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KAL’s cartoon of the week. ETHICS. VISION. Environmental Stewardship CLIMATE RISK. TRUST. At the same time: business leadership required. Early, bold and comprehensive action to climate change is absolutely necessary.
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KAL’s cartoon of the week ETHICS VISION Environmental Stewardship CLIMATE RISK TRUST
At the same time: business leadership required Early, bold and comprehensive action to climate change is absolutely necessary. Businesses must take actionto reduce their carbon footprint and to develop innovative solutions. I particularly encourage business involvementin leadership initiatives, such as UN Secretary General Ban Ki-moonJuly 2007 Caring for Climate
Caring for Climate the business leadership platform on climate change 353 signatories Number of signatories by sectors 237 large companies 116 SMEs
Caring for Climate the business leadership platform on climate change A voluntary commitment for performance • Measure CO2 and GHGs emissions • Develop a coherent climate and energy strategy • Increase energy efficiency and reduce the carbon burden • Set voluntary improvement targets • Empower employees throughout the organisation • Communicate annually and publically on progress
Caring for Climate the business leadership platform on climate change A voluntary commitment for outreach • Be a champion for rapid, extensive action on climate risks • Cooperate with others in the sector and value chain • Help shaping public attitudes for energy conservation • Inspire policies that disseminate and amplify innovations • Support policy makers for a good outcome of climate negotiations
The innovation wedge Decoupling economic growth from carbon combustion needs massive, multiple innovations 450 Energy efficiency 350 now Zero carbon energy 2050 Carbon capture Cooperation and burden sharing
Blue IEA scenarios tohalve CO2from energy Business As Usual 62 Gt Blue target 28/2 = 14 Gt
Low hanging fruits & demanding technologies Technologyoptimism The first 15 Gt CO2 have a positive return The last 15 Gt CO2 cost 50 to 800 $/tonne
45 trillion $ for 40 years of energy innovation Supply side Carbon capture & storage power plants Coal gasification and ultra-supercritical Nuclear renaissance On- & Offshore wind power Biomass gasification and cogeneration Non-food bio fuels High efficiency photovoltaic systems Solar power concentration Demand side Energy efficiency in buildings, appliances, mobility systems and industrial motors Heat pumps Solar space and water heating Carbon capture in industry Expand low-carbon mobility systems Battery powered plug-in vehicles, Smart grids and meters
Cost of carbon emissions – direct / indirect Marginal cost CO2 € / ton … … A function of the severity of the CO2 cap and technological options 240 160 €O2 80 Directemissions Purchased electricity and fuels Scope 3emissions Logistics, employees, product use, etc.
Towards 2050 20% 20% 80%
Safe levels and risky levels… too soon! CO2 Current rate of CO2 emissions guarantee the overshoot of safe limits ppm At 450 ppm CO2there is a 50% risk to exceed 2°C above pre-industrial levels. This is a threshold to dangerous climate change. 2050 560 450 2005 380 350 1850 280 In 2005 the temperature increase over pre-industrial levels was 0.57 to 0.95 °C. The climate is already changing. Leading climate scientists demand a drastic cut of emissions to return to the safety zone below 350 ppm CO2
3 very large + 12 large emitters for 75% of CO2 Iran 70 Australia 20 South Africa 47 CO2 South Korea 128 Mexico 107 Malaysia 25 Canada 32 India 1 104 Japan 128 Brazil 184 Russia 143 Indonesia 222 Europe 27 472 China 1 315 million USA 298 Rest of the World 2 170 36 800 000 000 tonnes CO2/year Estimate 2005, UC Berkeley/CITRIS 50% World’s CO2
A shared but debated responsibility … CO2 36 800 000 000 tonnes CO2/year Estimate 2005, UC Berkeley/CITRIS But responsibilities and capabilities are key political issues that complicate an intergovernmental agreement on preventing climate risks. It does not matter to our ecosystems whose CO2 is harming them. Collectively we drive climate change by adding 2 ppm of CO2 each year and accelerating!
From excess to balance CO2 + + - + + + - + - - 36 800 000 000 tonnes CO2/year Reduce to 50%of current emissions Estimate 2005, UC Berkeley/CITRIS All other energy needs must be supplied by renewable or zero-carbon technologies We must turn forests into positive carbon sinks Each nation needs to ensure its socio-economic development goals We cannot draw more fossil carbon than the soil and ocean can reabsorb (naturally and forced by technology)
Dec 7 – 19, 2009 2050 Targets and interim milestones €O2 Inclusive engagement Significant funding for emerging economies Credible multilateral governance structure
Negotiate a combination of complex agreements CO2 Agree an infringement cost that stimulates compliance • Enable markets to operate for lowest cost mitigation in • joint implementation, • cooperation in technology and clean development, • sectoral initiatives, • etc. EnsureappropriateMeasuringReportingVerification ??? ppm + - Agree to a global stabilisation level of CO2/GHGs and a time frame (IPCC recommendations) Agree to differentiated (+/-) national targets in line with capabilities and development needs Share adequately adaptation finance Finance and foster technology innovation