A Socially Inclusive Economic Transition For Mexico
A Socially Inclusive Economic Transition For Mexico
A Socially Inclusive Economic Transition For Mexico
HIGHLIGHTS
CONTENTS
Highlights . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1
▪ Even though climate change poses a threat to development, and that
Mexico has expressed a commitment to address it, the country’s climate
Executive summary. . . . . . . . . . . . . . . . . . . . . 2 policies lack ambition and clear implementation measures.
▪ Advancing
1. Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . 3
a low and just carbon transition could help Mexico mobi-
2. Social and climate context in Mexico.4
lise investment, improve competitiveness, enhance development, and
3. System-wide transformation opportu-
address social vulnerability. Estimates show a potential gain on jobs
nities in Mexico. . . . . . . . . . . . . . . . . . . . . . . . . 7
(763,455 jobs or 3.5 percent of the total formal jobs registered in July
4. Decarbonisation makes sense for the 2023) and additional 24.95 billion USD in Mexico’s GDP by 2050, equiva-
Mexican economy and society. . . . . . . . . 16
lent to 1.6 percent of 2022’s GDP.
5. Conclusions and next steps . . . . . . . . . 17
Appendices . . . . . . . . . . . . . . . . . . . . . . . . . . . 18 ▪ Policy levers that lie within the energy, cities, and land use systems offer
the greatest social, environmental, climate, and economic benefits.
Endnotes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
Acknowledgements. . . . . . . . . . . . . . . . . . . 24 ▪ Inandthemethane
energy sector, more renewables, energy efficiency in buildings,
abatement, offer the greatest potential emissions abate-
About the authors. . . . . . . . . . . . . . . . . . . . . 24 ment as well as economic and social benefits.
▪ Intauration
are circulated to stimulate timely discussion and
critical feedback, and to influence ongoing debate on the forest, agriculture, and land use sectors, measures such as res-
emerging issues. and sustainable management of ecosystems that support both
mitigation and adaptation are optimal, especially if they also benefit local
Suggested Citation: Flores Montalvo, A., A. communities and help conserve nature.
▪ Estimates
Ruiz, E. García and J.C. Altamirano. 2023. "A
socially inclusive economic transition for Mexico: state the level of investment needed for complying with NDC
Identifying the opportunities and benefits of commitments close to 100 billion USD, whereas associated efficiency
enhanced climate action". Working Paper.
gains and co-benefits could be set somewhere between 100 to 157 bil-
Mexico: WRI Mexico. https://doi.org/10.46830/
wriwp.22.00071
lion USD, avoiding as many as 26 thousand deaths by 2030.
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A socially inclusive economic transition for Mexico: Identifying the opportunities and benefits of enhanced climate action
However, these steps fall short of decarbonizing the economy The purpose of reviewing existing literature addressing these
at the pace required to tackle the global climate emergency questions is to get a broad perspective on the measures that
and keep global warming below the 1.5°C limit by the end have been identified for Mexico which would have a posi-
of the century (IPCC 2018). Mexico’s emission trajectory is tive impact on socioeconomic variables and climate change.
aligned with a pathway above 4°C of temperature rise and is The review includes both economy-wide as well as sector-
the only G20 country without a long-term net zero GHG specific analyses.
emissions target (WRI 2023). Despite structural socioeco-
Most of the publications consulted were peer reviewed and
nomic problems that are being exacerbated with climate
official documents. Estimations, nevertheless, are usually based
change impacts, Mexico has failed to integrate its develop-
on assumptions, so they should be taken with caution, since
ment objectives with an environmental and climate agenda
in most cases they are designed to guide policy making but
that offers great opportunities to close social gaps and produce
should not be taken as predictions.
higher living standards.
