A new World Bank report concludes that just a few key policies would boost the global economy up to $2.6 trillion a year by 2030 while significantly reducing carbon emissions.
The Bank finds that if all six embrace three sets of policies for clean transportation plus energy efficiency in industry in buildings, “the annual benefits of just these policies in 2030 include an estimated GDP growth of between $1.8 trillion and $2.6 trillion.” Furthermore, the report found that “these policies alone would account for 30 percent of the total reduction needed in 2030 to limit global warming to 2°C [3.6°F].”
The overall benefits are staggering, as these policies avoid 94,000 premature pollution-related deaths and 8.5 billion metric tons of carbon dioxide equivalent (CO2e) emissions. They save nearly 16 billion kilowatt-hours of energy — roughly equivalent to taking 2 billion cars off the road.
This finding matches that of the recent International Energy Agency (IEA) report, “Energy Technology Perspectives.” The IEA found that an aggressive effort to deploy renewable energy and energy efficiency (and energy storage) to keep global warming below the dangerous threshold of 2°C would be astoundingly cost-effective, “resulting in net savings of $71 trillion” by 2050.
And both reports are in line with the latest finding by the world’s scientists and governments that stabilizing at 2°C would have a net effect on growth of 0.06 percent per year — essentially no effect at all compared to the staggering amount of climate damagesavoided.