Geoscience Reference
In-Depth Information
23
NEW TECHNOLOGIES FOR A
LOW-CARBON ECONOMY
Earlier chapters have described economic policies that provide incen-
tives for fi rms and individuals to make the transition to a low-carbon
economy. The discussion has described only in a general fashion the
exact technologies that will power that transition. But we don't drive or
heat our homes on generalizations. We use actual energy in the form of
jet fuel for our airplanes, electricity for our computers, and gasoline for
our cars. How big a challenge is it to “decarbonize” our economy?
A second question is the technological one. Today's economy is
driven largely by fossil fuels like oil and coal. What will replace these
workhorses of the modern economy? What will fuel our cars and heat
our schools in the low-carbon world? What are the roles of nuclear, so-
lar, wind, and other fuels for electricity generation? These are exciting
questions that engage engineers and scientists around the world.
A third question from economics is subtle but equally important.
How will we get fi rms to invent and produce, and consumers to buy
and use, these new technologies? It is not enough to have an idea about
a solar-powered water heater or a carbon-eating tree. Someone must
have the incentive to develop an effi cient prototype. If fi rms are to in-
vest millions or even billions of dollars to develop such technologies,
they must fi nd them profi table to produce and sell. Consumers must
fi nd them advantageous to buy. What are the mechanisms that will set
in motion this chain of invention, investment, production, and pur-
chase of new low-carbon technologies? This is the central question ad-
dressed by this chapter.
