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Rapid Transition Away From The Carbon Economy

by [Name]

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Table Of Content

Table of Contents

Introduction....................................................................................................................................3

PESTEL Framework Of Finland.................................................................................................3

Political........................................................................................................................................4

Economic.....................................................................................................................................5

Social...........................................................................................................................................6

Technological..............................................................................................................................7

Environmental............................................................................................................................7

Legal............................................................................................................................................8

Connotation, Features, And Development Models Of Zero-Carbon Economy.......................9

Connotation of Zero-carbon economy.....................................................................................9

Characteristics of a zero-carbon economy...............................................................................9

Development model of a zero-carbon economy.....................................................................10

The Countermeasures for the Development of Zero-carbon Economy..............................10

Cultivate zero-carbon economy consciousness......................................................................11

Optimizing energy structure...................................................................................................11

Accelerate carbon Finance derivative product innovation..................................................11

Conclusion....................................................................................................................................12
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Rapid Transition Away From The Carbon Economy

Introduction

Over the last few decades, human awareness of environmental challenges and the

significance of energy in fueling economic growth has increased gradually. Increasing carbon

dioxide concentrations represent an undeniable threat to the planet's environment. Consequently,

"To encourage zero-carbon living, several new concepts and policies were established, such as a

carbon footprint and a "zero-carbon economy." In addition to the zero-carbon lifestyle, these

regulations and ideas became something of a fad. From what I have observed, "Bali's "roadmap,"

the Kyoto treaty leading up to the later Copenhagen conference, and the "earth-hour effort" are

all positive initiatives. "All of these factors suggest that a carbon-free economy is now the basis

of the industrial revolution.

PESTEL Framework Of Finland

The national energy and climate strategy for 2030 were updated in 2016. Energy and

weather roadmap 2050 and neap are also available. Finland wants to become carbon-neutral,

which is challenging for the energy industry. Finland's GHG reduction goal is 16% lower than in

2005. Europe plans to lower greenhouse gas emissions by 95% from 1990 in 20 years. Energy

production and consumption account for 80% of global warming emissions. Finland aims to

acquire 38% of its energy from renewables by 2020. 2014 achieved this goal. In 2017, renewable

energy supplied over 40% of the nation's energy. The 2030 national power and climate strategy

intends to reduce energy use by nearly half of the EU's 27 percent target. Finland's bioenergy

strength is wood. 2017's worldwide energy usage was 27% wood fuels and 1.3% wind power.
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Renewable energy sources include bioenergy, hydropower, wind, geothermal, and solar. 80% of

Finland's renewable energy originates from wood and wood-based fuels, such as wood residue,

trash, black liquor, and peat. The EU aims to save 20% of its electricity by 2020. Finland's 2020

energy goal is 310 TWh. Finland used 300,1 TWh of energy in 2016. By 2020, we will consume

20% less energy (Bonsu, 2020).

Political

Climate change policies from Europe and Finland are critical drivers of Finland's CCS

(CARBON CAPTURE AND UTILIZATION) installations. The European energy and climate

policy framework calls for a 40% reduction in greenhouse gas emissions by 2030 from 1990

levels. Mandatory targets include improving energy efficiency and growing renewable energy. If

theoretical efficiency limits are reached, and process-related emissions are inevitable, it may be

challenging to eliminate direct industrial emissions on a large scale needed long-term. The next

decade will need further r&d and commercial CCS demonstrations to implement the technology

by 2030. Finland has no existing CCS plans. The Paris climate agreement may encourage

Finland's government and companies to reduce their carbon footprints. Long-term carbon

neutrality is Finland's climate and energy goal. By 2050, emissions must be 80-95% below 1990

levels (Bromley, 2016).

Energy strategy must also provide a constant energy supply and boost the nation's

competitiveness. Considering Finland's reliance on energy-intensive industries, this is vital.

