Climate Change: Big Challenges for the Global Economy
Participants of the discussion ‘Trading in Allowances for GhG Emissions at Sub-national Level: Ways to Use International Best Practices in Russia’ analysed how the emissions trading system will work and what place nuclear power will occupy in the carbon-free world. The event was held as part of the session ‘Problems of Decarbonization of the World Economy’ of the XXIII Yasin (April) International Academic Conference.
Igor Makarov, session chair, Head of the School of World Economy at the Faculty of World Economy and International Affairs, opened the dialogue, noting that over the past two years, decarbonization has unquestionably been one of the priorities of Russian economic development. He added that recently, an intergovernmental group of experts presented a regular report on the economics of climate change and reducing greenhouse gas emissions.
The conclusions of the report reflect the amount of scientific knowledge that has been accumulated in recent years: ‘Nevertheless, it includes important theses in a fairly concise form. One of them states that if we want to keep temperature growth on the planet to a level of no more than 1.5 degrees Celsius compared to the pre-industrial period, this means that in the next decade, we’ll need to emit no more greenhouse gases than we have in the current decade.’ In other words, the challenges for the global economy are huge, and it is clear that society will have to face these challenges, he adds.
In November 2021, Russia adopted a strategy of social and economic development with a low level of greenhouse gas emissions until 2050. It aims to reduce greenhouse gas emissions by 80% by 2050 compared to 1990 levels and to focus on achieving carbon neutrality of the Russian economy by 2060. A particular focus in achieving these goals involves dedicated measures for the economic regulation of greenhouse gas emissions, says Igor Makarov.
Ilya Stepanov, Research Fellow at the Centre for Comprehensive European and International Studies of the Faculty of World Economy and International Affairs, believes that economic regulation of greenhouse gas emissions, including using the emissions trading system (ETS), is becoming an increasingly common element of the climate policy of different countries and regions every year. He adds that Russia can apply international experience of permit trading for greenhouse gas emissions at the regional level.
‘The popularity of the emissions trading system as a tool for regulating greenhouse gas emissions (in 2019, 8 new systems were launched across the world) grows due to the effectiveness of the integrated economic mechanism,’ says Ilya Stepanov. ‘The application of ETS gives companies the opportunity to choose the most affordable ways to reduce emissions, including purchasing permits from other companies, which reduce emissions for a cheaper price.’
Stapanov adds that today, there are 27 carbon regulation systems in the world at regional levels. Twenty of them operate in the form of ETS, and the other seven take the form of a carbon tax. Another 13 regions are planning to launch a carbon regulation system in the near future.
‘One of these systems will be ETS in the Sakhalin region. It will contribute to achieving carbon neutrality in the region by 2025. The Sakhalin ETS is intended to become a platform for testing the permit-trading mechanism for further expanding the project at the national level and in other Russian regions,’ he adds.
Ilya Stepanov notes that the implementation of the project is aimed at identifying opportunities for applying international experience in the regional regulation of greenhouse gas emissions in Russia, in particular within the framework of the emerging Sakhalin ETS.
Svetlana Vanina, visiting lecturer at the HSE Faculty of World Economy and International Affairs, spoke about the role of hydrogen-nuclear energy in the context of the modern climate agenda. She says that amid forecasts involving the transformation of the global energy balance and an increase in the share of renewable energy sources up to 30% by 2050, nuclear energy retains a stable position as a ‘clean’ primary source for a wide range of synthetic energy carriers. ‘Additional prospects for nuclear energy are determined by its ability to flexibly integrate into power systems of various scales,’ says Svetlana Vanina. In other words, nuclear energy can play an important role in the world community’s transition to green energy. For example, one advantage of the nuclear industry is that a controlled nuclear reaction is currently the only industrially utilised technology that allows humanity to provide energy for many years to come.
Representatives of the Institute of Economic and lndustrial Engineering of the RAS Siberian Branch, NOVATEK, King Abdullah Petroleum Studies and Research Center (Saudi Arabia) also took part in the discussion.
