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China’s carbon dioxide (CO2) emissions stayed at, or just below, last year’s levels in the third quarter of 2024, after a fall in the second quarter.

The new analysis for Carbon Brief, based on official figures and commercial data, leaves open the possibility that China’s emissions could fall this year.

However, recent record-high temperatures caused emissions to go up in September and new government stimulus measures mean there is now greater uncertainty over the country’s emissions trajectory.

Heatwaves through much of August and September caused a major increase in electricity demand for air conditioning, which, combined with weak hydropower output, meant a 2% increase in coal-fired power generation and a 13% rise for gas-fired power in the third quarter, despite wind and solar growth continuing to break records.

The increase in emissions in the power sector was offset by falling emissions from steel, cement and oil use, plus stagnating gas demand outside the power sector, meaning China’s CO2 output in the third quarter was flat or slightly declined, relative to a year earlier.

Other key findings from the analysis include:

  • Solar generation rose 44% in the third quarter of the year and wind by 24%, with both continuing to see record-breaking additions of new capacity.
  • Hydro generation was up 11% compared with last year’s drought-affected figures, but remained short of expected output. Nuclear power was up 4%.
  • Oil demand fell by around 2%, due to falling construction activity, the rise of electric vehicles (EVs) and natural gas (LNG) trucks, as well as weak consumer spending.
  • Emissions from steel fell by 3% and cement by 12% in the third quarter, as both sectors continued to see the effect of falling construction activity.
  • The coal-to-chemicals industry received renewed political backing and coal consumption in the sector has risen by nearly a fifth in the year to date.

Emissions would need to fall by at least 2% in the last three months of the year, for China’s annual total to drop from 2023 levels. This outcome is supported by the ongoing slowdown in industrial power demand growth and the end of the air-conditioning season.

However, new economic stimulus plans announced in late September with no apparent emphasis on emissions, add uncertainty to this outlook.

In any case, China will remain off track against its 2025 “carbon intensity” target, which requires emissions cuts of at least 2% in 2024 and 2025, after rapid rises in 2020-23.

Looking further ahead, policymakers recently provided new indications of the country’s plans for peaking and reducing emissions, signalling a gradual and cautious approach which falls short of what would be needed to align with the goals of the Paris Agreement.

But, if the country’s rapid clean energy growth is sustained, it has the potential to deliver emission reductions more swiftly.

Clean-energy expansion met all power-demand growth over summer

Defying predictions of slowing growth, China’s electricity demand increased by 7.2% year-on-year in the third quarter of 2024, up from an already rapid 6.9% in the second quarter.

The make-up of growth changed, however. Some 60% of the increase in demand came from the residential and services sectors, with household demand up by a blistering 15%.

Industrial power-demand growth continued to slow down, increasing by 4.6% in July–September, down from 5.9% in the second quarter.

At the same time, solar power generation increased by 44% year-on-year and wind power generation by 24%. Hydropower grew 11%, despite falling short of average utilisation, and nuclear power generation growth was muted at 4% due to few new reactors being commissioned.

The rapid rise of electricity demand outpaced these increases from low-carbon sources, with the gap between demand and rising clean supply being met by a 2% increase in coal-fired power generation and a 13% rise for gas-fired power, as shown in the figure below.

This caused a 3% increase in CO2 emissions from the sector in the third quarter of the year.

Year-on-year change in China’s monthly electricity generation by source, terawatt hours, 2016-2024.
Year-on-year change in China’s monthly electricity generation by source, terawatt hours, 2016-2024. Source: Wind and solar output, and thermal power breakdown by fuel, calculated from capacity and utilisation reported by China Electricity Council through Wind Financial Terminal; total generation from thermal power and generation from other sources taken from National Bureau of Statistics monthly releases.

However, looking at the whole summer period, whether taken as May-September or June-August, clean-energy expansion covered all of electricity demand growth.

This year, August and September were hotter than last year, resulting in rapid growth in power demand for air conditioning. Last year, in contrast, June and July were hotter.

Thermal power generation from coal and gas fell overall during the summer period, despite the rapid increase in residential power demand, with a 7% drop in June, 5% drop in July, a 4% increase in August and a 9% increase in September. Growth rates during individual months are heavily affected by which months the worst heatwaves fall on.

In terms of newly built generating capacity, solar continued to break last year’s records, with 163 gigawatts (GW) added in the first nine months of 2024. This is equal to the combined total capacity in Germany, Spain, Italy and France, the four EU countries with the most solar capacity. China’s solar capacity additions in the third quarter were up 22% year-on-year, as shown in the figure below.

