A net-zero emissions economic recovery from COVID-19

Economic growth will be a high priority for all countries in the months and years following COVID-19. The transition to net-zero emissions can significantly contribute to the recovery. Lessons can be learnt from the recovery packages introduced following the 2008 financial crisis, but the COVID-19 crisis is structurally different on the demand and supply side. In the lead up to COP26, the UK could provide guidance and methodologies to evaluate proposed recovery packages for consistency with the Paris Agreement and net-zero emissions. The UK could lead by example with a recovery package including components on net-zero buildings, energy storage, clean industry, transport and greenhouse gas removal. Institutionally, this could be supported by establishing a ministerial Climate Change Emergency Committee along with a Net Zero Delivery Body to implement a coherent response. Financially, a new National Investment Bank and focus on green financial instruments could enable the process. Building on these domestic efforts, as COP26 President, the UK could coordinate a global response through a new flexible intergovernmental Sustainable Recovery Alliance