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Emission Pathways Towards a Low-Carbon Energy System for Europe: A Model-Based Analysis of Decarbonization Scenarios

Author

Listed:
  • Karlo Hainsch
  • Thorsten Burandt
  • Claudia Kemfert
  • Konstantin Löffler
  • Pao-Yu Oei
  • Christian von Hirschhausen

Abstract

The aim of this paper is to showcase different decarbonization pathways for Germany and Europe with varying Carbon dioxide (CO2) constraints until 2050. The Global Energy System Model (GENeSYS-MOD) framework, a linear mathematical optimization model, is used to compute low-carbon scenarios for Europe as a whole, as well as for 17 European countries or regions. The sectors power, low- and high-temperature heating, and passenger and freight transportation are included, with the model endogenously constructing capacities in each period. Emission constraints differ between different scenarios and are either optimized endogenously by the model, or distributed on a per-capita basis, GDP-dependent, or based on current emissions. The results show a rapid phase-in of renewable energies, if a carbon budget in line with established climate targets is chosen. In the 2° pathway, the power and low-temperature heat sectors are mostly decarbonized by 2035, with the other sectors following. Wind power is the most important energy source in Europe by 2050, followed by solar energy and hydro power. The heating sector is dominated by biogas and heat pumps, while electric vehicles emerge in the transportation sector in the later periods. Differences in renewable potentials lead to different developments in the regions, e.g., converting Germany from a net exporter of electricity into an importing country by 2050. In the 1.5° pathway, not all calculations are feasible, showcasing that especially countries like Poland or the Balkan region that heavily rely on fossil fuels will face difficulties transitioning away from their current generation capacities. It can, however, be shown that the achievement of the 2° target can be met with low additonal costs compared to the business as usual case, while reducing total emissions by more than 30%.

Suggested Citation

  • Karlo Hainsch & Thorsten Burandt & Claudia Kemfert & Konstantin Löffler & Pao-Yu Oei & Christian von Hirschhausen, 2018. "Emission Pathways Towards a Low-Carbon Energy System for Europe: A Model-Based Analysis of Decarbonization Scenarios," Discussion Papers of DIW Berlin 1745, DIW Berlin, German Institute for Economic Research.
  • Handle: RePEc:diw:diwwpp:dp1745
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    References listed on IDEAS

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    1. Rasmussen, Morten Grud & Andresen, Gorm Bruun & Greiner, Martin, 2012. "Storage and balancing synergies in a fully or highly renewable pan-European power system," Energy Policy, Elsevier, vol. 51(C), pages 642-651.
    2. Welsch, M. & Howells, M. & Bazilian, M. & DeCarolis, J.F. & Hermann, S. & Rogner, H.H., 2012. "Modelling elements of Smart Grids – Enhancing the OSeMOSYS (Open Source Energy Modelling System) code," Energy, Elsevier, vol. 46(1), pages 337-350.
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    1. Gerbaulet, Clemens & von Hirschhausen, Christian & Kemfert, Claudia & Lorenz, Casimir & Oei, Pao-Yu, 2019. "European electricity sector decarbonization under different levels of foresight," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 141, pages 973-987.
    2. Stephan Kigle & Michael Ebner & Andrej Guminski, 2022. "Greenhouse Gas Abatement in EUROPE—A Scenario-Based, Bottom-Up Analysis Showing the Effect of Deep Emission Mitigation on the European Energy System," Energies, MDPI, vol. 15(4), pages 1-18, February.
    3. Lucas Bretschger & Karen Pittel, 2020. "Twenty Key Challenges in Environmental and Resource Economics," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 77(4), pages 725-750, December.
    4. Oei, Pao-Yu & Burandt, Thorsten & Hainsch, Karlo & Löffler, Konstantin & Kemfert, Claudia, 2020. "Lessons from Modeling 100% Renewable Scenarios Using GENeSYS-MOD," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 9(1), pages 103-120.
    5. Borasio, M. & Moret, S., 2022. "Deep decarbonisation of regional energy systems: A novel modelling approach and its application to the Italian energy transition," Renewable and Sustainable Energy Reviews, Elsevier, vol. 153(C).
    6. Claudia Kemfert & Dorothea Schäfer & Willi Semmler, 2020. "Great Green Transition and Finance," Intereconomics: Review of European Economic Policy, Springer;ZBW - Leibniz Information Centre for Economics;Centre for European Policy Studies (CEPS), vol. 55(3), pages 181-186, May.
    7. Christian von Hirschhausen & Claudia Kemfert & Fabian Praeger, 2020. "Fossil Natural Gas Exit – A New Narrative for the European Energy Transformation towards Decarbonization," Discussion Papers of DIW Berlin 1892, DIW Berlin, German Institute for Economic Research.
    8. Burandt, Thorsten & Xiong, Bobby & Löffler, Konstantin & Oei, Pao-Yu, 2019. "Decarbonizing China’s energy system – Modeling the transformation of the electricity, transportation, heat, and industrial sectors," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 255, pages 1-17.
    9. Lucas Bretschger & Karen Pittel, 2019. "Twenty Key Questions in Environmental and Resource Economics," CER-ETH Economics working paper series 19/328, CER-ETH - Center of Economic Research (CER-ETH) at ETH Zurich.
    10. Löffler, Konstantin & Burandt, Thorsten & Hainsch, Karlo & Oei, Pao-Yu, 2019. "Modeling the low-carbon transition of the European energy system - A quantitative assessment of the stranded assets problem," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 26, pages 1-15.
    11. Bartholdsen, Hans-Karl & Eidens, Anna & Löffler, Konstantin & Seehaus, Frederik & Wejda, Felix & Burandt, Thorsten & Oei, Pao-Yu & Kemfert, Claudia & Hirschhausen, Christian von, 2019. "Pathways for Germany's Low-Carbon Energy Transformation Towards 2050," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 12(15), pages 1-33.

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    More about this item

    Keywords

    Decarbonization; energy system modeling; GENeSYS-MOD; renewables; energy policy; energy transition;
    All these keywords.

    JEL classification:

    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy
    • L9 - Industrial Organization - - Industry Studies: Transportation and Utilities

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