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Global Emissions Reductions and the German "Energiewende"

by Dr. Peter Hefele

Presentation of an international KAS survey

The Paris Agreement on climate change (COP21) aims at limiting global warming to well below two degrees Celsius. This can only be achieved through a fast and dramatic reduction of greenhouse gas emissions (GHG). A new study by Konrad-Adenauer-Stiftung (KAS) took a closer look at the emissions reduction policies of the world’s four largest producers of GHG: China, India, Russia and the USA – and examined how they view the German "Energiewende" (energy transition).

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The editor-in-chief, Mr Jasper Eitze, energy and climate coordinator at KAS Berlin, presented the main results of the survey “Global Emission Reduction: Motives, Obstacles and the Role of Germany” during a roadshow in Beijing, Hong Kong and Singapore. The presentations provided the framework for an in-depth discussion with local partners and experts about the respective national development strategies of energy transition and low-carbon economy. Furthermore, the insights of the survey helped to find more effective ways of international cooperation and assistance in achieving the COP21 goals.

China now accounts for roughly 30 percent of global carbon dioxide emissions. In its Intended Nationally Determined Contributions (INCDs) at COP21, the country has pledged to peak its GHG emissions at around 2030 and dramatically increase its energy efficiency. Massive investment has to be made into renewable energies (RE), but fossil fuels will remain the main source of energy in the next decades. The global KAS survey clearly showed that China considers decarbonisation as a major factor in its comprehensive strategy to successfully upgrade its economy. It also aims at becoming a leader in global climate change policy after the USA recently announced a retreat.

To what extent can the experiences of Germany’s “Energiewende” serve as a blueprint for China’s energy transition? In recent months, Mrs GU Alun, assistant professor at Tsinghua University, has conducted an extensive study on Germany’s energy transformation since the 1970s and its success factors and failures. On the occasion of the study presentation, Mrs Gu reported about her first findings. She emphasised the importance of a clear regulatory framework, effective economic incentives, and a deeper regional cooperation to trigger bigger investment into renewables (RE). It is the only way that China can achieve its ambitious goal of 80 percent RE in electricity consumption by 2050. The full text of the study will be published soon at www.kas.de/recap.

In Hong Kong, the discussion quickly focused on the role of cities in combatting climate change. First, as a global infrastructure hub, Hong Kong needs to use its strength in creating fast and reliable transport like the MTR system, Mr Prashant VAZE, Head of Climate Change and Energy at WWF Hong Kong, argued. Furthermore, in 2012, Hong Kong International Airport pledged to become the world’s greenest airport and to significantly lower its carbon intensity. Mr Samuel KWONG, Group Sustainable Development Manager at John Swire & Sons (H.K.) Ltd, added that the 2030+ goals are another example for Hong Kong’s commitment to sustainability. Second, the panelists said that Hong Kong should play a bigger role in green finance, especially if an emissions trading scheme is implemented in Asia.

In Singapore, the presentation and a discussion were organised by the Energy Studies Institute (ESI), a long-standing partner of KAS RECAP. The Singapore government has announced ambitious goals to reduce carbon emissions. As one of the largest port cities and a global aviation hub, greening of transport is among the biggest challenges. Due to its eminent role in the global financial system, the development of green finance products will play a crucial role to future business opportunities of the city. The debate also unveiled a series of obstacles for small-scale innovations and start-ups in the field of renewable und sustainable solutions. As a dominant player in ASEAN, Singapore also plays an important role in the integration of energy markets in Southeast Asia and serves as a role model for urban development, including the massive digitalization in effective resource management. The full version of the ESI/KAS study will be soon available at www.kas.de/recap/en.

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