UK leading developing world in emissions reduction

The UK is leading the developing world on carbon emission cuts, according to new findings released by PwC.

The firm’s annual Low Carbon Economy Index, released last week, found that the level of greenhouse gas emissions per dollar of Britain’s GDP has fallen by 10.9 per cent since last year.

This figure, known as a Low Carbon Index, is the highest seen by any economy since the report began seven years ago.

“While the annual record for the UK is headline grabbing, it’s the UK’s consistent performance since 2000, reducing carbon intensity by 3.3 per cent on average a year that is notable,” said Jonathan Grant, director of sustainability and climate change at PwC.

In order to produce a successful Low Carbon Index a country must separate economic growth from economic reliance upon carbon emissions. This process is known as “uncoupling”.

The “uncoupling” process in the UK has been aided by a 2.6 percent economic growth, a warm winter and a falling reliance upon coal over the past year.

In comparison, the US’s carbon intensity fell by 1.6 per cent and Germany’s by 7.1 per cent.

Global carbon intensity fell by 2.7 per cent last year. This is the highest rate to date, but is far from the 6.3 percent rate required to keep global warming under the Intergovernmental Panel on Climate Change’s target of 2˚C.

However, Grant was optimistic about the results.

Last year the world economy grew by 3.3 per cent while carbon emissions were up just 0.5 per cent, suggesting the two have “uncoupled”.

“The analysis indicates positive signs of 'uncoupling’ or economies that can grow while reducing or maintaining a the same level, their carbon emissions per unit of GDP,” the director stated.

“Breaking the link between emissions and economic growth is essential to avoid the worst impacts of climate change.”

The report comes two weeks after the Bank of England warned about climate change. The bank told the insurance industry that must prepare for the financial shocks climate change will bring, and called for carbon-intensive companies to disclose their level of pollution.

“The challenges currently posed by climate change pale in significance compared with what might come,” Mark Carney, the Bank’s governor, said.

“In the fullness of time, climate change will threaten financial resilience and longer-term prosperity.”

Both reports come in advance of climate talks at COP21, where it is hoped world leaders will reach a binding agreement to halt global warming at 2˚C.