Green Industrial Policy and the Decarbonization of Industry

Abstract

The transition to climate neutraliy comes with a new set of challenges for green industrial policy. In the past , green industrial policy has largely focused on building new, green sectors, while existing industries have remained largely untouched or have even expanded in parallel. Reaching climate neutrality by mid-century will require not only an acceleration of renewable energy development but also the phase-out of high-carbon energy production, including coal but also natural gas. Moreover, it requires rapid progress in the decarbonization of end-use sectors, including transport, heat and industry. This in turn entails the transformation of established industrial value chains in areas like automotive, steel and chemicals. This panel will focus on contributions that address this process of industrial transformation and related industrial policy developments.

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