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== Box 5.2 Challenges and Opportunities of Low-Carbon Pathways in Gulf Cooperative Council Countries == <div id="section-5-4-1-2-block-1"></div> The Gulf Cooperative Council (GCC) region (Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and United Arab Emirates) is characterized by high dependency on hydrocarbon resources (natural oil and gas), with high risks of socio-economic impacts of policies and response measures to address climate change. The region is also vulnerable to the decrease of the global demand and price of hydrocarbons as a result of climate change response measures. The projected declining use of oil and gas under low emissions pathways creates risks of significant economic losses for the GCC region (e.g., Waisman et al., 2013; Van de Graaf and Verbruggen, 2015; Al-Maamary et al., 2016; Bauer et al., 2016) <sup>[[#fn:r205|205]]</sup> , given that natural gas and oil revenues contributed to about 70% of government budgets and > 35% of the gross domestic product in 2010 (Callen et al., 2014) <sup>[[#fn:r206|206]]</sup> . The current high energy intensity of the domestic economies (Al-Maamary et al., 2017) <sup>[[#fn:r207|207]]</sup> , triggered mainly by low domestic energy prices (Alshehry and Belloumi, 2015) <sup>[[#fn:r208|208]]</sup> , suggests specific challenges for aligning mitigation towards 1.5°C-consistent trajectories, which would require strong energy efficiency and economic development for the region. The region’s economies are highly reliant on fossil fuel for their domestic activities. Yet the renewables deployment potentials are large, deployment is already happening (Cugurullo, 2013; IRENA, 2016) <sup>[[#fn:r209|209]]</sup> and positive economic benefits can be envisaged (Sgouridis et al., 2016) <sup>[[#fn:r210|210]]</sup> . Nonetheless, the use of renewables is currently limited by economics and structural challenges (Lilliestam and Patt, 2015; Griffiths, 2017a) <sup>[[#fn:r211|211]]</sup> . Carbon capture and storage (CCS) is also envisaged with concrete steps towards implementation (Alsheyab, 2017; Ustadi et al., 2017) <sup>[[#fn:r212|212]]</sup> ; yet the real potential of this technology in terms of scale and economic dimensions is still uncertain. Beyond the above mitigation-related challenges, the region’s human societies and fragile ecosystems are highly vulnerable to the impacts of climate change, such as water stress (Evans et al., 2004; Shaffrey et al., 2009) <sup>[[#fn:r213|213]]</sup> , desertification (Bayram and Öztürk, 2014) <sup>[[#fn:r214|214]]</sup> , sea level rise affecting vast low coastal lands, and high temperature and humidity with future levels potentially beyond adaptive capacities (Pal and Eltahir, 2016) <sup>[[#fn:r215|215]]</sup> . A low-carbon pathway that manages climate-related risks within the context of sustainable development requires an approach that jointly addresses both types of vulnerabilities (Al Ansari, 2013; Lilliestam and Patt, 2015; Babiker, 2016; Griffiths, 2017b) <sup>[[#fn:r216|216]]</sup> . The Nationally Determined Contributions (NDCs) for GCC countries identified energy efficiency, deployment of renewables and technology transfer to enhance agriculture, food security, protection of marine resources, and management of water and costal zones (Babiker, 2016) <sup>[[#fn:r217|217]]</sup> . Strategic vision documents, such as Saudi Arabia’s ‘Vision 2030’, identify emergent opportunities for energy price reforms, energy efficiency, turning emissions into valuable products, and deployment of renewables and other clean technologies, if accompanied with appropriate policies to manage the transition and in the context of economic diversification (Luomi, 2014; Atalay et al., 2016; Griffiths, 2017b; Howarth et al., 2017) <sup>[[#fn:r218|218]]</sup> . <div id="section-5-4-1-3"></div> <span id="land-based-agriculture-forestry-and-ocean-mitigation-response-options-and-carbon-dioxide-removal"></span> ==== 5.4.1.3 Land-based agriculture, forestry and ocean: mitigation response options and carbon dioxide removal ==== <div id="section-5-4-1-3-block-1"></div> In the AFOLU sector, dietary change towards global healthy diets, that is, a shift from over-consumption of animal-related to plant-related diets, and food waste reduction (see Chapter 4, Section 