Solar power has become increasingly efficient and cost-effective
Published on : Friday 16-02-2024
Sunil David, Digital Technology Consultant.
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What is the present global energy mix, and the current pace of transition, given the fact that global energy consumption is still rising?
The Global energy mix is undergoing significant changes due to the increased focus on decarbonisation and the adoption of renewable energy sources. However, fossil fuels are projected to remain a significant part of the energy mix for some time. Over 60% of global electricity generated in 2023 was produced predominantly by fossil fuels, despite the ongoing aggressive roll-out of renewable energy sources in most major economies. Some of the major nations had sourced well over half of their electricity from fossil fuels in 2023, including the United States (59%), China (65%), India (75%), Japan (63%), Poland (73%) and Turkey (57%), according to data from a think tank Ember. The total demand for fossil fuels is expected to peak by 2030, with natural gas and oil continuing to play a core role for several decades. In contrast, renewables are expected to grow rapidly, driven partly by their cost competitiveness. By 2050, renewable energy sources are anticipated to provide between 65 and 85 percent of global power generation, with solar being the highest contributor, followed by wind.
Pace of Energy Transition: Achieving the goals of the Paris Agreement and a successful energy transition will require overcoming numerous challenges. These include technological advancements, policy enforcement, and addressing the bottlenecks in areas such as land availability, energy infrastructure, and material availability. For instance, a steep increase in emissions reduction, particularly in the next decade, is necessary to stay within the carbon budget for the 1.5°C pathway.
Investment Requirements: The transition to a sustainable energy system is heavily dependent on investments. A cumulative investment of USD 150 trillion is required by 2050 to realise the 1.5°C target, with annual investment needing to more than quadruple compared to current levels. In 2022, a record high of USD 1.3 trillion was invested across all low carbon energy transition technologies, and investment surged 17% in 2023, reaching $1.77 trillion, according to Energy Transition Investment Trends 2024 released a few days back. But this falls short of the annual average needed. There's also a need for greater geographical and technological diversity in renewable energy investments.
Systemic Transformation: A profound and systemic transformation of the global energy system is required within the next 30 years. This includes shifts in physical infrastructure, policy and regulatory frameworks, and workforce skills development. The transformation aims not only at decarbonising energy supply and consumption but also at supporting a resilient and inclusive global economy.
Future Scenarios: Different scenarios for the future energy mix and transition pace exist, reflecting uncertainties in technology trends, geopolitical risks, and consumer behaviour. These scenarios range from a rapid transition with significant renewable energy adoption to more gradual changes with continued reliance on fossil fuels.
While the global energy landscape is shifting towards more sustainable sources, the transition is complex and requires significant investment, policy shifts, and technological advancements. The exact trajectory of this transition is uncertain, with various potential scenarios depending on numerous factors. The period following the 2023 United Nations Climate Change Conference (COP29) recently held in Dubai is crucial for curbing climate change and achieving sustainable development goals. The focus is on aligning energy transition strategies with economic, social, and environmental priorities, necessitating bold actions and a strategic shift in the global energy system.
While hydropower and nuclear energy are traditional renewable power sources, what potential do solar, wind, hydrogen and other renewable sources hold in the decarbonisation process?
Solar, wind, hydrogen, and other renewable energy sources hold significant potential in the decarbonisation process, complementing traditional renewable sources like hydropower and nuclear energy. Each of these sources contributes uniquely to reducing carbon emissions and transitioning to a sustainable energy system. For example, solar power, particularly photovoltaic (PV) technology, has become increasingly efficient and cost-effective. It is one of the fastest-growing renewable energy sources worldwide. Solar energy can be deployed at various scales, from small residential systems to large utility-scale solar farms and hence plays a critical role in both grid-connected and off-grid energy solutions, especially in regions with high solar irradiance. Wind energy, both onshore and offshore, has seen significant growth and technological advancements. Onshore wind farms have become a common feature in many countries, while offshore wind is expanding rapidly due to its higher and more consistent wind speeds. Wind energy is crucial for regions with favourable wind conditions and can provide a significant portion of electricity needs. Green hydrogen, produced using renewable energy to split water in an electrolyzer, offers great potential for decarbonisation. It can be used as a fuel in sectors that are hard to electrify, such as heavy industry and transport (especially in shipping and aviation). Hydrogen also acts as an energy carrier and storage solution, helping to balance the grid and store excess renewable energy.
