Responding to climate change: the costs & benefits

The cost of a cleaner, more efficient future

The International Energy Agency looked at the least expensive solutions for keeping average global temperature increases to no more than 2.4ºC by 2050.

Here are some of their recommendations:

Research, development and demonstration (RD&D): To create new energy technologies, the IEA recommends global spending of US$1.75 trillion through 2030, and another US$5 trillion between 2030 and 2050 on RD&D.
New energy infrastructure: The IEA recommends a global push to redevelop power generation for near zero emissions, including the construction of 55 fossil-fuelled power plants with carbon capture and storage, 32 nuclear plants, 17,500 large wind turbines, and 215 million square metres of solar panels.
Energy efficient buildings: The IEA recommends widespread adoption of near-zero emission building construction.
Alternative transport fuels: As the technology advances, the IEA recommends a global switch to low-emissions electric or hydrogen fuel cell vehicles.

The IEA’s executive director, Nobuo Tanaka recognised the very high cost of the path forward, but also pointed out its many benefits, including increased energy security:

There should be no doubt—meeting the target of a 50% cut in emissions represents a formidable challenge….It will essentially require a new global energy revolution which would completely transform the way we produce and use energy. The energy security benefits of such a development, however, would be tremendous. Oil demand by 2050 would be 27% below the level of 2005.” ¹