Government policy goals are increased bioenergy usage, independence, and the eradication of

coal-based power production. The Finnish power and weather roadmap 2050 was established to

attain carbon neutrality. According to the proposal, peat and fossil fuels must be phased out to
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achieve carbon neutrality. The plan highlights CCS as a vital tool for lowering corporate

emissions. Finland's energy and climate plan will be finalized by 2016. The program specifies

national and EU energy and climate goals. Policy statements regarding CCS’s future role are

needed to make industrially practicable CCS investments. Legislative engagement is also

necessary to overcome legislative obstacles. They are exploring CCS’s role in reaching carbon

neutrality and supporting climate and energy policy goals. The following parts will explore

society’s CCS technology adoption.

Economic 

The analysis highlights barriers to CCS implementation in Finland. First, CCS's high

investment costs and limited profitability are barriers. Low profitability is due to increased

operating expenses from CCS's energy penalty and high transport and storage costs from

Finland's lack of storage locations. Therefore, feasible or almost profitable CCS investments are

uncommon. Due to market effects, it is hard to assess economic drivers' influence. A rise in co2

emission permit prices might make CCS more economically feasible than fossil-fuel burning

without CCS. New commercial prospects are a financial motivator for carbon capture and

utilization and bio-CCS applications (Campiglio, 2016). These applications might provide

revenue for CCS investment and operations. The present regulatory hurdles connected with co2

passage by ship must be removed, and bio-CCS must be included in the EU-emissions trading

system to realize these prospects.

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Social

The desire to minimize greenhouse gas emissions quickly is a real societal incentive for

CCS. Mature post-combustion captioning technologies are needed to reduce fossil-fueled power

plant greenhouse gas emissions. Critics of CCS argue it would extend fossil fuel use. This is

problematic given the need to minimize fossil fuel use to combat global warming. The " CCS

skeptical frame" of Finland's stakeholders said CCS investments might hinder renewable energy

investments, which are essential regardless of the CCS acceptance research. Finance for CCS is

perceived as limiting other low-carbon energy solutions. As Finland has no national CCS

capacity, there are no definite investment plans, and the technology's high cost makes it

unfeasible. Key stakeholders judged CCS unfeasible for Finland's energy grid. Even more

probable, CCS was misunderstood. Strong investment intentions may shift Finnish stakeholders'

views on CCS (Grim et al., 2020).

Numerous other nations' experiences suggest CCS may face resistance, mainly if onshore

storage is considered. New investment proposals need stakeholder discussions and open

communication. Environmentalists and social groups are concerned about CCS safety, as

skeptics worldwide, including Finland. Co2 has been handled in industrial processes before, but

risk evaluations show that CCS would need vast volumes. A substantial co2 emission from a

CCS-scale operation might affect a much larger area than a traditional co2 leak. Accidents may

harm people and the environment. Thus, risk management is crucial, and any event may affect

the public acceptability of CCS.

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Technological

CCS has many ideas and purposes, and its applicability depends on many aspects.

Despite not emphasizing this research, technological advancement is incorporated in each study.

No CCS concepts were included while examining technical impediments and drivers. Political,

economic, environmental, social, and legal issues are intertwined with technological obstacles.

Due to poor efficiency, only post-combustion technologies may be used in the present energy

infrastructure. This raises the requirement for fossil fuels and the lifecycle's environmental

implications. Stakeholders dislike these solutions for the same reasons. Reducing the energy

penalty would boost technology's sustainability (Gros et al., 2016). New technologies and

specialized applications indicate outstanding promise in small-scale carbon capture and

utilization applications and CHP generation in carbon capture and utilization applications. Using

collected carbon to generate cash and minimize transportation and storage costs may assist.

Finland may be unable to demonstrate and develop new technology due to a lack of r&d funding.

Environmental 

CCS may be driven by the need to reduce greenhouse gas emissions to prevent global

warming quickly. CCS might allow continued use of low-cost energy sources like coal while

minimizing their climate effect. Many energy-intensive companies cannot reduce emissions

without CCS. CCS opponents say it is incompatible with sustainable development, which calls

for preserving natural resources for future generations. Inefficient CCS processes increase the

demand for fossil fuels. Local research finds that CCS reduces power plant greenhouse gas

emissions. CCS reduces the power plant's so3 and n2o emissions, beneficial when considering
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site-specific emissions and consequences. Demand for fuels and transportation may boost

emissions at various stages of a product's life cycle (Hafeznia, Pourfayaz, and Maleki, 2017).

