Brussels, 8 September 2009
Environment: Measuring progress in a changing world
Measuring progress in a changing world is the focus of a Commission communication that was launched at a high-level workshop held today. The actions proposed in this communication aim to improve the measurement of a nation's progress by complementing the current and best known measure of economic activity, Gross Domestic Product (GDP). As a part of efforts to make the shift towards a low carbon, resource-efficient economy the Commission will present a pilot version of a comprehensive environmental index in 2010. The European Statistical System will implement Environmental Accounting as a standard in Macro-economic statistics.
European Environment Commissioner Stavros Dimas said: "To meet the challenges of the 21 st century we need more integrated and transparent policies. To design these policies we need to better assess where we are now, where we want to go and how we can get there. To change the world we need to change the way that we understand the world and to do this we need to go beyond GDP. "
At today’s workshop the Commission presented ways forward to complement Gross Domestic Product (GDP) in order to steer our policies towards green growth and a low carbon, resource-efficient and inclusive society. The actions in the communication represent the practical follow-up to the Beyond GDP conference that was held in November 2007.
GDP is used in economic forecasting and allows comparisons of countries and of developments over time. It is conceptually well defined, clear and has stood the test of time.
GDP was not intended to be a measure of well-being. It doesn’t pick up on issues that are vitally important to the quality of our lives such as a clean environment, social cohesion or even how happy people are. It is not in itself a sufficient guide for modern policy making that covers social and environmental objectives. This becomes a problem when GDP is understood as the unique yardstick for progress. The Communication outlines five actions that represent the next practical steps beyond GDP:
Speaking at the launch event, Commissioner Dimas expressed his hope that these actions, would lead to an index of environmental sustainability being published in parallel to GDP figures.
Gross Domestic Product (GDP) is the best known macro-economic measure of the performance of the market economy of a nation. Although by design and purpose it is not a welfare measure, it has also come to be regarded as a proxy indicator for overall societal development and progress in general. GDP does however not measure environmental sustainability or social inclusion and these limitations need to be taken into account to find adequate solutions to steer our economies.
A stakeholder conference will take place today starting at 14:30 in the Walter Hallstein room in the Berlaymont building.
A press conference will take place at 13:00 today.
More information and webstreaming of the event:
A visual news release (VNR) is also available:
GDP and beyond: Measuring progress in a changing world (Action Plan)