Global clean energy transition will be slow

Subject

Carbon reduction strategies.

Significance

The International Energy Agency (IEA) in March published its latest status report on trends in energy demand and greenhouse gas emissions. The report found that demand increased by 2.1% in 2017 (more than in previous years) and that most of that increase was met with fossil fuels. Global energy-related emissions grew 1.4%, reversing recent trends. These developments reinforce concerns that the transition towards a low- or zero-carbon economy is not progressing as quickly as it needs to if climate change is to be limited.

Impacts

• Renewed carbon capture momentum will require a significant increase in carbon prices to improve the viability of investments.
• Major electricity supply disruptions would help revive interest in nuclear power.
• The prospects for increased energy efficiency are largely dependent upon the future trajectory of energy prices.