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Deep Decarbonization in Practice
Prepared By:
Ben Haley
August 7, 2017
Contents
• Deep decarbonization
defined
• Highlights and lessons
learned
• Conclusions
www.evolved.energy page 2
About Evolved Energy Research
www.evolved.energy
• Energy consulting firm focused on addressing key energy sector
challenges posed by climate change
• Also function as the research team representing the U.S. in the Deep
Decarbonization Pathways Project
• Lead developers of EnergyPATHWAYS
Deep Decarbonization Defined
www.evolved.energy page 4
Definitions
Deep Decarbonization:
Transformation of the energy
economy consistent with
keeping global warming less
than 2°C
Definitions
6
Pathway:
Plan or blueprint to
achieve deep
decarbonization of the
energy system
Definitions
www.evolved.energy page 7
Energy System:
The network of all
energy producing,
converting, delivering,
or consuming
infrastructure
Deep decarbonization pathways
www.evolved.energy page 8
Charting a course for climate mitigation
• Is deep decarbonization of
the economy possible?
• What parts of the economy
can be decarbonized?
• What are the potential
pathways to do this?
• What are the best practices
in navigating the path
forward?
What Will the Future Look Like?
www.evolved.energy page 9
• Pathways are not a predictive exercise
but instead are focused on backcasting
• Knowing what we know now, how would
we achieve a deeply decarbonized
energy system and what does that
mean for decisions we make today?
• Fundamentals of decarbonized
systems are the same, but many
choices about “how” to achieve climate
targets remain
• Pathways analyses can provide a
framework for communication,
planning, and ultimately
implementation
Who is developing pathways?
www.evolved.energy page 10
Deep Decarbonization Pathways Project
http://deepdecarbonization.org/
• Global project – commissioned by
United Nations
• 16 country teams participated
representing ¾ of current GHG
emissions
• Compiled report on implication of
national plans
• Created a meaningful impact on the
Paris accord (next slide)
Who is developing pathways? Cont.
www.evolved.energy page 11
Paris Climate Accord
• Article 4, Paragraph 19 to the
Paris Agreement, states that
“all Parties should strive to
formulate and communicate
long-term low greenhouse gas
emission development
strategies…”
• 175 + signatories to the
agreement with long-term
plans due by 2020
Who is developing these pathways? Cont.
www.evolved.energy page 12
Completed and Ongoing Public Projects
Geography Experience
United States
• Deep Decarbonization Pathways Project (DDPP). Analyzed the technical and economic feasibility of reducing U.S.
GHG emissions to 80% below 1990 levels by 2050, and the policy implications of this transition
• Risky Business Project. Assessed the scale of economic opportunities and infrastructure requirements across multiple
clean energy economy scenarios
• National Renewable Energy Laboratory (NREL). Evaluating the implications of electrifying the U.S. economy, including
the need for new generation, distribution and transmission investments, as part of NREL’s POWER-UP study
California
• Southern California Gas Company (SCG). Examined the potential role of decarbonized gas distributed via the existing
gas pipeline infrastructure to help meet the state’s GHG goals (E3)
• Governor’s Office. Evaluated various deep decarbonization pathways to inform 2030 GHG target-setting (E3)
Washington
State
• Office of the Governor and Office of Financial Management. Designed and evaluated deep decarbonization pathways
in order to support action to meet 2050 GHG emission targets
New York State
• New York State Energy Research and Development Authority (NYSERDA). Analyzing technology pathways consistent
with the state’s 2030 and 2050 GHG reduction targets to inform the 2017 State Energy Plan
Midwest
• RE-AMP Network. Assisting a network of non-profits and foundations across eight Midwestern states to incorporate
deep decarbonization into their analysis and strategy development
Mexico
• Sustainable Development Solutions Network. Collaborating with the Mexican DDPP research team to evaluate future
high penetrations of renewable energy in the context of Mexico’s energy reform and climate commitments
Highlights and Lessons Learned
www.evolved.energy page 13
Three Pillars of Deep Decarbonization
www.evolved.energy page 14
• Breadth of analyses conducted has given us a good basis to draw
some high-level conclusions about what a deeply decarbonized energy
system must include
• We call these the Three Pillars and they are:
1. Electrification: Switching to electricity as final energy product for some end-uses (i.e.
electric vehicles).
