After several years at high levels, oil prices dropped by more than half between June 2014 and January 2015, leading many to ask questions about the implications for the economy and for countries’ and companies’ energy choices. Although such price swings have happened before, the issues being discussed are indeed quite important. 

This analysis weighs the potential benefits and risks of relying on expanded natural gas expansion and use as a “bridge” to a lower-carbon energy future, based on a review of the research literature and of recent modelling studies, as well as interviews with sector experts. It also examines the extent to which natural gas could play such a role, and the conditions that would be required. 

This case study was conducted and written by NCE partner Tsinghua University. It shows how China can achieve economic development, energy security and reduce pollution at the same time.

Countries at all income levels have the opportunity to build lasting economic growth and at the same time reduce the immense risk of climate change. But action is needed now. The Global Commission, advised by some of the world’s leading economists, sets out a ten point Global Action Plan for governments and businesses to secure better growth in a low-carbon economy.