Climate targets set the goalposts, we advise how best to keep within them.
Reducing greenhouse gas emissions is an international priority. Setting targets or carbon budgets is often influenced by a number of considerations. We have helped clients understand the range of potential options for lowering emissions, the associated impacts, costs and benefits and how these differ across sectors, technologies and over time.
We have also advised clients on the policies that can help achieve emissions reductions, at least cost. For example, permit trading, taxes or charges and regulation. Our teams develop the evidence on effective policy design, expected costs and benefits in the short and long-term (policy appraisal) and how the policies have performed in practice (policy evaluation).
There are many ways to reduce greenhouse gas emissions. On the demand side, greater energy efficiency, low carbon heating, transport technologies and behaviour change is needed. Changes on the demand side can complement and encourage supply-side shifts to low carbon energy. For example, greater demand-side response in energy use will increase the options for managing less predictable energy flows from renewable sources.
On the energy supply-side, de-carbonisation can be achieved by increasing electricity generation from renewable energy sources using carbon capture and storage (CCS) technologies on fossil fuel generators, increasing nuclear power generation and switching from gas to biofuels.
These developments will challenge existing market and regulatory models. We help our clients understand the challenges and the technological, behavioural and policy options available, along with their costs and benefits.
Recent areas we have advised clients on include: