Sustainability Language

Strategy, Targets & Performance Management

Decoupling

Breaking the link between economic growth and environmental pressure — relative when impacts grow more slowly than GDP, absolute when impacts fall while GDP rises.

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Definition

Decoupling refers to breaking the historical link between economic growth and environmental degradation. In relative decoupling, environmental pressure grows more slowly than GDP; in absolute decoupling, GDP grows while environmental pressure stays flat or falls. The OECD's decoupling index measures the change in environmental-pressure intensity per unit of GDP. Only absolute, sustained, global and sufficiently rapid decoupling is considered consistent with climate goals.

References

Carbone 4

relative/absolute definitions and criteria

IIASA

indicator methodology

Overview

What it means

The central empirical question of green growth: can economies keep growing while resource use and emissions actually decline?

How it is used

Analysts use decoupling indicators to assess national performance; critics note that observed decoupling is usually relative, local or consumption-shifted rather than absolute and global.

Why it matters

The credibility of green-growth strategies — and the case for degrowth alternatives — turns on whether absolute decoupling at the required speed is achievable.

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