Mike Woodin and Caroline Lucas MEP
All parties and commentators are expressing
concern about the expected low turnout at the forthcoming
election. Often a reason given is that people don't have
confidence that politicians are capable of significantly
improving the conditions in which people live in terms
of health, education, transport, crime, pensions and so
on.
This instinct is absolutely correct. All
the Westminster parties have given up more and more control
of the economy to the main beneficiaries of globalisation
- big business. Thus when Motorola is in the process of
pulling out of Britain it can contemptuously dismiss a
pleading phone call from Tony Blair. Were William Hague
or even more incredibly Charles Kennedy to become Prime
Minister they would be able to do no better. All three
main Westminster Parties and their leaders believe that
globalisation is inevitable, is good and cannot be reversed.
They are today's appeasers. Their capitulation to the
big businesses agenda of lower trade barriers, lower taxes,
and curbing environmental and labour standards will decrease
their chance of ever providing what the British people
want.
There is an alternative for such sceptical
voters - and that is to vote Green. The rest of this article
outlines the Green's alternative to globalisation, ie
localisation, which prioritises the protection and rebuilding
of local economies in the UK and globally. In the process
big business and roving capital can be brought to heel
by democratically elected politicians. The localisation
programme also means that adequate taxes and social and
environmental regulations can be introduced. This will
ensure that there are enough resources and political power
to provide the social services people crave for, whilst
fully protecting the environment.
So whether you are a disgruntled pensioner,
or fed up with substandard health and education, or are
sympathetic to the aims of most anti globalisation protesters,
or all of these, there is an alternative - VOTE GREEN.
Leading by Example
In 1989, the Greens sent shock waves through
the other parliamentary parties when they gained 15% of
the votes in the European elections. This result, reflecting
as it did growing concerns about the state of the planet,
galvanised all the other parties into adopting their own
environmental policies - inadequate as they were and still
are. Thus the Greens acted as a lightning rod for a public
concern that the other parties were largely ignoring.
Now there is growing unease and opposition
to the adverse effects of globalisation, particularly
as it reduces job security and increases inequality both
within and between nations. The recent slap down of Tony
Blair as he pleaded with one of our supposed high tech
saviours, Motorola, not to shut their British factory
in the face of the world-wide economic downturn, is just
the latest instance of how embracing globalisation leads
to increased political impotence.
The Green Party on the other hand is making
an alternative - "localisation", a key plank
of its election campaign. It is the first political party
to challenge the existing political and economic theology
of globalisation and instead call for its replacement
with an emphasis on local production and the rebuilding
of local economies.
Building self-reliance
Import and export controls should be negotiated
to reduce international trade to a fairly traded exchange
of goods that cannot be produced locally. Developing nations
should meet local needs by setting up import substitution
schemes, with OECD assistance, based on appropriate technology
and sustainable agriculture.
"Reach for the Future" Green Party
Manifesto Globalisation is "irreversible and irresistible"
says Tony Blair
The Prime Minister's view typifies the attitude
of all UK political parties except the Greens. The others
have swallowed Mrs Thatcher's most corrosive, four letter
legacy-TINA (there is no alternative). In doing so they
slavishly adhere to the view that globalisation is inevitable
and the best they can offer their voters is the hope that
it might be tinkered with to make it a little bit kinder
and gentler to both people and the planet.
The Green Party's goal by contrast is to
ensure that everything that could reasonably be produced
within a nation or region should be.
Long-distance trade is then reduced to supplying
what could not come from within one country or geographical
grouping of countries. This has the environmental advantage
of no longer transporting so many goods over unnecessary
distances. It would allow an increase in local control
of the economy and the potential for its benefits being
shared out more fairly, locally. Technology and information
would be encouraged to flow, when and where it can to
strengthen local economies. Under these circumstances,
beggar-your-neighbour globalisation gives way to the potentially
more cooperative better-your-neighbour localisation.
The Party's localisation approach is not
against rules for trade - but we want them to have the
different end goal of protecting and rediversifying local
economies. The rules of globalisation, by contrast, force
all nations to bow the knee to the false god of international
competitiveness. Under our approach, the rules for the
diminished international trading sector then become those
of the "fair trade" movement, where preference
is given to goods supplied in a way that benefits workers,
the local community and the environment.
The Party's Election Manifesto has a programme
of a mutually consistent and self-reinforcing set of measures
to achieve localisation. These include:
a) the reintroduction of protective safeguards
for domestic economies (tariffs quotas etc);
b) a "site here to sell here"
rule for manufacturers and services;
c) keeping money local via policies ranging
from exchange controls through to a "Tobin Tax"
on currency speculation;
d) resource and progressive taxes to fund
the transition, whilst protecting the environment;
e) the reorientation of the goals of aid
and trade rules so that they contribute to the international
rebuilding of local economies and local control world-wide.
