Generating Alternatives: The Possible Energy Transitions for France and Germany after the Paris Accord

Following the Paris Accord of 2015, multiple countries, including France and Germany, promised to reduce their greenhouse gas emissions in order to slow down climate change. Current energy production and consumption patterns do not allow for such targets. Meeting these emission reduction goals requires a transition in energy production. Energy transitions can be inefficient and costly if not planned properly, and multiple constraints need to be taken into account when putting such a process in place. The model proposed in the present study aims to find the most cost-effective energy portfolios for France and Germany, two highly industrialized nations in Europe. The model consists of national total energy production cost function and characterizes least-cost pathway to supply energy while meeting the greenhouse gas emission targets until 2030. This model can be applied to other nations and regions of the world. The current research also conducts various scenario simulations to observe how different changes, such as GHG constraints or demand variation can affect the energy sector in the future. It is found that meeting GHG emission targets for both countries is financially feasible, and could be met through a reduction in overall energy demand as well as making a partial shift towards low-carbon renewable energy sources.