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CLC Fall Meeting: Are we living in the middle of energy transition?

10.10.2017

The CLC Fall Meeting held in October 3rd started in cloudy mood, and not just because of the rainy weather outside. Petteri Taalas, Secretary-General of the World Meteorological Organization, told unpleasant facts about climate change. Greenhouse gas concentrations in the atmosphere will continue to increase this year, and 74 % of the Arctic ice cap has melted over the past forty years. Last year was the warmest year ever measured and this year seems to be the second warmest so far. Extreme weather events, such as hurricanes Harvey and Irma, become more common and will cause huge financial losses. What’s worse, we are close to breaking through a 1.5C limit for global warming.

The optimism increased when Laszlo Varro from IEA, Per Langer from Fortum and Jukka Leskelä from the Finnish Energy presented their visions for the future energy system. The share of renewable energy production, such as solar and wind, is increasing. The reason for this development is not just tightening emission requirements, but renewable energy – especially the solar power around the equator – is becoming the cheapest way to produce energy. Due to the slow progress of CCS (carbon capture and storage) other emission reduction measures are needed.

Also here, in the north, we need a systemic change in the energy system and unfortunately, we don’t yet have a feasible solution for seasonal storage of solar power. Demand-side management and various storage solutions will became extremely important. Flexible businesses will get a competitive advantage. Digitalization enables energy to be delivered as a service. People are interested in the appropriate room temperature, lighting and mobility – not so much the origin of the energy. Ease and comfort motivate the ordinary consumer – this also applies to energy purchase.

According to the IEA scenarios, transport will have an essential role in emission reduction. Intelligent transport systems and emerging services curb the growth in the number of vehicles, and the electric mobility will be dominant by 2060. Electric transport will be integrated in the energy system, so we should plan the future energy and transport solutions as a whole. Ramboll’s Neel Strøbæk reported that the purchase of electric cars has been promoted in Oslo in many ways, such as free parking and ferry trips and toll fee exemptions.

Speed is still  far too slow

Sixty percent of the World’s 500 biggest asset owners, with funds worth 27 trillion USD, recognize the risks and opportunities of climate change. CEO Timo Ritakallio from Ilmarinen reported that Ilmarinen’s responsible investment is integrated in the investment policy, strategy and processes of the company. Investment decisions are made according to sustainability ratings, which also support risk management. Ilmarinen received the highest ranking AAA in AODP’s research and was 9th of 500 investors globally.

SKF has been a pioneer company for developing positive carbon handprint and setting financial targets for the growth of the BeyondZero business. In addition to emission reductions in manufacturing, raw materials and transportation, SKF has developed a BeyondZero Concept that helps its customers to reduce their emissions, told Erik Nelander from SKF.

Already now, there are plenty of useful opportunities to reduce emissions. Although countries and companies are reducing emissions, the speed is still far too slow. Increasing willingness of citizens to pay for the clean solutions can speed up the change. VTT’s Antti Vasara analysed the rapid changes in the mobile phone market and noted that it is difficult to detect the breakthrough disruption of the market in advance – often it only becomes apparent when it has already happened. Companies that want to understand disruption should follow the profit distribution as an early sign.

 Sari Siitonen

Director of Development, CLC

sari.siitonen@clonet.fi

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    • 
    • About CLC
      • CLC’s mission
      • Policy proposals and statements
      • Theme groups
      • CLC staff
      • Board
      • Advisory board
    • Members
      • Members
      • Become a member
      • Partners
    • Key targets
      • Improve predictability
      • Systemic climate solution
      • Carbon budget
      • Land use and bioeconomy
      • Carbon handprint and footprint
      • Expand the network
    • Take action
      • Call on Carbon
      • Carbon Handprint Methodology
      • Nordic Call
      • Zero Emissions Day
    • Events
    • Media
      • News
      • Blogs
      • Publications
      • Annual reports

    Hämeentie 31, FI-00500 Helsinki

    Main objectives:

    -Climate change mitigation training for journalists

    Main objectives:

    -Discuss and present proposals for effective carbon pricing​

    -Present views on how climate neutrality should be addressed in government budget together with Policy theme group  ​

    -Promote TCFD in Finland and the Nordics – give input to IFRS development

    Chair and Facilitator: Timo Tyrväinen, Chief Economist, CLC timo(a)tyrvainen.eu

    Main objectives:

    -Expand the use of Carbon footprint in EU based on the CLC policy brief​

    -Expanding the use of Carbon handprint internationally

    Chair: Tiina Pajula, Principal Scientist, VTT tiina.pajula(a)vtt.fi
    Facilitator: Sari Siitonen, CLC, sari(a)clonet.fi

    Main objectives:

    -Support the green growth in cities and regions ​

    -Promote the use of carbon handprint manual in cities and regions in Finland and in EU

    Chair: Suvi Häkämies, Gaia Consulting, suvi.hakamies(a)gaia.fi
    Facilitator: Senni Raunio, CLC, senni.raunio(a)clc.fi

     

    Main objectives:

    -Promote a holistic approach in the building sector including climate impacts from the the use and construction phase​

    -Promote the use carbon footprint buildings as a part of energy performance certificate​

    -Initiate the development of new design criteria for changing climate conditions – initiate a development project

    Chair: Henrik Suikkanen, Lead of Sales, Demos henrik.suikkanen(a)demoshelsinki.fi
    Facilitator: Senni Raunio, CLC, senni.raunio(a)clc.fi

    Main objectives:

    -Understanding and advancing emission reduction potential in the agricultural sector and supporting appropriate strategies, policies and methods 

    -Learning and promoting new sustainable food production technologies and innovations

    -Promoting sustainable diets that are healthier and more climate friendly (respecting the planetary boundaries)

    Chair: Matti Rihko, University of Turku, mrihko(a)utu.fi
    Facilitator: Minttu Liuhto, CLC, minttu.liuhto(a)clc.fi

    Main objectives:

    ​-Develop demand based policies (Finnish and EU level) for hydrogen / P2X solutions (materials, fuels, fertilizers, proteins, etc.)​

    -A separate P2X sub-group initiated this year​

    -Develop vision and promote understanding of energy transmission networks and energy infrastructure in a carbon neutral society

    Chair and Facilitator: Juha Turkki, Development Director, CLC juha.turkki(a)clc.fi

    Main objectives:

    ​-Drive and facilitate the development of forest-based carbon sequestration – biocarbon monitoring platform​

    -Develop and propose incentives for technical carbon storage and material substitutions

    Chair: Petteri Pihlajamäki, Director, Afry petteri.pihlajamaki(a)afry.com
    Facilitator: Minttu Liuhto, CLC, minttu.liuhto(a)clc.fi

    Main objectives:

    -Increase understanding on the health related societal and economic impacts of climate change​

    -Promoting the benefits of health and environmental-friendly diets and finding ways to activate citizens on this ​

    -Understanding of other climate-imposed health related risks, such as physical and mental health issues, risk of extreme natural hazards and biological threats (e.g. vector borne diseases) ​

    -Propose Health to be addressed as part of Finnish climate plans

    Facilitator: Specialist Minttu Liuhto, minttu.liuhto(a)clc.fi