Prepared by Cambridge Econometrics (CE) with feedback from the New Climate Economy (NCE) team, this draft note summarises methodological aspects, modelled scenarios and macroeconomic results to provide empirical inputs to the NCE 2018 Global Commission Report. The aim of the modelling exercise was to illustrate examples of policies that can simultaneously promote economic growth and reduce the risks of climate change.  

The Global Commission on the Economy and Climate, and its flagship project the New Climate Economy, were set up to help governments, businesses and society make better-informed decisions on how to achieve economic prosperity and development while also addressing climate change.

It was commissioned in 2013 by the governments of Colombia, Ethiopia, Indonesia, Norway, South Korea, Sweden, and the United Kingdom. The Global Commission, comprising, 28 former heads of government and finance ministers, and leaders in the fields of economics, business and finance, operates as an independent body and, while benefiting from the support of the partner governments, has been given full freedom to reach its own conclusions.

The Commission has published three major flagship reports: Better Growth, Better Climate: The New Climate Economy Report, in September 2014; Seizing the Global Opportunity: Partnerships for Better Growth and a Better Climate, in July 2015; and The Sustainable Infrastructure Imperative: Financing Better Growth and Development, in October 2016. The project has also released a number of country reports on Brazil, China, Ethiopia, India, Uganda, and the United States, as well as various working papers on cities, land use, energy, industry, and finance. It has disseminated its messages by engaging with heads of governments, finance ministers, business leaders and other key economic decision-makers in over 60 countries around the world. 

The Global Commission on the Economy and Climate, and its flagship project the New Climate Economy, were set up to help governments, businesses and society make better-informed decisions on how to achieve economic prosperity and development while also addressing climate change.

It was commissioned in 2013 by the governments of Colombia, Ethiopia, Indonesia, Norway, South Korea, Sweden, and the United Kingdom. The Global Commission, comprising, 28 former heads of government and finance ministers, and leaders in the fields of economics, business and finance, operates as an independent body and, while benefiting from the support of the partner governments, has been given full freedom to reach its own conclusions.

The Commission has published three major flagship reports: Better Growth, Better Climate: The New Climate Economy Report, in September 2014; Seizing the Global Opportunity: Partnerships for Better Growth and a Better Climate, in July 2015; and The Sustainable Infrastructure Imperative: Financing Better Growth and Development, in October 2016. The project has also released a number of country reports on Brazil, China, Ethiopia, India, Uganda, and the United States, as well as various working papers on cities, land use, energy, industry, and finance. It has disseminated its messages by engaging with heads of governments, finance ministers, business leaders and other key economic decision-makers in over 60 countries around the world. 

Investing in sustainable infrastructure is key to tackling the three central challenges facing the global community: reigniting growth, delivering on the Sustainable Development Goals, and reducing climate risk in line with the Paris Agreement. Transformative change is needed now in how we build our cities, produce and use energy, transport people and goods, and manage our landscapes. And the challenge is urgent. 

Momentum for a low-carbon economy is building, but much more needs to be done. International partnerships can help catalyse the economic growth and emissions reduction to get us there. The Global Commission makes 10 key recommendations in which partnerships can help deliver better growth and a better climate. 

Countries at all income levels have the opportunity to build lasting economic growth and at the same time reduce the immense risk of climate change. But action is needed now. The Global Commission, advised by some of the world’s leading economists, sets out a ten point Global Action Plan for governments and businesses to secure better growth in a low-carbon economy.