This report provides input for the International Climate Finance (ICF) programme of the United Kingdom Business, Energy & Industrial Strategy (BEIS) department. For a set of 15 research priorities across the energy sector, the land use sector, transport and cross cutting technology and policy opportunities, this report identifies the mitigation potential, investment need, development co-benefits, cost-effectiveness, and barriers that hold back autonomous action. PBL Netherlands Environmental Assessment Agency provided critical analysis on climate impacts, investment gaps and cost-effectiveness of mitigation measures through climate modelling using the IMAGE model.
Prioritize opportunities with near-term and future high mitigation potential
Within the energy sector, there remain large near-term mitigation benefits within renewables. At the same time, it is also crucial to prepare to support broader decarbonisation through technologies including energy storage and demand-side management. Within land use opportunities, substantial mitigation in the near term can be accomplished through avoiding deforestation.
Maximising synergies between opportunities while managing trade-offs
If well-designed, reforestation policies and agricultural productivity enhancements have large mitigation potential with high co-benefits. Electrification of the energy system is also a robust strategy with strong synergies with other investment areas. Potential trade-offs or conflicts between opportunity areas arise particularly from land use implications of large-scale deployment of biomass energy with carbon capture and storage (BECCS), which suggests a need for careful programme design and monitoring and/or geographic targeting to reduce the potential negative impacts.