Accelerating Net-Zero Transitions: Technology, Firms, and Policy

Abstract

Explore the multifaceted journey toward net-zero emissions by studying the synergy between cutting-edge climate technologies, corporate strategies, markets, and impactful policy frameworks. Examine case studies and engage in discussions on how technology innovation, corporate actions, and policy decisions intersect to drive sustainable change.

Objective

Goal: Understand how technology, firms, and policy can accelerate the transition towards net zero 1.) Firm: Understand the distinct role of firms in scaling climate technology, the role, scope, and stringency of voluntary and mandatory targets, and the differences between companies 2.) Technology: Understand the difference between CCUS and CDR and understand the key technologies, their advantages, and drawbacks 3.) Policy: Understand the unique role of policy and key pieces of CDR legislation

Content

We face a climate and sustainability crisis which requires a rapid transition to net-zero emissions by mid-century. However, some hard-to-decarbonise sectors will likely have residual emissions well beyond the middle of this century that must either be removed from the atmosphere or captured at the source. While Carbon Dioxide Removal (CDR) and Carbon Capture and Storage (CCS) technologies and companies exist today, their deployed capacity today is low, and it will be challenging to scale the technologies, infrastructure and industry fast enough to balance a significant share of residual emissions by 2050. This course will cover the synergies between cutting-edge climate technologies, corporate strategies, markets, and impactful policy frameworks. Students are enabled to answer critical questions such as: What are barriers hindering the diffusion of a certain climate technology? What roles do firms play in scaling climate technologies? What is the difference between CCUS and CDR, and what are key technologies? What role does policy play in the deployment of climate technologies? The lecture is divided into four parts: 1. Technologies: Introduction to essential frameworks for assessing climate technologies' environmental and economic performance and overview of key technologies for reaching net zero. 2. Role of firms in technology diffusion: Overview of the role of firms in the net-zero transition. What role do voluntary targets play in the transition? What role can different company archetypes play in the diffusion of climate technologies? 3. Role of markets in net-zero transitions: Understanding the role of markets in net zero transitions. What is the difference between compliance and voluntary carbon markets? How do markets potentially accelerate or hinder a fast transition to net-zero? What other markets are relevant for net-zero transitions? 4. Role of policy and politics in net-zero transition: Understanding the need for policy in technology diffusion and net-zero transitions and how policy can support technology diffusion. What is the motivation for policymakers to accelerate climate technology diffusion? Why is CDR legislation central to the diffusion of these technologies? The list of concepts, tools and techniques applied and discussed in this lecture includes: - Analytical tools to assess the environmental performance of climate technologies (e.g. Life Cycle-Assessment). - Economic view on the diffusion of climate technologies. - Policy view on the diffusion of climate technologies. - Evolutionary perspective (e.g. technological learning). - Relevant environmental policies (e.g. standards, labels, carbon pricing). - Relevant market-based approaches (e.g. voluntary vs. compliance markets). - Techniques for convincing presentations (e.g. TED-style presentation).

Resources