Global Trends in the Transition to a Carbon-free Economy

Abstract

The global trends in the transition to a carbon-free economy, the foundation for which was laid during the 2008 crisis, are now being strengthened by two factors. Firstly, the world community has recognized the fact of climate change as a result of anthropogenic impact. Secondly, the economic crisis caused by the COVID-19 pandemic has pushed many states, investors, and private companies to more actively implement decarbonization strategies. This is not only due to the concerns about increasing environmental problems. Decarbonization and the energy transition can be an effective tool for stimulating economic development, by attracting investment and creating new jobs. This article examines the ways of energy transition, its advantages and risks for such countries and regions as China, the countries of the West (the EU and the USA), the Middle East and North Africa. It is noted that the energy transition is a global trend, but it does not imply an instant abandonment of fossil fuels and its replacement with renewable energy sources. It is a complex and long-term phenomenon, including both gradual changes, as well as structural transformations and systemic shifts. The analysis of the consequences of the considered trend for Russia is carried out. It is shown that the country's strategic documents reflect a cautious approach based on the plans to increase hydrocarbon exports. However, the author notes that maintaining this approach is fraught with a number of economic and political risks. According to the results of the study, the importance of developing comprehensive strategic approaches aimed at leveling the identified risks is emphasized, specific proposals for implementing a gradual energy transition in the Russian Federation are formulated.

Keywords

• decarbonization
• energy transition
• greenhouse gas emissions
• climate change
• green energy
• hydrogen energy
• china
• the eu
• the usa
• middle east and north africa