Newly added solar and wind power capacity from the beginning of each year, cumulative by month.
Newly added solar and wind power capacity from the beginning of each year, cumulative by month. Source: National Energy Administration monthly releases.

The growth in China’s solar power output this year alone is likely to equal the total power generation of Australia or Vietnam in 2023, based on growth rates during the first nine months of the year.

Wind power additions accelerated as well, with 38GW added in the year to September, up 10% year-on-year and exceeding the total wind power capacity in the UK of 30GW.

China’s State Council approved 11 new nuclear reactors for construction in one go in August. The total power generating capacity of the approved projects is about 13GW. With 10 reactors approved in both 2022 and 2023 – and now 11 in 2024 – the next batch of nuclear power capacity is getting off the ground and adding to China’s clean-energy growth.

Hydropower capacity only increased 2% year-on-year, implying that most of the 11% third-quarter increase in generation was due to a recovery in capacity utilisation.

In response to severe droughts, utilisation had fallen to its lowest level in more than a decade in 2022, and recovered only partially in 2023, so this year’s recovery was expected and is closer to expected average hydropower generation.

China’s approvals of new coal power plant projects plummeted by 80% in the first half of 2024. Just 9GW of new capacity was approved, down from 52GW in the first half of last year. However, according to the Polaris Network, an energy sector news and data provider, eight large coal power projects were approved in the third quarter, likely representing an uptick in the rate of approvals compared with the first half of the year.

Construction and oil demand slowdown continued to pull down total emissions

While power sector emissions saw a small amount of growth in the third quarter of 2024, the ongoing contraction in construction volumes pulled down total emissions.

As a result, CO2 emissions stayed flat in the third quarter of 2024, at or just below the levels seen in the same period a year earlier, as shown in the figure below.

Year-on-year change in China’s quarterly CO2 emissions from fossil fuels and cement, million tonnes of CO2.
Year-on-year change in China’s quarterly CO2 emissions from fossil fuels and cement, million tonnes of CO2. Emissions are estimated from National Bureau of Statistics data on production of different fuels and cement, China Customs data on imports and exports and WIND Information data on changes in inventories, applying emissions factors from China’s latest national greenhouse gas emissions inventory and annual emissions factors per tonne of cement production until 2023. Sector breakdown of coal consumption is estimated using coal consumption data from WIND Information and electricity data from the National Energy Administration.

Digging deeper into the construction-led decline in emissions outside the power sector, steel output fell 9% and cement 12%, as real estate investment contracted 10% in the third quarter, maintaining the same rate as in the first half-year.

This translated into an 11% (24m tonnes of CO2, MtCO2) reduction in CO2 emissions from cement compared with the same period in 2023, shown in the figure below.

Steel emissions only fell by 3% (13MtCO2), despite the 9% fall in steel production. The reason is that the brunt of the drop in demand was borne by electric arc steelmakers rather than the coal-based steel plants with a much higher emission intensity.

The sector lacks the incentive to prioritise electric arc furnaces, which use recycled scrap and have much lower emissions. In theory, this could be encouraged by the inclusion of steel in China’s emissions trading system.

However, if the sector is treated in the same way as power, with separate benchmarks for coal-based and electric steelmaking, it will not create incentives to switch to electricity.

As one step towards structural change in the sector, the industry ministry issued a policy suspending all permitting of new steelmaking capacity, turning a de-facto stop to new permits – observed since the beginning of the year – into a formal moratorium. Until last year, the sector had been investing heavily in new coal-based steel capacity.

Change in CO2 emissions in the third quarter of 2024 relative to the same period in 2023, broken down by sector and fuel, millions of tonnes.
Change in CO2 emissions in the third quarter of 2024 relative to the same period in 2023, broken down by sector and fuel, millions of tonnes. Emissions are estimated from National Bureau of Statistics data on production of different fuels and cement, China Customs data on imports and exports and WIND Information data on changes in inventories, applying emissions factors from China’s latest national greenhouse gas emissions inventory and annual emissions factors per tonne of cement production until 2023. Sector breakdown of coal consumption is estimated using coal consumption data from WIND Information and electricity data from the National Energy Administration.

The other major area where emissions fell is oil consumption, which saw a 2% (13MtCO2) reduction in oil-related CO2 emissions in the third quarter of the year, also shown in the figure above. This is based on numbers from the National Bureau of Statistics.

The reduction in oil demand and related CO2 emissions may have been even steeper. The supply of oil products, measured as refinery throughput net of imports and exports, fell much more sharply. Based on this measure, CO2 from burning oil fell 10% (63MtCO2) in the third quarter, meaning that China’s CO2 emissions overall would have fallen by 2%.

The much more modest drop reported by the statistics agency could reflect the tendency of China’s statistical reporting to smooth downturns and upticks.

