Who should act to limit warming to 1.5°C? Roles of households, businesses, and governments

The world is close to the critical threshold of 1.5°C, with each additional fraction of a degree amplifying risks of heatwaves, floods, and biodiversity loss. This proximity makes every action, individual or collective, crucial for climate future.

Households, businesses, and governments: an interdependent trio of responsibilities

Stephanie Cap, an industrial ecologist, emphasizes that households alone cannot bear the burden of decarbonization. While households represent a significant portion of final energy demand, their ability to act is limited by available equipment, energy tariffs, and local regulations. Without a low-carbon intensity solution offer – such as certified appliances, well-insulated homes, or decarbonized heat networks – virtuous behaviors remain rare and costly.

Businesses, however, control most emissions related to production, logistics, and services. They have the financial and technological means to invest in low-carbon intensity processes such as carbon capture, electrification of production chains, or use of recycled materials. When private actors adopt ambitious climate objectives, they create markets for clean technologies, making domestic solutions more accessible and affordable.

Governments play a catalytic role by establishing regulatory frameworks, fiscal incentives, and energy performance standards. Policies such as energy efficiency norms, carbon taxes, or thermal renovation subsidies help reduce adoption costs for households and encourage businesses to innovate. Without such a framework, private initiatives remain fragmented, and households face structural barriers hindering transition.

Why households alone cannot reach the 1.5°C target

The scenario presented in Cap's dissertation, "Everything Must Change", shows that even a radical transformation of domestic behaviors is not enough to offset residual emissions from industrial sectors and transportation. Households can reduce their energy consumption, but they remain dependent on the national energy mix. If electricity mainly comes from fossil fuels, energy savings at home are limited.

Moreover, social inequalities exacerbate households' ability to change. Low-income households often live in poorly insulated buildings, making insulation costs outweigh energy savings. Without public support – such as zero-interest loans or renovation programs – these households cannot afford to transition.