Other Renewable Sources
Bioenergy: Derived from biological sources, bioenergy can be used for heating, electricity generation, and as a transport fuel. It's particularly valuable for providing renewable baseload power and can be combined with carbon capture and storage (CCS) for negative emissions.
Geothermal Energy: Geothermal energy harnesses heat from the Earth and is a reliable source of both electricity and heating. It's particularly well-suited to regions with high geothermal activity.
Ocean Energy: Technologies that harness tidal, wave, and ocean thermal energy are in various stages of development. They have the potential to contribute significantly to the renewable energy mix, especially in coastal areas.
Nuclear Energy: Nuclear energy can be generated from nuclear fission and fusion reactions. A significant amount of electricity from nuclear power is produced by nuclear fission of plutonium and uranium from nuclear power plants.
Integrating Renewables: A critical aspect of maximising the potential of these renewable sources is integrating them into the energy system effectively. This includes improving grid infrastructure, developing energy storage solutions, and implementing smart grid technologies to manage the variability of solar and wind power.
Overall, the combination of these renewable sources offers a diversified approach to decarbonisation, addressing different needs and conditions across regions. Their deployment is essential for achieving global climate targets and transitioning to a sustainable and resilient energy future.
What emerging technologies show the most promise for decarbonising energy production and consumption? How can innovation and research be accelerated to advance clean energy technologies?
Several emerging technologies show significant promise for decarbonising energy production and consumption which are listed below:
Advanced Solar Photovoltaics: Beyond the conventional silicon-based solar cells, new materials like perovskites are being researched. These materials have the potential to create more efficient and less expensive solar panels.
Energy Storage Solutions: Advancements in battery technologies, including solid-state batteries and flow batteries, are crucial for storing energy from intermittent renewable sources like solar and wind. They can help balance the grid and provide energy when renewable sources aren't available.
Green Hydrogen: Hydrogen produced using renewable energy (green hydrogen) is emerging as a key player in decarbonisation, especially for hard-to-electrify sectors like heavy industry and long-haul transport.
Carbon Capture, Utilisation, and Storage (CCUS): This technology involves capturing CO2 emissions from power plants and industrial processes, and either storing it underground or utilizing it for other applications. It's especially important for decarbonizing industries like cement and steel manufacturing.
Advanced Nuclear Technologies: Small Modular Reactors (SMRs) and next-generation nuclear technologies offer the promise of safer, more flexible, and cost-effective nuclear power.
Smart Grids integrated with IoT and AI: The integration of IoT and AI with energy systems can lead to smarter energy management, optimising renewable energy use, and enhancing grid reliability and efficiency.
Use of AI to measure carbon emissions: Carbon emissions measurement is extremely cumbersome. As per research almost 40% of a sustainability professional’s time is spent collecting and cleaning data. Only 1 in 20 of those asked was 70% confident in terms of the accuracy of their emissions calculations. The use of AI can help lighten these loads. Knowledge graphs that define relationships between various business activities and datasets, and natural language models can significantly speed up text processing and interrogation, enabling more accurate analysis at granularity that otherwise would not be feasible through human effort alone. As emissions reduction strategies turn into executable operational plans and interventions compete against each other for priority, a more granular analysis combined with business context become extremely critical. Thus while using such intelligent, self-learning systems to tackle these challenges brings risks, especially with ‘black box’ modelling approaches where underlying sources and biases are unclear, the questions is whether we can trust these systems to make environmental trade-offs for us, weighing climate change against other complex challenges such as plastic accumulated at ocean beds? Mitigating these risks will require leaning into issues that already make us uncomfortable as it demands more transparency. For AI to help make the world more sustainable, we really need to start with a comprehensive understanding of what we’re attempting to solve.
Electrification of Transport: Electric vehicles (EVs) are crucial for reducing emissions from the transportation sector. The development of EV infrastructure and advancements in EV battery technology are key areas of focus.
Bioenergy with Carbon Capture and Storage (BECCS): Combining bioenergy production with carbon capture and storage can result in negative emissions, as it removes CO2 from the atmosphere while producing energy.
Accelerating Innovation and Research in Clean Energy Technologies:
Increased Funding and Investment: Governments, private sector, and international organizations need to increase funding for research and development (R&D) in clean energy technologies.
