A 70% reduction in global energy-related CO2 emissions by 2050 may be achieved by increasing the use of renewable energy sources and energy efficiency.
According to the International Renewable Energy Agency (IRENA) and the International Energy Agency (IEA) this reduction, and a complete phase-out by 2060 will be a result of decarbonisation of the global energy system. This currently accounts for almost two-thirds of greenhouse gas emissions, says IRENA.
In order to achieve decarbonisation at a rate that will keep global temperature rise to no more than two-degrees Celsius, IRENA states that renewables should be 80% of power generation and 65% of total primary energy supply.
This information, which has been presented in a report, Perspectives for the Energy Transition: Investment Needs for a Low-Carbon Energy Transition, indicates a push by G20 for all sectors, including shipping, to look at ways of utilising renewable energy sources. For shipping this in an indication that biofuels, hydropower and wind power need to be explored further, particularly if by 2050 IRENA and IEA expect 60% (compared with 3% today) of all fuels in the transport sector to be low carbon.
Economic growth is expected to be fuelled with decarbonisation, creating new jobs in renewables according to the report. IRENA’s macroeconomic analysis suggests that investment of USD 29 trillion until 2050 (0.4% share of global GDP) will boost global GDP by 0.8%, create jobs and improve human welfare due to less air pollution and fewer air quality related health issues.
Policies to redesign energy markets to make this kind of transition will also be necessary. There is some risk that investment may not be recovered say IRENA and IEA, therefore consistent policy action needs to be facilitated to minimise stranded assets in a low carbon transition.
Fathom-News
editor@fathom-mi.com
