Mayor: Green economy will create 15,000 jobs for London

The study, commissioned by the Mayor's London Development Agency, found that Boris Johnson's plans to cut energy use and tackle climate change could contribute £600 million each year to the capital's economy by 2025.

It includes proposals to produce electric cars, fit insulation to buildings to make them more energy-efficient and build waste and recycling plants. But it warns that London will have to act fast to avoid being beaten by other countries already developing similar strategies aiming to capture the low-carbon market. The report, Prospectus for London, the Low-Carbon Capital, outlines the economic boost and job opportunities for London and the rest of the country if they can capitalise on a low-carbon economy. London already has 80 university departments focused on climate-change research and development.

Mr Johnson has previously indicated he would like to see the unemployed train in these departments to take up jobs to make the city greener.

Other projects that could help bring in jobs and money include the introduction of a hybrid London bus fleet by 2025 and a large-scale tree-planting scheme.

Mr Johnson said: "I see the green economy as an unprecedented opportunity not only to improve our planet and our quality of life, but to develop new industries and create new jobs in an economic climate that is otherwise extremely difficult.

"There are clear opportunities for London to create jobs and wealth by pursuing programmes to save energy and cut carbon.

"I am determined that London emerges in the best possible position from the downturn and I'm taking every step required to do so.

"We are already making our own buildings more energy efficient, saving £1 million per year.

"These kinds of things will not only stimulate our economy but also help to contribute to global efforts to make the changes needed to become a less carbon-belching society.'

Countries including the United States, China and Germany, have already announced financial packages that include a low-carbon focus.

Peter Bishop, London Development Agency director for design, development and environment, said: "By responding to climate change, we can attract major long-term investment, create new jobs and address the needs of some of the most vulnerable Londoners through our new energy efficiency programmes."