Poor countries could then concentrate on meeting basic
needs, not out-competing their already impoverished neighbours
for exports to the North.
Cooperation Against Globalisation
Such a dramatic, radical change will of
course need to overcome fierce opposition from the major
beneficiaries from globalisation - transnational companies
(TNCs) and international capital.
It will be difficult for one country to
shoulder this burden alone. Individual countries will
need to co-operate against globalisation, on a regional
basis, but without falling into the trap of "globalisation"on
a smaller scale in "free trade"blocs. Regional
blocs, such as Europe and America can have a key role
to play. They could face down corporations and capital
and introduce adequate controls on them. Unfortunately
four years of Bush's programme of deliberately rolling
back key social and environmental protection means that
very little can be expected from the US, and so Britain
should urge Europe to take on the mantle as a major engine
for change.
The Green Party appreciates the need to
seek allies in Europe against globalisation. Co-author
Caroline Lucas, elected to the EU parliament in 1999,
is already working with the European Greens to make localisation
more central to such policies. When the Nice Summit was
discussing expanding the European Union eastwards, she
kicked off such a debate by publishing "From Seattle
to Nice: Challenging the Free Trade Agenda at the Heart
of Enlargement." In this she called for a bolder,
more ambitious vision of a Europe of genuine stability
and co-operation, based on the rebuilding of sustainable
local economies both East and West, and throughout the
world.
The Green Party's General Election Manifesto
makes clear that the Green Party are in favour of a very
different Europe from what is on offer at present. The
manifesto rejects the superstate model of the European
Union, "dominated by vested economic interests"
with "remote and unaccountable institutions."
The Party is working for a multi-track Europe that co-operates
on matters of shared concern.
Localisation - Central
to Solving Social and Environmental Problems
Of course in the Green Party's Election
Manifesto there is inadequate space to spell out the far
reaching improvements possible under the localisation
programme. However the main strength of this approach
lies in its potential to provide an overarching political
framework that will enable citizen's campaigns across
a whole variety of issues to become more achievable. This
holds true for matters as disparate as tackling climate
change through to global poverty, from inadequate pensions
through to crumbling public services.
Many people when they think of the Green
Party think purely of environmental concerns. However
the policies of localisation will not only enable the
achievement of the level of environmental protection needed
in the UK and world-wide, but will also allow the funds
to be raised for social necessities such as the substantial
improvement of health, education, transport and community
renewal.
Globalisation- the Roadblock
to Domestic Improvements
Many activists campaigning for such domestic
improvements still look to more government expenditure
as the solution. Yet because of their history of seeing
such improvements through a domestic lens, they often
fail to take into account that globalisation puts the
governments under huge ideological and business pressure
to curb public expenditure. Hence the chances of obtaining
the levels of resources for public services they require
are virtually zero.
A major roadblock to adequate levels of
taxation for the provision of such services is the threat
by big business to relocate should taxes rise. This is
frequently justified in order to overcome the competitive
pressures generated by globalisation. The presumed need
to lure in foreign investment is cited as another reason
to curb taxes. To provide adequate levels of social funding
will need globalisation to be replaced by economic policies
that enable elected governments to take back control of
their economy. These include:
A Site-Here-to-Sell-Here
Policy
In conjunction with the phased introduction
of tariffs, quotas and subsidies to ensure the maximum
protection and diversity of the local economy, the Green
Party's site-here-to-sell-here legislation would, over
time, considerably reduce levels of imports by localising
industry and services.
Threats by big business to relocate thus
become less plausible, as the cost of doing so is to lose
market share to local competitors. Once large companies
are thus grounded, then their domestic activities and
the levels of taxation they pay could be brought back
more under the control of citizens and their governments.
Campaigners' demands for social, labour
and environmental standards also become feasible. Since
under localisation, these TNCs would no longer be able
to play the trump card of international competitiveness
as an excuse not to be bound by better working, environmental
or tax regimes. Furthermore adequate company taxation
can help compensate poorer households for any increases
in prices.
Market access for foreign companies would
be dependent on the exporter being able to supply goods
and services not available in the importing country. Preference
would also be given to such imports provided by countries
as close as possible, thus limiting long distance trade.