2. Energy Efficiency: Using less energy to perform the same energy service (i.e. LED
lightbulbs provide the same lighting service with less electricity)
3. Electricity Decarbonization: Generating more energy from clean and renewable
sources and less from fossil fuels
Three Pillars in Practice
www.evolved.energy page 15
United States
• 2x increase in the
share of energy from
electricity or
electrically derived
fuels
• ~99% decrease in the
emissions intensity of
electricity generation
• 3x drop in energy use
per unit GDP
2050 U.S. Benchmarks
Three Pillars in Practice
www.evolved.energy page 16
China, India and United Kingdom
China
India
UK
Source: figures from Deep Decarbonization Pathways Project country reports (2015)
Five Elements of Deep Decarbonization
www.evolved.energy page 17
Electricity Mix
Electricity
Balancing
Biomass
Supply and
Use
Fuel Switching
Carbon
Capture and
Sequestration
• While the energy systems
have very concrete
similarities, the options for
achieving them allows for
flexibility which reflects
• Resource endowments
• Societal and cultural preferences
• Air quality considerations
• Equity priorities
• Regulatory regimes
Multiple Feasible Technology Pathways Exist
www.evolved.energy page 18
Four scenarios that reach per capita energy emissions of 1.7 tonnes per person
2050 Target =
750 MMT CO2
5,153
5,639
746 740 747 741
-
1,000
2,000
3,000
4,000
5,000
6,000
2014 2050
Reference
2050 Mixed 2050 High
Renewables
2050 High
Nuclear
2050 High
CCS
Mt
CO2
Pathways named after their primary
electricity generation technology, but many
other differences exist between cases
Current Energy System
www.evolved.energy page 19
U.S.
Deeply Decarbonized Energy System
www.evolved.energy page 20
U.S
Net Energy System Costs
www.evolved.energy page 21
% of U.S. GDP for the Mixed Case
2050 Energy System Costs:
6.4% of GDP
2015 Energy System Costs:
7.1% of GDP
Change in Consumer Costs
www.evolved.energy page 22
Monthly net costs per US household, 2050
Consumers pay a premium for
an electric vehicle and
electricity, but less on gasoline
Consumers pay a premium for
efficient equipment and
decarbonized fuel but less on
fossil fuel
Net household cost impact is
small, as the incremental cost
of equipment is offset by less
fossil fuel expenditures
1
2
3
1
2
3
Net Household Cost Increase
= $36/month
costs in $2014
Conclusions
www.evolved.energy page 23
• Ambitious economy wide deep decarbonization by 2050 is possible
• Deep decarbonization of one sector alone will not be sufficient to meet
GHG reduction goals
• Multiple pathways exist to achieve deep decarbonization using existing
technology
• Imperative to stay flexible – more pathways may appear as technology
changes
• Achieving deep decarbonization requires collaborative, multi-sector
action
THANK YOU
2443 Fillmore Street, No. 380‐5034
San Francisco, CA, 94115
(415) 580‐1804 info@evolved.energy www.evolved.energy

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PGE_Energy_Forum_4-August-2017 (1).pdf

  • 1. Deep Decarbonization in Practice Prepared By: Ben Haley August 7, 2017
  • 2. Contents • Deep decarbonization defined • Highlights and lessons learned • Conclusions www.evolved.energy page 2
  • 3. About Evolved Energy Research www.evolved.energy • Energy consulting firm focused on addressing key energy sector challenges posed by climate change • Also function as the research team representing the U.S. in the Deep Decarbonization Pathways Project • Lead developers of EnergyPATHWAYS
  • 5. Definitions Deep Decarbonization: Transformation of the energy economy consistent with keeping global warming less than 2°C
  • 6. Definitions 6 Pathway: Plan or blueprint to achieve deep decarbonization of the energy system
  • 7. Definitions www.evolved.energy page 7 Energy System: The network of all energy producing, converting, delivering, or consuming infrastructure
  • 8. Deep decarbonization pathways www.evolved.energy page 8 Charting a course for climate mitigation • Is deep decarbonization of the economy possible? • What parts of the economy can be decarbonized? • What are the potential pathways to do this? • What are the best practices in navigating the path forward?
