Barbara Buchner

New Payne Institute for Public Policy Financial Flow blog post! Observations from The World Bank about potential growth in #carboncredits demand to pay #carbontaxes or for #emissions allowances. (In other words, compliance demand growth may not have to wait for resolution of seemingly never-ending Article 6 negotiations.) #carbonoffsets #sustainablefinance #netzero #carbonemissions #carbonmarkets https://lnkd.in/eX8aQYbh

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$250 billion per year in #ClimateFinance by 2035 as proposed in the latest #COP29Baku draft is woefully inadequate. The #Adaptation Gap Report shows $400 billion is needed annually just for adaptation alone. This shortfall jeopardise our planet’s future. The draft also Invites developing country parties to make additional contributions. The world deserves real ambition, not diluted responsibility.

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The provisional participants list for #COP29 is out and it suggests that Baku is the second-largest climate COP in history. Here, Carbon Brief has analysed the data: https://lnkd.in/eRQxXwVC More than 70,000 delegates have registered for the summit (67k to attend in person and 4k online). That’s a drop of ~15,000 from the record-breaking COP in Dubai last year – and marks the first time in seven years that a COP is not larger than its predecessor. Unsurprisingly, the largest party delegation is from host country Azerbaijan with 2,229. This is a far cry from Azerbaijan’s pre-COP28 typical delegation of just six people. The next-largest delegations come from Brazil (1,914), Turkey (1,862), UAE (1,011) and China (969). As ever, there is a lot in our analysis to dive into – see our article for more!

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New Oxford Institute for Energy Studies paper looks at Reforming Capacity Markets and How to Incorporate the Flexibility of Residential Consumers 👉 Link to OIES Paper: https://lnkd.in/dQDGNjUD Key points: 💠 Instead of building new generation capacity to ensure resource adequacy, demand response resources can lower residential consumption for financial compensation at times of generation scarcity 💠 Residential demand response can greatly favour the system but its uptake is quite low since residential consumers tend to withdraw from demand response programs if the inconvenience of participating becomes too high 💠 Paper proposes a simple, nonintrusive and cost-efficient methods for residential demand participation in capacity markets through priority pricing contracts 💠  Priority pricing contracts could be integrated via an aggregator as explicit demand response in capacity markets, advocating for participation on the ‘demand’ side rather than the ‘supply’ side to prevent market distortion and better align with consumer reliability preferences 💠 Aggregators are responsible for the imbalances between the flexible consumer’s forecast and actual consumption instead of energy suppliers to avoid retail market distortions #aggregators #demandflexibility #electricitymarkets #

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#NewReport by Simon Nicholas & Soroush Basirat from Institute for Energy Economics and Financial Analysis (IEEFA) examining the challenges of #CarbonCapture for #steel decarbonization, finding that: - Carbon capture utilisation and storage (CCUS) looks unlikely to play a major role in decarbonising the global steel sector, despite support for the technology at #COP28 in 2023. - It is increasingly obvious to many, including the International Energy Agency (IEA), that the uptake of direct reduced iron (DRI)-based steelmaking – which can run on #greenhydrogen with very low emissions – is accelerating. This technology – along with electric arc furnaces (EAFs) associated with renewable electricity – offers steelmakers a far more promising pathway to reduce their emissions than CCUS. - Major #steelmakers around the world still maintain that CCUS will play a role in decarbonising their operations, with plans for CCUS tending to push commercial-scale implementation of the technology off into the 2040s and lacking detail. There are no commercial-scale #CCUS plants for blast furnace-based steelmaking in operation anywhere in the world. The few pilot projects that exist have not proven the technology’s feasibility. Read more: https://lnkd.in/gyk-Ra6d The report includes #casestudies on major global steelmakers, including POSCO, as well as ArcelorMittal, China Baowu, Nippon Steel Corporation, and JFE Steel Corporation. It was also featured on Reuters: https://lnkd.in/gzuM3__f #IndustryInsights #SteelDecarbonization IEEFA Asia Pacific

