The role of government is to create the regulatory environment that will allow private companies to lead the way and ensure that growth is not unnecessarily hindered by red tape, he argued.
“It goes with the grain of how modern economies work. Modern economies are marketing economies not command and control,” Sir Terry told The Daily Telegraph ahead of his appearance at Davos. “It needs to be as much about carrot as stick.”
For example green buildings should pay a lower level of business rates.
“I believe in the power of the market and in people’s creativity to tackle major challenges. Governments can help create the right framework, but they cannot match the energy and innovation of the market.”
Alongside the speech Tesco announced the opening of two zero-carbon stores in Thailand and the Czech Republic.
“As economies develop, we need to do our best to make their growth as green as possible. We opened the first zero-carbon store in the UK last year and we’re now applying the lessons we’ve learned across the world.
“The challenge is to tap into consumer power. Encourage consumers to go green, not just by saving energy but buying products with a low carbon footprint – if we can do that, then we will create a mass movement in green consumption.”
