"The report by the U.N.-backed Principles of Responsible Investing (PRI), representing investors with $86 trillion of assets under management, joins a growing chorus of warnings that forecasts and investments by oil and gas companies are out of sync with the pace needed to meet energy transition targets."
"The study, branded the Inevitable Policy Response (IPR), predicts “an abrupt and disruptive” government policy response to climate change by 2025, which it expects to be a “tipping point.”
Under the IPR scenario:
- Oil demand peaks in 2026-2028 and oil in road transport peaks in 2025, much earlier than the IEA’s forecast that does not foresee demand growth stalling before the 2040s.
- Thermal coal, the most carbon-polluting fossil fuel, will be “virtually non-existent” by 2040.
- Wind and solar power will generate half of the world’s electricity by 2030.
- Internal combustion vehicles are phased out much faster than most outlooks
- Forestation - needed to absorb excess carbon dioxide - is vastly accelerated."
“We foresee an inevitable policy response by 2025 that will be forceful, abrupt and disorderly because of the delay,”
The IEA’s forecast assumes no further climate policy action beyond what has already been announced.”
This scenario was highly unlikely given “the human suffering this would result in.”
Unfortunately, due to mass denial and delay, there's only one way to meet the carbon target now.
"Business as usual"