Reports on new research results will be presented and discussed as part of the conference’s sections. These reports will be selected based on reviews of proposals. As always, the conference programme features expert discussions of the most pressing economic, social, internal and external issues in the format of roundtables and associated events.
Academic Council: HSE University’s Contribution to Achieving National Goals and Development Priorities to Increase
HSE University’s Development Programme until 2030 will be improved in order to increase the university’s contribution to achieving national goals and implementing the priorities of the country’s scientific and technological development. This decision was made by the university’s Academic Council on April 26. The meeting also addressed the principles for the development of HSE University’s external communications, one of which is the creation of a high-quality information field around the university.
Classical economic theory assumes that economic agents are entirely self-interested and rational in their pursuit of material well-being, and that they are not affected by external factors. As a result, externalities are not considered in any way when constructing economic models. Nevertheless, some sociologists argue for a revision of modern economic theory to incorporate the ethical dimensions of economic agents' behaviour. Kirill Borissov, Professor of the Faculty of Economics at the European University in St Petersburg, spoke at the XXIV Yasin (April) International Academic Conference and shared his observations from creating his own economic model incorporating the factor of envy.
Structural Transformation and Drivers of Sustainable Growth in Russian Economy Discussed at HSE University
The Russian economy has demonstrated high resilience to unprecedented external pressure and has managed to largely adapt to new conditions. As early as this year, it can go from recession to growth. The issue of where to find drivers and resources for this was discussed at a plenary session titled ‘Russian Economy under Sanctions: From Adaptation to Sustainable Growth’ at the XXIV Yasin (April) International Academic Conference held at HSE University as part of the Decade of Science and Technology. Minister of Economic Development of the Russian Federation Maksim Reshetnikov took part in the discussion.
Experts say that interest in news has sharply increased among the Russian audience. At the same time, part of the audience deliberately avoids it. What kind of content is in demand and will people continue to watch TV? These and other issues were discussed at the plenary session ‘ Info-hygiene and Information Elitism: How to Consume Media Properly’ at the XXIV Yasin (April) International Academic Conference.
Africa has the potential to become a new economic giant. Today, African countries are interested in comprehensive cooperation and strengthening their positions in the global arena, and they look forward to receiving assistance from Russia and China in developing their technology, economy, and social sphere. Effective engagement with Africa requires training a greater number of professional African studies specialists. The XXIV Yasin (April) International Academic Conference at HSE University featured a plenary session on 'Africa in a Changing World'.
Dementia, a debilitating form of cognitive impairment, can be preventable. According to Professor Jubin Abutalebi of the University Vita Salute San Raffaele, Italy, and the Arctic University of Tromsoe, Norway, the easiest way to prevent cognitive decline after the age of 60 is to learn and practice foreign languages – the more languages, the better, suggests Professor Abutalebi in his presentation 'Preventing dementia through bilingualism' at the XXIV Yasin (April) International Academic Conference.
Today, BRICS has become an influential factor in modern international relations and is perceived as one of the pillars of a more just world order. This association is not based on one party’s dominance, but instead, is built on a sound balance of interests. The role of the association was discussed by the participants of the plenary session ‘BRICS Development Strategy: Equal Opportunities in an Unequal World’at the XXIV Yasin (April) International Academic Conference.
Like any crisis, the sanctions of 2022, besides problems, have created new opportunities for Russian companies. This is the conclusion that HSE University’s experts have come to. Their study results are presented in the report ‘Adaptation of Russian Industrial Companies to Sanctions: First Steps and Expectations’, prepared by HSE University for the XXIV Yasin (April) International Academic Conference.
Experts have calculated that the number of international students in Russia has grown six times over the last decade, and researchers say that many of those who are studying today would like to stay in the country. This, alongside issues such as why Google Trends are worth looking into, were covered at the HSE XXIV Yasin International Academic Conference on Economic and Social Development section on demography and labour markets.