Research Briefing | Jun 3, 2021

What if the move to net-zero is disorderly?

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Current climate action pledges won’t contain global warming to well below 2°C in line with the Paris Agreement. If decisive action is delayed further, a disorderly scenario will likely unfold and require stronger policy action to reach net-zero emissions by 2050.

Our modelling suggests that an aggressive global carbon tax policy and limited renewable energy capacity would result in substantial economic damage. A slower rate of global warming provides some relief, but the most material environmental benefits won’t materialise until the second half of the century.

Download this report to learn about:

  • Late policy action comes at a significant economic cost
  • Carbon tax pushes inflation higher, until a shift towards cheaper energy sources
  • Recycling revenues mitigates the economic damage of transition in short term
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