Bright Future in Low-carbon Economy
by Vicki Wolf
A world where wind turbines and solar projects replace oil rigs, and hybrid and electric vehicles replace gas-guzzling SUVs is beginning to take shape as more people think of innovative ways to curb global warming. Several studies highlighted at the Copenhagen Climate Conference show that an agreement to significantly reduce global CO2 emissions would slow global GDP (gross domestic product) growth only by about 1 percent, and would boost economic recovery.
Online blogs have been buzzing with enthusiasm for innovation and new economic opportunities that could result with global efforts to reduce CO2 emissions. A blogger reported from the conference that he heard a BMW automobile manufacturer talk about the need to include automobile emissions when regulating carbon emissions. “He wanted this so his company could have a clear shot at navigating the path from oil dependence to a future of cruising in electric cars,” the blogger noted.
A delegation of young people from non-government organizations (NGOs) in the United States disrupted a press conference held by Americans for Prosperity, a group that denies global warming exists, with signs and chants advocating clean energy and green jobs.
Business leaders from the United States also are getting involved in the climate talks. According to the Climate Progress blog, dozens of U.S. companies have formed a delegation in Copenhagen to show support for governments to take bold action on global warming. The uncertainty over climate change regulation is “stifling their businesses.”
“Businesses around the world want this to be settled so they can start reducing their emissions,” says Clay Nesler, vice president of global energy and sustainability at Johnson Controls, Inc., an international company that makes automotive interiors and batteries for automobiles, including hybrid vehicles.
Companies like North Face, an outdoor clothing and equipment company, are directly affected by global warming. “U.S. ski resorts are closing at a dramatic pace. Our winters are two weeks shorter,” says the company’s director of corporate sustainability.
Some of these companies are already doing what they can to reduce their water use, energy use and pollution levels: Johnson Controls recently worked with Jones Lang LaSalle, a global commercial real estate service, and the Rocky Mountain Institute, consultants on efficient and restorative use of resources, to achieve a 30 percent reduction in energy use at New York City’s Empire State Building - the project will pay for itself in three years. Nike’s new distribution center in Tennessee uses 50 percent less energy than its previous facility.
The U.S. business delegation is in Copenhagen to support stronger policies that reward these types of efficiencies that are essential to achieve the large-scale pollution reduction that will curb global warming.
Studies show that there are many ways to reduce carbon dioxide emissions at a relatively low cost. Energy efficiency will play a major role in bringing emissions down. Joe Romm, editor of Climate Progress blog, says McKinsey & Company, an international business consulting firm, has done more than any other company to document how an aggressive energy efficiency strategy can sharply lower the cost of getting the atmosphere back in balance.
In “Unlocking Energy Efficiency in the U.S.,” McKinsey & Company reports, “Research shows that the U.S. economy has the potential to reduce annual non-transportation energy consumption about 23 percent by 2020, eliminating more than $1.2 trillion in waste – well beyond the $520 billion upfront investment (not including program costs) that would be required. The reduction in energy use would also result in the abatement of 1.1 gigatons of greenhouse gas emissions annually – the equivalent of taking the entire U.S. fleet of passenger vehicles and light trucks off the roads.”
The report makes five recommendations for taking advantage of energy efficiency opportunities as nations chart the course for curbing global warming:
- Recognize energy efficiency as an important energy resource that can help meet future energy needs while the nation concurrently develops new no- and low-carbon energy sources
- Formulate and launch at both national and regional levels an integrated portfolio of proven, piloted, and emerging approaches to unlock the full potential of energy efficiency
- Identify methods to provide the significant upfront funding required by any plan to capture energy efficiency
- Forge greater alignment among utilities, regulators, government agencies, manufacturers, and energy consumers
- Foster innovation in the development and deployment of next-generation energy efficiency technologies to ensure ongoing productivity gains
Another study recently released by the National Research Council found that energy efficiency measures in U.S. buildings and in transportation could reduce energy use by 30 percent below 2030 projections. Deployment of cost-effective, energy efficient technologies in buildings could eliminate the the need to add to U.S. electricity generating capacity, according to the report. Buildings account for 41 percent of energy used in the United States; transportation accounts for 28 percent. The report also notes that energy savings in passenger vehicles could be large if consumers could give up increasing vehicle size and performance for reducing fuel consumption.
The Global Climate Network (GCN) also offers a bright outlook for the low-carbon economy in its report tailored to influence the international climate agreement that involves about 200 nations meeting in Copenhagen.
The Center for American Progress, with eight partner institutions in Australia, China, Germany, India, Nigeria, South Africa and the United Kingdom, make up the GCN. In their report titled, “Low-carbon Jobs in an Interconnected World,” they concluded that “directed steps to reduce carbon pollution will create tens of millions of jobs worldwide.”
Government stimulus is urgently needed to persuade industry to invest in energy efficiency and renewable energy. Training new workforces also will be essential. The report notes that “governments will need to identify skills gaps that accelerated transition to a low-carbon economy would create.”
While it’s true jobs will be lost in some industries, the green collar industry tends to be more labor intensive than much of the industry and technology it will replace. Therefore, more jobs will be created from the shift to a low-carbon economy. In addition, these jobs tend to come with higher salaries, according to the GCN report.
As the talks continue, we will see how much influence this positive outlook for a low-carbon economy has on the final climate agreement, and how many of these ideas will be supported by the governments meeting in Copenhagen
