Climate Action Tracker has released a report titled ' Foot Off the Gas: Increased Reliance on Natural Gas in the Power Sector Risks and Emissions Lock-in'.
The authors argue that heavy investments in natural gas infrastructure could create new dependency on fossil fuels and lead to emissions lock-in.
They further suggest that investments in renewable energy sources would also contribute to improving energy independence.
22 June 2017: Natural Gas is often cited as a “bridge” technology to reduce emissions of electricity generation until zero-emission technologies become viable. However, a report by the Climate Action Tracker (CAT) warns that investing in natural gas infrastructure could risk locking-in emissions and delaying the transition towards a carbon-free power sector.
The publication argues that significant investments planned by governments and companies in natural gas production, transport and use would create new dependency on fossil fuels while disregarding the increasing role of low-carbon energy sources. The authors underline that this would risk delaying the transition towards a carbon-free power sector beyond 2050, which is necessary to honor the commitment under the Paris Agreement “to pursue efforts to limit the temperature increase to 1.5°C above pre-industrial levels.” They also point that these investments would forgo important co-benefits and lead to stranded assets.
The paper explains that achieving a carbon-zero energy sector is a critical catalyst for decarbonizing other sectors such as transport and building, noting this requires focusing investments on renewable and zero-emission sources. According to the authors, the investments planned by governments and companies in natural gas underestimate the pace at which the share of natural gas in the global energy mix must decline. The report states that this decline is already evident in downward revisions of projected global energy demand in the 2016 Global Energy Outlook published by the International Energy Agency (IEA).
Climate Action Tracker cautions that scaling up investments in natural gas would divert important resources from the development of renewable energy sources, thus risking locking countries in on an unsustainable emissions pathway.
Furthermore, the paper notes that accelerated decarbonization would improve energy interdependence. The report’s last section suggests that because of the capital intensity and long payback times of natural gas infrastructure, investments in natural gas risk creating stranded assets as the rise of renewable energy sources is likely to undermine natural gas demand before investments have been fully recovered.
In conclusion, the authors suggest that a transition towards a zero-emissions power sector is possible without heavy investments in natural gas. They caution that scaling up such investments would divert important resources from the development of renewable energy sources, thus risking locking countries in on an unsustainable emissions pathway.
The CAT is an independent scientific analysis produced by the following research organizations: Climate Analytics, Ecofys and NewClimate Institute. [Publication: Foot Off the Gas: Increased Reliance on Natural Gas in the Power Sector Risks and Emissions Lock-in] [CAT Press Release]