Decarbonization solutions are largely available

Background: In its annual flagship report from 2021, the IEA made a remarkable observation: “All the technologies needed to achieve the necessary deep cuts in global emissions by 2030 already exist.” Available technologies cover roughly half of the emission reductions needed for net zero by 2050, while the other half needs to come from technologies that are currently at demonstration or prototype stage.

Vidia Takeaway: On a short-term basis, decarbonization can be achieved by accelerated deployment of existing climate solutions. Driven by soaring demand, improving climate policies and growing cost parity, we expect their present competitive advantage to increase over the coming years, while new climate solutions become available for mass adoption.

Source: “IEA World Energy Outlook 2021”, IEA, 2021