4.3.2.1) are in synergy with SDGs 2 and 6, and SDG 3 through lower consumption of animal products and reduced losses and waste throughout the food system, contributing to achieving SDGs 12 and 15 (Bajželj et al., 2014; Bustamante et al., 2014; Tilman and Clark, 2014; Hiç et al., 2016) <sup>[[#fn:r219|219]]</sup> . Power dynamics play an important role in achieving behavioural change and sustainable consumption (Fuchs et al., 2016) <sup>[[#fn:r220|220]]</sup> . In forest management (see Chapter 4, Section 4.3.2.2), encouraging responsible sourcing of forest products and securing indigenous land tenure has the potential to increase economic benefits by creating decent jobs (SDG 8), maintaining biodiversity (SDG 15), facilitating innovation and upgrading technology (SDG 9), and encouraging responsible and just decision-making (SDG 16) ( ''medium evidence, high agreement'' ) (Ding et al., 2016; WWF, 2017) <sup>[[#fn:r221|221]]</sup> ''.'' Emerging evidence indicates that future mitigation efforts that would be required to reach stringent climate targets, particularly those associated with carbon dioxide removal (CDR) (e.g., afforestation and reforestation and bioenergy with carbon capture and storage; BECCS), may also impose significant constraints upon poor and vulnerable communities (SDG 1) via increased food prices and competition for arable land, land appropriation and dispossession (Cavanagh and Benjaminsen, 2014; Hunsberger et al., 2014; Work, 2015; Muratori et al., 2016; Smith et al., 2016; Burns and Nicholson, 2017; Corbera et al., 2017) <sup>[[#fn:r222|222]]</sup> with disproportionate negative impacts upon rural poor and indigenous populations (SDG 1) ( ''robust evidence, high agreement'' ) (Section 5.4.2.2, Table 5.2, Figure 5.2) (Grubert et al., 2014; Grill et al., 2015; Zhang and Chen, 2015; Fricko et al., 2016; Johansson et al., 2016; Aha and Ayitey, 2017; De Stefano et al., 2017; Shi et al., 2017) <sup>[[#fn:r223|223]]</sup> . Crops for bioenergy may increase irrigation needs and exacerbate water stress with negative associated impacts on SDGs 6 and 10 (Boysen et al., 2017) <sup>[[#fn:r224|224]]</sup> . Ocean iron fertilization and enhanced weathering have two-way interactions with life under water and on land and food security (SDGs 2, 14 and 15) (Table 5.2). Development of blue carbon resources through coastal (mangrove) and marine (seaweed) vegetative ecosystems encourages: integrated water resource management (SDG 6) (Vierros, 2017) <sup>[[#fn:r225|225]]</sup> ; promotes life on land (SDG 15) (Potouroglou et al., 2017) <sup>[[#fn:r226|226]]</sup> ; poverty reduction (SDG 1) (Schirmer and Bull, 2014; Lamb et al., 2016) <sup>[[#fn:r227|227]]</sup> ; and food security (SDG 2) (Ahmed et al., 2017a, b; Duarte et al., 2017; Sondak et al., 2017; Vierros, 2017; Zhang et al., 2017) <sup>[[#fn:r228|228]]</sup> . <div id="section-5-4-1-3-block-2"></div> <span id="figure-5.2"></span> <!-- START IMG --> <!-- IMG TITLE --> '''Figure 5.2''' <span id="synergies-and-trade-offs-and-gross-sustainable-development-goal-sdg-interaction-with-individual-mitigation-options."></span> <!-- IMG CAPTION --> '''Synergies and trade-offs and gross Sustainable Development Goal (SDG)-interaction with individual mitigation options.''' <!-- IMG FILE --> [[File:dd578203a9cce30ebcc3f74fd47747f9 Figure5.2-1024x754.jpg]] The top three wheels represent synergies and the bottom three wheels show trade-offs. The colours on the border of the wheels correspond to the SDGs listed above, starting at the 9 o’clock position, with reading guidance in the top-left corner with the quarter circle (Note 1). Mitigation (climate action, SDG 13) is at the centre of the circle. The coloured segments inside the circles can be counted to arrive at the number of synergies (green) and trade-offs (red). The length of the coloured segments shows the strength of the synergies or trade-offs (Note 3) and the shading indicates confidence (Note 2). Various mitigation options within the energy demand sector, energy supply sector, and land and ocean sector, and how to read them within a segment are shown in grey (Note 4). See also Table 5.2. Original Creation for this Report based on a Table in the Chapter 5 – Annex <!