A giant model of the entire US electricity sector which captures distributed energy resource (DER) potential has been getting a lot of attention. It estimates that distributed solar and storage can save $473bn in system-wide costs when deployed at scale (enough to power more than 25% of US homes). Rooftop solar is definitely much more expensive than grid generation, but its location (on your own roof) avoids a range of costly transmission and … [Read more...]
EU “Fit for 55”: how it impacts the EU ETS to accelerate emissions reductions
Christoph Kellermann, Lun Zhou and Simon Göss at Energy Brainpool explain how the EU’s new “Fit for 55” proposals, released in July, will impact the EU Emissions Trading Scheme (EU ETS), hailed as one of the most effective ways of reducing emissions. The authors cover the changes to the existing ETS, the planned new ETS for road transport and buildings, the controversial Carbon Border Adjustment Mechanism (CBAM), and the new CO2 standards for … [Read more...]
U.S. can’t hit net-zero power target by 2035 without Advanced Nuclear
President Biden’s target of net-zero power generation by 2035 will be extremely challenging, if not impossible, argues Charles Merlin writing for IFRI. He says the best chance of achieving it is through advanced nuclear reactors, though the 2030+ switch-on dates of the new technology still won’t guarantee meeting Biden’s timescales. Why should the U.S. drive for advanced nuclear? Because of the known limitations of the other technologies. Wind … [Read more...]
Hydrogen: can gas, electricity and industrial majors agree on the next steps?
Here’s our written summary of our panel debate held on 16th June “Hydrogen: Designing the Net Zero Gas System”. With representatives from BASF, SNAM and ELIA to cover consumption, gas and electricity, there were plenty of differences of opinion. For example, with no end in sight for demand for green electricity for the grid, is it efficient to use some of it for hydrogen? Will subsidies for hydrogen skew markets away from industrial … [Read more...]
How to keep Wind and Solar profitable as its electricity gets cheaper
Success can cause problems. As wind and solar penetration increases the electricity it generates gets cheaper. If it stops being profitable we’ll stop building it, thus endangering our emissions-free goals. Dev Millstein at the Lawrence Berkeley National Laboratory summarises their research paper that looks at how market value changed over time at 2,100 utility-scale power plants across major power markets in the U.S., using 2019 data. It’s clear … [Read more...]
ELCC: for predicting how much storage a grid really needs
How much storage does a grid need? Too little leads to blackouts. Too much means money wasted. Getting the predictions wrong will skew policy priorities and investments, and slow the transition to a clean electric grid. Effective Load Carrying Capability (ELCC) measures a resource’s ability to produce energy when the grid is most likely to experience electricity shortfalls. Mark Specht at the Union of Concerned Scientists explains how it works. … [Read more...]
Financial incentives for Grid Modernisation: the problem with guaranteed returns on investment
Grid modernisation is going to be very expensive. What’s the best way to pay for it? The financial incentives governments put in place now will determine what investments get made, how cost-effectively it’s done, and who ultimately pays. Meredith Fowlie at UC Berkeley’s 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 it’s far from ideal. … [Read more...]
U.S. DoE: National Roadmap for Grid-Interactive Energy-Efficient Buildings
Buildings account for more than 70% of U.S. electricity use and one-third of economy-wide CO2 emissions. Andrew Satchwell at the Lawrence Berkeley National Laboratory presents the U.S. Department of Energy’s comprehensive plan, “A National Roadmap for Grid-Interactive Efficient Buildings”, that could deliver up to $200bn in savings to the U.S. power system and cut CO2 emissions by 80m tons per year by 2030 (6% of total power sector emissions). … [Read more...]
Germany: will the end of feed-in tariffs mean the end of citizens-as-energy-producers
Germany’s 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. It’s the bigger players who are winning those auctions, and some of the existing … [Read more...]
Case study Italy: Optimising emissions cuts means we’ll need “grey” and “blue” Hydrogen too
Europe is committing to hydrogen. The ideal is “green” hydrogen, produced from renewable energy alone. Carlo Stagnaro at Istituto Bruno Leoni analyses emissions and costs in Italy to make the case for policy-makers to consider including “grey” and “blue” hydrogen in their strategies too. Because grids are far from green today, a new wind and solar plant will reduce more emissions by feeding the grid than by making hydrogen. “Grey” hydrogen, … [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...]
Fit for 55: Does squeeze on gas make coal exit harder? Event summary + video
On May 18, 2021, Energy Post hosted an expert panel with the European Commission, E3G, CERRE and PKEE (the Polish Electricity Association, who also sponsored the discussion). It looked at some of the key EU support mechanisms offered to countries/companies transitioning away from coal, including the EU ETS' Modernisation Fund, the Just Transition Fund  and also how State Aid Guidelines (EEAG) contribute. We asked Stefaan Vergote (Senior Advisor … [Read more...]
What is making Denmark a decarbonisation success? Policy, society, geography
Denmark is proving itself to be a decarbonisation leader, happy to turn its back on its history of oil and gas production and heavy reliance on coal. Its ambitious goal of cutting GHG emissions by 70% by 2030 makes it a global policy frontrunner, second only to Finland which aims to be climate neutral by 2035. Thibault Menu references his report for IFRI that asks what makes Denmark special. It has a long tradition of  providing stability and … [Read more...]
Why expensive Buildings Renovations? By the time they’re done the grid will be emissions-free
The big budgets being talked about for the transition require us to decide how much to spend, and on what. Maximilian Auffhammer at the Energy Institute at Haas explains why he thinks a lot of the money being earmarked for buildings renovations would be better spent elsewhere. By the time the renovation wave has successfully “reached the shoreline” in the next few decades buildings will be powered overwhelmingly by clean grids (that’s the plan, … [Read more...]
Micro-nuclear reactors: up to 20MW, portable, safer
Scientists are working on micro-nuclear reactors that are so small they can fit on the back of a truck or a standard 40-foot shipping container, explains Christina Nunez writing for the Argonne National Laboratory. Deliberately small, generating up to 20MW, they could provide zero-carbon power in remote settings or supplement electrical power grid recovery. Another idea would be to locate them on remote highways for re-charging long distance … [Read more...]
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