In a new McKinsey & Co. report, Analysts describe the economic transformation that a transition to net-zero emissions would entail—a transformation that would affect all countries and all sectors of the economy, either directly or indirectly. Analysts estimate the changes in demand, capital spending, costs, and jobs, to 2050, for sectors that produce about 85 percent of overall emissions and assess economic shifts for 69 countries.
Click here to download the full report, The net-zero transition: What it would cost, what it could bring, as well as a PDF summary. As well as, read six articles highlighting aspects of the net-zero transition.
Key Points by Emma Newburger | CNBC
- The transition to net-zero greenhouse emissions by 2050 will require an extra $3.5T a year in capital spending on physical assets for energy and land-use systems, according to estimates from the McKinsey report.
- The amount is the equivalent of half of global corporate profits, one-quarter of total tax revenue, or 7% of household spending in 2020.
- The report estimates the transition’s efforts on demand, capital allocation, costs, and jobs across sectors in 69 countries that produce about 85% of global emissions.