Reducing energy imports and mitigating climate change are often portrayed as complementary. However, new research shows that while ambitious climate policies would lower energy imports, energy independence would not bring significant climate benefits.
“To know which policies are likely to be pursued, we need a better understanding of their relative cost. If a government is interested in reducing energy imports, how much are they willing to pay to achieve that? Specifically are they willing to pay for expensive climate stabilisation policies and have energy security as a ‘co-benefit’ or is it more attractive to separately pursue much cheaper measures for reducing imports?” says Jewell.
Aleh Cherp, a co-author with Central European University in Budapest and the International Institute for Industrial Environmental Economics (IIIEE) at Lund University, believes that the answer to this question depends on how different the costs of the two objectives are. “If it costs about the same to stop climate change and reduce imports, both policies are more likely to be adopted together. If, as our study shows they are very different, it’s more likely that the much cheaper energy independence would be pursued separately. Of course, we need to analyse more real-life policies to check whether this hypothesis is true.” The study also examined a less ambitious climate policy based on pledges similar to those submitted to the Paris climate meeting in December. It shows that the policy cost for these pledges is comparable to the policy cost for ambitious energy security policies, while limiting climate change to 2.5°C to 3.2°C by 2100. IIASA Energy Program Director Keywan Riahi says, “The main question is how to mobilise further investments which allows us to meet both objectives.” Reference Jewell J, Vinichenko V, McCollum D, Bauer N, Riahi K, Aboumahboub T, Fricko O, Harmsen M, Kober T, Krey V, Marangoni G, Tavoni M, van Vuuren DP, van der Zwaan B, Cherp A. (2016). Comparison and interactions between the long-term pursuit of energy independence and climate policies. Nature Energy. 10.1038/nenergy.2016.73.