The energy industry is a key component of welfare in a society. It is a key factor of production, together with land, labour and capital and it is present in most production processes. But it is also the primary source of Green House Gas Emmissions that are responsible for global warming.
Global warming can have damaging consequences for rich and poor counries and can lead to an importante welfare loss for our generation and future generations.
The challenge of energy transition is to reduce emisions in a way that doesn’t reduce welfare. This requires good policy decisions, global cooperation and industry innovation.
We will discuss the challenges that the energy transition presents and how countries are dealing with it.