Climate change opportunities in the hydrocarbon sector

This presentation described some of the innovative policy, market and technology approaches that are needed to move to a carbon constrained future. The world's primary power consumption is currently 12 trillion watts. Most of the energy (85 per cent) comes from fossil fuels. Climate Change Central (C3) was incorporated as a not-for-profit company in 2000. It includes representatives from major industry sectors, environmental associations, and all levels of government. C3 provides leadership in encouraging action on climate change and developing climate change partnerships and alliances. It also provides strategic intelligence in identifying climate change priorities and appropriate policy frameworks. It helps increase public awareness of the issue. While C3 is focused on reducing greenhouse gases (GHG), it stands neutral in the Kyoto Protocol debate and is working to define emission reduction priorities in partnership with all stakeholders. Priorities include energy efficiency/conservation; emission off-sets development; adaptation; technology and market innovation; and, socio-economic implications. The difficulty in reducing GHGs stems from the fact that carbon emissions, energy use, and economic growth are directly related. In a buoyant, hydrocarbon-based economy, economic growth has meant an increase in energy production, energy use and increased carbon emissions, even while emission intensity decreases significantly. The United States contributes 23 per cent of the world's total carbon emissions, of which 90 per cent comes from energy production and consumption. Many states have implemented policies to control carbon emissions. A range of policy approaches are also underway in Canada to set GHG emission targets, to support the development of GHG off-set and trading systems, and to promote renewable energy source development. Efforts are also underway to develop clean coal or zero emission coal technology, to promote distributed power generation, biofuels, and hybrid electric vehicles. The main challenges to technology development were discussed. 2 tabs., 6 figs