To collect insights from climate experts and stakeholders, nine
This working paper examines whether Mexico can advance
semi-structured interviews were conducted (see Appendix 1).
its sustainable development agenda while enhancing climate
Also, to get inout and recommendations, two meetings were
action, and what sectors and policy levers to focus on to
organized in 2023 with the members of the Advisory Com-
achieve the greatest impact. It summarizes arguments from
mittee for the New Economy for Mexico, integrated by key
existing literature and available evidence on whether more
actors in the national climate change agenda (see Appendix 2).
rapid decarbonisation would be compatible with develop-
ment aspirations. It addresses the Mexican context, the main Next steps from this work will cover the following topics: (1)
developmental challenges and existing policy priorities to sectoral and macroeconomic modelling; (2) political economy
confront the concurring social, economic, and climate crises. and distributional impacts analyses to assess the socioeco-
It explores specific shifts in the energy, cities, and land use nomic effects of climate and economic policy measures across
systems that would potentially achieve the greatest impact; various groups of the population; (3) analysis of potential
it also proposes some key policy levers that would be needed, feasibility and enabling implementation conditions; and (4)
and outlines next steps. an enhanced engagement with experts and relevant stake-
holders, including the advisory committee mentioned above
(see Figure 1).
CLIMATE
Limit global warming to 1.5
degrees & support communities
in adapting to climate change.
Which development challenges Where are are the main
does Mexico have in terms of socioeconomic opportunities
poverty and social inequality - Literature review for climate action?
that are exacerbated by the - Interviews and consultations
effects of climate change? - Data compilation
- Scenario analysis using
Economy-wide systems dynamic
model for Mexico
PEOPLE NATURE
People are living in an equitable Ecosystem health is
society where they can meet protected & restored.
their essential needs.
Source: WRI
2. SOCIAL AND CLIMATE In Mexico, poverty and social inequality are major challenges.
36.3 percent of Mexico’s population is poor and in rural areas
CONTEXT IN MEXICO a greater percentage (48.8 percent) of the population lives in
poverty, increasing to 65.2 percent if only indigenous people
This chapter presents an overview of the Mexican social and
are accounted, and to 73.1 percent of indigenous women living
climate context, focusing on its main challenges, priorities, and
in rural areas (CONEVAL 2023). Mexico is one of the most
aspirations. The context provided is general, mainly because it
unequal countries in the world where, over the 21st century,
will frame the analysis and discussions that follow.
the richest ten percent of the population income share has
been at least 50 percent, whereas the bottom 50 percent has
2.1 Socioeconomic outlook not increased its share from ten percent (Chancel et al. 2023).
During the 2014-2019 period, Latin America and the Carib-
Even though the unemployment rate is relatively low (less
bean experienced the slowest economic growth recorded in
than three percent), Mexico is among the top ten countries
decades, with an annual GDP growth rate of 0.3 percent
in the world with the highest percentage of informal employ-
(CEPAL 2021b). The COVID-19 crisis only worsened the
ment, leaving a broad share of the population in a vulnerable
situation, causing the region’s economy to shrink by 7.6
situation; around 30.6 million people (INEGI 2022). 50 per-
percent which, coupled with an unemployment rate of 10.3
cent of the population does not have access to social security,
percent, exacerbated poverty and inequality (CEPAL 2022).
39 percent lack access to nutritious and good quality food, and
In the global slowdown that followed the pandemic, Mexico’s 28 percent cannot access medical services (CONEVAL 2023).
economy contracted 8.5 percent in 2020 (INEGI 2021a),
Throughout Latin America, the recession erased more than a
exacerbating vulnerabilities stemming from a sluggish
decade of progress in women's participation in the labor force
economic growth, social inequalities, and climate and envi-
(CEPAL 2021a). In the case of Mexico, women make up
ronmental crises. In 2021 the economy recovered slighly, with
most of the population but only 40 percent of the workforce.
a GDP growth of 5 percent (BANXICO 2022), and a 3.1
Women’s informality rate (55.5 percent) is higher than men’s
percent growth in 2022 when GDP values recovered to pre-
pandemic levels (INEGI 2023a).
