Grid modernisation is going to be very expensive. Whatâs the best way to pay for it? The financial incentives governments put in place now will determine what investments get made, how cost-effectively itâs done, and who ultimately pays. Meredith Fowlie at UC Berkeleyâs Energy Institute at Haas explains that a common method is for a government to give some sort of guaranteed return on investment for the new asset. But itâs far from ideal. … [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...]
Finland starts excavation of worldâs first Deep Geologic Nuclear Waste Repository
Finlandâs policy is to dispose of, within its borders, spent nuclear fuel rather than reprocess it. Excavation of a deep geological repository - for final disposal - at Olkiluoto began in May and is a world first. Not even the U.S., with its waste from over 130 nuclear reactors built since the 1950s, has committed to one. James Conca looks at Finlandâs history of nuclear waste disposal, how it got to this decision, and the disposal method. The … [Read more...]
Germany: will the end of feed-in tariffs mean the end of citizens-as-energy-producers
Germanyâs feed-in tariffs ran for 20 years. The guaranteed electricity price and connection to the grid incentivised ordinary citizens and communities to invest in smaller scale solar, biomass and wind generation for their homes and local areas. But that guaranteed price is now too expensive, and so the tariffs are ending and lowest-bid auctions are taking over. Itâs the bigger players who are winning those auctions, and some of the existing … [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 itâs simple: set a legal requirement for the percentage of clean electricity. How itâs done depends on the efforts of all the actors affected. 30 states are using different versions of Clean Energy Standards (CES) â the first began in 1983 and more than half of them began before 2004 … [Read more...]
Does new German target mean Coal gone by 2029, Renewables 65% by 2030?
The stiffer emissions targets introduced this month to Germanyâs Climate Protection Law - CO2 emissions from the energy industry must fall to 108 Mt by 2030 instead of 175 â point to an even earlier coal phase-out date of 2029, with renewables generating 65% of electricity by 2030. The existing plan had meant coal must be gone by 2038. Michael ClauĂner, Carlos Perez-Linkenheil and Simon Göss at Energy Brainpool explain why, using their modelling … [Read more...]
The IEA explains its new âNet-Zero Emissions by 2050â roadmap
Today the IEA publishes its new special report, âNet Zero by 2050: a Roadmap for the Global Energy Sectorâ, its deepest dive so far into whatâs needed for a successful global transition. It analyses the options as well as the socio-economic, behavioural and environmental impacts they will have globally. Here, Laura Cozzi (Chief Energy Modeller) and Timur GĂŒl (Head of the Energy Technology Policy Division) at the IEA summarise the key principles … [Read more...]
The standard models overestimate the cost of the low carbon transition
Why have forecasts for new low-carbon energy consistently underestimated their cost reductions? The IEA has, famously, repeatedly had to raise its estimates for solarâs contribution every year since 2009, and now describes it as the âcheapest electricity in historyâ. Writing for Carbon Brief, Alexandra Poncia at Arup and Paul Drummond and Michael Grubb at University College London explain that standard models focus on âtechnology-pushâ policies, … [Read more...]
California: Designing electricity rates that are fair and encourage EV and Heat Pump take-up
Electricity prices in California are not fair and not good for incentivising electrification, says James Sallee at the Energy Institute at Haas, because of the way people are being billed. There is no doubt that electrification (grid upgrades, etc.) and climate mitigation (including controlling Californiaâs wildfires caused by power cable failures) must add to the cost of transition. But Californians can now find themselves paying up to twice the … [Read more...]
Green Hydrogen: reducing the cost needs scaling up of electrolyser plants
More and more nations are committing to the promise of hydrogen. That promise cannot be kept unless costs come down. A report from IRENA, âGreen Hydrogen Cost Reduction: Scaling up Electrolysers to Meet the 1.5â°C Climate Goalâ, breaks down what needs to be done. Two of its authors, Herib Blanco and Emanuele Taibi, summarise the study and point at the more than 20 countries (and companies like Thyssenkrupp, NEL and ITM) committing to doing it. The … [Read more...]
Do government renewable energy auctions squeeze the PPA market?
Spanish government renewable energy auctions in January produced record-breaking low strike prices for both wind and solar. For solar the average price was âŹ24.47/MWh (the lowest was âŹ14.98/MWh), guaranteed for 12 years through contracts-for-difference (CfDs). As such auctions continue around Europe, Michael ClauĂner at Energy Brainpool asks what impact these prices will have on future power prices in general and on solar power purchase agreement … [Read more...]
Can the U.S. switch on a Nuclear Fusion plant by 2035?
Momentum is building in the U.S. for the switching on of a nuclear fusion pilot plant by 2035. A report from the National Academies of Sciences, Engineering and Medicine lays out for the first time the required technical, economic, and regulatory standards. It comes soon after the prospects for fusion were boosted in January by a government bill that funds fusion activities. Peter Dunn at MIT reviews the report and speaks to the experts. The main … [Read more...]
Aviation and Shipping emissions: will Biden take on the challenge?
William Todts at Transport & Environment is very worried about the Biden administrationâs approach to aviation and shipping emissions. The signals are that the U.S. wants to work through the International Civil Aviation Organization (ICAO) and the International Maritime Organization (IMO). But they have neither the ability nor the means to spur technological breakthroughs. That matters, because itâs only the use of alternative fuels that can … [Read more...]
A marketplace for energy data will enable Europeâs grid expansion
The growth of the decentralisation of energy generation and storage combined with the digitalisation of the metrics of supply and demand is pointing towards a marketplace for energy data, explain Veronika SpurnĂĄ and Helena Uhde at the EU-China Energy Cooperation Platform. Such a marketplace will monetise the data itself, in recognition of its vital role in enabling the intelligent distribution of energy and investment. There will also be a place … [Read more...]
Policy-makers still undervalue Energy Efficiency as a grid resource
Supply-side solutions to grid stability are few in number, and expensive. More baseload generation, electricity networks, capacity markets that pay power plants all year round to be available for dispatch during a few peak hours. Demand-side solutions are usually smaller, and multitudinous: building fabric improvements, equipment upgrades, customer behaviour interventions, and more. So, for grid stability, the principle of âEfficiency Firstâ - … [Read more...]
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