Limiting warming to well below 2°C requires rapid and complete decarbonisation of energy systems. We compare economy-wide modelling of 1.5°C and 2°C scenarios with sector-focused analyses of four critical sectors that are difficult to decarbonise: aviation, shipping, road freight transport, and industry. We develop and apply a novel framework to analyse and track mitigation progress in these sectors. We find that emission reductions in the 1.5°C and 2°C scenarios of the IMAGE model come from deep cuts in CO 2 intensities and lower energy intensities, with minimal demand reductions in these sectors' activity. We identify a range of additional measures and policy levers that are not explicitly captured in modelled scenarios but could contribute significant emission reductions. These are demand reduction options, and include less air travel (aviation), reduced transportation of fossil fuels (shipping), more locally produced goods combined with high load factors (road freight), and a shift to a circular economy (industry). We discuss the challenges of reducing demand both for economy-wide modelling and for policy. Based on our sectoral analysis framework, we suggest modelling improvements and policy recommendations, calling on the relevant UN agencies to start tracking mitigation progress through monitoring key elements of the framework (CO 2 intensity, energy efficiency, and demand for sectoral activity, as well as the underlying drivers), as a matter of urgency. Key policy insights:. Four critical sectors (aviation, shipping, road freight, and industry) cannot cut their CO 2 emissions to zero rapidly with technological supply-side options alone. Without large-scale negative emissions, significant demand reductions for those sectors' activities are needed to meet the 1.5-2°C goal.. Policy priorities include affordable alternatives to frequent air travel; smooth connectivity between low-carbon travel modes; speed reductions in shipping and reduced demand for transporting fossil fuels; distributed manufacturing and local storage; and tightening standards for material use and product longevity.. The COVID-19 crisis presents a unique opportunity to enact lasting CO 2 emissions reductions, through switching from frequent air travel to other transport modes and online interactions.. Policies driving significant demand reductions for the critical sectors' activities would reduce reliance on carbon removal technologies that are unavailable at scale.
Energy modelling can assist national decision makers in determining strategies that achieve net-zero greenhouse gas (GHG) emissions. However, three key challenges for the modelling community are emerging under this radical climate target that needs to be recognized and addressed. A first challenge is the need to represent new mitigation options not currently represented in many energy models. We emphasize here the under representation of end-use sector demand-side options due to the traditional supply side focus of many energy models, along with issues surrounding robustness in deploying carbon dioxide removal (CDR) options. A second challenge concerns the types of models used. We highlight doubts about whether current models provide sufficient relevant insights on system feasibility, actor behaviour, and policy effectiveness. A third challenge concerns how models are applied for policy analyses. Priorities include the need for expanding scenario thinking to incorporate a wider range of uncertainty factors, providing insights on target setting, alignment with broader policy objectives, and improving engagement and transparency of approaches. There is a significant risk that without reconsidering energy modelling approaches, the role that the modelling community can play in providing effective decision support may be reduced. Such support is critical, as countries seek to develop new Nationally Determined Contributions and longer-term strategies over the next few years. Key policy insights. Energy systems that reach net-zero greenhouse gas emissions will be radically different to those of today, necessitating a modelling analysis rethink. . On modelled options for mitigation, a range of demand-side measures are often absent resulting in a risk of over-reliance on carbon dioxide removal (CDR) and leading to concerns over robustness of corresponding pathways.. Regarding models for policy, there is significant scope for improvements, including the use of scenarios that help imagine the radical change that will be required, techniques for improving the robustness of emerging strategies, and better alignment with broader policy goals.
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