The Fossil Fuel-Based Growth Model: An Obsolete Economic Relic

It's time to abandon our fossil fuel-based economic growth model and adopt a degrowth and green growth approach.

As we move forward into the future, it's necessary for us to reconsider the structures that have historically defined our progress. In particular, the fossil fuel-based economic growth model, although instrumental in shaping modern society, has become an obsolete and damaging system. Sustainability, not capital accumulation, should be our priority if we want a viable future for the coming generations.

Fossil fuel, a finite resource, has been the engine of the global economy over the past century, but dependence on this resource is at odds with the reality of a planet with limited resources. The fossil fuel-based economy has led to unsustainable exploitation of natural resources, environmental degradation, and the exacerbation of climate change. This model has been particularly harmful to the global south, where unexploited resources are extracted for the benefit of the north, a process that perpetuates economic and power inequalities.

Furthermore, the fossil fuel-based economy has perpetuated a form of capitalism that focuses on capital accumulation above all else. This system has infiltrated every corner of society and has created a cycle of unsustainable growth that ignores the physical limits of the planet. It is imperative to remember that unpaid labor, particularly that of women, subsidizes this system, and that the economy should be reorganized around human needs, not just capital accumulation.

Economic degrowth, a proposal that has gained momentum in recent years, presents an alternative to this model. Instead of seeking constant economic growth, degrowth advocates for the reduction of consumption and production to achieve a sustainable and equitable economy. This proposal is a response to the ecological and social crisis we face in today's world and recognizes that economic growth is not an end in itself, but a means to improve people's lives.

Degrowth does not mean simply reducing the size of the economy, but rethinking how we understand and measure economic success. It means challenging the idea that economic growth is always beneficial and acknowledges that it can have significant social and environmental costs. Instead of focusing on GDP as a measure of well-being, degrowth suggests we should consider more holistic indicators, such as quality of life, equality, and environmental sustainability.

This does not mean that we should abandon all forms of growth. Instead, we should shift our focus towards "green growth", which promotes sustainability and equity. This approach focuses on investing in renewable energies and transitioning to a low-carbon economy. By doing so, we can decouple economic growth from environmental degradation and foster an economy that respects the planet's limits.

This paradigm shift may be viewed by some as a risk to our economy. However, it is crucial to understand that this change is both an opportunity and a necessity. The green economy can generate new industries and jobs, foster innovation, and improve the resilience of our societies to the challenges of climate change.

Moreover, transitioning to a sustainable economy does not mean giving up economic development or improving living conditions. On the contrary, it can allow us to develop in a way that respects the planet's limits and promotes social justice. Instead of exploiting the unexploited resources of the global south, we can work to foster development that benefits everyone, not just the industrialized countries of the north.

This involves a shift in how we understand and practice development. Instead of focusing on capital accumulation, we should focus on meeting human needs and improving quality of life. We should value the unpaid work that underpins our economies and seek ways to recognize and reward this work. And we should strive to build economies that are inclusive, equitable, and sustainable.

This change also requires concrete policies and actions. We need policies that promote the transition to renewable energies, that support the circular economy, and that encourage sustainable consumption and production. We need to invest in education and training to prepare our workforce for the industries of the future. And we need international cooperation to address the global challenges of climate change and inequality.

The change won't be easy, and there will be resistance. But if we want a viable future for the coming generations, we can't afford to continue with an obsolete and damaging economic growth model. We must have the courage to question existing structures and to seek new forms of growth and development that respect the planet's limits and promote social justice.

It's time to abandon our fossil fuel-based economic growth model and adopt a degrowth and green growth approach. This change is both an opportunity and a necessity, and it can allow us to build a more sustainable and equitable future. If we want a viable future for the coming generations, we cannot afford to continue on the path we have taken so far. Sustainability, not capital accumulation, should be our priority.

Rosmel Rodriguez
EU Climate Pact Ambassador