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Deep decarbonization scenarios indicate a decline in fossil oil usage in the coming decades, meaning that oil refineries must adapt. This work evaluates the refining sector in deep decarbonization pathways using Brazil as a case study. BLUES – a national integrated assessment model – is employed to investigate the evolution of the sector in mitigation scenarios until 2050. The production of feedstocks for the petrochemical industry, of fuels for the aviation and maritime sectors, and biomass co-processing are analyzed. These strategies may bring resilience to the sector. The potential for avoiding emissions in refineries' operations is also explored. Findings show that the refining sector operates at 70% and 74% of its nameplate capacity in decarbonization scenarios. These results are used as the starting point for a detailed analysis of Brazilian refineries. Results show that the employment of refineries' assets for purposes aligned with decarbonization targets, along with emissions mitigation in the sector, reduces risks of carbon lock-in and of asset stranding. To our knowledge, this is the first study that evaluates emissions mitigation in the refining sector and also uses an integrated assessment model to investigate oil refining repurposing and co-processing options in the context of decarbonization. • The refining sector is evaluated using an integrated assessment model for Brazil. • A comparison is made between business- as -usual and decarbonization scenarios. • Opportunities for refineries' assets and mitigation measures are explored. • Opportunities for refineries depend on their location and type of processing units. • Risks of carbon lock-in and asset stranding can be reduced. [ABSTRACT FROM AUTHOR]

Abstract Integrated assessment models are extensively used in the analysis of climate change mitigation and are informing national decision makers as well as contribute to international scientific assessments. This paper conducts a comprehensive review of techno-economic assumptions in the electricity sector among fifteen different global and national integrated assessment models. Particular focus is given to six major economies in the world: Brazil, China, the EU, India, Japan and the US. The comparison reveals that techno-economic characteristics are quite different across integrated assessment models, both for the base year and future years. It is, however, important to recognize that techno-economic assessments from the literature exhibit an equally large range of parameters as the integrated assessment models reviewed. Beyond numerical differences, the representation of technologies also differs among models, which needs to be taken into account when comparing numerical parameters. While desirable, it seems difficult to fully harmonize techno-economic parameters across a broader range of models due to structural differences in the representation of technology. Therefore, making techno-economic parameters available in the future, together with of the technology representation as well as the exact definitions of the parameters should become the standard approach as it allows an open discussion of appropriate assumptions. Highlights • Comparison of technology representation and techno-economic parameters of 15 IAMs. • Structural differences in representing technology in IAMs are identified. • Methods of projecting techno-economic parameters differ across IAMs. • Strict harmonization of techno-economic parameters across models is difficult. • Recommendation to publish techno-economic parameters and technology representation. [ABSTRACT FROM AUTHOR]

The industry sector is a major energy consumer and GHG emitter. Effective climate change mitigation strategies will require a significant reduction of industrial emissions. To better understand the variations in the projected industrial pathways for both baseline and mitigation scenarios, we compare key input and structure assumptions used in energy-models in relation to the modeled sectors' mitigation potential. It is shown that although all models show in the short term similar trends in a baseline scenario, where industrial energy demand increases steadily, after 2050 energy demand spans a wide range across the models (between 203 and 451 EJ/yr). In Non-OECD countries, the sectors energy intensity is projected to decline relatively rapidly but in the 2010–2050 period this is offset by economic growth. The ability to switch to alternative fuels to mitigate GHG emissions differs across models with technologically detailed models being less flexible in switching from fossil fuels to electricity. This highlights the importance of understanding economy-wide mitigation responses and costs and is therefore an area for improvements. By looking at the cement sector in more detail, we show that analyzing each industrial sub-sector separately can improve the interpretation and accuracy of outcomes, and provide insights in the feasibility of GHG abatement. [ABSTRACT FROM AUTHOR]

Phasing-out fossil fuels is key to limiting global warming to 1.5 °C. Recent studies indicated huge amounts of unextracted oil resources in deep mitigation scenarios. However, crude oil heterogeneity and related refining yields have been overlooked. The same holds for the impact of carbon dioxide removal (CDR) and sequestration technologies on stranded oil resources, and the pace of crude oil extraction in different world regions in scenarios with and without average global surface temperature overshoot for the 2020–2100 period. This study uses a global Integrated Assessment Model (IAM) to assess the impact of considering such complexities when running full-century and peak budget carbon scenarios. When "turning off" the detailed oil quality module of this IAM, an overproduction of crude oil with a smaller throughput of oil refineries was found, as the model simplified the oil supply-demand balance. "Turning on" the detailed oil module and simulating the energy-land nexus showed that CDR allowed the remaining use of oil in hard-to-abate sectors, while refineries were better adjusted to oil supply. African and Latin American regions produced more oil before 2050 in the full-century-budget scenario than in the peak budget scenario. This has implications for just transition, as these regions usually prefer anticipating rents. • Phasing-out fossil fuels and CDR options are key to limiting global warming. • Crude oil quality matters to estimate stranded oil resources. • Climate ambitions and negative emissions affect just transition. • The distribution of unextracted oil resources differs regionally. • Temperature overshoot allows some developing regions to anticipate oil revenues. [ABSTRACT FROM AUTHOR]