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A socially inclusive economic transition for Mexico: Identifying the opportunities and benefits of enhanced climate action
(INEGI 2020), and their average pay is lower, 86 pesos for most of the cultivated areas suffer (INECC 2022) and will
every 100 that a man earns, on top of spending 2.5 times more increase pressure on revenues of a large portion of Mexico’s
hours in home duties per week (IMCO 2022). population which relies on climate-dependent agriculture
(i.e., 13 percent of Mexico’s employed population). These
The federal government has prioritized poverty alleviation, individuals will have to find different ways of earning a living,
boosting investments and regional development, particularly in many cases outside their places of origin. In fact, weather-
in the traditionally poor southern regions. Due in large part to related disasters uprooted more than 100 thousand people in
a wage policy aimed at increasing the real purchasing power Mexico during 2020 and 11 thousand in 2022 alone (IDMC
of workers and the formalization of employment (Quintana 2023). It is estimated that, between 2020 and 2050 in Mexico
2023), the most recent official data reveals that between 2018 and Central America, the number of internal climate migrants
and 2022, 5.1 million people moved out of the poverty line will double, reaching up to 3.9 million (World Bank 2018).
(CONEVAL 2023).
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A socially inclusive economic transition for Mexico: Identifying the opportunities and benefits of enhanced climate action
The contrast between current plans and what is at least techni- that are technically and economically viable (Flores Montalvo
cally possible is stark. An alternative NDC, presented by a et al. 2019). Some argue that Mexico could even reach the
civil society organisation at COP27, argues that Mexico could 35 percent target (ICM 2022), but only if the country acts
achieve, with available technologies and feasible policies, up up quickly and decisively, through a combined effort of all
to a 47 percent reduction in GHG emissions by 2030 below relevant economic activities and actors. The main climate
BAU. These efforts would require external financial support, change policies needed are spread among agriculture, waste,
reaching 256 billion USD between 2022 and 2030 (ICM fossil fuel production, and forests. To curb energy demand and
2022), which is roughly equivalent to ten percent of the total emissions, actions in cities and transport are likely the most
annual GDP in 2022. powerful mitigation tools (Elizondo et al. 2017).
Mexico’s current decarbonisation trajectory differs from the Recent WRI’s modelling analysis with the EPS-Mexico (EPS
goals enshrined in its commitments and laws. In addition to 2022) shows that a combination of 26 policy levers across dif-
aligning mitigation efforts with an emissions trajectory that ferent sectors would make it possible to abate emissions to an
achieves a 40 percent reduction in the country's GHG emis- annual 220 million metric ton of CO2eq in 2050 ––about one
sions by 2030, climate objectives and policies should consider third of current annual emissions (see Figure 2). Additionally,
the great potential they have to reduce the country's large this will bring gains in jobs (763,455 jobs or 3.5 percent of the
socioeconomic gaps of poverty and social equity. total formal jobs registered in July 2023) and additional 24.95
USD billion of Mexico’s GDP by 2050, equivalent to 1.6
percent of 2022’s GDP (World Bank 2023).
