About a year ago, the International Energy Agency announced some important news. Although the global GDP grew by 3.4% in 2014, greenhouse gas emissions due to energy use did not increase! We spewed 32.3 gigtonnes of carbon dioxide into the atmosphere by burning stuff to produce energy—just as we had in 2013.
Of course, leveling off is not good enough. Since carbon dioxide stays in the atmosphere essentially ‘forever’, we need to essentially quit burning stuff. You can’t stop a clogged sink from overflowing by levelling off the rate at which you pour in water. You have to turn off the faucet!
But still, it’s a promising start.
And now the IEA is saying the same thing about 2015. While the global GDP grew 3.1% in 2015, we spewed just 32.1 billion gigatonnes of CO2 into the air by burning stuff to make energy. So these carbon emissions are flat or even slightly down from 2014!
The IEA put out a press release about this:
• International Energy Agency, Decoupling of global emissions and economic growth confirmed, 16 March 2016.
and here is some of what it says:
“The new figures confirm last year’s surprising but welcome news: we now have seen two straight years of greenhouse gas emissions decoupling from economic growth,” said IEA Executive Director Fatih Birol. “Coming just a few months after the landmark COP21 agreement in Paris, this is yet another boost to the global fight against climate change.”
Global emissions of carbon dioxide stood at 32.1 billion tonnes in 2015, having remained essentially flat since 2013. The IEA preliminary data suggest that electricity generated by renewables played a critical role, having accounted for around 90% of new electricity generation in 2015; wind alone produced more than half of new electricity generation. In parallel, the global economy continued to grow by more than 3%, offering further evidence that the link between economic growth and emissions growth is weakening.
In the more than 40 years in which the IEA has been providing information on CO2 emissions, there have been only four periods in which emissions stood still or fell compared to the previous year. Three of those—the early 1980s, 1992 and 2009—were associated with global economic weakness. But the recent stall in emissions comes amid economic expansion: according to the International Monetary Fund, global GDP grew by 3.4% in 2014 and 3.1% in 2015.
The two largest emitters, China and the United States, both registered a decline in energy-related CO2 in 2015. In China, emissions declined by 1.5%, as coal use dropped for the second year in a row. The economic restructuring towards less energy-intensive industries and the government’s efforts to decarbonise electricity generation pushed coal use down. In 2015, coal generated less than 70% of Chinese electricity, ten percentage points less than four years ago (in 2011). Over the same period low-carbon sources jumped from 19% to 28%, with hydro and wind accounting for most of the increase. In the United States, emissions declined by 2%, as a large switch from coal to natural gas use in electricity generation took place.
The decline observed in the two major emitters was offset by increasing emissions in most other Asian developing economies and the Middle East, and also a moderate increase in Europe.
More details on the data and analysis will be included in a World Energy Outlook special report on energy and air quality that will be released at the end of June. The report will go beyond CO2 emissions and will provide a first in-depth analysis of the role the energy sector plays in air pollution, a crucial policy issue that today results in 7 million premature deaths a year. The report will provide the outlook for emissions and their impact on health, and provide policy makers with strategies to mitigate energy-related air pollution in the short and long term.
To download annual energy-related CO2 emissions data, click here.
To read last year’s announcement about CO2 emissions, click here.
Decarbonization since the Paris Agreement
Here’s an optimistic assessment of what’s been going since the Paris Agreement was sealed on 12 December 2015:
• Paris Agreement 100 days on: The dawn of a new era?, BusinessGreen, 21 March 2016.
It’s mainly interesting to me because it has a passage with lots of links. I’ll quote that part:
Just days after the agreement, the Obama administration pulled off another coup extending renewable energy tax credits and effectively engineering an acceleration of the country’s renewable energy boom. China followed a few months later with a Five Year Plan that majored on environmental progress and further fuelled speculation the superpower’s coal use has already peaked. Canada continued its rehabilitation from climate villain to climate champion, inking a comprehensive bilateral agreement with the US to crackdown on methane emissions and put another stake through the heart of Arctic drilling plans. Sweden edged forward with plans for a carbon neutral economy, as Japan revealed plans to accelerate its emission reductions through to 2030. And the UK government, sadly still a byword for climate policy contrariness, revealed it would take the over-arching goal of the Paris Agreement and enshrine it in national law through a new target to build a net zero emission economy.
This global policy push, coupled with inexorable technological progress (witness the latest record-breaking solar cells and the blistering pace of improvements in energy storage technology), is working. Just weeks after the Paris Agreement the clean energy investment and greenhouse gas emission data for 2015 started to come in, and the stats were better than anyone could have expected. Clean energy investment reached a record $329bn, as it became increasingly clear renewables are now the generation option of choice in multiple markets around the world. In industrialised countries such as the UK emissions kept falling fast, while the IEA suggested emissions globally are remaining flat, despite increasing wealth.
These mega trends are inevitably being felt at the coal face, so to speak, of modern business. Since Paris, US coal giant Arch Coal filed for bankruptcy and Peabody Energy warned it may have to do the same. In the UK, mainstream energy trade body Energy UK delivered its own Road to Damascus moment, announcing its members were primed and ready to deliver a low carbon transition. Iberdrola, one of the few European utilities closely associated with a full bore commitment to decarbonisation, became one of the few European utilities to report decent financial results. The march of the divestment movement continued, as savvy investors all over the world have internalised the logic of the Paris Agreement’s goals and recognised that carbon intensive business models’ days are numbered. The flight from high risk coal assets gathered pace, just as the development of high risk oil assets slowed.