Towards Sustainable Energy Systems: The Role of Carbon Pricing in Driving Sectoral Decarbonization and Clean Energy Adoption

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

Addressing climate change is one of the most pressing global challenges of the 21st century, with the energy sector being the largest source of greenhouse gas emissions. Effective policy measures, such as carbon pricing, are critical for driving the transition towards a low-carbon economy. This study develops a carbon-price-driven model to explore the impact of carbon pricing on energy consumption, CO2 emissions, and sectoral decarbonization under high, medium, and low carbon price scenarios from 2015 to 2060. The results show that a high carbon price significantly reduces fossil fuel use, accelerates renewable energy adoption, and achieves net-negative emissions by mid-century. In contrast, lower carbon prices result in slower emission reductions and continued fossil fuel dependence. The electricity sector is highly responsive, while cement and steel decarbonization progresses more slowly. These findings highlight the crucial role of ambitious carbon pricing in achieving longterm climate goals.

Original languageEnglish
Title of host publicationProceedings - 2025 5th Power System and Green Energy Conference, PSGEC 2025
EditorsZhaoyang Dong, Guojie Li, Zhigang Li
PublisherInstitute of Electrical and Electronics Engineers Inc.
Pages157-161
Number of pages5
ISBN (Electronic)9798331537746
DOIs
Publication statusPublished - 2025
Externally publishedYes
Event5th Power System and Green Energy Conference, PSGEC 2025 - Hong Kong, China
Duration: 20 Aug 202523 Aug 2025

Publication series

NameProceedings - 2025 5th Power System and Green Energy Conference, PSGEC 2025

Conference

Conference5th Power System and Green Energy Conference, PSGEC 2025
Country/TerritoryChina
CityHong Kong
Period20/08/2523/08/25

Keywords

  • Carbon Price
  • Electricity Sector
  • Energy Consumption Introduction (Heading 1)
  • Integrated Assessment Model

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