3. SYSTEM-WIDE Other analyses are roughly consistent with these findings.
TRANSFORMATION A study looking at decarbonisation pathways aligned with
OPPORTUNITIES IN MEXICO a 1.5 and 2oC limit global warming, finds that interventions
should focus on shifting from fossil fuel electricity to renew-
Despite slow implementation of commitments so far, it may ables as the main energy source before 2040. The same study
still be possible to reach Mexico’s initial 22 percent below the recommends adopting policies and building infrastructure
BAU target, through a combination of policies and measures that favors public transport modes and vehicle electrification,
Figure 2 | Emissions trajectories by sector in the energy policy simulator (EPS) mitigation scenario
800
700
600
million metric tons/year
500
400
300
200
100
-100
2020 2022 2024 2026 2028 2030 2032 2034 2036 2038 2040 2042 2044 2046 2048 2050
District Heat & Hydrogen Water & waste Agriculture Land use
Electricity Industry Buildings Transportation
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A socially inclusive economic transition for Mexico: Identifying the opportunities and benefits of enhanced climate action
percent reduction of emissions below BAU by 2030, would the 2020-2030 period, under the Mexico 2015 NDC scenario
require raising electricity capacity from photovoltaic (PV), (GGGI 2020). Economic and labor policies need also seek to
wind and geothermal sources, and promoting distributed increase the participation of women. In Mexico, only three out
renewable generation, to reach a total of 40 GW of clean of ten professionals of science, technology, engineering and
electricity capacity by 2030 (Gobierno de Mexico 2022), mathematics (which yield a better payment than other fields)
which would represent a growth of 15 percent of the 34 are women (IMCO 2022a), and women only held a quarter
GW of current installed generation capacity with renew- of total jobs in the oil state industry (Petróleos Mexicanos,
ables (INECC 2021a). PEMEX) in 2019 and 17 percent in the electric sector (Mexico
Evalúa 2021). Gender inequalities are underlying conditions
The Global Green Growth Institute (GGGI) developed an that challenge a just transition in Mexico (see Figure 4).
NDC scenario where total installed capacity reaches 156 GW
by 2030, with 90 GW of clean energy and retirements of 11 Improved transmission planning, coupled with the develop-
GW of conventional fossil fuel-based (GGGI 2020). Under ment of renewables, could deliver increased energy accessibility,
this scenario, the addition of renewables’ installed capacity stimulating economic development, and decreasing electricity
by 2030 will result in the creation of about 1.5 million total costs. Southern Mexico could emerge as a key hub for clean
job-years (GGGI 2020). The assessment estimates that utility- energy, enabling increased economic activity and potentially
scale solar photovoltaic, solar PV distributed generation, and becoming an energy exporter to other parts of the country and
onshore wind generate more jobs per GWh than a combined to Central America (DOE US 2022).
cycle technology, with onshore wind technology and solar PV
distributed generation producing the highest number of jobs The energy transition will also improve health conditions and
per unit of electricity output (see Figure 3) (GGGI 2020). will help communities currently exposed to pollution from
power facilities, leaks and spills of liquid and airborne pollu-
Mexico has a skilled workforce and the industrial capacity tants, and transport emissions. According to some estimates,
to absorb the substantial investments that would be needed fully implementing the 2015 NDC target could boost employ-
for an energy transition (Buira et al. 2021). Expanding ment in the electricity sector by 38 percent, and the benefits
solar PV and onshore wind capacity can increase at least 46 (avoiding social costs) from reducing PM2.5-related mortality
percent in direct high skill jobs and qualification levels for could reach 2.7 billion USD (Gioutsos and Ochs 2019).
Mexico's abundant resource potential Large-scale solar PV, distributed solar PV generation
to generate renewable energy is 2,593 GW;an amount and onshore wind energy generate more jobs
26 times the total generation capacity in 2023 per GWh than more current combined
and 76 times the renewable energy cycle technologies
capacity reported by Mexico’s Ministry of Energy
1.2
1.0
Jobs - years/GWh
0.8
1.2 1.2
0.6
0.4
0.5 0.6
0.2
0.2
Combined cycle Onshore wind Solar PV distributed Utility - scale
generation solar PV
Source: WRI with data from SENER (2023) and GGGI (2020)
Equivalent to
30.6 million
56.6 people in a vulnerable situation
percent
employed
in the informal
economy The informality rate of women Women constitute
is higher than that of men 55.5 percent 40 percent of labor's workforce
but their salary is lower:
Only three out of ten science $86 pesos
technology, engineering, and for every $100
mathematics professionals that a man makes
are women
Only a quarter
of total jobs in
the oil industry in 2019
Source: WRI with data from INEGI 2020, IMCO 2022 and Mexico Evalúa 2021.
