OECD COP29 Virtual Pavilion

Managing competing sectoral demands for renewable energy resources in the transition to sustainable transport

OnlineNov 15, 2024 | 2:00 PM - 3:30 PM

EnergyTransport

Description

Decarbonising the transport sector will increase demand for new energy resources, such as renewable electricity, low-carbon hydrogen, biogenic resources, and CO2 capture. This demand must be balanced with the available supply, which needs to be scaled up at an unprecedented rate to meet climate goals. Potential bottlenecks in supplying these energy resources could place the transport sector in direct competition with other sectors of the economy, such as buildings and industry. There may also be competition for renewable energy supplies between different modes within the transport sector. To manage such scarcity and guide markets to prioritise and allocate scarce energy resources, governments should develop regulations based on cross-sectoral merit. This session aims to support governments in their long-term energy system planning to decarbonise the transport sector alongside the rest of the economy, accounting for supply bottlenecks and facilitating international co-operation where appropriate.

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