Source: BusinessNZ
New modelling on New Zealand’s energy system reveals the Government’s 2035 emissions target can be met but will require significant investment, changes to the current regulatory environment as well behavioural change.
BEC Executive Director Tina Schirr says the new Energy Strategy Deep-Dive using the TIMES-NZ Model provides a glimpse into potential futures, each with their own benefits and trade-offs.
“Based on sensitivity analysis, our advice to policy makers who want to achieve the Government’s sustainability goals is to enable sector decision-makers to respond and adapt efficiently to shocks and provide certainty around policy development.
“We also recommend the Government develop policy which reduces barriers to entry on low-carbon energy solutions, while avoiding outright bans on others.”
Schirr says the TIMES-NZ models are designed to help New Zealanders think about our energy future and the range of trade-offs and choices required as we transition to a net-zero carbon economy.
“By analysing sensitivities of distinct scenarios we can uncover potential risks and other uncertainties. Once we understand these risks, we can develop strategies around minimising their impact.
“I’d like to share a big thank you to all who contributed to this report. With one eye on the horizon, the energy sector is better positioned to handle the challenges ahead.”
The New Zealand Energy Scenarios TIMES-NZ 2.0 was developed in partnership with EECA, BEC and PSI. This work encourages discussion about where we are now and where we are heading, to get the best outcomes for individuals, businesses and society as a whole. There are two distinct scenarios:
Kea represents a scenario where climate change is prioritised as the most pressing issue and New Zealand deliberately pursue cohesive ways to achieve a low-emissions economy.
Tūī represents a scenario where climate change is an important issue to be addressed as one of several priorities, with most decisions being left up to individuals and market mechanisms.
