International cooperation for decarbonizing energy intensive industries – Towards a Green Materials Club : A working paper on sectoral cooperative approaches
Åhman, Max LU ; Arens, Marlene LU and Vogl, Valentin LU
(2020)
In IMES
EESS(117).
p.1-26
- Abstract
- The energy intensive industry, producing basic materials, is responsible for 25 to 30% of today's global greenhouse gas emissions. The future supply of GHG neutral basic materials (e.g. steel, cement, aluminium, plastics, etc.) is a necessity for building a sustainable modern society. Deep decarbonisation of the energy intensive industries is technically possible but will require a major systemic shift in production processes and energy carriers used, which will require large public support in the form of subsidies and high carbon prices. A key barrier for implementing ambitious climate policies targeting energy intensive industries is the inherent conflict between the global nature of energy intensive industries and the existing climate... (More)
- The energy intensive industry, producing basic materials, is responsible for 25 to 30% of today's global greenhouse gas emissions. The future supply of GHG neutral basic materials (e.g. steel, cement, aluminium, plastics, etc.) is a necessity for building a sustainable modern society. Deep decarbonisation of the energy intensive industries is technically possible but will require a major systemic shift in production processes and energy carriers used, which will require large public support in the form of subsidies and high carbon prices. A key barrier for implementing ambitious climate policies targeting energy intensive industries is the inherent conflict between the global nature of energy intensive industries and the existing climate policy framework that is based on nation states taking action according to the principle of “common but differentiated responsibilities”. This approach could lead to carbon leakage and the introduction of carbon trade measures has been the default proposition from academics to ameliorate these concerns. However, another way is to define the task of decarbonizing EIIs as a global task and not as a purely national matter and to cooperate internationally. In this paper we analyse what it takes to decarbonize energy intensive industry and what implications this transition can have for trade. From here we explore the opportunities for enhanced cooperation for deep decarbonisation for EIIs within the Paris Agreement. We argue for international cooperation by establishing a green materials club that would focus on long-term technology development. This could be a viable way to ease the current shortterm conflicts and mitigate the need for carbon tariffs. However, a green materials club should still be a part of a wider discussion around what is considered fair trade practices under the climate convention and how this relates to national interest and industrial policy for the decarbonisation of basic materials production. (Less)
- Abstract (Swedish)
- The energy intensive industry, producing basic materials, is responsible for 25 to 30% of today's global greenhouse gas emissions. The future supply of GHG neutral basic materials (e.g. steel, cement, aluminium, plastics, etc.) is a necessity for building a sustainable modern society. Deep decarbonisation of the energy intensive industries is technically possible but will require a major systemic shift in production processes and energy carriers used, which will require large public support in the form of subsidies and high carbon prices. A key barrier for implementing ambitious climate policies targeting energy intensive industries is the inherent conflict between the global nature of energy intensive industries and the existing climate... (More)
- The energy intensive industry, producing basic materials, is responsible for 25 to 30% of today's global greenhouse gas emissions. The future supply of GHG neutral basic materials (e.g. steel, cement, aluminium, plastics, etc.) is a necessity for building a sustainable modern society. Deep decarbonisation of the energy intensive industries is technically possible but will require a major systemic shift in production processes and energy carriers used, which will require large public support in the form of subsidies and high carbon prices. A key barrier for implementing ambitious climate policies targeting energy intensive industries is the inherent conflict between the global nature of energy intensive industries and the existing climate policy framework that is based on nation states taking action according to the principle of “common but differentiated responsibilities”. This approach could lead to carbon leakage and the introduction of carbon trade measures has been the default proposition from academics to ameliorate these concerns. However, another way is to define the task of decarbonizing