Reasonable levels of company taxation would
become feasible, since the excuse of unfair competition
from low tax/ low wage foreign competitors would no longer
be valid. The levels of other taxation could then be raised
to pay for social provision, since under localisation
countries would no longer have to curb taxes in order
to lure in foreign investment. The same would be true
of resource taxes such as those on energy which at present
are easily constrained by business arguing that they would
render domestic producers uncompetitive.
The Greens' Localisation
Programme Could Help NGO's Campaigns
Under localisation the constraints on the
ability of business to threaten relocation makes them
far more susceptible to domestic calls for change. Compare
this with present efforts to curb the power of big business,
which all assume ever more open borders will be the norm.
This leads to a set of usually rather cautious approaches
ranging from calls to monitor TNC activity through to
various, usually voluntary, codes of conduct and standards.
However, under globalisation, any really radical improvement
in corporate social or environmental practise soon flounders.
Adequate compliance is usually deemed impossible since
changes would make the company uncompetitive, hence it
might shut down or relocate. The most widespread example
of this has been resistance to energy price increases
to combat climate change.
In terms of the developing world, anti-TNC
campaigns by citizen's movements both North and South
tends to focus upon four areas: the product the company
is producing (eg the anti-Nestles baby milk campaign);
the workers' age or their conditions (eg the Asian football,
carpets or toy campaigns); the involvement of businesses
in supporting regimes deemed unacceptable (eg South Africa
under apartheid or Burma today); and the adverse effects
of the production process or environmental threats (such
as clear-cut logging and deforestation by Mitsubishi and
MacMillan Bloedel).
The activists research, lobby, hold demonstrations,
call for boycotts, demand the introduction of codes of
conduct and insist on adherence to international standards.
While these approaches have had some success in changing
the behaviour of the specific TNC targeted, there has
been very little significant change in the overall activities
of TNCs. Indeed the pattern of the companies' responses
has tended to be denial, followed by a degree of admission
of a problem, followed by lengthy discussions of the details
of voluntary codes of conduct, then further arguments
of the scope of the code along the supply chain, and finally
discussions of the details of independent verification
and monitoring. The end result is often far short of the
original goal.
Tax and SPEND on Society
and the Environment: At Last Feasible Under Localisation
Ecological taxes on energy, other resource
use and pollution would help pay for the radical economic
transition towards localisation. They would be environmentally
advantageous and should replace VAT. Indeed a central
plank of any government policy to tackle the environmental
problems will be adequate taxes on energy and other resources.
These, along with the necessary legislation, grants and
loans can provide the revenue to rebuild public transport,
turn organic farming from niche to normality, phase out
polluting chemicals and reduce carbon emissions by the
60% required to tackle climate change.
What is stopping this green transition is
the fact that, under globalisation, as soon as even mild
taxation is muted, big business from the pro fossil fuel
Climate Coalition to the CBI clamours that international
competitiveness is threatened. This, allied with judicious
threats of closure and relocation, ensures that any plans
for adequate green taxes are dropped. This happened in
the early days of Al Gore's vice presidency, when he was
still trying to be a practising environmentalist. Efforts
by the European Union to try and introduce an anodyne
carbon energy tax to begin to address climate change met
with the same fate.
Yet how else is the world to get a 60-80%
reduction in carbon emissions in the next 40 years? This
will require a massive increase in energy taxes in order
to change behaviour adequately, along with supportive
legislation and incentives. Significant amounts of money
will also be needed to meet the initial costs of shifting
energy supplies away from mobile sources like oil, gas
and coal, to more localised sources like wind, wave and
solar. Up front spending will also be necessary for the
massive improvement in energy conservation levels of the
entire building stock; adequate provision of public transportation;
and shifting agriculture from intensive to organic methods.
Some money could be diverted from subsidies to fossil
fuels, but the likely costs could run into of billions
of dollars to adequately alter the existing infrastructure.
So Vote Green
The growing number of anti-globalisation
demonstrations across the world are coming under increasing
fire from their critics for failing to offer an alternative.
Yet the UK Green Party have done just this and so deserve
all your support at the upcoming election. We are standing
in around 140 constituencies and if we gain significant
support, it will send a much needed wake up call to the
New Labour, Conservative and Liberal Democrat appeasers
of globalisation. More importantly it could kick off the
debate about alternatives to globalisation that could
help encourage the growing international protest movement
to shift from opposition to much needed proposition.
Mike Woodin and Caroline Lucas MEP
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The authors would like to thank Colin Hines
(author of "Localization- A Global Manifesto"
[Earthscan]) for his input on the policies proposed in
this article.
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Green Party of England & Wales
1a Waterlow Road, London N19 5NJ
020 7561 0282
mailto:[email protected]
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