The gas sector continuously faces major expenses to maintain and replace aging distribution systems. Non-Pipeline Alternatives (NPAs) are solutions that avoid the scale of these infrastructure costs by judiciously spending money on cutting future gas use instead. Given gas’s limited long-term future in a net-zero world, this makes sense. It’s not just about efficiency wins, explains Max Dupuy at RAP who summarises their research. Gas utilities … [Read more...]
Germany: can 100% renewable power reduce energy costs within the decade?
A bold report is presented by Thure Traber, Hans-Josef Fell and Sophie Marquitan at Energy Watch Group. It says that a 100% renewable power system for Germany can undercut fossil power within this decade. The authors look at the full cost of fossil power, including subsidies. Importantly, they explain how unit costs will rise further, as demand declines, due to the decreasing utilisation of its expensive infrastructure. Meanwhile, total system … [Read more...]
IEA WEO 2021 message to COP26: 40% of clean energy goals will cut costs
The IEA’s latest World Energy Outlook was published on Wednesday. This year’s WEO-2021 is released earlier than usual to inform COP26 and, for the first time, is available for free to ensure the widest possible audience. Simon Evans at Carbon Brief offers his summary of the 386-page report, quoting relevant numbers and charts. He first points to the new scenario, Net-Zero Emissions by 2050 (NZE), as the IEA’s recognition that this is what … [Read more...]
Green hydrogen-based fuels pivotal in decarbonising Shipping by 2050
The international shipping sector’s emission levels are comparable to Germany’s. Like aviation and heavy transport, reaching net-zero will need renewable fuels – direct electrification won’t be sufficient. Existing fossil fuel engines allow for biofuel blends of up to 20% without any modifications, and 100% methanol engines are a proven technology. Making sufficient quantities of clean fuels - without consuming food crops – is the challenge. … [Read more...]
CEPP incentives and penalties: current design could undermine U.S. clean energy growth
The Clean Electricity Performance Program (CEPP) is a key part of President Biden’s energy and climate plans. It will steer utilities towards clean energy with incentives and penalties, and is still being designed. Severin Borenstein and James Bushnell at the Energy Institute at Haas, Steve Cicala at Tufts University and Ryan Kellogg at the University of Chicago warn that current proposals will allow utilities to game the system, resulting in … [Read more...]
How to share the cost of an EU-wide Hydrogen network
The EU’s ambition is to make green hydrogen available throughout the region, and ramp up the transportation infrastructure as fast as possible to deliver it at a competitive price. But there are big disagreements between stakeholders over how and who should pay, explains Walter Boltz. The simplest solutions like focussing on hydrogen clusters will only deliver it to nearby customers. If only the customers pay it will make the hydrogen very … [Read more...]
Renewable Hydrogen: what policy instruments are needed to reach the new targets?
A comprehensive mix of policy instruments is needed to ensure that the EU meets its ambitious hydrogen targets. What should they look like? Pia Kerres, Matthias Schimmel and Corinna Klessmann at Guidehouse quote their study, done in collaboration with Agora Energiewende, for the answers. Industry and long-haul transport should be the main customers for hydrogen. The big challenge is to cut the cost of hydrogen production; it’s too expensive and … [Read more...]
Hydrogen production in 2050: how much water will 74EJ need?
There’s no point ramping up hydrogen if other resource constraints are going to bring it to a halt. Here, Herib Blanco at IRENA summarises their research into how much water will be needed in the production of hydrogen through electrolysis (i.e. from water) and the costs involved. A wide range of analyses have been reviewed to calculate the amount of water used during the hydrogen production, and by the energy source used to power it (renewables … [Read more...]
Wind, Solar: continuing cost declines will help meet rising renewables targets
The EC’s “Fit for 55” proposals include the raising of the EU’s 2030 target for total energy produced from renewable sources to 40%. Much of the rest of the world will likely raise its targets at some point too. Continuing to cut the cost of renewable energy generation will be essential to make that happen, and take pressure off all the other associated costs of supporting its integration into the energy system. Michael Taylor at IRENA summarises … [Read more...]
UK: exposing the gap between ambitious climate laws and actual policies
Like many nations, the UK has big gaps between what is actually needed to reach net zero by 2050, what targets and ambitions have actually passed into law, and what policies are actually in place to comply with those laws. The UK’s climate watchdog, the Climate Change Committee (CCC), has issued two reports that measure the UK’s performance and makes recommendations, summarised here by Josh Gabbatiss at Carbon Brief. The first report focuses on … [Read more...]
End Fossil Fuel subsidies by shifting them to poorer households
In May, the environment ministers of the G7 agreed to end fossil fuel subsidies within this decade. Around $650 bn/year is spent worldwide on subsidising all energy sources, with the majority ($450bn) going to fossil fuels despite the climate crisis. But simply removing the subsidies has proven difficult. They keep energy costs low for consumers. It’s why public protest resisted the change in Ecuador and France in 2019. And developing nations … [Read more...]
Where to build new Wind Turbines in Germany? Lowest cost vs residents and nature
Germany was a wind energy leader. But by 2019 it was only ranked sixth globally for newly installed capacity per year. Antje Nieber and Paul Lehmann at the University of Leipzig explain why. At its heart is a conflict of priorities: lowest cost versus the interests of residents and nature, being played out at the national and federal levels. The switch from feed-in tariff support to lowest-cost tenders stalled a lot of wind projects. Lawsuits and … [Read more...]
How Clean Energy Standards have driven clean electrification in the U.S.
John Rogers at the Union of Concerned Scientists presents evidence from the U.S. of the effectiveness of using standards to drive clean electrification. In principle it’s simple: set a legal requirement for the percentage of clean electricity. How it’s done depends on the efforts of all the actors affected. 30 states are using different versions of Clean Energy Standards (CES) – the first began in 1983 and more than half of them began before 2004 … [Read more...]
Solar “soiling”: energy loss from dust on panels can range from 7% to 50%
Dust and pollution particles on solar cells cut energy conversion, enough to cause big problems for investors let alone those depending on the generation. In parts of the U.S. energy loss can be as high as 7% and 50% in the Middle East. For assets supposed to deliver for 25 to 50 years this is hardly acceptable. Engineering solutions are struggling to keep up with the phenomenal take off of solar. Predicting the effects of “soiling” in your … [Read more...]
New U.S. Offshore Wind target: from standing start to 30GW by 2030
In March, the Biden administration announced a bold target to deploy 30GW of offshore wind capacity by 2030. Until now, offshore wind’s rise has been driven almost exclusively by Europe and China. The U.S. accounts for just 0.1% of the world’s installed capacity (versus 17% for onshore wind). Why the hold up, given the U.S. could require up to 400GW of offshore wind by 2050? As Stephen Naimoli and Nikos Tsafos at CSIS explain, offshore costs … [Read more...]
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