Like in the emission tax scenarios, reduction target scenarios are also predominantly supplied by coal. Again, this is due to the fact that the cost criterion takes precedence (see Fig. 16). Where there is a gradual increase in biomass use in the BAU scenario, in the reduction target scenarios, in the middle years of the modeling horizon (2020–2040) there is a general increase and then a decrease in biomass fuel share. This is indicative of the fact that in the middle years, it is beneficial in terms of cost for biomass to supply the service requirement, since biomass is carbon neutral as well. But in the later years, due to cost increase anticipated for biomass supply, the energy system reverts to coal. This also implies that CCS will also be a dominant mitigation technology like in the carbon emission scenarios. Likewise, CO2 emissions should be analyzed in conjunction with the fuel mix and hence Fig. 17 gives the CO2 emissions in the reduction target scenarios.