Study Reveals 30% of Regions Achieving Economic Growth While Reducing Carbon Emissions

A recent study by the Potsdam Institute for Climate Impact Research and the University of Potsdam has found that 30% of the 1,500 regions analyzed globally have successfully achieved economic growth while reducing carbon emissions. This progress is key to meeting the goals of the Paris Climate Agreement, which seeks to limit climate change.

“We found that 30 percent of the regions with available data have fully decoupled carbon emissions from economic growth," said Anders Levermann, co-author and head of the research department “Complexity Science” at PIK. "Regions with high incomes and a history of carbon-intensive industries, as well as those with significant shares of service and manufacturing sectors were particularly successful in reducing carbon emissions while still experiencing economic growth.”

The research highlights that regions with high incomes and strong service and manufacturing sectors have been particularly successful in decoupling economic growth from carbon emissions. European regions, in particular, have shown steady progress, while North America and Asia have seen more fluctuating results.

Maximilian Kotz, co-author of the study, added, “Developed countries appear likely to fulfill these targets ahead of others, but overall recent trends appear inadequate for achieving the net-zero by mid-century in most regions.”

However, the study also underscores that the current rate of decoupling is insufficient to meet the target of achieving net-zero emissions by 2050. If current trends continue, less than half of the regions will be able to reach this goal. Kotz concluded, “If current decoupling rates continue, less than half of subnational regions will be able to achieve net-zero carbon emissions by 2050. Therefore, all levels of government need to step up and developed countries in particular should increase their efforts and investment in the energy transition in the developing world in order to meet net-zero targets globally.”