  • 9. What Will the Future Look Like? www.evolved.energy page 9 • Pathways are not a predictive exercise but instead are focused on backcasting • Knowing what we know now, how would we achieve a deeply decarbonized energy system and what does that mean for decisions we make today? • Fundamentals of decarbonized systems are the same, but many choices about “how” to achieve climate targets remain • Pathways analyses can provide a framework for communication, planning, and ultimately implementation
  • 10. Who is developing pathways? www.evolved.energy page 10 Deep Decarbonization Pathways Project http://deepdecarbonization.org/ • Global project – commissioned by United Nations • 16 country teams participated representing ¾ of current GHG emissions • Compiled report on implication of national plans • Created a meaningful impact on the Paris accord (next slide)
  • 11. Who is developing pathways? Cont. www.evolved.energy page 11 Paris Climate Accord • Article 4, Paragraph 19 to the Paris Agreement, states that “all Parties should strive to formulate and communicate long-term low greenhouse gas emission development strategies…” • 175 + signatories to the agreement with long-term plans due by 2020
  • 12. Who is developing these pathways? Cont. www.evolved.energy page 12 Completed and Ongoing Public Projects Geography Experience United States • Deep Decarbonization Pathways Project (DDPP). Analyzed the technical and economic feasibility of reducing U.S. GHG emissions to 80% below 1990 levels by 2050, and the policy implications of this transition • Risky Business Project. Assessed the scale of economic opportunities and infrastructure requirements across multiple clean energy economy scenarios • National Renewable Energy Laboratory (NREL). Evaluating the implications of electrifying the U.S. economy, including the need for new generation, distribution and transmission investments, as part of NREL’s POWER-UP study California • Southern California Gas Company (SCG). Examined the potential role of decarbonized gas distributed via the existing gas pipeline infrastructure to help meet the state’s GHG goals (E3) • Governor’s Office. Evaluated various deep decarbonization pathways to inform 2030 GHG target-setting (E3) Washington State • Office of the Governor and Office of Financial Management. Designed and evaluated deep decarbonization pathways in order to support action to meet 2050 GHG emission targets New York State • New York State Energy Research and Development Authority (NYSERDA). Analyzing technology pathways consistent with the state’s 2030 and 2050 GHG reduction targets to inform the 2017 State Energy Plan Midwest • RE-AMP Network. Assisting a network of non-profits and foundations across eight Midwestern states to incorporate deep decarbonization into their analysis and strategy development Mexico • Sustainable Development Solutions Network. Collaborating with the Mexican DDPP research team to evaluate future high penetrations of renewable energy in the context of Mexico’s energy reform and climate commitments
  • 13. Highlights and Lessons Learned www.evolved.energy page 13
  • 14. Three Pillars of Deep Decarbonization www.evolved.energy page 14 • Breadth of analyses conducted has given us a good basis to draw some high-level conclusions about what a deeply decarbonized energy system must include • We call these the Three Pillars and they are: 1. Electrification: Switching to electricity as final energy product for some end-uses (i.e. electric vehicles). 2. Energy Efficiency: Using less energy to perform the same energy service (i.e. LED lightbulbs provide the same lighting service with less electricity) 3. Electricity Decarbonization: Generating more energy from clean and renewable sources and less from fossil fuels
  • 15. Three Pillars in Practice www.evolved.energy page 15 United States • 2x increase in the share of energy from electricity or electrically derived fuels • ~99% decrease in the emissions intensity of electricity generation • 3x drop in energy use per unit GDP 2050 U.S. Benchmarks
  • 16. Three Pillars in Practice www.evolved.energy page 16 China, India and United Kingdom China India UK Source: figures from Deep Decarbonization Pathways Project country reports (2015)
  • 17. Five Elements of Deep Decarbonization www.evolved.energy page 17 Electricity Mix Electricity Balancing Biomass Supply and Use Fuel Switching Carbon Capture and Sequestration • While the energy systems have very concrete similarities, the options for achieving them allows for flexibility which reflects • Resource endowments • Societal and cultural preferences • Air quality considerations • Equity priorities • Regulatory regimes
  • 18. Multiple Feasible Technology Pathways Exist www.evolved.energy page 18 Four scenarios that reach per capita energy emissions of 1.7 tonnes per person 2050 Target = 750 MMT CO2 5,153 5,639 746 740 747 741 - 1,000 2,000 3,000 4,000 5,000 6,000 2014 2050 Reference 2050 Mixed 2050 High Renewables 2050 High Nuclear 2050 High CCS Mt CO2 Pathways named after their primary electricity generation technology, but many other differences exist between cases
  • 20. Deeply Decarbonized Energy System www.evolved.energy page 20 U.S
  • 21. Net Energy System Costs www.evolved.energy page 21 % of U.S. GDP for the Mixed Case 2050 Energy System Costs: 6.4% of GDP 2015 Energy System Costs: 7.1% of GDP
  • 22. Change in Consumer Costs www.evolved.energy page 22 Monthly net costs per US household, 2050 Consumers pay a premium for an electric vehicle and electricity, but less on gasoline Consumers pay a premium for efficient equipment and decarbonized fuel but less on fossil fuel Net household cost impact is small, as the incremental cost of equipment is offset by less fossil fuel expenditures 1 2 3 1 2 3 Net Household Cost Increase = $36/month costs in $2014
  • 23. Conclusions www.evolved.energy page 23 • Ambitious economy wide deep decarbonization by 2050 is possible • Deep decarbonization of one sector alone will not be sufficient to meet GHG reduction goals • Multiple pathways exist to achieve deep decarbonization using existing technology • Imperative to stay flexible – more pathways may appear as technology changes • Achieving deep decarbonization requires collaborative, multi-sector action
  • 24. THANK YOU 2443 Fillmore Street, No. 380‐5034 San Francisco, CA, 94115 (415) 580‐1804 info@evolved.energy www.evolved.energy