Another possible explanation is that refineries had previously been producing more than was being consumed, and have now had to cut output to reduce inventories.

Regardless of the magnitude of the drop, it is possible to identify the drivers of falling oil consumption. The fall in construction volumes is a major factor, as a significant share of diesel is used at construction sites and for transporting building materials.

The increase in the share of EVs is eating into petrol demand. Demand was also driven down by household spending, which remained weak until picking up in October in response to expectations of government stimulus.

The increasing share of trucks running on LNG also contributed to the fall in diesel demand. LNG truck sales accounted for about 20% of total truck sales in the nine months to March 2024, but weak overall gas demand growth indicates that this had a limited impact.

Gas consumption growth slowed down to 3% in the third quarter, from 10% in the first half of the year. Growth took place entirely in the power sector, with demand from other sectors stagnating, likely due to weak industrial demand.

After an increase in emissions in January-February, falling emissions in March-August and an increase in September, emissions would need to fall by at least 2% in the last three months of the year, for China’s annual total to drop from 2023 levels.

There is a good chance this will happen, due to an ongoing slowdown in industrial power demand growth and the end of the air conditioning season. But, even then, China would remain off track against its 2025 carbon intensity target, which requires emissions to fall by at least 2% in both 2024 and 2025, after rapid increases from 2020 to 2023.

The fundamental reason why emissions have not fallen faster – and may not have fallen at all in the third quarter – is that energy consumption growth this year continues to be much faster than historical trends.

Total energy consumption – including, but not limited to electricity consumption – grew 5.0% in the third quarter, faster than GDP, which gained 4.6%.

Until the Covid-19 pandemic, China’s energy demand growth had been much slower than GDP growth, implying falling energy intensity of the economy.

The post-Covid economic policy focused on manufacturing appears to have reversed this trend.

Coal-to-chemicals industry received new political backing

One additional wildcard in the outlook for China’s CO2 emissions is the coal-to-chemicals industry. The sector turns domestic coal into replacements for imported oil and gas, albeit with a far higher carbon footprint.

A recent policy from the National Development and Reform Commission, China’s powerful planning agency, called for ”accelerating” the development of the coal-to-chemical industry, including “speeding up the construction of strategic bases for coal-to-oil and coal-to-gas production”.

The past weeks after the issuance of the new policy have seen construction starts of a major coal-to-oil project in Shanxi, a coal-to-chemicals park in Sha’anxi and approval of a similar project in Xinjiang.

The coal-to-chemicals industry is expected to use more than 7% of all coal consumed in China in 2024, according to China Futures Research, a consultancy.

Coal consumption by the chemicals industry increased 18% in the first eight months of 2024, after a 9% increase in 2023, based on data from Wind Financial Terminal. This increase in coal consumption for coal-to-chemicals contributed two thirds of the 0.9% increase in total fossil CO2 emissions during the January to August period.

Coal consumption growth in the sector slowed down to 5% in July-August, however, and output of chemical products continued to slow in September. This smaller contribution to growth in CO2 emissions is shown in the graph above (“chemical industry”).

The recent rise in oil and gas prices, together with efforts to increase China’s domestic coal production and drive down domestic coal prices, have provided a major boost to the coal chemicals sector, which has a high sensitivity to both oil and coal prices.

Coal-to-chemicals is the sector where China’s policy priorities of energy security and emission reductions are most directly at odds.

Economic stimulus adds uncertainty to emissions outlook

After economic data indicated continuing slowdown and shortfall against GDP growth targets over the summer, expectations of a stimulus package built up.

The government responded in late September with a set of announcements, pledging various stimulus measures. The measures were focused on financial markets, but also included a commitment to “stabilise” the housing market.

The size of the stimulus package is not very large by China’s standards, and further details have disappointed those who hoped for a more radical policy turnaround. Yet, the package is clearly thought-through and coordinated, offering insights into how China’s top policymakers are planning to address the economic headwinds.

Direct income transfers of government money to households, which have been a hot topic for the past couple of years, are now going to be tried out.

Efforts to boost household spending, instead of the energy-intensive manufacturing and construction that has been the focus of previous rounds of government stimulus, would enable China to grow in a much less energy- and carbon-intensive way.

However, the sums allocated to income transfers are very small in relation to the size of the whole package. Much more money will be spent on subsidies to car and white-goods purchases. This will free up household cash for other types of spending, but it also directs household spending in the most energy-intensive direction.

Most of the stimulus is directed through the traditional routes of local government borrowing and bank lending, which tend to go into industrial and infrastructure projects.