There may be trade-offs between environmental impact categories (such as temperature

change against acidification and eutrophication) and geographical dispersion. CCS's full life

cycle implications (other than global warming) depend on how it is deployed. Local

repercussions' relevance might vary. Organizing and optimizing the ship transfer of collected co2

may substantially influence the environmental implications of CCS in Finland. This technology

may help power plants that use biofuels minimize GHG emissions, such as forest debris. As

biomass is carbon neutral, a way must be found to include biogenic emissions in EU-est.

Legal 

A corporation must meet the rules to employ carbon capture systems in Finland.

Environmental health and safety rules control CCS implementation (es). Port management, port

workers, product proprietors, charterers, and ship transporters comprise the co2 maritime

transport supply chain. International shipping needs Finnish and international maritime

legislation. From co2 collection in Finland through storage in a secure geological deposit,

national legislation in other nations will oversee CCS. The U.S lacks geological storage. The

selected transport routes and storage partners will establish regulatory requirements for co2

transit and storage and monitor safe storage practices. According to legal and regulatory analysis,

CCS presents legal barriers. The European emissions trading scheme (ETS) prohibits shipping

co2 by ship. This barrier would limit any CCS attempts in Finland because of the lack of

geological storage (Mercure and Volz, 2022).

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The research stated that marine transportation might be possible with simple pollution

monitoring and verification techniques. The London protocol forbids co2 storage at sea,

preventing carbon capture. In 2009, protocol changes were devised to allow offshore geological

storage, but they are pending approval. Finland's and neighboring states' active engagement may

help overcome these difficulties. Biogenic co2 extraction might be an alternative to fossil-based

power facilities in Finland, reducing glasshouse gas releases. Biogenic carbon is measured as

carbon-neutral by the EU-ETS, but its implementation into legislative frameworks and market

processes is unresolved.

Connotation, Features, And Development Models Of Zero-Carbon Economy

Connotation of Zero-carbon economy

The zero-carbon economy is a vague social frontier economic idea. Commercial and

managerial disciplines are engaged. The first official government publication to use "zero-carbon

economy" was "Our energy future: develop a zero-carbon economy" in 2003. Zero-carbon

economy increases economic output by using fewer natural resources and generating less

pollution. It also offers opportunities for developing, using, and manufacturing advanced

technology and new company chances and employment opportunities (Mohsin et al., 2019).

The zero-carbon economy is a trendy topic, although its definition is ambiguous. Niu

Wenyuan says a zero-carbon city must be built on a cluster economy, circular economy, and

knowledge economy. Xia Kunbao says there are two zero-carbon economies: production-based

and consumption-based. Sustainable economics and society are Zhuang Guiyang's goals. A zero-

carbon economy may minimize greenhouse gas emissions via sustainable development,

technological innovation, system innovation, and new energy. The key is energy efficiency and a
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clean energy structure; the core is innovation in energy technology and institutions; the objective

is to achieve zero climate change and progress sustainable human development.

Characteristics of a zero-carbon economy

Zero-carbon economies have public externalities. This is a collision of global, national,

and governmental interests. Two phases are external economy and diseconomy. The external

economy includes reforestation, energy conservation, and emission reduction (i.e., a positive

externality). When automobile emissions pollute the air, society pays for the harm and doing

business. Environmental damage will cost an organization more than doing business (i.e.,

negative externality). Economy. A zero-carbon economy must follow market ideas and

procedures. Carbon-neutral manufacturing and lifestyles follow an "invisible hand." The zero-

carbon economy must increase people's living standards and well-being. Innovation. A zero-

carbon economy reflects the invention of industrial civilization's paradigm of economic

expansion, which enhanced energy efficiency and lowered greenhouse gas emissions. It has

innovative production, consumption, and an attitude (Newell, 2020).

