Four New Energy Focuses For 2022

Decarbonizing Electric Power: Key Challenges And Opportunities After The 2021 Global Energy Crunch And COP26 Climate Negotiations

Markit, January 4, 2022 (Seeking Alpha)

“…For the global power sector, affordability, reliability, and sustainability have rarely simultaneously caught global attention as they have this past year…[In 2022, it faces] an enormous challenge and an immense opportunity for market participants…[For deep decarbonization from 2021 to 2050, IHS Markit estimated] the world may need to add about 28,000 GW of clean generation capacity, or 5.5 times more per year than was added annually over the past 10 years…[and] a total future investment of approximately $30-40 trillion…[Four key variables include] 1) [The] supply chains for solar, wind, and battery technologies may need to increase 4- to 45-fold relative to today… complicated by mineral scarcity, shortages in processing and workforce capacity, and regional bottlenecks…

click to enlarge

…2) Ensuring power supply reliability [is becoming more complex]…3) Expanding and upgrading transmission and distribution networks [could be costly and complicated]…4) Harmonizing the renewables industry's relationship with land and the community…[could result in] land use competition with other economic, community and environmental interests…[But] overcoming the challenges can create a "virtuous cycle of clean energy development" as solutions emerge from policies that drive] clean energy projects, in turn increasing equipment manufacturing capacity, decreasing supply chain costs, and accelerating technology improvements, all of which facilitate implementing yet more policies that favor renewables…” click here for more

click to enlarge

Tweet