-- END IMG --> <span id="sustainable-development-implications-of-1.5c-and-2c-mitigation-pathways"></span> === 5.4.2 Sustainable Development Implications of 1.5°C and 2°C Mitigation Pathways === <div id="section-5-4-2-block-1"></div> While previous sections have focused on individual mitigation options and their interaction with sustainable development and the SDGs, this section takes a systems perspective. Emphasis is on quantitative pathways depicting path-dependent evolutions of human and natural systems over time. Specifically, the focus is on fundamental transformations and thus stringent mitigation policies consistent with 1.5°C or 2°C, and the differential synergies and trade-offs with respect to the various sustainable development dimensions. Both 1.5°C and 2°C pathways would require deep cuts in greenhouse gas (GHG) emissions and large-scale changes of energy supply and demand, as well as in agriculture and forestry systems (see Chapter 2, Section 2.4). For the assessment of the sustainable development implications of these pathways, this chapter draws upon studies that show the aggregated impact of mitigation for multiple sustainable development dimensions (Grubler et al., 2018; McCollum et al., 2018b; Rogelj et al., 2018) <sup>[[#fn:r229|229]]</sup> and across multiple integrated assessment modelling (IAM) frameworks. Often these tools are linked to disciplinary models covering specific SDGs in more detail (Cameron et al., 2016; Rao et al., 2017; Grubler et al., 2018; McCollum et al., 2018b) <sup>[[#fn:r230|230]]</sup> . Using multiple IAMs and disciplinary models is important for a robust assessment of the sustainable development implications of different pathways. Emphasis is on multi-regional studies, which can be aggregated to the global scale. The recent literature on 1.5°C mitigation pathways has begun to provide quantifications for a range of sustainable development dimensions, including air pollution and health, food security and hunger, energy access, water security, and multidimensional poverty and equity. <div id="section-5-4-2-1"></div> <span id="air-pollution-and-health"></span> ==== 5.4.2.1 Air pollution and health ==== <div id="section-5-4-2-1-block-1"></div> GHGs and air pollutants are typically emitted by the same sources. Hence, mitigation strategies that reduce GHGs or the use of fossil fuels typically also reduce emissions of pollutants, such as particulate matter (e.g., PM2.5 and PM10), black carbon (BC), sulphur dioxide (SO <sub>2</sub> ), nitrogen oxides (NO <sub>x</sub> ) and other harmful species (Clarke et al., 2014) <sup>[[#fn:r231|231]]</sup> (Figure 5.3), causing adverse health and ecosystem effects at various scales (Kusumaningtyas and Aldrian, 2016) <sup>[[#fn:r232|232]]</sup> . Mitigation pathways typically show that there are significant synergies for air pollution, and that the synergies increase with the stringency of the mitigation policies (Amann et al., 2011; Rao et al., 2016; Klimont et al., 2017; Shindell et al., 2017; Markandya et al., 2018) <sup>[[#fn:r233|233]]</sup> . Recent multimodel comparisons indicate that mitigation pathways consistent with 1.5°C would result in higher synergies with air pollution compared to pathways that are consistent with 2°C (Figures 5.4 and 5.5). Shindell et al. (2018) <sup>[[#fn:r234|234]]</sup> indicate that health benefits worldwide over the century of 1.5°C pathways could be in the range of 110 to 190 million fewer premature deaths compared to 2°C pathways. The synergies for air pollution are highest in the developing world, particularly in Asia. In addition to significant health benefits, there are also economic benefits from mitigation, reducing the investment needs in air pollution control technologies by about 35% globally (or about 100 billion USD2010 per year to 2030 in 1.5°C pathways; McCollum et al., 2018b) <sup>[[#fn:r235|235]]</sup> (Figure 5.4). <div id="section-5-4-2-2"></div> <span id="food-security-and-hunger"></span> ==== 5.4.2.2 Food security and hunger ==== <div id="section-5-4-2-2-block-1"></div> Stringent climate mitigation pathways in line with ‘well below 2°C’ or ‘1.5°C’ goals often rely on the deployment of large-scale land-related measures, like afforestation and/or bioenergy supply (Popp et al., 2014; Rose et al., 2014; Creutzig et al., 2015) <sup>[[#fn:r236|236]]</sup> . These land-related measures can compete with food production and hence raise food security concerns (Section 