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PT_BR 
For reduce carbon emissions It is curb the impacts of climate change, a new analysis of the BCG (Boston Consulting Group) pointed out that it will be necessary US$ 3.5 trillion invested in technologies that accelerate the decarbonization until 2050.
According to the consultancy, public and private institutions around the world must join forces to shape the market in order to encourage investment in new solutions, such as green hydrogen and green steel, boosting and accelerating their development.
“We need to accelerate the advancement of climate technologies if we want to reach net-zero by 2050. We know that this type of investment requires a significant amount of capital and, in large part, has long-term and uncertain returns for shareholders,” he said. Luciano Guidolin, executive director and partner at BCG.
“Therefore, collective initiatives that direct the market, such as climate-friendly legislation and industrial coalitions, reduce the risks for those who invest the capital, as they bring more guarantees to both sides”, he highlighted.
According to BCG, market-directing strategies are used by companies, governments and investors to guide the development of an industry. By coordinating actions, the institutions involved can resolve flaws in their ecosystems, in addition to distributing risks and leveraging purchasing power in a given environment.
In the case of climate technologies, they stated that a joint initiative has the potential to accelerate the “green revolution” and guarantee the achievement of global environmental goals.
The consultancy's analysis identified eight emerging technologies with the potential to pursue the net-zero agenda, in addition to solar and wind energy: electric vehicles, green steel, green cement, Sustainable Aviation Fuel (SAF), direct air capture (DAC), low-carbon hydrogen, long-duration energy storage (LDES), and small modular reactors (SMR).
Once mature, and if adopted at scale and together, the study emphasized that these technologies could contribute up to 22 gigatons annually in reducing global emissions, fueling a cumulative global market of US$ 45 to US$ 60 trillion by 2050.
An example presented by BCG is the Inflation Reduction Act (IRA) of 2022 in the United States. The standard provides tax incentives for production and investment for the main climate technologies, in addition to encouraging the increase in carbon capture facilities and the production of H2V (green hydrogen).
“The objective of these proposals is to improve the risk-return relationship and encourage investments in the most important technologies for combating the climate crisis. These mechanisms can drastically change the economic viability of green energy”, concluded the executive.
