The Intergovernmental Panel on Climate Change (IPCC) has published its sixth and latest Climate Assessment Report (Report), which focuses on slowing down and mitigating future impacts of climate change. A major focus of IPCC's most recent Report is impacts to the energy sector.
IPCC's Report indicates a compelling need for energy diversification and carbon reduction. The Report concludes that scientists have observed economic damages caused by climate change in sectors that are exposed to climate-related risks, such as the energy sector. Additionally, scientists have observed impacts within the energy sector to supply-chains, markets, and natural resource flows.
The Report finds that adaptation, via generation diversification (including renewables) and decentralization, are the most feasible options to help support resilience within the energy sector. The Report also states that research has shown investing in robust transmission systems, smart-grid tech, and modernization of design standards of energy assets will help mitigate climate-related risks as well.