China’s performance – both in and outside the energy sector – has always been driven by wide-reaching industrial policy. In the last few decades it has consistently delivered results. Meanwhile, the U.S. has kept shifting up the gears of its pro-U.S. interventionist industrial policy since Donald Trump: though socially right wing, he was a protectionist president whose ambition was to boost domestic industries. Today, president Biden’s “Inflation … [Read more...]
Critical minerals: price spikes are affecting Wind, Solar, Batteries, EVs
A wide range of critical minerals are needed for the energy transition. Tae-Yoon Kim at the IEA summarises the reasons why we should expect this to be a year of price spikes due in the main to the Russia-Ukraine war and post-lockdown supply chain bottlenecks. So severe is the problem that the long record of declining costs in clean energy technologies like solar, wind, batteries and electric vehicles is being reversed. Although these crises will … [Read more...]
Critical minerals and materials: supply bottlenecks and risks need international cooperation
The growth in demand for minerals and materials needed for the energy transition is putting a strain on supply. Mining and processing are the two key bottlenecks. Dolf Gielen, Martina Lyons, Francisco Boshell and Peter Chawah at IRENA summarise the multiple challenges. New capacity is not the only problem: the geographical concentration of where the mining and, in particular, the processing is being done is the primary risk. China’s dominance in … [Read more...]
The 10 big problems with simply replacing fossil cars with electric
The planned rapid transition to electric vehicles has major challenges. Schalk Cloete compiles them into a list of ten, including: preserving our car-centric cities preserves its inefficiencies and societal costs; it works against much of the personal “behaviour change” we need; though BEVs (battery electric vehicles) are better in cities, when infrastructure costs are included they are less efficient than hybrids and modern ICEs for many driving … [Read more...]
Will Wind & Solar confront its 10 challenges? If not, we need Nuclear, CCS, and more
Wind and solar’s impressive cost declines have seen its welcome and rapid emergence. But currently they account for a mere 2–4% of global energy. So these variable renewable energy sources (VREs) must now address 10 big challenges if they are to dominate the energy sector, explains Schalk Cloete in this data-led review. Their cost declines will be confronted and even cancelled by new costs they’ve not yet faced during their low-hanging-fruit … [Read more...]
Is China really eyeing Afghanistan’s mineral resources?
Press reports of China hoping to strike deals with the Taliban to secure mineral rights in Afghanistan are very likely to be an exaggeration, explains Lukas TrakimaviÄŤius. It’s true that China wants minerals essential to the clean energy transition and other technologies. It’s also true that Afghanistan has an abundance (copper, cobalt, lithium, rare earths, etc.), and they’re worth something of the order of $1tn. But it can take a decade to get … [Read more...]
Biden’s major report on critical minerals supply: domestic mining + processing, innovation, EVs, global allies + more
In June, The White House issued its 250-page report on the global critical minerals supply chain, and how the U.S. can ensure continued supply as well as build up its own mining and manufacturing base. It is the fullest picture so far of how the U.S. is evaluating mineral access and supply chain resilience, says Reed Blakemore at the Atlantic Council Global Energy Center. Here he reviews the report, in particular the section on energy which … [Read more...]
The Energy Charter Treaty makes the transition easier. Don’t scrap it, reform it
Energy and climate experts as well as national and EU parliamentarians are lining up to press their governments to withdraw from the Energy Charter Treaty (ECT) if insufficient progress is made in its modernisation. Their main argument is that it gives protection to fossil investments in a world where policies are changing in order to constrain or phase them out. Here, Frank Umbach at EUCERS sternly warns against abandoning the ECT. The treaty … [Read more...]
Electric metering should break its link with power consumed and create it directly with the costs of delivery
In a world where electricity is generated from non-renewables (oil, gas, nuclear) our meters measure and charge us for electricity delivered, as if it was a fuel being consumed. Going forward, the cost should be measured against what is actually being consumed. In a renewables world – particularly 'run-of-the-river' hydro, wind and solar - that’s not the electricity. It’s the wear and tear on the infrastructure. Treating these types of renewable … [Read more...]
Report maps out the new geopolitical power dynamics created by renewables
A new report by the Global Commission on the Geopolitics of Energy Transformation says the new energy age will profoundly reshape relations between states and regions. It will bring “A New World” of power, security, energy independence and prosperity. It will also reshape the geopolitical map, just as fossil-fuels have done over the last 200 years. No nation will be unaffected. … [Read more...]
