The Institute of Contemporary Development (INSOR) held a roundtable on “Ecology and the Economy: Development Priorities”.

In his opening remarks Management Chairman Igor Yurgens noted the importance of discussing of environmental issues. He also stressed how vital it is to unite civil forces like INSOR and the Russian Public Chamber.

Vladimir Zakharov, Chairman of the Commission on Environmental Policy of the Public Chamber emphasized the key task: “to ensure health and sustainable development of the economy”. Vladimir Zakharov believes it important to support sustainable use of natural resources at the local level. As for performance indicators, on top of GDP or GRP he offers to use indices reflecting the benefits received by humans and nature as a result of economic development. “These are indicators of sustainable development, which reflect the level of environmental depletion and its compensation at expense of other capital types,” he said.

“Regardless of negative economy conditions caused by the crisis, the decisions taken and multiple loans, we find ourselves in quite a unique situation. Now we can prevent the Russian economy from finally and inevitably turning into one based merely on raw-materials and pave the way for an innovative economy,” said Sergei Bobylev, professor of Economics at Moscow State University. He also said that the state should slow down development of its raw-export policy and focus on diversification and formation of the innovative economy. The economy should be made environment-friendly through innovation and development of relevant production facilities. To achieve this goal Russia must apply a full range of economic tools including taxation policy, credits, tariffs etc.

Alexander Averchenko, an advisor with the World Bank, believes that only demand can boost potential. Launch of new projects within the environment protection industry, tough requirements and monitoring can promote demand for high-quality specialists. At the same time, the current specialists will have to improve their professional skills.

The same idea is echoed by Renat Perelet from the Institute for System Analysis, RAS. He said that the state is blind to innovations. All attempts to address the Parliament, the State Duma or the Ministry of Natural Resources have fallen flat. The country is reluctant to turn to European experience in the field and applies it in a partial way. Renat Perelet believes it mandatory to generate demand for environmental safety and to involve the banking sector in this process.

As a result, the discussion participants decided to develop a basis for the National Environmental Policy and the Strategy of Russia’s Sustainable Development. The key tasks now are to enhance value of natural resources through their preservation and sustainable use and to reduce usage of natural resources through expansion of other capital types.