There is no explicit climate-related emphasis to this stimulus. Quite a bit of it is likely to flow to clean energy-related investments, simply because those have been so dominant in China’s investment flows recently, but there is no further push in that direction.

Policymakers do not see an ‘early’ peak

While the rapid clean-energy growth points to the possibility of China’s emissions peaking imminently, policymakers are still setting an expectation that emissions will increase until the end of the decade and plateau or fall very gradually thereafter.

In August, China’s National Energy Administration played down the possibility of the country’s emissions having already peaked, in response to a question from a reporter referencing analyses suggesting this was possible.

The NEA department head who responded to the question emphasised that the timeline for peaking the country’s emissions – “before 2030” – has already been set by the top leadership, implying that the NEA has no mandate to change it.

The Central Committee of the Communist Party – one of the country’s highest leadership groups – reaffirmed that the aim is to “establish a falling trend” in emissions by 2035.

An earlier State Council plan said that China would focus on controlling total CO2 emissions, rather than emissions intensity, after the emission peak has been reached, and indicated that this would not happen in the 2026-30 period.

A very gradual approach to peaking emissions and reducing them after the peak, leaving more substantial emission reductions to later decades, is permissible under China’s current commitments under the Paris Agreement.

However, such a pathway would see the country use up 90% of the global emission budget for 1.5C. In scenarios that limit warming to 1.5C, China’s emissions are cut to at least 30% below 2023 levels by 2035. And recent International Energy Agency (IEA) analysis found that emerging markets such as China would need to cut emissions to 35-65% below 2022 levels by 2035, to align with the global pledges made at COP28 or national net-zero targets.

In contrast with the cautious approach telegraphed by Chinese policymakers, maintaining the rate of clean energy additions and electrification achieved in recent years could deliver a 30% reduction in CO2 emissions from fossil fuels by 2035, relative to 2023 levels.

Similarly, the IEA’s latest World Energy Outlook found clean-energy growth would help cut China’s CO2 emissions to 24% below 2023 levels by 2035, based on current policy settings. This reduction would increase to 45% by 2035 if China met its announced ambitions and targets, the IEA said.

China’s upcoming nationally determined contribution (NDC), due to be submitted to the UN under the Paris Agreement by February 2025, is expected to provide more clarity on which emissions pathway the policymakers are pursuing.

About the data

Data for the analysis was compiled from the National Bureau of Statistics of China, National Energy Administration of China, China Electricity Council and China Customs official data releases, and from WIND Information, an industry data provider.

Wind and solar output, and thermal power breakdown by fuel, was calculated by multiplying power generating capacity at the end of each month by monthly utilisation, using data reported by China Electricity Council through Wind Financial Terminal.

Total generation from thermal power and generation from hydropower and nuclear power was taken from National Bureau of Statistics monthly releases.

Monthly utilisation data was not available for biomass, so the annual average of 52% for 2023 was applied. Power sector coal consumption was estimated based on power generation from coal and the average heat rate of coal-fired power plants during each month, to avoid the issue with official coal consumption numbers affecting recent data.

When data was available from multiple sources, different sources were cross-referenced and official sources used when possible, adjusting total consumption to match the consumption growth and changes in the energy mix reported by the National Bureau of Statistics for the first quarter, the first half and the first three quarters of the year. The effect of the adjustments is less than 1% for total emissions, with unadjusted numbers showing a 1% reduction in emissions in the third quarter.

CO2 emissions estimates are based on National Bureau of Statistics default calorific values of fuels and emissions factors from China’s latest national greenhouse gas emissions inventory, for the year 2018. Cement CO2 emissions factor is based on annual estimates up to 2023.

For oil consumption, apparent consumption is calculated from refinery throughput, with net exports of oil products subtracted.

The post Analysis: No growth for China’s emissions in Q3 2024 despite coal-power rebound appeared first on Carbon Brief.

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Fossil fuel expansion threatens COP31 hosts’ credibility, experts warn

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Türkiye and Australia risk losing their credibility as hosts of this year’s COP31 UN climate summit if they keep betting on fossil fuels at home, climate policy experts have warned. 

As governments are expected to continue fraught talks over how to advance the global transition away from oil, coal and gas in Antalya this November, both of the co-host countries are pursuing fossil fuel expansion at home, without a national timeline to phase out their use.

Türkiye has accelerated its rollout of wind and solar energy in recent years. But that progress has yet to make a dent in the country’s dependence on fossil fuels for power, as demand growth has outpaced the renewables build-out, new analysis by Climate Action Tracker (CAT) has found.

The share of electricity generated by burning coal and fossil gas – 56% in 2025 – has barely changed since 2019, and total fossil fuel use in the power sector, and the emissions it produces, are still rising, according to the report released on Friday.

