“The economics of 1.5°C climate change” with Prof Simon Dietz

The economic case for limiting warming to 1.5°C is unclear, due to manifold uncertainties. However, it cannot be ruled out that the 1.5°C target passes a cost-benefit test. Costs are almost certainly high: the median global carbon price in 1.5°C scenarios implemented by various energy models is more than US$100 per metric ton of CO2 in 2020, for example. Benefits estimates range from much lower than this to much higher. Some of these uncertainties may reduce in the future, raising the question of how to hedge in the near term.

Simon Dietz is an environmental economist with particular interests in climate change and sustainable development. He has published dozens of research articles on a wide range of issues, and he also works with governments, businesses and NGOs on topics of shared interest, such as carbon pricing, insurance and institutional investment.