Potential for large-scale CO2 removal via enhanced rock weathering with croplands.

Enhanced silicate rock weathering (ERW), deployable with croplands, has potential use for atmospheric carbon dioxide (CO2) removal (CDR), which is now necessary to mitigate anthropogenic climate change1. ERW also has possible co-benefits for improved food and soil security, and reduced ocean acidification2-4. Here we use an integrated performance modelling approach to make an initial techno-economic assessment for 2050, quantifying how CDR potential and costs vary among nations in relation to business-as-usual energy policies and policies consistent with limiting future warming to 2 degrees Celsius5. China, India, the USA and Brazil have great potential to help achieve average global CDR goals of 0.5 to 2 gigatonnes of carbon dioxide (CO2) per year with extraction costs of approximately US$80-180 per tonne of CO2. These goals and costs are robust, regardless of future energy policies. Deployment within existing croplands offers opportunities to align agriculture and climate policy. However, success will depend upon overcoming political and social inertia to develop regulatory and incentive frameworks. We discuss the challenges and opportunities of ERW deployment, including the potential for excess industrial silicate materials (basalt mine overburden, concrete, and iron and steel slag) to obviate the need for new mining, as well as uncertainties in soil weathering rates and land-ocean transfer of weathered products.

The momentum of the solar energy transition.

Decarbonisation plans across the globe require zero-carbon energy sources to be widely deployed by 2050 or 2060. Solar energy is the most widely available energy resource on Earth, and its economic attractiveness is improving fast in a cycle of increasing investments. Here we use data-driven conditional technology and economic forecasting modelling to establish which zero carbon power sources could become dominant worldwide. We find that, due to technological trajectories set in motion by past policy, a global irreversible solar tipping point may have passed where solar energy gradually comes to dominate global electricity markets, without any further climate policies. Uncertainties arise, however, over grid stability in a renewables-dominated power system, the availability of sufficient finance in underdeveloped economies, the capacity of supply chains and political resistance from regions that lose employment. Policies resolving these barriers may be more effective than price instruments to accelerate the transition to clean energy.

An assessment of Japanese carbon tax reform using the E3MG econometric model.

This paper analyses the potential economic and environmental effects of carbon taxation in Japan using the E3MG model, a global macroeconometric model constructed by the University of Cambridge and Cambridge Econometrics. The paper approaches the issues by considering first the impacts of the carbon tax in Japan introduced in 2012 and then the measures necessary to reduce Japan's emissions in line with its Copenhagen pledge of -25% compared to 1990 levels. The results from the model suggest that FY2012 Tax Reform has only a small impact on emission levels and no significant impact on GDP and employment. The potential costs of reducing emissions to meet the 25% reduction target for 2020 are quite modest, but noticeable. GDP falls by around 1.2% compared to the baseline and employment by 0.4% compared to the baseline. But this could be offset, with some potential economic benefits, if revenues are recycled efficiently. This paper considers two revenue recycling scenarios. The most positive outcome is if revenues are used both to reduce income tax rates and to increase investment in energy efficiency. This paper shows there could be double dividend effects, if Carbon Tax Reform is properly designed.

Non-equilibrium time-dependent solution to discrete choice with social interactions.

We solve the binary decision model of Brock and Durlauf (2001) in time using a method reliant on the resolvent of the master operator of the stochastic process. Our solution is valid when not at equilibrium and can be used to exemplify path-dependent behaviours of the binary decision model. The solution is computationally fast and is indistinguishable from Monte Carlo simulation. Well-known metastable effects are observed in regions of the model's parameter space where agent rationality is above a critical value, and we calculate the time scale at which equilibrium is reached using a highly accurate method based on first passage time theory. In addition to considering selfish agents, who only care to maximise their own utility, we consider altruistic agents who make decisions on the basis of maximising global utility. Curiously, we find that although altruistic agents coalesce more strongly on a particular decision, thereby increasing their utility in the short-term, they are also more prone to being subject to non-optimal metastable regimes as compared to selfish agents. The method used for this solution can be easily extended to other binary decision models, including Kirman's model of ant recruitment Kirman (1993), and under reinterpretation also provides a time-dependent solution to the mean-field Ising model. Finally, we use our time-dependent solution to construct a likelihood function that can be used on non-equilibrium data for model calibration. This is a rare finding, since often calibration in economic agent based models must be done without an explicit likelihood function. From simulated data, we show that even with a well-defined likelihood function, model calibration is difficult unless one has access to data representative of the underlying model.

Net emission reductions from electric cars and heat pumps in 59 world regions over time.

Electrification of passenger road transport and household heating features prominently in current and planned policy frameworks to achieve greenhouse gas emissions reduction targets. However, since electricity generation involves using fossil fuels, it is not established where and when the replacement of fossil fuel-based technologies by electric cars and heat pumps can effectively reduce overall emissions. Could electrification policy backfire by promoting their diffusion before electricity is decarbonised? Here, we analyse current and future emissions trade-offs in 59 world regions with heterogeneous households, by combining forward-looking integrated assessment model simulations with bottom-up life-cycle assessment. We show that already under current carbon intensities of electricity generation, electric cars and heat pumps are less emission-intensive than fossil fuel-based alternatives in 53 world regions, representing 95% of global transport and heating demand. Even if future end-use electrification is not matched by rapid power sector decarbonisation, it likely avoids emissions in almost all world regions.