The Turkish government has also signalled that fossil fuels will remain a central component of its energy mix and has outlined plans to expand the country’s burgeoning domestic gas production in the Black Sea.

‘Need to demonstrate seriousness’

Australia, which will chair the Antalya negotiations, relies on fossil fuels for over 60% of its electricity, with coal alone still supplying 45%. According to experts, it lacks an ambitious plan to shift away from fossil fuels at home, relying heavily on carbon offsetting to reach its climate targets.

Australia is also the world’s third-largest fossil fuel exporter and has plans to expand its coal and gas production, which is backed by significant government subsidies. It recently upset climate groups by approving an extension of the Saraji open-cut coal mine in Queensland.  

Türkiye says it has “final decision” at COP31 despite Australia running negotiations

Jennifer Morgan, a senior fellow with the Fletcher School of Law and Diplomacy at Tufts University and former climate envoy for Germany, said Türkiye and Australia need to demonstrate their seriousness about their COP presidency roles by leading by example on the energy transition.

“They have made progress in renewable energy,” she told reporters this week. “But I think their credibility – and their ability to therefore bring momentum and good outcomes to the COP – will depend on their taking further action at home.” 

Türkiye’s electrification homework

The co-hosts’ fossil fuel policies are being scrutinised in the run-up to the annual UN climate summit, with much riding on the signal climate diplomacy sends on the energy transition.

Türkiye has so far stopped short of putting any overt political capital behind the fossil fuel transition itself. It has instead been rallying support for a new global electrification target of 35% by 2035, seen as the centrepiece of this year’s non-negotiated Action Agenda put forward by Ankara.

Electrification emerges as COP31 priority

COP31 president Murat Kurum said last week the push to electrify economies – through measures like electric vehicles and heat pumps – will “automatically” lead to a reduction in the use of fossil fuels.

Türkiye’s own energy plan projects the country’s electrification rate would fall short on the global target and only hit 25% by 2035, according to the CAT report, which called for a “substantial step-change” in electrification policies and the deployment of more renewable power and grid infrastructure. 

Coal still dominant

CAT’s analysts also warned that, without a parallel phase-out of fossil fuels, rising electricity demand risks being met in part by coal and gas, failing to deliver the emissions reductions the electrification target is meant to achieve. 

Türkiye has had some success in its clean energy build-out: the share of electricity generation from wind and solar rose to 22% in 2025, up from 12% in 2020, according to the CAT report.

But coal’s role in Türkiye’s electricity mix has also grown, in both its share and absolute terms, over the past decade. And while reliance on fossil gas has declined overall, it still plays an important role in Ankara’s energy policy, which is pushing to boost domestic gas production in the Black Sea.

Pilot boats assist the Osman Gazi as it navigates the Bosphorus on its way to the Black Sea on May 29, 2025 in Istanbul, Turkey. The platform will dock at the Filyos Port in the Black Sea and will stay for a 20 year mission and will provide double the natural gas intake of Turkey to 20 million cubic meters per day. (Photo by Chris McGrath/Getty Images)

Pilot boats assist the Osman Gazi as it navigates the Bosphorus on its way to the Black Sea on May 29, 2025 in Istanbul, Turkey. The platform will dock at the Filyos Port in the Black Sea and will stay for a 20 year mission and will provide double the natural gas intake of Turkey to 20 million cubic meters per day. (Photo by Chris McGrath/Getty Images)

Dr Niklas Höhne from the NewClimate Institute said the government could demonstrate leadership as COP31 president by building on its recent successes in increasing its renewable energy capacity and announcing targets and plans to phase out coal and gas ahead of the summit.

According to CAT, Türkiye should phase out coal by 2040 and fossil gas by 2045 at the latest to align its power sector with global efforts to limit the rise in global temperatures to 1.5C above preindustrial times. 

Türkiye quiet on fossil fuel roadmap

Ümit Şahin, coordinator of climate change studies at the Istanbul Policy Center (IPM), said Türkiye’s strategy is to approach the fossil fuel debate exclusively from the “end-use point of view”.

“I don’t expect any push from the Turkish presidency to the producer countries in terms of fossil fuel production,” he told reporters.

Neither does Şahin believe the Turkish presidency will throw its political weight behind another big-ticket item for COP31: a new global roadmap to transition away from fossil fuels. 

Brazil took on the responsibility to voluntarily draft this document outside of the formal negotiations as a way to break the deadlock at last year’s UN summit in Belém when governments clashed over whether to develop one. 

The outgoing COP30 presidency will deliver the roadmap in early November – but it will be up to Türkiye and Australia to guide countries towards a decision on how the blueprint will be taken forward, either inside or outside the negotiations.

