Publication: Supporting Serbia’s Transition to Greener and More Resilient Growth: Policy and Institutional Reforms
Date
2022-09-30
ISSN
Published
2022-09-30
Author(s)
World Bank
Abstract
Serbia needs to transition to a
greener growth model for internal and external reasons.
Internally, Serbia’s economy is still characterized by low
energy and resource productivity, with significant impacts
on health and the environment. As a candidate country for EU
membership, Serbia also needs to react to external
influences by aligning domestic policies with the EU’s
energy, environment, and climate legislation, while avoiding
negative impacts of the EU’s planned Carbon Border
Adjustment Mechanism (CBAM). This report draws from a rich
analysis to provide recommendations on how the transition to
greener and more resilient growth in Serbia can begin.
First, environmental fiscal reforms are needed to
incentivize the adoption of more environmentally friendly
technologies. The implementation of carbon pricing will also
enable Serbia to proactively prepare for the upcoming EU
CBAM. The proceeds of carbon pricing should be reinvested in
innovation and education to further accelerate the green
transition. Second, institutional frameworks need to be
strengthened to support the government in delivering on
reforms. Third, sector-specific reforms will need to address
important challenges like energy efficiency, air pollution,
waste management, water, and wastewater. Importantly, the
transition needs to be based on a coherent and adaptive
roadmap, which mitigates the risks of 'brown'
growth, protects those adversely impacted, and ensures an
equitable distribution of the benefits of increased growth.
Citation
“World Bank. 2022. Supporting Serbia’s Transition to Greener and More Resilient Growth : Policy and Institutional Reforms. © Washington, DC: World Bank. http://openknowledge.worldbank.org/handle/10986/38271 License: CC BY 3.0 IGO.”