This research study aims to identify the key actors and social tipping elements (STE) necessary for the decarbonisation of industry, society, and economy in order to stabilise Earth’s climate by the year 2050.

Key takeaways

The study identified six social tipping elements that could lead to fast decarbonisation globally. These are:

• Energy production and storage
• Human settlements
• Industry
• Finance
• Education
• Values and norms

Each STE has associated interventions targeted at key actors, which, if implemented, would trigger social tipping toward decarbonisation. Subsidy programs for energy production, human settlements that focus on renewable energy sources, disclosure guidelines for finance sectors, climate change education in schools, and spreading values of sustainability are some of the interventions proposed.

The study reveals that implementation of these STE and interventions has the potential to reduce emissions by up to 50% per decade thereby allowing us to limit global warming to 1.5C by 2050.

Key actors

The study identifies the key actors that can influence the outcome of decarbonisation, including national and local governments, international agencies, scientific communities, NGOs, businesses, and the public. These actors can affect the control parameter associated with each STE through various feedback loops, such as finance, policy, and social norms.

Quantitative evidence

The study suggests that expert-identified social tipping interventions have the potential to trigger decarbonisation within 10 to 20 years. Decentralised energy production and storage implementation in communities has the potential to reduce up to 100% of power generation globally in a year. Similarly, implementing climate change education and training programs in schools and universities worldwide could reduce up to 30% of greenhouse gas emissions per year. The study also suggests that values and norms have a significant impact on social tipping.

Qualitative evidence

The lack of political will and societal behaviour is shown as a major obstacle to enact STEs. The study emphasises the need for policy incentives, for example, subsidies, regulations, and disclosure guidelines, to trigger the positive feedback loop for social tipping. Diversity in low-carbon and sustainability practitioners’ expertise is highlighted in the report as a missing piece in research evidence.

Conclusion

The imperative for a rapid, large-scale global transformation is recognised by the report. This empirical analysis shows that there are STEs available that, if triggered, could rapidly decarbonise industry, society, and economy without requiring drastic and uncomfortable lifestyle changes. Decentralised energy production and storage, reducing fossil fuels subsidies, divestment of financial institutions, including climate change education in curricula, and inculcating values of sustainability are a few such STEs. However, political will, cross-sectoral collaboration and behavioural change are essential to action these STEs.

The insight provided by this research can be valuable for finance professionals to recommend investments and portfolios that align with climate change mitigation goals, meet ESG criteria, and safeguard returns.