Development model of a zero-carbon economy 

The zero-carbon economy is a new high-level concept of economic development that

aspires to boost energy efficiency and build a carbon-free, pollution-free energy system. The

future of global competitiveness is a zero-carbon economy that is competitive. Countries will

prioritize building a zero-carbon economy depending on their unique circumstances, and there is

currently no overall approach. The Chinese zero-carbon economy paradigm placed government

and market power on show. Additionally, the public and private sectors were influenced by this

dynamic. The "invisible hand" of the market leads the direction of industrial structure adjustment

and optimization, and the "invisible hand" of the market guides the path of economic growth.
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Governing bodies are vital in encouraging zero-carbon economic development (Orlov et al.,

2017).

 The Countermeasures for the Development of Zero-carbon Economy

Developing a zero-carbon economy is an obvious choice to create a win-win situation

between economic development and environmental and resource protection. The achievements

of Western industrialized countries in exploiting and using zero-carbon technologies and

building a zero-carbon economy need further study (Orlov et al., 2018). Given our unique

national conditions and the current development and limitations of a zero-carbon economy, our

nation should construct a zero-carbon economy via various means.

Cultivate zero-carbon economy consciousness

Government, companies, and the public must understand zero-carbon economics to

establish a zero-carbon economy. To contribute to a zero-carbon economy, people must adopt

zero-carbon consumption habits and patterns, starting with the basics. Companies need a new

viewpoint to create a zero-carbon economy. Establishing a clean and efficient production process

is vital in managing the organization to decrease emissions, pollution, and energy (Owen,

Brennan, and Lyon, 2018). The government should encourage zero-carbon consumption and

manufacturing and direct consumer consumption trends. Government subsidies, taxes, etc.,

should favor them.

Optimizing energy structure

To attain a zero-carbon economy, we must first address our country's energy structure

and optimize consumption patterns to maximize resource production. Long-term, we must

establish renewables, clean coal, advanced nuclear, and hydrogen fuel as the heart of a
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sustainable energy system. We must push hydrogen fuel and other innovative technologies

actively.

Accelerate carbon Finance derivative product innovation

International carbon trading markets have built a carbon finance structure, while the

global market is confined to project-level trading. We must build a carbon finance system to

boost research and produce carbon derivatives. A carbon fund investment must be developed to

offer carbon management and zero-carbon technology, energy-saving and emission-reduction

enterprises for environmental protection, assist project execution, issue green loans, protect the

environment loans, etc. Second, financial institutions should build carbon finance divisions to

reduce information asymmetry in carbon trading and improve risk-management skills

(Semieniuk et al., 2020). Third, rules and policies must be developed to promote carbon-free

firm activities on the stock market to direct and encourage private capital to join the carbon-free

sector.

Conclusion

To conclude, I may state that global warming reduces fossil fuel use. Some experts argue

that "green growth" is climate-resilient, resource-efficient, and ecologically benign. Emerging

countries should decarbonize their energy systems as rapidly as possible. Carbon limitations are

cheaper to implement now than later. Emerging countries with limited energy resources may

leapfrog to better technology. Macro (country) modeling shows power networks can use a

significant amount of renewable energy, and sector studies demonstrate complete

decarbonization is possible. As renewable energy costs decrease, decarbonizing the electricity

grid becomes viable. Coal plant construction is complex (the most polluting kind of energy).
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Clean energy transitions minimize pollution and provide energy security. Early

decarbonization shouldn't hide the need for politically difficult, short-term structural reforms. To

meet global mitigation objectives, economies must reduce emissions quickly. Models show this.

Decarbonizing the electrical sector, boosting efficiency, avoiding heavy industrial, and

converting to low-carbon power is required. A regulatory and incentive system is needed to

maintain economic growth and development while modernizing the energy sector. The policy

mix will depend on national and regional situations, but the essentials are apparent—a

preliminary study on low-carbon energy and economic growth. Concerns with methodology

include the need for "non-marginal" models that highlight structural change implications. It

needs to understand climate policy and evaluate options. The research focus must shift from

carbon limiting costs to clean technology revival.

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