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NERA Managing Director Benjamin Chee will participate in a webinar to launch the report “The Use of Auctions for Decommissioning Coal Power Globally,” published by the World Bank and co-authored by the World Bank, NERA Economic Consulting, and RMI. The report examines the potential for using auctions as a mechanism to help countries accelerate the decommissioning of coal-fired power generation.

Rapid decarbonization of the energy sector is key to keeping the world on a path that limits global temperature rise to 1.5°C. The scale of coal use for power generation and its carbon intensity means that rapid abatement of coal power plants is critical to averting the worst effects of climate change. Under current policies and regulations, coal is likely to remain a primary source of electricity generation in many emerging and developing economies through 2050. At the same time, meeting 1.5°C-aligned climate goals (as represented by IEA’s Net Zero by 2050 scenario) requires advanced economies to phase out unabated coal power by 2030 and the rest of the world to do so by 2040.

Mr. Chee will participate on a panel that will introduce the global coal power landscape, arguments for decommissioning coal power, key factors to assess the coal-to-clean transition, a framework examining the potential role of auctions and key considerations in creating an attractive auction product, and items related to auction design and auction process implementation for further exploration. The discussion will also include reflections from World Bank staff on the use of auctions for climate results and on possibilities for using the auction mechanism in future country or global engagements.