STUDYGlobal CarbonRestructuring PlanHow to decarbonize the 1,000 mostCO,-intensive assetsBergerMANAGEMENT SUMMARYGlobal Carbon Restructuring PlanHow to decarbonize the 1,000 most CO2-intensive assetsThe likelihood of complying with the Paris Agreement andCostis notthe onlykeyfactor to consider.Assetownerslimiting global warming to 1.5'C currently stands at justneed decarbonization solutions to deliver a sufficient14x Only a quantum leap forward in global sustainabilityand secure supply of energy as well as profitability:efforts can significantly improve these odds and put therenewables,nuclear,and gas all fit the bill.But CCSworld on track for a more sustainable future.requires a more widelyimplemented COa pricing schemeTo do this,we must identify and implement thewith sufficient price levels before it can be profitable.most impactful solutions as quickly as possible.ByOur study also analyzes the financeability ofdecarbonizing the 1,000 assets that emit the mostdecarbonizationsolutions.On a global level,the ownersCO2,our research shows we can reduce global carbon of the top 1.000 assets have enough headroom to fundemissions by 8.2 gigatons(Gt).Thisis athird of the 24 Gtgas and CCS investment costs,but not renewables orour slim hopes of hitting the 1.5'C target.The 1,000 than others,with China and India facing seriousassets are a powerful source of momentum.financial challenges across all four solutions.So what are these assets?Unsurprisingly,coal-According to our calculations,renewable energyfired power plants dominate,contributing 76%of COa sources are currently the most suitable solution foremissions among our 1,000 assets.Iron and steel plants assets in the power sector.They can fully eliminateare the second-biggest contributor(18x).More than half COa emissions at the lowest total cost and are readilythe 1,000 assets are in China,with India home to 13%andfinanceable by existing headroom across most regions.the United States 10%.Crucially.ownership of the 1,000The message is clear:Deployment of renewableassets is concentrated among 406 companies.Indeed,energy must be accelerated across all assets in alljust 40 companies ownassets that produce half the 8.2 Gt regions.This should be complemented by a regionalof COzemissions.Decisive action from asmall number ofemphasis on the next bestlocal solution.businesses could drastically improve climate protection.Achieving the required quantum leap insustainabilityOur Global Carbon Restructuring Plan (GCRP)will not be easy;there are still many technological andoutlines how to achieve this significant impact by financial hurdles.Overcoming these requires a newtargeting the 1,000 most COz-intensive assets.It outlines form of collaboration between regions,governments,four potential solutions for decarbonization:renewablecompanies,and financiers.We believe collectivelyenergy,gas,nuclear,and carbon capture and storageembracing the steps outlined in this Global Carbon(CCS).We calculate that each approach will cost Restructuring Plan represents a significant move in thebetween USD 7.5 trillion (renewables)and USD 10.5 right direction.The journey to decarbonization may betrillion(nuclear and CCS)over the course of 26 yearslong and daunting,but,asset by asset,we can generate(2025-2050).This equates to less than 20%of the world'smomentum to change the energy system,realizeannual military or R&D spending.impact that matters-and create alegacy that endures.1 Emissions Gap Report 20232 Roland Berger