5.4.1.3) (P. Smith et al., 2014) <sup>[[#fn:r237|237]]</sup> . Mitigation studies indicate that so-called ‘single-minded’ climate policy, aiming solely at limiting warming to 1.5°C or 2°C without concurrent measures in the food sector, can have negative impacts for global food security (Hasegawa et al., 2015; McCollum et al., 2018b) <sup>[[#fn:r238|238]]</sup> . Impacts of 1.5°C mitigation pathways can be significantly higher than those of 2°C pathways (Figures 5.4 and 5.5). An important driver of the food security impacts in these scenarios is the increase of food prices and the effect of mitigation on disposable income and wealth due to GHG pricing. A recent study indicates that, on aggregate, the price and income effects on food may be bigger than the effect due to competition over land between food and bioenergy (Hasegawa et al., 2015) <sup>[[#fn:r239|239]]</sup> . In order to address the issue of trade-offs with food security, mitigation policies would need to be designed in a way that shields the population at risk of hunger, including through the adoption of different complementary measures, such as food price support. The investment needs of complementary food price policies are found to be globally relatively much smaller than the associated mitigation investments of 1.5°C pathways (Figure 5.3) (McCollum et al., 2018b) <sup>[[#fn:r240|240]]</sup> . Besides food support price, other measures include improving productivity and efficiency of agricultural production systems (FAO and NZAGRC, 2017a, b; Frank et al., 2017) <sup>[[#fn:r241|241]]</sup> and programmes focusing on forest land-use change (Havlík et al., 2014) <sup>[[#fn:r242|242]]</sup> . All these lead to additional benefits of mitigation, improving resilience and livelihoods. Van Vuuren et al. (2018) <sup>[[#fn:r243|243]]</sup> and Grubler et al. (2018) <sup>[[#fn:r244|244]]</sup> show that 1.5°C pathways without reliance on BECCS can be achieved through a fundamental transformation of the service sectors which would significantly reduce energy and food demand (see Chapter 2, Sections 2.1.1, 2.3.1 and 2.4.3). Such low energy demand (LED) pathways would result in significantly reduced pressure on food security, lower food prices and fewer people at risk of hunger. Importantly, the trade-offs with food security would be reduced by the avoided impacts in the agricultural sector due to the reduced warming associated with the 1.5°C pathways (see Chapter 3, Section 3.5). However, such feedbacks are not comprehensively captured in the studies on mitigation. <div id="section-5-4-2-3"></div> <span id="lack-of-energy-accessenergy-poverty"></span> ==== 5.4.2.3 Lack of energy access/energy poverty ==== <div id="section-5-4-2-3-block-1"></div> A lack of access to clean and affordable energy (especially for cooking) is a major policy concern in many countries, especially in those in South Asia and Africa where major parts of the population still rely primarily on solid fuels for cooking (IEA and World Bank, 2017) <sup>[[#fn:r245|245]]</sup> . Scenario studies which quantify the interactions between climate mitigation and energy access indicate that stringent climate policy which would affect energy prices could significantly slow down the transition to clean cooking fuels, such as liquefied petroleum gas or electricity (Cameron et al., 2016) <sup>[[#fn:r246|246]]</sup> . Estimates across six different IAMs (McCollum et al., 2018b) <sup>[[#fn:r247|247]]</sup> indicate that, in the absence of compensatory measures, the number of people without access to clean cooking fuels may increase. Redistributional measures, such as subsidies on cleaner fuels and stoves, could compensate for the negative effects of mitigation on energy access. Investment costs of the redistributional measures in 1.5°C pathways (on average around 120 billion USD2010 per year to 2030; Figure 5.4) are much smaller than the mitigation investments of 1.5°C pathways (McCollum et al., 2018b) <sup>[[#fn:r248|248]]</sup> . The recycling of revenues from climate policy might act as a means to help finance the costs of providing energy access to the poor (Cameron et al., 2016) <sup>[[#fn:r249|249]]</sup> . <div id="section-5-4-2-4"></div> <span id="water-security"></span> ==== 5.4.2.4 Water security ==== <div id="section-5-4-2-4-block-1"></div> Transformations towards low