QUESTION OF: Accelerating diversification strategy

SUBMITTED BY: Mozambique

CO-SUBMITTERS:Hungary, Kuwait, Luxembourg, Greenpeace, Haiti, Venezuela, Iran, Solomon Islands, Fiji, European Union.




Recognizing the growing demand for oil in less economically developed countries (50%) over the last decade


Further recognizing the short term economic benefits of oil as an energy source, particularly its high cost efficiency, abundance, and ease of transportation, 


Emphasizing the severe negative environmental impact the extraction, transportation, refinement and usage of oil has, 


Recognizing that fossil fuels must be eventually replaced by renewable energy sources due to their finite supply and detrimental impacts on the environment,


Fully aware that the transition to renewable energy sources in Less Economically Developed Countries (LEDCs) is of a much greater difficulty due to their lack of financial resources and their vulnerable populations,


Noting that several LEDCs already suffer from energy insecurity and that this situation has only been aggravated by the COVID-19 pandemic,


Having considered that air pollution is the current greatest threat to public health (World Economic Forum) and that one of the major sources for air pollution is fuel combustion from motor vehicles (World Health Organization),


Referring to Export Processing Zones as free economic zones with minimized regulation and maximized business incentives such as tax breaks, which offer foreign language services, labour flexibility, foreign education, and medical institutions, 


  1. Calls for the creation of an Economic Diversification Panel (EDP) within the United Nations Environment Programme (UNEP), which will help create individualized economic diversification strategies for each LEDC to aid in adopting of measures proposed throughout this resolution by:
    1. evaluating the economic, environmental, social, ideological and political factors in each country, in order to determine which diversification methods would be most effective for each nation,
    2. develop personalized parameters (e.g time frames) for specific countries to fulfill in order to transition away from oil-based revenue, specifically considering and mitigating any potential economic ramifications;
  2. Urges member states, and their local governments, to actively accelerate their diversification strategy by means such as but not limited to:
    1. affirming that the legislation and regulations encourage and allow an effective transition to other industries from oil by:
      1. implementing tax incentives for small businesses to enter markets and for large corporations to diversify out of the oil industry
      2. submitting proof of the implementation of the aforementioned principles to the UNDP for proportionate subsidization to the respective governments;
  3. Proposes a portion of the UN’s budget and resources devoted to initiating project action plans under the UNEP regarding educating individuals about the importance of transitioning to renewable energy sources and diversifying the economy by means such as but not limited to:
    1. direct marketing by means such as but not limited to:
      1. online adverts targeting individuals who have expressed interest in renewable energy sources to help further educate and cultivate interest, 
      2. television and radio announcements in areas most affected by the issue of undifferentiated economies
    2. public service announcements by means such as but not limited to:
      1. advertisements on undifferentiated marketing platforms such as television, magazines, newspapers, and public billboards,
      2. advertisements on differentiated marketing platforms such as emailing advertisements, online adverts, methods of guerrilla marketing, and sales promotions with consenting companies transitioning to renewable energy (authorized in accordance with the local federal organization dedicated to energy)
      3. education courses integrated into local education systems through the utilization of  monetary incentivization for individual or national education systems willing to host, incorporate and facilitate courses regarding the aforementioned topics;
  4. Requests monetary initiatives be implemented for the purpose of bolstering member states’ economies and funding proposed solutions by means such as but not limited to:
    1. providing an opportunity for governments to request additional monetary funds from organizations such as the World Bank and the International Monetary Fund to support subsidies and incentives focused on effectively implementing their individualized diversification strategy,
    2. requesting the designation of more Export Processing Zones (EPZs) and Free Trade Zones (FTZs) in port cities and border cities in LEDCs, to:
      1. encourage Foreign Direct Investment (FDI) and expand foreign exchange circulation,
      2. increase globalization of industries such as financing and technology,
      3. draw in a skilled workforce to aid the transitions to different industries,
      4. attract high-end industries and global services,
    3. supporting small companies and entrepreneurs, by means of:
      1. general micro-financing schemes organized by MEDCs,
      2. specific micro-financing schemes for businesses that promote and practice sustainability,
      3. establishing and reinforcing Investment Promotion Agencies (IPAs), for the purpose of encouraging FDI from Transnational Corporations (TNCs)
      4. encouraging TNCs to create programs that support small businesses in LEDCs.