Public-Private Partnerships: Collaborations between governments, industry, and academia can pool resources, share risks, and accelerate the development of new technologies.
Policy Support and Incentives: Policies that provide incentives for clean energy R&D, such as tax credits, grants, and subsidies, can stimulate innovation.
Global Collaboration and Knowledge Sharing: International cooperation in R&D, along with sharing of knowledge and best practices, can speed up the development of clean energy technologies.
Demonstration Projects and Pilot Programs: Implementing large-scale demonstration projects can help validate emerging technologies and increase investor confidence.
Education and Workforce Training: Investing in education and training programs to develop a skilled workforce in clean energy technologies is crucial for sustaining innovation.
Regulatory Frameworks: Developing supportive regulatory frameworks that encourage the adoption of new technologies and address barriers to deployment.
By focusing on these areas, the pace of innovation and research in clean energy technologies can be accelerated, contributing significantly to global decarbonisation efforts.
What solutions are available for energy storage to address the intermittent nature of renewable energy sources? How can energy distribution systems be optimised to reduce losses and increase efficiency?
To address the intermittent nature of renewable energy sources like solar and wind, various energy storage solutions are being developed and deployed. These solutions help in balancing supply and demand, ensuring a steady and reliable energy supply. Additionally, optimising energy distribution systems is crucial for reducing losses and increasing efficiency. Here's an overview of both aspects:
Energy Storage Solutions
Lithium-Ion Batteries: The most commonly used storage technology in renewable systems, particularly for short-duration storage. They are efficient and have a high energy density.
Flow Batteries: Suitable for longer-duration storage. They store energy in liquid electrolytes and can be scaled easily by increasing the size of the storage tanks.
Pumped Hydro Storage: Involves pumping water to a higher elevation during times of excess energy and releasing it to generate electricity when needed. It's effective for large-scale, long-duration storage.
Compressed Air Energy Storage (CAES): Stores energy by using surplus electricity to compress air, which is then stored underground. The compressed air is released to drive turbines when energy is needed.
Flywheel Energy Storage: Uses kinetic energy stored in a rotating mass; ideal for short-duration, high-power applications.
Thermal Energy Storage: Stores excess energy in a thermal reservoir for later use. It can be particularly useful in concentrated solar power plants.
Hydrogen Storage: Involves using excess renewable energy to produce hydrogen through electrolysis. The hydrogen can be stored and later reconverted into electricity or used as fuel.
Superconducting Magnetic Energy Storage (SMES): Stores energy in the magnetic field created by the flow of direct current in a superconducting coil.
Optimising Energy Distribution Systems
Advanced Grid Infrastructure: Implementing smart grids that use digital technology to monitor and manage the transport of electricity from all generation sources to meet the varying electricity demands.
Demand Response Programs: These programs encourage consumers to reduce or shift their electricity usage during peak periods, which helps in balancing the grid.
Energy Efficient Transformers: Using transformers with lower losses can significantly reduce energy wastage in the distribution system.
Voltage Optimisation: Adjusting the voltage delivered through the distribution network to optimise power quality and reduce losses.
Automated Distribution Systems: Incorporating automation in the distribution network to quickly identify and resolve faults, thus improving reliability and efficiency.
Distributed Energy Resources (DERs): Integration of small-scale energy resources like rooftop solar, small wind turbines, and home batteries can reduce the load on central distribution systems.
High-Voltage DC Transmission: For long-distance transmission, HVDC systems can reduce energy losses and are more efficient than traditional AC systems.
Grid-Scale Energy Storage: Deploying large-scale energy storage systems within the grid can help in managing energy loads more efficiently and integrating renewable sources effectively.
Real-Time Monitoring and Analytics: Implementing systems for real-time monitoring of energy flow to identify inefficiencies and losses quickly.
By combining various energy storage technologies and optimising distribution systems, it's possible to significantly enhance the efficiency and reliability of power systems, especially in the context of increasing renewable energy integration.
How can existing energy infrastructure be adapted or replaced to support decarbonisation?
Adapting or replacing existing energy infrastructure to support decarbonisation involves a multifaceted approach that targets different aspects of the energy system. Here are several strategies:
Upgrading Power Grids by leveraging technology
Smart Grid Technology: Incorporating smart grid technologies enables better integration of renewable energy sources. Smart grids use digital communication technology to detect and react to local changes in usage.