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A socially inclusive economic transition for Mexico: Identifying the opportunities and benefits of enhanced climate action
be tailored to local markets and must be supported by appro- lung diseases, cause asthma attacks, increase rates of pre-term
priate policies, regulations, and incentives to phase out and birth, cardiovascular morbidity and mortality, and heighten
eliminate energy-intensive practices and technologies. stroke risk (Global Clean Air 2023).
Source: WRI with data from Semarnat 2022, Carbonplan 2023 and Badillo 2023.
People living in urban areas are also highly vulnerable to The effectiveness of these strategies also depends on imple-
climate change and bad air quality, mainly produced by fuel menting cooperation and coordination mechanisms among
combustion of transport. In the last 15 years, the frequency national and subnational governments, the private sector, and
of heat waves in cities has increased (Semarnat 2022) and it civil society, as well as on developing an adequate capacity to
is estimated that in 2030, one million people living in 168 implement mitigation strategies (IPCC 2021).
Mexican cities would face highly dangerous heatwaves for
more than a month (Carbonplan 2023). Air pollution causes Buildings
around 48 thousand deaths per year. In Mexico City alone,
In Mexico, buildings consume nearly 18 percent of total
between January and August in 2023, just around 23 percent
power generated (SEMARNAT 2020a). They are also in the
of the days registered good air quality (Badillo 2023).
center of the climate agenda because of their close links with
There is a growing momentum among subnational enti- public health, air quality, poverty, and living conditions for the
ties, including both state and municipal governments, to get most vulnerable groups in Mexico (INECC 2021a). In deve-
ambitious and support climate action. State governments, loping countries, buildings have a lifespan of over 50 years, so
particularly, are showing their willingness to adopt climate any measure to improve them provides lasting benefits.
change mitigation and adaptation goals and programs. The
More than a third of households in Mexico live in energy po-
empowerment of states and municipalities, their growing
verty (Sánchez and Graizbord 2016), 58 percent of households
capacity to attract resources independently, and to establish
with incomes below the poverty line and 79.1 percent of the
their own financing schemes for mitigation and adaptation
indigenous ones live in housing deficit (CONEVAL 2019).
actions, could help them mobilize public and private invest-
28 million people (22 percent of the population) still use
ment, and to define decarbonisation routes according to
firewood for cooking (INSP 2021), which implies a significant
local circumstances.
health risk especially for women and children who spend more
One of the steepest barriers to more substantive progress time indoors and imposes significant pressure on forests.
includes the subnational governments’ need to increase capaci-
Developing energy efficiency measures alone provide more
ties to integrate climate policies with efforts to improve air
than half the abatement potential in cities globally (CUT
quality, promote sustainable mobility, and provide better access
2019). In addition to being cost-effective, decarbonisation
to green and healthy urban and peri-urban environments.
scenarios assume that energy efficiency can help build-
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A socially inclusive economic transition for Mexico: Identifying the opportunities and benefits of enhanced climate action
ings approach net zero GHG emissions by mid-century a local responsibility, and municipal governments have a
(IPCC 2021). Improving residential lighting alone could constant turnover of officials and legal limitations to access
cut emissions by 1.8 MtCO2eq annually, and in the com- funding, as mentioned before.
mercial and service sectors it could add an additional 0.3
MtCO2eq (ICM 2022). Transport
At the city level, construction codes and standards are the The transport sector is the second largest source of GHG
most common tool for promoting energy efficiency, but other emissions in Mexico. It represents 18 percent of total emis-
complementary options include efficiency-improvement sions and consumes 46 percent of final energy. GHG
targets, investments in retrofitting public buildings, incentives emissions from transport have grown faster than in any other
and finance, and performance information and certifica- sector in absolute terms, climbing at an annual rate of 1.7
tion (Becqué et al. 2016). According to the IEA, the global percent per year from 1990 to 2019 (INECC 2021b). Under
implementation of energy efficiency measures in the construc- the BAU scenario, they are projected to double by 2050 (ICM
tion sector could represent almost 5.8 billion tons of emissions and CT 2019). Road vehicles are responsible for more than
savings by 2050, and a reduction of GHG emissions by 83 90 percent of the energy consumption of the transport sector
percent below the BAU scenario (WRI 2016). in Mexico (SEMARNAT-INECC 2018), with an increase
of nearly 3.4 times in the total vehicle fleet between 2000 and
Improving energy efficiency can also help reduce air and water 2021 (from 15.62 to 53.12 million) (INEGI 2023).