Leadership needed

Australia’s Chris Bowen, COP31’s president of negotiations, promised to lobby producing countries to deliver a “meaningful step forward” on the fossil fuel transition in an interview with The Guardian earlier this year. But he has been quiet on the role Australia sees for the fossil fuel transition roadmap. 

Natalie Jones, senior policy advisor at the International Institute for Sustainable Development (IISD), said the COP31 co-presidents “must provide clear leadership” on this process.

“This roadmap cannot be left in a dusty drawer,” she told journalists. “Rather, it must be translated into action, with all countries identifying what elements they can adopt or develop in their own national roadmap.”

    Like Türkiye, Australia has yet to produce a national blueprint for winding down coal, gas and oil. Rather than moving toward a phase-out, state and federal governments have kept expanding fossil fuel licensing over the past year, according to a new analysis published this month by Climate Analytics.

    Under existing policy, both coal and gas are on track to remain in Australia’s power system as late as 2050 – a trajectory the report defines as incompatible with the 1.5C limit the country says it’s committed to. 

    No binding end dates for the Netherlands

    Analysts are watching out for national transition roadmaps as a bellwether for governments that claim to be leaders in the global shift away from fossil fuels.

    The climate and environment ministers of Colombia and the Netherlands, which are co-hosting the Santa Marta conference, embrace on the podium during the high-level segment in Santa Marta, Colombia, April 28, 2026 (Photo: Colombia Ministry of Environment and Sustainable Development)

    The climate and environment ministers of Colombia and the Netherlands, which are co-hosting the Santa Marta conference, embrace on the podium during the high-level segment in Santa Marta, Colombia, April 28, 2026 (Photo: Colombia Ministry of Environment and Sustainable Development)

    The Netherlands, which co-hosted the first fossil fuel transition conference in Santa Marta this year, published its own domestic roadmap earlier this week. The document followed through on a pledge that “leadership on transitioning away from fossil fuels must be backed by concrete action, not just ambitious words”, said a spokesperson for Stientje van Veldhoven, the Dutch minister for climate policy.

    But experts criticised the plan for failing to set a binding end date for the country’s fossil fuel production and use. While targeting a rapid increase in renewables capacity, the Dutch government only commits to phasing out oil, gas and coal “in the energy and feedstock system to eventually zero, and to minimise fossil use” by 2050. 

    Yvo de Boer, a former Dutch diplomat and executive secretary of the UN climate body, said the Dutch roadmap falls short of what’s needed to give industry the confidence to deploy capital in support of the energy transition with greater predictability. 

    “Ultimately, a roadmap without deadlines is nothing more than a footpath paved with good intentions,” he added, writing on LinkedIn. 

    The post Fossil fuel expansion threatens COP31 hosts’ credibility, experts warn appeared first on Climate Home News.

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    How clean energy can boost business for Africa’s food producers

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    Despite millions of dollars in grants and technical help for African businesses to power farming and other food production activities with renewable energy, most efforts remain stuck at the early stages because they struggle to find the investors, markets and expertise they need to grow.

    This was the message from a coalition of global institutions working on energy, water and agriculture at this month’s Africa Food Systems Forum in Kigali, Rwanda.

    “Energy, agriculture, water and nutrition actors rarely design solutions together,” the Agri-Energy Coalition said in a Call to Action on powering food systems with clean energy.

    Using more renewables – especially solar power – to drive food systems would reduce food losses, ensure year-round availability and affordability of healthy foods, and improve productivity, income and resilience among farmers, food processors and other small enterprises, the coalition added.

    In an interview with Climate Home News at the forum, Olamide Niyi-Afuye, CEO of the Africa Minigrid Developers Association (AMDA) – a body representing private-sector developers of small-scale, off-grid electricity systems across the continent – said its members are starting to recognise this interdependence and are increasingly considering businesses that combine energy with agricultural activities.

      This, Niyi-Afuye added, could lead to greater supply and use of clean power for key processes like irrigation, food processing and storage, creating new sources of revenue for both sectors.

      CHN: Conversations at the Africa Food Systems Forum highlighted how organisations working in energy and agriculture often operate in silos. What has hampered their collaboration, and how has that affected Africa’s economic development?

      A: Most mini-grid companies in Africa were primarily incentivised to achieve connections. If you look at some ongoing projects, you see a cost-per-connection model [of revenue]. When a subsidy is tied to achieving a connection, regardless of whether it is a productive connection, you might not notice the problem until five years down the line, when you realise the cash flows are not what you projected.

      Despite African walkout, fractious land COP ends without drought deal

      So now we’re in a “come-to-Jesus moment” as an industry, where we’re righting the wrongs and adjusting our business models to make sure companies do not go bust and there is some level of sustainability over the long term.