emissions energy and agricultural systems can have major implications for freshwater demand as well as water pollution. The scaling up of renewables and energy efficiency as depicted by low emissions pathways would, in most instances, lower water demands for thermal energy supply facilities (‘water-for-energy’) compared to fossil energy technologies, and thus reinforce targets related to water access and scarcity (see Chapter 4, Section 4.2.1). However, some low-carbon options such as bioenergy, centralized solar power, nuclear and hydropower technologies could, if not managed properly, have counteracting effects that compound existing water-related problems in a given locale (Byers et al., 2014; Fricko et al., 2016; IEA, 2016; Fujimori et al., 2017a; Wang, 2017; McCollum et al., 2018a) <sup>[[#fn:r250|250]]</sup> . Under stringent mitigation efforts, the demand for bioenergy can result in a substantial increase of water demand for irrigation, thereby potentially contributing to water scarcity in water-stressed regions (Berger et al., 2015; Bonsch et al., 2016; Jägermeyr et al., 2017) <sup>[[#fn:r251|251]]</sup> . However, this risk can be reduced by prioritizing rain-fed production of bioenergy (Hayashi et al., 2015, 2018; Bonsch et al., 2016) <sup>[[#fn:r252|252]]</sup> , but might have adverse effects for food security (Boysen et al., 2017) <sup>[[#fn:r253|253]]</sup> . Reducing food and energy demand without compromising the needs of the poor emerges as a robust strategy for both water conservation and GHG emissions reductions (von Stechow et al., 2015; IEA, 2016; Parkinson et al., 2016; Grubler et al., 2018) <sup>[[#fn:r254|254]]</sup> . The results underscore the importance of an integrated approach when developing water, energy and climate policy (IEA, 2016) <sup>[[#fn:r255|255]]</sup> . Estimates across different models for the impacts of stringent mitigation pathways on energy-related water uses seem ambiguous. Some pathways show synergies (Mouratiadou et al., 2018) <sup>[[#fn:r256|256]]</sup> while others indicate trade-offs and thus increases of water use due to mitigation (Fricko et al., 2016) <sup>[[#fn:r257|257]]</sup> . The synergies depend on the adopted policy implementation or mitigation strategies and technology portfolio. A number of adaptation options exist (e.g., dry cooling), which can effectively reduce electricity-related water trade-offs (Fricko et al., 2016; IEA, 2016) <sup>[[#fn:r258|258]]</sup> . Similarly, irrigation water use will depend on the regions where crops are produced, the sources of bioenergy (e.g., agriculture vs. forestry) and dietary change induced by climate policy. Overall, and also considering other water-related SDGs, including access to safe drinking water and sanitation as well as waste-water treatment, investments into the water sector seem to be only modestly affected by stringent climate policy compatible with 1.5°C (Figure 5.4) (McCollum et al., 2018b) <sup>[[#fn:r259|259]]</sup> . <div id="section-5-4-2-4-block-2"></div> <span id="figure-5.3"></span> <!-- START IMG --> <!-- IMG TITLE --> '''Figure 5.3''' <span id="sustainable-development-implications-of-mitigation-actions-in-1.5c-pathways."></span> <!-- IMG CAPTION --> '''Sustainable development implications of mitigation actions in 1.5°C pathways.''' <!-- IMG FILE --> [[File:1844ff5cddcdb71268b4bf40b4f09ca1 figure-5.3-682x1024.jpg]] Panel (a) shows ranges for 1.5°C pathways for selected sustainable development dimensions compared to the ranges of 2°C pathways and baseline pathways. The panel (a) depicts interquartile and the full range across the scenarios for Sustainable Development Goal (SDG) 2 (hunger), SDG 3 (health), SDG 6 (water), SDG 7 (energy), SDG 12 (resources), SDG 13/14 (climate/ocean) and SDG 15 (land). Progress towards achieving the SDGs is denoted by arrow symbols (increase or decrease of indicator). Black horizontal lines show 2015 values for comparison. Note that sustainable development effects are estimated for the effect of mitigation and do not include benefits from avoided impacts (see Chapter 3, Section 3.5). Low energy demand (LED) denotes estimates from a pathway with extremely low energy demand reaching 1.5°C without bioenergy with carbon capture and storage (BECCS). Panel (b) presents the resulting full range for synergies and trade-offs of 1.5°C