Technology for climate - Beyond Paris: the next business wave

Our modern economy is in the midst of a huge transformation: the effort to prevent climate change by transforming our energy, production and consumption systems. A lot of progress has been made in the development and utilisation of renewables and energy-saving technologies such as solar, wind, biofuels, energy-neutral houses and electric cars. But even when taking into account new and ambitious reduction plans, a recent analysis by McKinsey shows that worldwide CO2 emissions will still be well above a ‘safe’ 2°C global warming path in 2050. Despite enormous progress in the development and utilisation of renewables and energy-saving technologies, the global energy demand of industrialised, fossil-based economies has continued to rise. In order to pre-empt this looming trend, we need to ramp up the pace of transformation. This requires both the industrialisation of the deployment of existing solutions and an increased effort in the cultivation and stimulation of innovation. Industry, recognised as a major contributor of CO2 emissions, is therefore in a position to take the lead in this scale-up challenge. Industry has a role in bringing innovations to the market and providing and producing solutions for a fully decarbonised society, not only in the domain of energy and industry but in all other sectors. The latter will bring large business opportunities for the traditional strengths of the Dutch economy. High-tech systems & materials and sustainable chemical technologies will be key enablers of the energy transition. As stated in a previous TNO White Paper on cheaper energy for the energy transition, a targeted investment in innovation can both significantly reduce the costs of the energy transition and provide substantial business growth opportunities for a clean and futureproof industry.