Sensitivity of future regional and global energy markets and macroeconomic activity to a hypothetical global energy market disruption
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Engineering topics
Publications and source records attributed to Bertram, Christoph.
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Despite faster-than-expected progress in clean energy technology deployment, global annual CO 2 emissions have increased from 2020 to 2023. The feasibility of limiting warming to 1.5 °C is therefore questioned. Here we present a model intercomparison study that accounts for emissions trends until 2023 and compares cost-effective scenarios to alternative scenarios with institutional, geophysical and technological feasibility constraints and enablers informed by previous literature. Our results show that the most ambitious mitigation trajectories with updated climate information still manage to limit peak warming to below 1.6 °C (‘low overshoot’) with around 50% likelihood. However, feasibility constraints, especially in the institutional dimension, decrease this maximum likelihood considerably to 5–45%. Accelerated energy demand transformation can reduce costs for staying below 2 °C but have only a limited impact on further increasing the likelihood of limiting warming to 1.6 °C. Our study helps to establish a new benchmark of mitigation scenarios that goes beyond the dominant cost-effective scenario design.
Closing the emissions gap between Nationally Determined Contributions (NDCs) and the global emissions levels needed to achieve the Paris Agreement’s climate goals will require a comprehensive package of policy measures. National and sectoral policies can help fill the gap, but success stories in one country cannot be automatically replicated in other countries. They need to be adapted to the local context. Here, we develop a new Bridge scenario based on nationally relevant, short-term measures informed by interactions with country experts. These good practice policies are rolled out globally between now and 2030 and combined with carbon pricing thereafter. We implement this scenario with an ensemble of global integrated assessment models. We show that the Bridge scenario closes two-thirds of the emissions gap between NDC and 2°C scenarios by 2030 and enables a pathway in line with the 2 °C goal when combined with the necessary long-term changes, i.e. more comprehensive pricing measures after 2030. The Bridge scenario leads to a scale-up of renewable energy (reaching 52%-88% of global electricity supply by 2050), electrification of end-uses, efficiency improvements in energy demand sectors, and enhanced afforestation and reforestation. Our analysis suggests that early action via good-practice policies is less costly than a delay in global climate cooperation.
Given the increasing interest in keeping global warming below 1.5 ?, a key question is what this would mean for China’s emission pathway, energy restructuring and decarbonization. By conducting a multi-model study, we find that the 1.5 ?-consistent goal would require China to reduce its carbon emissions and energy consumption by over 90% and 39%, respectively, compared to the No Policy case. Negative emission technologies play an important role in achieving near-zero emissions, with captured carbon averagely accounting for 23% of the total reductions in 2050. Our multi-model comparisons reveal large differences in necessary emission reductions across sectors, while what’s consistent is that the power sector is required to achieve full decarbonization by 2050. The cross-model averages indicate that China’s accumulated policy costs may amount to 2.75-5.73% of its GDP by 2050, given the 1.5 ? warming limit.
This paper aims at providing an overview of the transformation pathways for the seven largest greenhouse-gas (GHG) emitting regions and countries in the world, in line with their contributions to limiting global average temperature increase to well below 2oC as compared to pre-industrial levels. We introduce the methodology for developing these pathways by initially discussing the iterative process by which global integrated assessment models (IAMs) initiated discussions by suggesting boundary conditions in the form of carbon budgets for different regions and countries. The carbon budgets subsequently agreed upon were then used in eleven different regional and national energy-economy models and IAMs for deriving low-carbon pathways in line with a well-below-2oC world. We present a comparative assessment of the resulting regional and national pathways, and of the challenges and opportunities associated with them.
Many countries have implemented national climate policies to accomplish pledged Nationally Determined Contributions and to contribute to the temperature objectives of the Paris Agreement on climate change. In 2023, the global stocktake will assess the combined effort of countries. Here, based on a public policy database and a multi-model scenario analysis, we show that implementation of current policies leaves a median emission gap of 22.4 to 28.2 GtCO 2 eq by 2030 with the optimal pathways to implement the well below 2 °C and 1.5 °C Paris goals. If Nationally Determined Contributions would be fully implemented, this gap would be reduced by a third. Interestingly, the countries evaluated were found to not achieve their pledged contributions with implemented policies (implementation gap), or to have an ambition gap with optimal pathways towards well below 2 °C. This shows that all countries would need to accelerate the implementation of policies for renewable technologies, while efficiency improvements are especially important in emerging countries and fossilfuel- dependent countries.