Assessment and Model of Green Jobs Potential in India

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August 2018
International Labour Organization (ILO)

Since 2009, India's Ministry of Labour and Employment has been leading a “Multi-stakeholder Taskforce on Climate Change and Green Jobs” that aims to manage the labour-market elements of the nation’s transition to a greener economy. This is a highly complex and equally important task. The International Labour Organiation's (ILOAssessment and Model of Green Jobs Potential in India aims to provide an understanding of the prevalence of green jobs in India and examines the employment generation potential of green and related sectors, as well as the structure of such employment, in terms of shares of both informal and formal employment and gender distribution.

In this context, the major purpose of the present study is to develop a “green” input-output (IO) table for India for the year 2009-10, then use this table to develop the green sector IO model or multipliers. The focus is on sectoral job creation, which is estimated through the multiplier analysis. Six sectors are analysed in this study: the four green sectors of forestry and logging, watershed development, wind energy and metro services, and wind turbine generator (WTG) manufacturing and rail transport services (other than metro). An IO table with the “new” green sectors is obtained through a hybrid method that uses various sources of data: primary-level data collected for the new green sectors, published and unpublished secondary data, and other information gathered from experts and specialists. This new IO table is used as the base table for developing a green sector-aware IO model. The output and employment multipliers of the relevant sectors are obtained using the input-output model constructed by introducing the “new” green sectors (disaggregated from existing relevant ‘mother’ sectors of the national IO table). The model so developed is used to explore the issue of investment in green sectors and the resulting employment and growth effects.