pathways compared to the corresponding baseline scenarios. The y-axis in panel (b) indicates the factor change in the 1.5°C pathway compared to the baseline. Note that the figure shows gross impacts of mitigation and does not include feedbacks due to avoided impacts. The realization of the side effects will critically depend on local circumstances and implementation practice. Trade-offs across many sustainable development dimensions can be reduced through complementary/re-distributional measures. The figure is not comprehensive and focuses on those sustainable development dimensions for which quantifications across models are available. Sources: 1.5°C pathways database from Chapter 2 (Grubler et al., 2018; McCollum et al., 2018b) <sup>[[#fn:r260|260]]</sup> . <!-- END IMG --> <div id="section-5-4-2-4-block-3"></div> <span id="figure-5.4"></span> <!-- START IMG --> <!-- IMG TITLE --> '''Figure 5.4''' <span id="investment-into-mitigation-up-until-2030-and-implications-for-investments-for-four-sustainable-development-dimensions."></span> <!-- IMG CAPTION --> '''Investment into mitigation up until 2030 and implications for investments for four sustainable development dimensions.''' <!-- IMG FILE --> [[File:b89a9e2508483d361f915d41fb6626fa figure-5.4-1024x700.jpg]] Cross-hatched bars show the median investment in 1.5°C pathways across results from different models, and solid bars for 2°C pathways, respectively. Whiskers on bars represent minima and maxima across estimates from six models. Clean water and air pollution investments are available only from one model. Mitigation investments show the change in investments across mitigation options compared to the baseline. Negative mitigation investments (grey bars) denote disinvestment (reduced investment needs) into fossil fuel sectors compared to the baseline. Investments for different sustainable development dimensions denote the investment needs for complementary measures in order to avoid trade-offs (negative impacts) of mitigation. Negative sustainable development investments for air pollution indicate cost savings, and thus synergies of mitigation for air pollution control costs. The values compare to about 2 trillion USD2010 (range of 1.4 to 3 trillion) of total energy-related investments in the 1.5°C pathways. Source: Estimates from CD-LINKS scenarios summarised by McCollum et al. (2018b) <sup>[[#fn:r261|261]]</sup> . <!-- END IMG --> <div id="section-5-4-2-4-block-4"></div> In summary, the assessment of mitigation pathways shows that to meet the 1.5°C target, a wide range of mitigation options would need to be deployed (see Chapter 2, Sections 2.3 and 2.4). While pathways aiming at 1.5°C are associated with high synergies for some sustainable development dimensions (such as human health and air pollution, forest preservation), the rapid pace and magnitude of the required changes would also lead to increased risks for trade-offs for other sustainable development dimensions (particularly food security) (Figures 5.4 and 5.5). Synergies and trade-offs are expected to be unevenly distributed between regions and nations (Box 5.2), though little literature has formally examined such distributions under 1.5°C-consistent mitigation scenarios. Reducing these risks requires smart policy designs and mechanisms that shield the poor and redistribute the burden so that the most vulnerable are not disproportionately affected. Recent scenario analyses show that associated investments for reducing the trade-offs for, for example, food, water and energy access to be significantly lower than the required mitigation investments (McCollum et al., 2018b) <sup>[[#fn:r262|262]]</sup> . Fundamental transformation of demand, including efficiency and behavioural changes, can help to significantly reduce the reliance on risky technologies, such as BECCS, and thus reduce the risk of potential trade-offs between mitigation and other sustainable development dimensions (von Stechow et al., 2015; Grubler et al., 2018; van Vuuren et al., 2018) <sup>[[#fn:r263|263]]</sup> . Reliance on demand-side measures only, however, would not be sufficient for meeting stringent targets, such as 1.5°C and 2°C (Clarke et al., 2014) <sup>[[#fn:r264|264]]</sup> . <span id="sustainable-development-pathways-to-1.5c-1"></span>
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