Global CO2 Emissions Held Steady in 2016

From IEA

As we saw last week world consumption of energy has continued to increase as the world economy continues to grow. According to data from the BP Statistical Review of World Energy (published annually) and the U.S. Energy Information Agency and the International Energy Agency (IEA) world consumption of fuel for energy production (as measured in millions of tonnes of oil equivalents) has increased 2.2% over the last three years, while the global economy grew 3.1% though global energy-related carbon dioxide emissions were flat for a third straight year in 2016.

Global emissions of CO2 equivalents from the energy sector stood at 32.1 gigatonnes last year, the same as the previous two years. Scientists have welcomed this as a signal that energy use and CO2 emissions are decoupling from economic activity. This good news was the result of growth in renewable power generation, switches from coal to natural gas for power generation and improvements in energy efficiency.

CO2 Emissions by Country taken from Statista

Carbon dioxide emissions declined in the United States and China, and were stable in Europe, offsetting increases in CO2 emission in most of the rest of the world. The biggest drop in CO2 emissions came from the United States, where carbon dioxide emissions fell 3%, or 160 million tonnes, while the economy grew by 1.6%. The decline in CO2 emission was driven by an increase in the use of natural gas from shale displacing coal to provide electricity and an increase in renewable power. CO2 emissions in the United States in 2016 were at their lowest level since 1992. This is true though the economy grew by 80% over this time frame.

In China, CO2 emissions fell by 1% last year while their economy was reported by the government to have grown by 6.7%. There were several reasons for this trend: an increasing share of renewables, nuclear and natural gas in the power sector, but also a switch from coal to gas in the industrial and buildings sector that was driven in large part by government policies combatting the horrible air pollution in their cities.

Two-thirds of China’s electricity demand growth, which was up 5.4%, was supplied by hydropower and nuclear. Five new nuclear reactors were connected to the grid in China, increasing its nuclear generation by 25%. According to IEA the growth in natural gas use in China has been significant and due mostly to air-quality measures to fight pollution. The share of natural gas in the global energy mix is approaching 25%, but in China it is 6% and in India just 5%. Changing from coal to natural gas in China and India could reduce global emissions significantly.

In the European Union, emissions were largely stable last year as gas demand rose about 8% and coal demand fell 10%. Growth in renewables continued, but provide a small impact. The United Kingdom saw a significant coal-to-gas conversion in the power sector, thanks to cheaper gas.