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Climate Change Mitigation Strategies— Potentials and Problems Edward S. Rubin Department of Engineering and Public Policy Department of Mechanical Engineering Carnegie Mellon University Pittsburgh, Pennsylvania Presentation to the Workshop on Climate Change, Engineered Systems and Society The National Academies Irvine, California June 7, 2011 The Recent National Academies Study: America’s Climate Choices In this talk I will: • Focus mainly on the U.S. situation • Draw heavily on results of the 2010 ACC panel report on, Limiting the Magnitude of Future Climate Change, supplemented by other materials E.S. Rubin, Carnegie Mellon The Congressional Request The National Academies should … “…investigate and study the serious and sweeping issues relating to global climate change and make recommendations regarding what steps must be taken and what strategies must be adopted in response to global climate change ...” (2008) Focus on actions to reduce domestic greenhouse gas emissions and other human drivers of climate change (such as changes in land use), but also consider the international dimensions of climate stabilization E.S. Rubin, Carnegie Mellon Setting goals E.S. Rubin, Carnegie Mellon The Goal of Stabilization • 1992 U.N. Framework Convention on Climate Change called for “stabilization of greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic interference with the climate system” *192 countries are parties to the convention E.S. Rubin, Carnegie Mellon Dangers of climate change increase with higher global temperature E.S. Rubin, Carnegie Mellon Source: IPCC, 2007 Setting GHG Mitigation Goals Target: limit global mean temperature increase What is a “safe” amount of climate change? What “limits” should be adopted as goals? Target: limit atmospheric GHG concentrations How do limits on global mean temperature change or other key impacts translate into limits on atmospheric GHG concentrations? Target: limit global GHG emissions How do atmospheric GHG concentration limits translate into limits on global GHG emissions? Target: limit U.S. GHG emissions What is a reasonable share of U.S. emission reductions relative to the global targets? What is the implied emissions “budget”? E.S. Rubin, Carnegie Mellon Set an Emissions Budget • We suggest that the U.S. establish a “budget” for cumulative GHG emissions over a set period of time • We offer a representative range of: 170–200 gigatons (Gt) of CO2-eq for the period 2012–2050 (corresponds to reductions to ~50% to 80% below 1990 emission levels)* Business-as-usual emissions would consume these budgets well before 2050; thus, there is a need for URGENCY E.S. Rubin, Carnegie Mellon * Based on results from, Energy Modeling Forum -22 (EMF, 2009) and America’s Energy Future (NAS, 2009) Mitigation options E.S. Rubin, Carnegie Mellon Focus on CO2 from Energy Use — the Dominant Greenhouse Gas U.S. Greenhouse Gas Emissions weighted by 100-yr Global Warming Potential (GWP) 2.0% 5.5%2.2% 6.5% 7.4%7.9% 84.6% 83.9% . Total in 2005 = 7.26 Gt CO2 equiv Source: USEPA, 2007 CO2 E.S. Rubin, Carnegie Mellon CO2 CH4 CH4 N2O N2O Others Others How Human Activities Generate CO2 Emissions The blue rectangles are intervention points for mitigation E.S. Rubin, Carnegie Mellon Ways to Reduce CO2 Emissions • • • • Reduce demand for energy-intensive goods & services Improve the efficiency of energy use (at all stages) Expand use of low- and zero-carbon energy sources Capture and sequester CO2 directly from ambient air All of these options are currently available (to varying degrees) E.S. Rubin, Carnegie Mellon Electricity and Transportation are the Major Sources of U.S. CO2 Emissions U.S. CO2 Emissions Petroleum Natural Gas Electricity 33.0% 35 29.8% 30 25 20.1% 17.1% 20 15 10 5 0 Residential Commercial Industrial (a) End-Use Energy Sectors Percent of U.S. CO2 Emissions Percent of U.S. CO 2 Emissions Coal 45 39.8% 40 35 30 25 20 15 10 5 0 Transportation (b) Electric Power Sector Source: Based on USDOE, 2008 Fossil fuels provide 70% of U.S. electricity and emit 40% of CO2 Electricity + Vehicles emit ≈ 75% of all CO2 E.S. Rubin, Carnegie Mellon Technical Options Available • INCREASED ENERGY EFFICIENCY • LOW-CARBON ELECTRICITY • Renewables: wind, hydro, geothermal, solar Nuclear power Coal and gas with CCS Natural gas DECARBONIZED FUELS • Building design and systems Industrial processes Transportation systems Electric power systems Biofuels (based on LCA emissions) Hydrogen: from renewables, nuclear, natural gas and coal w/CCS Synthetic fuels from coal, natural gas, biomass, oil sands w/CCS REPLACE FUELS w/ LOW-CARBON ELECTRICITY Grid-charged batteries for ground transportation Heat pumps for building furnaces and boilers E.S. Rubin, Carnegie Mellon Policy Options Available 1 Table 5.1 Policy options that can influence technology innovation [REVISED TABLE] “TECHNOLOGY POLICY” OPTIONS * Direct Government Funding of Knowledge Generation R&D contract with private firms (fully funded or cost shared) R&D contracts and grants with nonprofits. Intramural R&D in government laboratories. R&D contracts with consortia or collaborations Direct or Indirect Support for Commercialization and Production R&D tax credits Knowledge