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Supporting and reporting global climate progress COP28: Tracking the Energy Outcomes Summary: COP28 in Dubai saw nearly 200 countries pledge to maintain the Paris Agreement's 1.5 °C warming cap. They agreed to net zero energy emissions by 2050, planning to triple renewable energy capacity and double energy efficiency improvements by 2030. Tracking Energy Outcomes The International Energy Agency (IEA), with UN Climate Change, is monitoring progress towards COP28's energy targets to ensure their full implementation. Global Tracking Indicators Renewable Energy: Capacity is projected to increase by about 2.5 times by 2030, just under the tripling goal. Energy Efficiency: Increases are behind targets, with only a 1.1% rise in 2023. Coal Phase-Down: Coal power peaked in 2023 but is expected to decline, helping reduce fossil fuel use. Net Zero Emissions: CO2 emissions hit a record in 2023; a 35% cut by 2030 is needed for 2050's net zero targets. Support for Global Climate Progress The IEA collaborates with policymakers globally to push for effective emissions reduction strategies and clean energy adoption. Advanced Technologies Low-Emissions Hydrogen and CCUS: Essential for cutting hard-to-abate sector emissions. Nuclear Power: Increasing capacity is vital for achieving mid-century net zero goals. Equity and Just Transition Fossil Fuel Subsidies: Ending these subsidies is crucial for a fair transition. Employment: The clean energy sector, a significant employer, is set to grow, highlighting the need for equitable job policies. Next Steps Raising NDC Ambitions: The upcoming NDCs are vital for setting emission reduction pace; more ambitious, realistic plans are needed. Collaborative Efforts: IEA’s Dialogues and country-specific initiatives support countries in meeting COP28 commitments. Conclusion COP28 has established crucial but challenging targets for global sustainability by 2050. The IEA's role in monitoring and aiding the transition to a sustainable energy future is critical. Immediate, committed action across global economies is essential. The framework for tracking and implementing COP28 goals is vital for keeping the 1.5 °C target achievable. However, current progress in energy efficiency and renewable energy needs faster improvement. Ensuring an inclusive, equitable transition is crucial for sustainable progress. #COP28 #ClimateAction #SustainableEnergy #NetZero2050 #GlobalWarming #IEA https://lnkd.in/gWFtHCFe

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Catalyzing transformative development in #SIDS 🏝️ requires implementing adaptable technologies for scaling up renewables & #digitalization for ensuring water, food, & #energy security. They are already leading the way, learn how we can best support them👉🏼 bit.ly/SIDS-Bulletin #EnergyForDevelopment

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Progress in carbon markets took centre stage on Day 1 at #COP29 with approval of standards for methodologies and carbon removals established by UNFCCC appointed Supervisory Body. Alongside its sustainable development tool we now have opportunities open for private investment in climate solutions worldwide that can and must bring local social and environmental benefits. CMI COP29 priorities here: https://lnkd.in/g8ksWS6i

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Must See Webinar: How the Inflation Reduction Act (IRA) is Creating New Pathways for Grid Decarbonization 🔌🌿 Join us for a crucial discussion on Pathways to IRA: Pioneering New Routes for Grid Decarbonization. This in-depth session will unravel the transformative role of the Inflation Reduction Act’s (IRA) Tax Credit Transfer in fueling diverse opportunities for greener energy solutions. 🔍 Dive deep into: - The mechanics behind IRA’s groundbreaking tax credits for standalone storage. - Strategies for unlocking utility-scale storage solutions. - The significant impact on bolstering the surge of renewable energy. 🚀 Whether you’re an industry professional, an environmental advocate, or simply curious about the future of energy, this webinar promises to provide invaluable insights into the innovative financial structures driving our grid's decarbonization. Watch now: http://spr.ly/6045bLBLJ #Decarbonization #SustainabilityStrategy #GreeningTheGrid #SustainableBusiness #Webinar #EnterpriseCaseStudies

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Ministry of Climate Change & EC is working on carbon credit guidelines to enable #carbon markets in Pakistan. These guidelines will be launched in #Baku during #COP29

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🌍 Important discussions at #COP29 highlight the urgent need for global action on super-pollutant gases—powerful yet often overlooked contributors to climate change. Read more about these critical policy calls in this recent Forbes article! https://lnkd.in/eTcW3ass #ClimateAction #CleanAir #SuperPollutants #NetZero #EnvironmentalJustice #GlobalWarming

