- What are decarbonization services?
- Is there demand for decarbonization services, and is this demand increasing?
- When will GHG emissions be appropriately valued?
- Is it feasible to get atmospheric carbon back to sustainable levels by 2050?
- Is this a good time to get into the business of offering decarbonization services?
Decarbonization Services Drive Cross-Sector Opportunities
Market demand for decarbonization services is growing. Total energy consumption continues to increase. Carbon emissions from the combustion of fossil fuels also continue to increase. Governments and corporate boards are being pushed by their constituents to take action to mitigate climate risks. Burning coal, natural gas, and oil for electricity and heat is the largest source of global greenhouse gas (GHG) emissions. There are numerous actions available to reduce carbon levels; however, the market does not yet correctly value these emissions.
Energy consumption has grown exponentially since the Industrial Revolution. Fossil hydrocarbons have been the primary fuel for this insatiable growth. Burning fossil hydrocarbons at this unprecedented rate has rapidly and substantially altered atmospheric composition. The dramatic change in atmospheric CO concentration is disrupting numerous natural systems. These carbon impacts have economic consequences, although this fact is not reflected in the cost of carbon-intensive goods and services. This reality raises the question of who should pay for the impacts of carbon emissions. How can humanity collectively address this potentially calamitous situation in a timely way? Doing so requires unprecedented global collaboration. This spirit of global cooperation is required if societies are going to successfully avert significant climate change.
This Guidehouse Insights report looks at decarbonization services. It investigates the principal sources of GHG emissions and discusses market-based solutions in the form of decarbonization service offerings. The report delves into some of these offerings and outlines pathways to attaining a zero-carbon future. The report also explores risks and opportunities created by this situation and describes examples of decarbonization service offerings.
- Transmission and distribution stakeholders
- Commercial and industrial interests
- Transportation companies
- Supply chain interests
- Energy storage providers
- Investor community
Total Energy Consumption Is Accelerating
Decarbonization Services and Collaboration Are Needed
Market Demand for Decarbonization Services Is Growing
Decarbonization Services for Commercial and Industrial Customers Are Increasing
Net-Zero Carbon in Power Generation Requires Decarbonization Services
Buildings Offer Several Opportunities for Decarbonization Services
Industry and Manufacturing Must Be Decarbonized to Achieve Net-Zero Goals
Decarbonization Solutions Shape the Financial Sector
Recognize the Increasing Opportunities Across Segments
- Total Energy Consumption by Terawatt-Hour, World Markets: 1850-2050
- Atmospheric CO2 Concentrations, World Markets: 1959-2019
- Global GHG Emissions by Economic Sector