What The Paris Climate Agreement Means For Renewable Energy
The Paris Agreement, reached on December 12, 2015 after the two-week negotiations in France during the course of the 21st Conference of the Parties ("COP21") to the United Nations Framework Convention on Climate Change ("UNFCCC"), says very little about renewable energy but means a lot to these activities.
In fact, the only reference to renewable energy appears in the recitals of the Decision, the first part of the text agreed upon on December 12, 2015 and to which the Agreement is annexed. There, the Conference of the Parties acknowledges "the need to promote universal access to sustainable energy in developing countries, in particular in Africa, through the enhanced deployment of renewable energy."
While this is the only direct reference to renewable energy, the Paris Agreement is expected to have a very significant impact on the energy market and its development, considering the goals set out by the Parties: limiting the increase of the global average temperature to "well below" 2°C over pre-industrial levels (and if possible to 1.5°C above pre-industrial levels), reaching peak greenhouse gas emissions as soon as possible, and achieving "net zero" greenhouse gas emissions in the second half of this century.
Limiting greenhouse gas emissions will require a low-carbon transition, including a massive shift toward renewable energies, as well as energy-efficient and climate-resilient systems. Financing the development of these systems will be organized through public and private funding. In particular, the Paris Agreement calls for a fund of US$100 billion per year, by 2020, to help developing countries achieve their goals. Part of this significant effort, which is yet to be organized and...
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