pollution, and improve public health. In cities, construction
retrofitting has a great job-creation potential, offering huge Emissions, pollution and traffic congestion are some of the
opportunities for the sector, which employs a large share of main effects of urban models oriented to private car owner-
low-skilled workers (CUT 2021). ship and bad quality public transport. As urban mobility is
essential for urban dynamics, transforming urban transport
Major obstacles to decarbonise construction include insuffi- has the potential to improve living conditions for all citizens
cient knowledge and awareness from subnational governments (see Figure 6).
on incentives and benefits to promote energy efficiency
measures, and a lack of institutional capacity to promote Sectoral modeling carried out by WRI Mexico, using the
governance structures with the private sector to scale these EPS tool, refers to a potential annual abatement potential of
measures, among others (IPCC 2021). Policies are usually 30 percent by 2030, and 86 percent to reach 44 MtCO2eq by
Source: WRI with data from INEGI, 2020 and IMCO, 2022.
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A socially inclusive economic transition for Mexico: Identifying the opportunities and benefits of enhanced climate action
3.3 Forests, agriculture, and land use financially supports 19 percent of households, and uses close
to 70 percent of the territory (CEDRRSA 2019). Despite its
Small producers, indigenous people, and rural communi- socioeconomic importance, there is a great gender inequal-
ties are the guardians of Mexico’s forests and its diverse ity in the population that works and depends on this sector
ecosystems, and their means of living as well as their social (see Figure 7).
and cultural systems depend on the products and ecosystem
services provided by rural territories, which makes restoring Labor informality of workers in agriculture reached an 84.1
and protecting Mexico’s forests and natural ecosystems not percent in 2023 compared to the 55 percent national rate, and
only a key element of the climate agenda but also the main only 11 percent of those formally employed are women (Sec-
mechanism to promote development and social equity. retaría de Economía 2023) as well as three out of ten people
with an ejido or communal land certificate (Inmujeres 2020).
Five of the Mexican states that are considered the most
biologically rich (Oaxaca, Chiapas, Michoacan, Veracruz, and Food production is especially vulnerable to effects from
Guerrero) are also those in which half of Mexico’s traditional, climate change. Almost 75 percent of the cultivated land in
communally owned “ejidos” and indigenous communities are Mexico consists of rainfed agriculture with high sensitivity
located (Toledo et al. 2001). In total, around 51 percent of the to shifts in rainfall patterns, and 60 percent of soils show
national territory (CESOP 2019) and 80 percent of the land some level of degradation (SEMARNAT 2022). The more
under forest use (CONAFOR 2019), are owned by ejidos and mechanised and water-intensive agriculture is located in the
communities, respectively. north, the region most susceptible to droughts and water
scarcity. It is estimated that the percentage of households
Mexico is the 11th largest country in agricultural production living in extreme poverty in rural Mexico would increase by
and the 7th largest global producer of livestock. However, 11 points because of climate change, and would lead to a rise
in spite of accounting for less than 4 percent of Mexico’s of more than 20 percent Gini index, the inequality coeffi-
GDP, agriculture employs 13 percent of the population, cient (CEPAL 2017).
Figure 7 | Ranking of agricultural production and employment by gender in the world
Note: Data from Gross Production Value of Agriculture per year in 1,000 USD. Employment percentages considered are based on the total country-level workforce. Data
disaggregated by gender considers only workforce in the agricultural sector. These percentages by gender do not add up to 100% because the World Bank statistics consider also
an entry for children who are part of the workforce.