Diffusion and Learning Education and Patents Production subsidies or tax credits for firms bringing new technologies to market Tax credits, rebates or payments for purchasers/users of new technologies Gov’t. procurement of new or advanced technologies Demonstration projects Loan guarantees Monetary prizes E.S. Rubin, Carnegie 2 *Mellon Based on CSPO/CATF, 2009) training Codification and diffusion of technical knowledge (e.g, via interpretation and validation of R&D results; screening; support for databases) Technical standards Technology/Industry extension programs Publicity, persuasion and consumer information REGULATORY POLICY OPTIONS Economy-wide Measures and Sector or Technology-specific Regulations and Standards Emissions tax Cap-and-trade program Performance standards (for emission rates, efficiency or other measures of performance) Fuels tax Portfolio standards Source: NAS, 2010 Mitigation: The Potential (the elegance of analytical solutions) E.S. Rubin, Carnegie Mellon Strategies to Reach GHG Goals Least-cost U.S. energy mix in 2050 for a GHG budget of ~170 Gt CO2-eq 80% GHG reduction case 160 140 120 100 EJ/yr (80% below 1990) (similar findings for global analyses) E.S. Rubin, Carnegie Mellon 60 40 20 Oil w/o CCS Coal w/CCS Bioenergy w/o CCS Non-Biomass Renewable Source: EMF22, 2009 Oil w/CCS Gas w/o CCS Bioenergy w/CCS Energy Reduction MRN-NEEM MiniCAM MERGE EPPA ADAGE 0 2000 Results from energy models show that major changes are needed in the U.S. energy system 80 Coal w/o CCS Gas w/CCS Nuclear Feasible But Not Easy • An emissions budget in the range of 170–200 Gt CO2-eq is technically possible, but could be very difficult to achieve • No single solution; different models project different mixes of energy sources and technologies • Within the electric power and transportation sectors, essentially all available options would have to be deployed, often at levels close to estimates of what is technically possible E.S. Rubin, Carnegie Mellon Economic Impact • All models project that GDP continues to grow, but at a somewhat lower rate than reference case • The magnitude of estimated impact on GDP is especially sensitive to the: Timing of emission reductions Availability of advanced technology Availability and price of international offsets E.S. Rubin, Carnegie Mellon Source: NAS, 2010 Value of Sustained R&D REFERENCE: Continue historical rates of technology improvement ADVANCED: Strong R&D with more rapid technological change 400 350 $/tCO2-e (2005 U.S.$) Projected price of CO2 emissions under two technology scenarios: 300 Reference Advanced 250 200 150 100 50 An early start and a strong R&D program could reduce total costs significantly 0 2020 2035 2050 Source: Kyle et al. 2009 E.S. Rubin, Carnegie Mellon Core Policy Recommendations 1. Adopt a mechanism for setting an economy-wide carbon pricing system 2. Complement the carbon price with other policies to: Realize the potential for energy efficiency and low-carbon energy sources for electricity and transport Accelerate the retirement, retrofitting or replacement of GHG emission-intensive infrastructure Establish the feasibility of large-scale carbon capture and storage and new nuclear technologies 3. Create new technology choices by investing heavily in research and crafting policies to stimulate innovation Source: NAS, 2010 E.S. Rubin, Carnegie Mellon Core Recommendations (con’t.) 4. Consider potential equity implications when designing and implementing climate change-limiting policies, with special attention to disadvantaged populations 5. Establish the United States as a leader to stimulate other countries to adopt GHG reduction targets 6. Enable flexibility and experimentation with policies to reduce GHGs at the regional, state and local levels 7. Design policies that balance durability and consistency with flexibility and capacity for modification as we learn from experience Source: NAS, 2010 E.S. Rubin, Carnegie Mellon Mitigation: The Problems (the messiness of real-world solutions) E.S. Rubin, Carnegie Mellon Still No Political Consensus on Key Issues • • • • • • • Importance and urgency of addressing climate change Role of developed vs. developing nations Cost of mitigation Best or preferred policy measure(s) Distribution of costs across society and regions Availability of some mitigation options (at scale) Acceptability of some mitigation options E.S. Rubin, Carnegie Mellon Still No Global or National Mitigation Program • COP 15 (Copenhagen) failed to produce an international accord on GHG reductions • The 111th U.S. Congress failed to enact a climate bill (after adoption by the House) E.S. Rubin, Carnegie Mellon Even Here in California … E.S. Rubin, Carnegie Mellon But Many Regional, State, Local and Private Initiatives Underway Source: Pew Climate Center, 2011 E.S. Rubin, Carnegie Mellon New Educational Initiatives Would be Extremely Valuable At Carnegie Mellon we also have a long history of educational activities related to climate change, technology and society. Here are a just a few examples. E.S. Rubin, Carnegie Mellon What Will the Future Bring ? The climate problem is not going away ! E.S. Rubin, Carnegie Mellon Education can make a difference Thank You [email protected] E.S. Rubin, Carnegie Mellon