Enjoy a 15% discount on all purchases until the 31st of March 2023 using the promo code EOFWEB22 at check out!

Economy Our insights on the global economy, business environment and the world’s major cities inform business strategy and pinpoint opportunities and risks.

Top 5 Countries by CO2 Emissions in 2016

9/21/2017
Oru Mohiuddin Profile Picture
Oru Mohiuddin Bio
Share:

Growing commitment to CO2 emissions but some challenges prevail

The top five countries by CO2 emissions from the consumption and flaring of fossil fuels are China, the USA, India, Russia, and Japan. Broadly, the high levels of CO2 emissions in these countries are linked to their economic sizes and structures, extent of urbanisation and the energy mix. All of them have pledged to reduce their carbon emissions albeit in varying degrees, but there are a number of challenges that are impeding progress.

Some countries have aimed to tackle carbon emissions by increasing the share of natural gas over coal. Governments, however, remain wary of making too many promises about reducing carbon emissions because they fear that such promises may stall their future economic growth. This is particularly relevant for countries such as India which are still developing and face a high level of poverty, but despite many challenges, there has been good progress and the ratification of the Paris Agreement by 160 countries is a step in the right direction.

China energy consumption heavily reliant on coal, peat and oil shale

The Chinese government is aiming to eliminate the use of coal altogether by exploring alterative energy sources. There has been much investment in renewable energy, which recorded a phenomenal growth of 126% between 2011 and 2016, albeit from a very small base. The government has introduced tax breaks for locally manufactured electric cars. Despite such efforts, increases in carbon emissions from the consumption of fossil fuels continue to be high, calling for even more stringent policies. China’s electricity penetration is still low comparatively. In 2016, the final consumption of electricity per capita was only 0.3 tonnes of oil equivalent compared to 1.0 in the USA. This indicates that electricity consumption will increase even more in the future and could lead to a higher coal consumption unless alternative sources are used.

The USA to benefit from more investment in renewable energy

The US has been able to check CO2 emissions from the consumption of fossil fuel given the growth in carbon emissions was relatively low at 0.80% between 2011 and 2016 thanks to environmental regulations as well as a growing share of shale gas, but there has not been much investment in renewable energy. Between 2011 and 2016, final consumption of solar, wind and other renewables increased from 1.4 million tonnes of oil equivalent to 2.4 million tonnes but forms a negligible part of the total energy mix. President Trump’s skepticism about environmental issues followed by leaving the Paris Agreement now casts further doubt about the country’s future plans to combat carbon emissions including investing in renewable energy.

India’s environmental initiatives conflict with poverty

The Indian government has committed to improving its carbon footprint through a three pronged approach, which includes reducing its reliance on coal, investing in renewable energy and creating additional carbon sink through forest and tree coverage by 2030. The results of these policies are yet to be reflected in the country’s environmental statistics. Although India’s forest land has increased by 1.3% between 2011 and 2016, the consumption of coal has increased by 21.2% during the same time. This coincided with a 49.8% increase in CO2 emissions from the flaring of coal, the highest in the group and in terms of absolute growth, the highest globally. India’s challenge with its environmental commitment is that its limited resources are thinly stretched over a wide range of development goals including fighting a high level of poverty.

Russia improves energy efficiency but more work needed

Russia recorded the strongest decline in both coal consumption and carbon emissions between 2011 and 2016 in the named group, driven by both the government’s goal to improve energy efficiency through a better quality energy mix and fragile economic conditions reducing demand for coal-reliant construction activities like cement production. Despite the country’s internal environmental policies to tackle emissions, Russia is yet to ratify the Paris Agreement. It has set low targets as part of its Intended Nationally Determined Contribution in the run up to the Paris Agreement. Climate groups argue that such low targets do not require additional environmental measures and not enough for one of the leading emitters in the world.

Nuclear disaster increases pressure on coal in Japan

Japan’s reliance on coal increased following the Fukushima Daiichi disaster, leading to the shut down of all its nuclear power plants. Consequently, carbon emissions from the consumption of fossil fuel increased by 1.9% between 2011 and 2016. Growing reliance on coal means that Japan would not be able to reduce its emissions by 26.0% compared to the 2013 level by 2030 – the target it set for itself. The country could explore renewable energy further, which is currently negligible, and declined by 12.0% between 2011 and 2016.

Interested in more insights? Subscribe to our content

Explore More

Shop Our Reports

Occasion Innovation in Snacks: Routine Concepts

As consumers consider and preplan their snack purchases more in lieu of economic challenges, anchoring innovations around consumer routines and need states has…

View Report

Global Industrial Trends

This report provides a global overview of industrial trends from 2022 through to 2027 for the key manufacturing and service sector industries. Insights analyse…

View Report

Global Inflation Tracker: Q1 2023

This report examines inflation levels and drivers globally and in key countries. In 2023, global inflation is expected to ease from its peak in 2022, but…

View Report
Passport Our premier global market research database with detailed data and analysis on industries, companies, economies and consumers. Track existing and future opportunities to support critical decision-making across all functions within your organisation Learn More