Source: WRI with data from INEGI 2020, World Bank 2021 and IMCO 2022.
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A socially inclusive economic transition for Mexico: Identifying the opportunities and benefits of enhanced climate action
prime example is in the transport equipment industry, which of leadership. The next stages of our analysis will explore these
represents 3.5 percent of Mexico’s GDP, 25 percent of manu- obstacles further, looking concretely at the case of Mexico.
facturing jobs and 37 percent of exports. The industry will Clearly, more needs to be done to inform national and sub-
need to accelerate the adoption of more efficient, clean, and national authorities and decisionmakers across sectors, with a
climate resilient processes to widen its competitive advantages compelling narrative about the potential benefits and oppor-
in global and regional markets. It may do so in response to tunities for Mexico of investing in a low-carbon and resilient
market forces, but having the right policies in place would just transition, but also about the risks and disadvantages
make this transition much smoother. of not doing so.
Developing a decarbonisation pathway offers a platform This working paper contributes to this effort by reviewing
and opportunity to close social gaps and avoid replicating relevant evidence and identifying feasible and cost-effective
structural inequalities by reducing vulnerability to the effects interventions in terms of GHG emissions abatement and
of climate change of the most vulnerable groups. It can also the creation of jobs. It is a milestone towards a more com-
lead to the creation of jobs, including greater participation of prehensive analysis, building on the NCE approach, which
women, reducing energy poverty, improving levels of health will include original macroeconomic and sectoral modelling,
and wellbeing in cities, and lowering risks of rural commu- political economy and distributional impacts analyses, as well
nities to losses of agricultural and forestry income, among as a further assessment of enabling conditions and barriers to
other benefits. implementation. Our future research will include participatory
processes, with the collaboration of experts and relevant stake-
holders. It will provide new knowledge and evidence as well
5. CONCLUSIONS AND NEXT as a strategy to communicate information more effectively to
STEPS broader audiences, and to engage with policymakers.
Stronger climate action aligns with Mexico’s social aspira- Crucial decisions are coming. It is expected that enhanced
tions as well. Proving and demonstrating how this is possible climate action, decarbonisation and resilience will emerge
can help Mexico enact and implement policies needed to as key topics among presidential candidates and campaigns
reach its enhanced GHG mitigation targets and aim for even in the 2024 general election, and as an urgent matter for
higher goals. The government will need concrete evidence that many voters. This initiative will help inform the search for a
transitioning to a low carbon and climate-resilient economy path forward and will provide input for decision making at
can help achieve urgent priorities such as poverty alleviation, all government levels and across relevant sectors of society.
economic growth, social and gender equality, inclusion, and Furthermore, it can contribute to a new National Develop-
energy security. This is particularly necessary as Mexico copes ment Plan that prioritizes climate action to boost social and
with fiscal pressures, inequality and informality of employ- economic development.
ment, the provision of public services, climate vulnerability,
and economic difficulties.
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A socially inclusive economic transition for Mexico: Identifying the opportunities and benefits of enhanced climate action
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COUNT IT
Andrés Flores Montalvo is a climate change and energy expert
with more than 20 years of experience. He is the lead author of the We start with data. We conduct independent research and
publication and was in charge of the research design and framing draw on the latest technology to develop new insights and
of the key concepts of the document. recommendations. Our rigorous analysis identifies risks, unveils
Avelina Ruiz is Climate Change Manager at WRI Mexico. Her opportunities, and informs smart strategies. We focus our efforts
contribution to this working paper was to lead the literature review on influential and emerging economies where the future of
and the production process. Contact: [email protected] sustainability will be determined.
SCALE IT
Copyright 2023 World Resources Institute. This work is licensed under the Creative Commons Attribution 4.0 International License.
To view a copy of the license, visit http://creativecommons.org/licenses/by/4.0/
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