zero model. 11 00:00:40.680 --> 00:00:44.680 We will look at the different decarbonisation levers and solutions 12 00:00:44.680 --> 00:00:46.080 and their costs, 13 00:00:46.080 --> 00:00:48.120 and then find the best possible mix 14 00:00:48.120 --> 00:00:49.800 and the best possible roadmap. 15 00:00:49.800 --> 00:00:53.440 Secondly, identifying green growth opportunities. 16 00:00:53.440 --> 00:00:56.760 What can a specific country in the GCC 17 00:00:56.760 --> 00:01:00.160 do better or do at lower cost than other countries? 18 00:01:00.160 --> 00:01:02.240 And then thirdly, having a clear stakeholder 19 00:01:02.240 --> 00:01:06.400 engagement and policy set up to bring net-zero to life. 20 00:01:06.400 --> 00:01:08.800 It is important that the government sets the direction. 21 00:01:08.800 --> 00:01:12.200 For them, companies and other entities to follow it. 22 00:01:12.200 --> 00:01:14.880 But you also don't want the government to be too prescriptive 23 00:01:14.880 --> 00:01:18.200 because you do want that bottom up input 24 00:01:18.200 --> 00:01:20.640 and the expertise from the different sectors. 25 00:01:23.800 --> 00:01:25.360 So, Nadia, I know you do 26 00:01:25.360 --> 00:01:26.680 a lot of work with non-state 27 00:01:26.680 --> 00:01:30.840 actors on climate action and also nature. 28 00:01:30.840 --> 00:01:34.240 Can you tell us a bit about the importance of non-state actors? 29 00:01:34.240 --> 00:01:37.440 So we could be talking about universities, financial institutions, 30 00:01:37.440 --> 00:01:39.680 of course, private sector, etc. 31 00:01:39.680 --> 00:01:41.600 And they have a really important role 32 00:01:41.600 --> 00:01:43.280 to play in decarbonisation, 33 00:01:43.280 --> 00:01:46.960 but also providing solutions for financing, adaptation, etc. 34 00:01:46.960 --> 00:01:50.560 When we see stronger policies at the national level, 35 00:01:50.560 --> 00:01:53.360 it gives a signal to non-state actors to increase their ambition. 36 00:01:53.360 --> 00:01:54.640 And when they increase ambition, 37 00:01:54.640 --> 00:01:57.000 it gives more ability for the parties 38 00:01:57.000 --> 00:01:58.600 to be able to increase their ambition. 39 00:01:58.600 --> 00:02:00.560 So this is the kind of decarbonisation ambition 40 00:02:00.560 --> 00:02:02.760 loop that we've seen occur in the past, 41 00:02:02.760 --> 00:02:04.320 and we look forward to seeing that happen 42 00:02:04.320 --> 00:02:06.400 as we go forward after COP28. 43 00:02:11.600 --> 00:02:13.440 We have identified three 44 00:02:13.440 --> 00:02:16.640 major types of policies that are required. 45 00:02:16.640 --> 00:02:19.760 And that is first, market based policies. 46 00:02:19.760 --> 00:02:22.680 The most famous example probably is a carbon price. 47 00:02:22.680 --> 00:02:25.440 Second, public investment and subsidies. 48 00:02:25.440 --> 00:02:28.360 A good example of that would be a rail network, 49 00:02:28.360 --> 00:02:32.040 shifting transport from road to rail and thereby decarbonising it. 50 00:02:32.040 --> 00:02:34.200 And third, laws and regulation. 51 00:02:34.200 --> 00:02:36.640 Sometimes the most powerful policy that you can have 52 00:02:36.640 --> 00:02:41.280 is simply telling economic actors what they can and cannot do. 53 00:02:42.880 --> 00:02:44.520 BCG has been supporting the 54 00:02:44.520 --> 00:02:47.880 COP28 presidency for over a year now, 55 00:02:47.880 --> 00:02:50.920 and that has been a BCG team dedicated to this. 56 00:02:52.440 --> 00:02:56.440 I think what's been most exciting for me has really been to shape 57 00:02:56.440 --> 00:02:59.760 the outcomes that the action agenda was going to drive. 58 00:02:59.760 --> 00:03:01.720 We know we need to reduce emissions 59 00:03:01.720 --> 00:03:06.120 globally by 43 per cent by 2030, 60 00:03:06.120 --> 00:03:07.800 looking at a baseline of 2019. 61 00:03:07.800 --> 00:03:10.680 That is a lot to do and economies 62 00:03:10.680 --> 00:03:14.520 and companies in in the Gulf countries have 63 00:03:14.520 --> 00:03:15.640 a lot to do for it. 64 00:03:15.640 --> 00:03:17.560 But what we have seen are some real steps 65 00:03:17.560 --> 00:03:20.280 towards delivering action in the next 66 00:03:20.280 --> 00:03:22.240 not even seven years, but like two to three years. 67 00:03:24.720 --> 00:03:29.640 COP28 has certainly put the GCC in the spotlight of climate action. 68 00:03:29.640 --> 00:03:32.600 The right policies and the right public-private 69 00:03:32.600 --> 00:03:35.720 partnerships could mean a new business as usual, 70 00:03:35.720 --> 00:03:40.560 one that puts the world on a path to a more prosperous, safer 71 00:03:40.560 --> 00:03:42.400 and planet-friendly future.