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The OECD 2024 report `Climate Finance Provided and Mobilised by Developed Countries in 2013-2022’ has created both, jubilation as well as frustration, among different segments of the climate community. So, going beyond the headline “Developed countries exceeded the USD 100 billion annual goal for the first time in 2022” three years before the 2025 deadline; let us delve in to the key messages from this report: (1) In 2022 developed countries’ public climate finance provided bilaterally and through multilateral channels mainly took the form of loans (69% or USD 63.6 billion) and, to a lesser extent, grants (28% or USD 25.6 billion); (2) Over the period 2016-2022, close to 90% of financing provided by MDBs took the form of loans; (3) The mix was comparatively more balanced for multilateral climate funds with 39% loans and 54% grants; (4) Financing provided by the bilaterals was 57% loans and 39% grants; (5) The relative shares of mitigation and adaptation in the aforementioned climate finance mobilization were 60% and 28% respectively in 2022; (6) Over 2016-2022, while 38% of public finance for the adaptation was provided through grants, only 15% was grant-funded for mitigation; and (7) Between 2016 and 2022, the energy and transport sectors accounted for 62% of the total mitigation finance provided and mobilized.. It may be safe to conclude, therefore, that the bulk of public climate finance, through multilateral and bilateral channels (such as the World Bank and ADB etc.) has come in the form of loans with grants forming a miniscule share. The multilateral climate funds e.g. GCF, GEF, Adaptation Fund, and IFAD etc.) fared better in terms of grant-based financing. How does it square off with the first Global Stock Take at COP28, Dubai, which noted that “new and additional grant-based, highly concessional finance, and non-debt instruments remains critical to supporting developing countries, particularly as they transition in a just and equitable manner…”?   The vast difference in quantum of financing between mitigation and adaptation is indicative of preference being accorded to `commercially viable’ mitigation projects (e.g., energy and transport sectors) as opposed to adaptation and climate resilience where benefits are largely intangible, that too accruing over long gestation periods. Moreover, with loans outstripping grants by a wide margin and the additionality of `pure' climate finance being in a doubtful zone, it speaks volumes about the quality of said climate finance.    #climatefinance #climateaction #mitigation #adaptation #climateresilience #justtransition #developingeconomies  

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Cogent & concise piece outlining that #DeepSeaMining 1) is not required for the #GreenTransition 2) has too many environmental risks. https://lnkd.in/eYtXW57e

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As you may know, I have been co-directing with Ede Ijjasz, the annual flagship report of the Global Center on Adaptation, the “State and Trends in Climate Adaptation,” for the last five years. This year, we are focusing on small island developing states, one of the most fragile groups of countries that are affected by climate change. We will review not only the climate impacts, but also the benefits, policies, and good practices of climate adaptation.   The report will include macroeconomic analysis of the impacts of climate change and the benefits of adaptation; an analysis of financial flows and needs; and a wide range of topics from loss and damage to insurance mechanisms, debt management, infrastructure, blue economy, youth, and many others.   If you want to stay updated on the progress with our report between now and COP29, please visit: https://lnkd.in/euc8pWhG

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https://lnkd.in/dPkz5Rtw <<Businesses are large contributors to emissions and are therefore key players in addressing climate change. But unless the right system is in place and there is an awareness that businesses can benefit from increased climate engagement and investment, this may not emerge. Therefore, for climate investment to reach the level required to make meaningful change, there needs to be a mobilisation of businesses.>> #business #benefits #mobilisation #climate #ESG #ChathamHouse #investments #change #

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Have you read our latest report on integrating #cleancooking into national energy access planning?    This report aims to inform #energyaccess planning in low- and middle-income countries, addressing both clean cooking and electricity access.     It highlights the role of electric cooking #eCooking as a key element in this integration.    Find out more here: https://lnkd.in/dmMAFH_p  

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New Oxford Institute for Energy Studies paper looks at Reforming Capacity Markets and How to Incorporate the Flexibility of Residential Consumers 👉 Link to OIES Paper: https://lnkd.in/dQDGNjUD Key points:   💠 Resource adequacy has become more challenging in low carbon power systems due to lower #electricity prices and the missing money problem 💠 #renewableresources make traditional resource adequacy techniques obsolete since generation scarcity can occur even at times of low demand 💠 Capacity remuneration mechanisms have been proposed to provide an additional stream of revenues for resources 💠 One such mechanism are capacity markets where generators and other resources make offers based on their unavoidable costs to keep them available and transmission system operator determines the demand based on forecasted peak load 💠 Capacity markets may lead to over capacity investments by not letting consumers express their value of continuity of supply 💠 Also capacity markets do not have appropriate temporal and spatial granularity to provide signals for capacity investments at right location and with appropriate temporal characteristics 💠 This paper proposes construction of capacity demand curve based on consumers’ continuity of supply preferences and introduce a refined capacity product for trading in capacity markets incorporating specifics about location, flexibility, and adjustments to the calculation of firm capacity profile to ensure resource adequacy in future low carbon power systems #capacitymarkets #resourceadequcy #lowcarbon #powersystem

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The COP29 Presidency outlines key strategic priorities for 2024 to enhance climate ambition and enable action - in solidarity for a green world - with a focus on : - Climate finance: getting an agreement on the The New Collective Quantified Goal on Climate Finance (NCQG) - NDCs: mobilizing all Parties to submit new Nationally Determined Contributions and climate action plans that match the level of ambition agreed in Paris. See also the timelines with the Heads of States and Leaders Summit taking place from November 11th to 13th and the finance day on the 14th of November 2024.

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#Solar plus #batteries are cheaper and faster to build than new #coal in #China to meet peak demand growth. Check out our latest blogpost in Carbon Brief. Fredrich Kahrl Wanyuan Song Simon Evans

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