The McKinsey Global Institute has published another terrific piece of analysis, “The carbon productivity challenge: curbing climate change and sustaining economic growth.”

MGI is best known for its comprehensive cost curve for global greenhouse gas reduction measures (reprinted below), which came to the stunning conclusion that the measures needed to stabilize emissions at 450 pppm have a net cost near zero. The new report has its own stunning conclusion:

In fact, depending on how new low-carbon infrastructure is financed, the transition to a low-carbon economy may increase annual GDP growth in many countries.

The new analysis explains that “at a global, macroeconomic level, the costs of transitioning to a low-carbon economy are not, in an economic ‘welfare’ sense, all that daunting — even with currently known technologies.” Indeed, 70% of the total 2030 emissions reduction potential (below $60 a ton of CO2 equivalent) is “not dependent on new technology.”



.....more

http://climateprogress.org/2008/06/27/must...