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The sluggish rate of progress made in the energy transition is putting the goal of reducing greenhouse gas emissions to zero by 2050 at risk. On the positive side, with early warning indicators guiding timely and targeted interventions, we can accelerate progress across several domains. An international study by the Research Institute for Sustainability - Helmholtz Centre Potsdam (RIFS) in cooperation with the Bertelsmann Stiftung provides an approach to evaluate the electricity, private transport and building heating sectors.
This approach allows for the first-ever comparison of how close countries are to achieving climate neutrality, where they are being held back, and what opportunities they have to accelerate progress. "Systemic change towards zero emissions before mid-century has yet to occur in most countries", says Germán Bersalli from the RIFS, lead author of the study - "However, examples of pioneering nations in various sectors demonstrate that accelerating climate transformation is achievable with substantial policy efforts.” The country comparison shows that in each sector, at least one country has made substantial headway toward complete emission-free operations. Decarbonization by mid-century is therefore attainable if we improve the alignment of policy targets, regulations, and infrastructure modifications. Denmark and Norway are rapidly advancing in their transitions to green electricity and heating. Norway is also on the verge of completing the switch to e-mobility. Germany and the UK still have considerable ground to cover in the transition to renewable heating, transportation, and electricity.
Biggest barrier to accelerating the energy transition: Power grid expansion
Although Germany has made progress in expanding renewable energies, it remains hindered by its underdeveloped power grid infrastructure. Accelerating its progress would involve establishing official targets for the expansion of distribution grids and electricity storage capacities, as well as a better alignment of transmission network goals. Denmark, should it continue along its current trajectory, could achieve the phase-out of fossil fuel-based electricity generation by 2029. Denmark’s ambitious targets for fossil-free energy are aligned with transmission network expansion. Norway has already fully transitioned to renewable energy for electricity, but still faces the challenge of balancing this with domestic oil production, a key source of revenue for the country. The UK requires a clear strategy for phasing out gas pro-duction and specific targets for expanding its transmission and distribution networks.
Major hurdles to overcome in the road transport transition
Given the high prices for electric cars and the end of financial incentives in the sector, a short-term increase in electric vehicle (EV) adoption in Germany is unlikely. Although the share of internal combustion engine (ICE) vehicles in the fleet is declining, the annual reduction rate must increase from 1.6% to 4.2% to achieve emission-free status by 2045. The expansion of charging infrastructure is also lagging; despite 17,700 new charging stations being installed in 2022, 124,000 stations per year are needed. Norway leads Europe in terms of e-mobility and could achieve a 100% market share of EV sales next year if current trends continue. “Norway's progress in e-mobility is based on the fact that the country took early action to provide financial incentives for emission-free vehicles,” says Thorsten Hellmann, economics expert at the Bertelsmann Stiftung. In contrast, Denmark and the UK lack clear strategies here.
Divergent success rates in heating transition
Although Germany excels in terms of the energy efficiency of buildings, it must substantially accelerate the phase-out of gas and oil heating if it hopes to get on track with reducing CO2 emissions and achieving climate neutrality. Germany must escalate its annual heat pump in-stallations by nearly twofold to achieve its 2030 goal of 6 million heat pumps. In contrast, Norway has nearly fully decarbonized its heating sector and will achieve 100% market cover-age with heat pumps by 2030, though it lacks policy targets for renovating existing buildings. Denmark has proved very successful in transitioning to emission-free heating, having instituted a ban on oil and gas boilers since 2013. In both countries, the heating transition was facilitated by high fossil fuel taxes and generous state subsidies for households. Additionally, all buildings in both countries will soon be equipped with smart meters. The UK lags significantly in the heating transition; CO2 emissions in the construction sector increased last year, and energy consumption per square meter in 2021 remained at 2016 levels.
“To achieve zero emissions, we must accelerate policy action across all climate-relevant sec-tors and adopt a more systemic approach to measuring progress. Assessing sectoral climate transitions based solely on emissions reductions is inadequate”, so the conclusion of RIFS-researcher Bersalli. “It is crucial to continuously monitor how systems are evolving toward full decarbonization in the coming decades, including the decline of carbon-intensive technolo-gies, the rise of zero-emission alternatives, infrastructure adaptation, and the implementation of regulatory reforms.”
Dr. Germán Bersalli
Wissenschaftlicher Mitarbeiter
german.bersalli@rifs-potsdam.de
+49 331 6264-22494
Bersalli, G., Brien, L., Gottheit, D., Lilliestam, J. 2024. Assessing Zero-Emissions Energy Transitions:
A Systemic View. Bertelsmann Stiftung (ed.) DOI 10.11586/2024113
https://www.rifs-potsdam.de/sites/default/files/2024-10/Assessing_Zero-Emissions...
G. Bersalli, C. Schiller, T. Hellmann, L. Mussler und J. Lilliestam: Erfüllung der Klimaziele: Wie weit sind führende Länder beim Übergang zu kohlenstofffreier Energie für Heizung, Straßenverkehr und Stromversorgung?, Policy Brief 2024/01. Gütersloh, Bertelsmann Stiftung. DOI 10.11586/2024114
https://www.rifs-potsdam.de/sites/default/files/2024-10/PolicyBrief_Energiewende...
https://www.rifs-potsdam.de/en/news/where-leading-countries-stand-transition-ren...
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