      The saying is not wrong that we’ve been working in our own silos because we’ve focused on the smaller things instead of the helicopter view. There needs to be cross-pollination [between the energy and agriculture sectors] because, if we are thinking about industrialisation, energy is a key driver of industrialisation. We will not achieve that if we’re not in the room and part of those conversations.

      CHN: Productive use of energy is intended to ensure electricity access goes beyond lighting homes to improving livelihoods, creating jobs and powering equipment. But what happens when farmers cannot afford the equipment they need to do that? How can energy, agriculture and equipment players work together to make the transition more accessible?

      A: That’s why we’re having conversations with companies set up to de-risk the agriculture sector. By leveraging that connection, we’re able to aggregate potential energy needs and develop instruments that make equipment more affordable through bulk procurement.

      We can have arrangements that make it easier for farmers and food producers to lease equipment and eventually own it over a period. There’s no real pressure to recover the capital very quickly because you’re looking at scale.

      Rice farmer Danjuma Okuwa adjusts his newly installed electric rice milling machine at his compound in Rukubi, Nasarawa, Nigeria, September 27, 2022. (Thomson Reuters Foundation/Afolabi Sotunde)

      Rice farmer Danjuma Okuwa adjusts his newly installed electric rice milling machine at his compound in Rukubi, Nasarawa, Nigeria, September 27, 2022. (Thomson Reuters Foundation/Afolabi Sotunde)

      There is a whole lot across the agricultural value chain that needs energy, from farming and harvesting to food processing and value-addition. We need to understand the energy needs across the value chain and bring our members in to provide solutions.

      Developers do not necessarily need to provide every productive-use solution themselves. They can partner with equipment suppliers, financiers, agribusinesses and other service providers to enable customers to use electricity productively. The objective is simple: do not just electrify communities; enable economic activity that uses that electricity.

      CHN: When Africa’s industrialisation is discussed, you hear things like renewables cannot provide enough baseload, while some food processors are sceptical about switching to renewable energy because of these concerns about reliability. What is your response?

      A: It’s not a controversial statement to say that a typical baseload is usually from the grid, and it’s usually from multiple sources including renewable energy. For large-scale operations, we can look at blending multiple sources of energy. But how do we solve the problem of a mid-sized farmer? We can solve it with a mini-grid using renewable energy.

      Comment: Every country needs a model to help optimise its energy transition

      If you go to a small farmer in a rural area, they don’t care about what source of energy they’re getting. They just want something that can help them get from A to B. If you look at the direct energy needs of farmers and food processors, I’m sure 90 percent of their consumption can be solved by renewable energy. Let’s start with that problem first. Then, as they scale, they might need to ramp up, and we can start talking about a bigger baseload.

      CHN: How much agricultural value is lost because farmers and food businesses lack reliable, affordable electricity?

      A: If you look at, for example, the fact that we need to maybe plant tomatoes or strawberries in Jos before it gets to Lagos [Nigeria], which most likely is by road, I can assure you that a good chunk, if not stored properly, would be bad by then. So the fact that we do not have energy is in itself a lost opportunity to maximise the potential of the agriculture sector. So until we’ve solved the energy problem, we will not salvage waste – and for me that is a lost opportunity.

      CHN: AGRA, an institution focused on scaling agricultural innovations to help smallholder farmers, estimates a massive shortfall between current investments in the continent’s food systems and what is actually needed to build a resilient, profitable agricultural economy – to the tune of $180 billion per year. Can integrating energy into food systems help bridge that gap?

      A: Yes – if energy can help unlock the potential to earn more money, investors will follow the money. Investments go where there is certainty, and until there is certainty around cash flow and revenue, investment will be limited.

      My vision is to see more Power Purchase Agreements (PPAs) being signed between energy players and the agriculture sector. We can start by getting people into the room, understanding their pain points, crafting a framework and documentation that works for both parties, and then seeing deals happen.

      This interview was shortened and edited for clarity.

      The post How clean energy can boost business for Africa’s food producers appeared first on Climate Home News.

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      Human security relies on adapting to the world’s new climate reality

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      Cristina Rumbaitis del Rio is a senior advisor on adaptation and resilience with the United Nations Foundation and Mattias Söderberg is global climate lead at Danish NGO DanChurchAid.

      Recent extreme events – from wildfires and heatwaves in Europe to flash flooding following a glacier collapse in Nepal – have shocked and devastated communities, bringing years of warnings about such climate impacts to the doorstep of communities around the world.

      One thing is certain: the new climate reality is here – and the adaptation strategies designed for yesterday’s world are no longer sufficient.

