Forum for Science, Industry and Business

Sponsored by:     3M 
Search our Site:

 

What will climate policy mean for coal?

31.03.2014

Limiting climate change to 2°C means shutting down coal power plants – an unpopular proposition for coal power companies. But a new study shows that delaying climate policies could prove even worse for power plant owners.

Coal power plants are a major source of greenhouse gas emissions, and new plants are planned around the world, particularly in India and China. These new power plants are built to run for 30-50 years, paying off only after years of operation.

But stringent climate policies could make the cost of emission so high that coal power generation is no longer competitive, leaving new power plants sitting idle and their owners and investors with huge losses—a problem known as stranded capacity.

“If we are serious about meeting climate targets, then the reality is that eventually we will have to start shutting down coal-fired power plants. But the longer we delay climate action, the more stranded capacity we’ll have,” says IIASA researcher Nils Johnson, who led the new study, published today in the journal Technological Forecasting and Social Change.

“Delaying action encourages utilities to build more coal-fired power plants in the near-term. Then, when policies are finally introduced, we have to phase out coal even more quickly and more investments go to waste,” he says.

The new study finds that as much as 37% of global investment in coal power plants over the next 40 years could be stranded if action is delayed, with China and India bearing most of these costs. The study explored strategies to reduce stranded capacity in coal power plants, while limiting future climate change to the internationally agreed 2°C target.

It shows that one key is to avoid new coal power plant construction. Potential options include shifting to other kinds of power plants, keeping old coal plants running, and improving energy efficiency. By reducing the amount of energy used, efficiency improvements also reduce the amount of energy that must be generated and, therefore, the need for new power plants.

“The best strategy would be to stop building new coal power plants starting today,” says Johnson. However, the researchers also explored what would happen in a perhaps more realistic case, if governments are not yet willing to limit new plant construction.

Johnson and colleagues in IIASA’s Energy Program also examined two additional strategies with this limitation: grandfathering existing plants so that they are exempt from future climate policies, or retrofitting plants with Carbon Capture and Storage (CCS), a yet unproven technology that would capture greenhouse gas emissions and store them underground.

However, both of these strategies create a major risk that average temperatures will rise above the 2°C goal—a target set by international agreement in order to avoid the most dire consequences of climate change. While the grandfathering strategy would allow power plant operators to keep the old ones running, it would lead to greater emissions and reduced chances of limiting climate change to the 2°C target.

And while CCS could theoretically be used to retrofit coal power plants, the study shows that hundreds of power plants would need retrofitting in a short period of time—a lot of pressure on a technology that as yet remains both technically and politically uncertain. “CCS could buy us time, but what if it doesn’t work? It’s a risky strategy,” says Volker Krey, a co-author on the paper.

Reference
Johnson N, Krey V, McCollum DL, Rao S, Riahi K, Rogelj J. 2014. Stranded on a low-carbon planet: Implications of climate policy for the phase-out of coal-based power plants. Technological Forecasting and Social Change. http://www.sciencedirect.com/science/article/pii/S0040162514000924

For more information please contact:

Nils Johnson
Research Scholar
Energy
+43(0) 2236 807 490
johnsonn@iiasa.ac.at

Katherine Leitzell
IIASA Press Office
Tel: +43 2236 807 316
Mob: +43 676 83 807 316
leitzell@iiasa.ac.at

About IIASA:
IIASA is an international scientific institute that conducts research into the critical issues of global environmental, economic, technological, and social change that we face in the twenty-first century. Our findings provide valuable options to policy makers to shape the future of our changing world. IIASA is independent and funded by scientific institutions in Africa, the Americas, Asia, Oceania, and Europe. www.iiasa.ac.at

Katherine Leitzell | idw - Informationsdienst Wissenschaft

Further reports about: Analysis Climate change IIASA coal power plants

More articles from Ecology, The Environment and Conservation:

nachricht Bioinvasion on the rise
15.02.2017 | Universität Konstanz

nachricht Litter Levels in the Depths of the Arctic are On the Rise
10.02.2017 | Alfred-Wegener-Institut, Helmholtz-Zentrum für Polar- und Meeresforschung

All articles from Ecology, The Environment and Conservation >>>

The most recent press releases about innovation >>>

Die letzten 5 Focus-News des innovations-reports im Überblick:

Im Focus: Breakthrough with a chain of gold atoms

In the field of nanoscience, an international team of physicists with participants from Konstanz has achieved a breakthrough in understanding heat transport

In the field of nanoscience, an international team of physicists with participants from Konstanz has achieved a breakthrough in understanding heat transport

Im Focus: DNA repair: a new letter in the cell alphabet

Results reveal how discoveries may be hidden in scientific “blind spots”

Cells need to repair damaged DNA in our genes to prevent the development of cancer and other diseases. Our cells therefore activate and send “repair-proteins”...

Im Focus: Dresdner scientists print tomorrow’s world

The Fraunhofer IWS Dresden and Technische Universität Dresden inaugurated their jointly operated Center for Additive Manufacturing Dresden (AMCD) with a festive ceremony on February 7, 2017. Scientists from various disciplines perform research on materials, additive manufacturing processes and innovative technologies, which build up components in a layer by layer process. This technology opens up new horizons for component design and combinations of functions. For example during fabrication, electrical conductors and sensors are already able to be additively manufactured into components. They provide information about stress conditions of a product during operation.

The 3D-printing technology, or additive manufacturing as it is often called, has long made the step out of scientific research laboratories into industrial...

Im Focus: Mimicking nature's cellular architectures via 3-D printing

Research offers new level of control over the structure of 3-D printed materials

Nature does amazing things with limited design materials. Grass, for example, can support its own weight, resist strong wind loads, and recover after being...

Im Focus: Three Magnetic States for Each Hole

Nanometer-scale magnetic perforated grids could create new possibilities for computing. Together with international colleagues, scientists from the Helmholtz Zentrum Dresden-Rossendorf (HZDR) have shown how a cobalt grid can be reliably programmed at room temperature. In addition they discovered that for every hole ("antidot") three magnetic states can be configured. The results have been published in the journal "Scientific Reports".

Physicist Dr. Rantej Bali from the HZDR, together with scientists from Singapore and Australia, designed a special grid structure in a thin layer of cobalt in...

All Focus news of the innovation-report >>>

Anzeige

Anzeige

Event News

Booth and panel discussion – The Lindau Nobel Laureate Meetings at the AAAS 2017 Annual Meeting

13.02.2017 | Event News

Complex Loading versus Hidden Reserves

10.02.2017 | Event News

International Conference on Crystal Growth in Freiburg

09.02.2017 | Event News

 
Latest News

Start codons in DNA may be more numerous than previously thought

21.02.2017 | Life Sciences

An alternative to opioids? Compound from marine snail is potent pain reliever

21.02.2017 | Life Sciences

Warming ponds could accelerate climate change

21.02.2017 | Life Sciences

VideoLinks
B2B-VideoLinks
More VideoLinks >>>