EIIs as a global task and not as a purely national matter and to cooperate internationally. In this paper we analyse what it takes to decarbonize energy intensive industry and what implications this transition can have for trade. From here we explore the opportunities for enhanced cooperation for deep decarbonisation for EIIs within the Paris Agreement. We argue for international cooperation by establishing a green materials club that would focus on long-term technology development. This could be a viable way to ease the current short-term conflicts and mitigate the need for carbon tariffs. However, a green materials club should still be a part of a wider discussion around what is considered fair trade practices under the climate convention and how this relates to national interest and industrial policy for the decarbonisation of basic materials production. (Less)
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/ef2161cc-1210-4683-a5b2-194634b1b1ba
- author
- Åhman, Max
LU
; Arens, Marlene
LU
and Vogl, Valentin
LU
- organization
- publishing date
- 2020-07-03
- type
- Working paper/Preprint
- publication status
- published
- subject
- keywords
- Energy intensive industry, deep decarbonisation, EU, sectoral approaches, climate policy, Climate Clubs, Energy intensive industry, deep decarbonisation, EU, sectoral approaches, climate policy, climate clubs, UNFCCC, Energy intensive industry, climate policy, deep decarbonisation
- in
- IMES
- volume
- EESS
- issue
- 117
- edition
- 117
- pages
- 26 pages
- publisher
- Miljö- och energisystem, LTH, Lunds universitet
- ISSN
- 1102-3651
- ISBN
- 978-91-86961-43-5
- DOI
- 10.13140/RG.2.2.14953.72807
- project
- Pathways for HDR steel making (HYBRIT RP1 -WP6)
- language
- English
- LU publication?
- yes
- id
- ef2161cc-1210-4683-a5b2-194634b1b1ba
- date added to LUP
- 2020-07-03 13:03:12
- date last changed
- 2021-10-22 11:42:39
@misc{ef2161cc-1210-4683-a5b2-194634b1b1ba,
abstract = {{The energy intensive industry, producing basic materials, is responsible for 25 to 30% of today's global greenhouse gas emissions. The future supply of GHG neutral basic materials (e.g. steel, cement, aluminium, plastics, etc.) is a necessity for building a sustainable modern society. Deep decarbonisation of the energy intensive industries is technically possible but will require a major systemic shift in production processes and energy carriers used, which will require large public support in the form of subsidies and high carbon prices. A key barrier for implementing ambitious climate policies targeting energy intensive industries is the inherent conflict between the global nature of energy intensive industries and the existing climate policy framework that is based on nation states taking action according to the principle of “common but differentiated responsibilities”. This approach could lead to carbon leakage and the introduction of carbon trade measures has been the default proposition from academics to ameliorate these concerns. However, another way is to define the task of decarbonizing EIIs as a global task and not as a purely national matter and to cooperate internationally. In this paper we analyse what it takes to decarbonize energy intensive industry and what implications this transition can have for trade. From here we explore the opportunities for enhanced cooperation for deep decarbonisation for EIIs within the Paris Agreement. We argue for international cooperation by establishing a green materials club that would focus on long-term technology development. This could be a viable way to ease the current shortterm conflicts and mitigate the need for carbon tariffs. However, a green materials club should still be a part of a wider discussion around what is considered fair trade practices under the climate convention and how this relates to national interest and industrial policy for the decarbonisation of basic materials production.}},
author = {{Åhman, Max and Arens, Marlene and Vogl, Valentin}},
isbn = {{978-91-86961-43-5}},
issn = {{1102-3651}},
keywords = {{Energy intensive industry, deep decarbonisation, EU, sectoral approaches, climate policy, Climate Clubs; Energy intensive industry, deep decarbonisation, EU, sectoral approaches, climate policy; climate clubs; UNFCCC; Energy intensive industry; climate policy; deep decarbonisation}},
language = {{eng}},
month = {{07}},
note = {{Working Paper}},
number = {{117}},
pages = {{1--26}},
publisher = {{Miljö- och energisystem, LTH, Lunds universitet}},
series = {{IMES}},
title = {{International cooperation for decarbonizing energy intensive industries – Towards a Green Materials Club : A working paper on sectoral cooperative approaches}},
url = {{https://lup.lub.lu.se/search/files/88197690/Working_paper_Green_Materials_Club_IMESEEES_report_117.pdf}},
doi = {{10.13140/RG.2.2.14953.72807}},
volume = {{EESS}},
year = {{2020}},
}