      Attribution science has since shown that the hotter and more frequent heatwaves we’re experiencing around the world would have been virtually impossible without today’s high concentrations of greenhouse gases in the atmosphere. Climate shocks are now so severe that they reverberate through supply chains, food and water systems, financial markets and the movement of people.

        They must be a catalyst for a new way of thinking about adaptation and resilience, and how we finance solutions that work. A failure to invest in adaptation in one region can create costs far beyond it, which is why the concept of shared resilience is critical for leaders to grasp.

        Investment not charity

        At the UN General Assembly (UNGA 81) this month, leaders have an opportunity to translate today’s urgency into concrete commitments on adaptation and loss and damage finance ahead of COP31.

        Those commitments are needed to underpin global stability, shared prosperity and human security. Governments should use this moment to show what a new response looks like: finance that reaches communities faster, supports locally grounded solutions, strengthens national systems, and helps countries prepare before the next shock arrives.

        If we want sustained economic growth, food and water security, and resilient and prosperous societies across every region, adaptation must be at the heart of today’s development and security agenda. It cannot be just a future planning consideration or a narrow issue for climate ministries. Adaptation is now everyone’s business – and it must be financed fast and fair.

        UN Secretary-General António Guterres has repeatedly framed climate finance as an investment rather than charity, warning that “a world in climate chaos cannot be a world at peace” and describing human security as freedom from the chronic and sudden disruptions that climate change multiplies.

        What’s more, adaptation delivers a real return-on-investment, with researchers estimating that every dollar invested produces $10 in benefits, saving lives, protecting livelihoods, and reducing the costs of future disasters.

        Hitting adaptation limits

        The urgency to scale adaptation systematically is growing. The newly released “Limiting Overshoot” report from the UN Environment Programme (UNEP) confirms what scientists have long warned: exceeding global warming of 1.5C is now unavoidable under current policies. Yet, how high temperatures rise – and how long the world remains above the 1.5C threshold – will determine whether communities, economies and entire ecosystems can keep pace.

        There are limits to adaptation. When we breach those limits, lives and livelihoods are lost, and people and ecosystems suffer greatly. We cannot simply build yesterday’s infrastructure a little stronger and assume it will be enough.

        Nepal flood destruction shows “limits to adaptation”, scientists say

        We need to fundamentally change the systems that determine how societies anticipate, absorb and recover from both immediate and evolving non-linear climate shocks. This includes transforming physical systems, such as infrastructure, and the governance systems that affect where and how we live to how we maintain our health and wellbeing.

        Finance today is nowhere near the scale of the challenge.

        The UNEP “Adaptation Gap Report 2025” estimates the shortfall in adaptation finance in developing countries at $284 billion–$339 billion a year – roughly 12 to 14 times current international public flows of around $26 billion. That gap is a development, economic and human security problem, especially for the most vulnerable populations who have contributed the least to causing the climate crisis.

        Building resilience into financial systems

        There are already signs of what a more systemic adaptation response could look like. Communities around the world are delivering practical solutions at local level, even as adaptation finance remains notoriously, and appallingly, difficult to access. Cyclone-resistant homes, local forecasting capacities, drought-resistant crops, heat insurance for pregnant informal workers and mangrove restoration are rooted in local knowledge and lived experience, while delivering benefits far beyond the communities where they originate from.

        But local innovation alone is not enough; the systems around it need to be resilient too.

        Jamaica offers one example. The country has built a multi-layered disaster-risk financing framework, including a catastrophe bond and contingency funds, through sustained fiscal discipline and proactive investment. Its debt-to-GDP ratio fell from around 147% in 2012 to around 62% in 202-25. That groundwork matters when disaster strikes.

        Hurricane Melissa’s destruction shows need for climate resilience push

        Following Hurricane Melissa, Jamaica was able to secure billions of dollars in reconstruction financing from multilateral banks – finance that might otherwise have been much harder to access. The lesson is clear: resilience can be built into the financial architecture of a country before a crisis arrives. That is the shift we now need to make at scale.

        The foundations already exist – in Kingston’s fiscal reforms, in early-warning systems from the Sahel to the Pacific, and in every community that adapted before disaster struck. What is still missing is the political will, and the finance, to take what works and put it to work everywhere, at the speed our world’s new climate reality demands.

        To hear more on this issue from high-level officials and experts, sign up for this event during Climate Week NYC, at 8am EDT on September 24 (in person or online), moderated by Climate Home News Editor Megan Rowling: Adapting to the New Climate Reality: Why Accelerating Impacts Demand New Responses.

        The post Human security relies on adapting to the world’s new climate reality appeared first on Climate Home News.

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