Grid Resilience: Enhancing the resilience of power grids to handle the variable nature of renewable energy sources like wind and solar power.
Energy Storage Integration: Implementing large-scale energy storage solutions, such as battery storage systems, to store excess energy generated from renewable sources.
Renewable Energy Integration
Decommissioning Fossil Fuel Plants: Gradually phasing out coal and natural gas plants, and replacing them with renewable energy sources.
Upgrading Existing Dams for Hydropower: Modifying existing dams to generate hydroelectric power can be an effective way to increase renewable energy generation.
Enhancing Building Efficiency
Retrofitting Buildings: Upgrading insulation, windows, and heating/cooling systems in existing buildings can significantly reduce energy consumption.
Smart Building Systems: Implementing smart energy management systems that can optimize energy use based on occupancy and other factors.
In summary, the transition to a decarbonised energy infrastructure requires a comprehensive and coordinated approach, involving technological upgrades, policy support, and behavioural changes across various sectors of the economy.
What investments are needed to upgrade and modernise the electrical grid for better integration of renewable energy sources?
Investments to upgrade and modernise the electrical grid for better integration of renewable energy sources are multifaceted and substantial, focusing on several key areas:
Large-Scale Grid Infrastructure: The successful integration of renewable energy depends heavily on traditional grid infrastructure like transmission and distribution networks, switching stations, and transformers.
Addressing Transition Risks and Constraints: Modern grid planning must also consider new risks and constraints associated with the transition to renewable energy. This includes adapting to changes in electricity demand due to electric vehicle adoption, distributed energy resources like solar and storage, and the electrification of heating in buildings. Utilities need to prepare for these changes by updating planning paradigms and making strategic investments in technologies like AI to support grid management processes.
Strategies for Efficient Deployment: To deploy infrastructure investment efficiently, cross-sector cooperation, incentive models, and policy support are essential. This includes streamlining permitting and approvals, fortifying supply chains, harnessing digital technologies, and implementing policies to reduce investment risks. For example, redesigned rates and grid-planning processes that promote non-wire alternatives can reduce the need for large-scale grid investments.
The overarching goal is to create an electrical grid that is not only capable of handling the increased load from renewable sources but is also resilient to the challenges posed by climate change and evolving energy demands. This requires a concerted effort from utilities, government, and private sector players to make strategic and timely investments in grid modernization
(The views expressed in interviews are personal, not necessarily of the organisations represented.)
Sunil David has 28 years of experience in the IT and Telecom industry of which close to 20 years was with AT&T, one of the top Communication Service Providers of the World and a Global Fortune 100 Firm. Until recently, Sunil was the Regional Director (IoT) India and ASEAN for AT&T India where he was responsible for building the IoT strategy, Sales, Business Development and also worked on building a robust IoT partner ecosystem; and was also actively involved in a number of marketing initiatives to help enhance the AT&T brand in the IoT space.
In his new phase of life, Sunil is Advising and Consulting AI and IoT Startups that are aspiring for the next level of growth.
Sunil has been a recipient of a number of Awards and Recognitions including 6 awards in 2021 and 3 this year from various Industry bodies and media conglomerates in recognition for his work in Digital Technology advocacy, Digital Skilling initiatives, contributing inputs towards IoT policy creation for India and for contribution to National Institute of Electronics and Info Tech, an Autonomous Scientific Society of MeITY, Ministry of Electronics and IT, Govt of India for contributing inputs on the syllabus and specific courses in the Emerging tech space (IoT, Cloud, AI ) that needs to be incorporated into the Curriculum of State and Central Govt Universities. NASSCOM Foundation and IBM India have also planted tree saplings in Sunil’s name for his contribution to the Tech Industry.
In August 2021, Sunil was awarded as ‘India’s Fastest Growing Digital Evangelist’ for FY 20-21 by a large media conglomerate Asia One Magazine at the 14th Asia Africa Business and Social Forum. The same month he was also conferred with the ‘CXO Excellence Award 2021’ by CXOTV part of TechPlus Media Group and joining the league of League of Outstanding Technology Leaders of India. This award was given on the basis of peer recommendations from the Industry