COP26 panel casts wider decarbonization net

Published on November 04, 2021 by Hil Anderson

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The quest to decarbonize the world is moving into a new phase that will require a more-targeted approach to both research and deployment of green-energy technology rather than merely building out more wind and solar capacity.

A panel at the COP26 summit in Scotland this week concluded that a broader strategy was required that would bring more stakeholders to the table from outside the electric utility industry and speed up the adoption of new generations of technology at the industrial and residential level.

“We all have a role to play in getting governments and other sectors to move ahead,” said Leo Moreno, president of AES Clean Energy.

The panel, “Racing to Net Zero,” revolved around the development and deployment of the next generation of technology that will further slash the amount of carbon dioxide being released into the atmosphere and get the world over the hump in reaching various carbon targets in the coming years. The discussion, however, was less about gadgets and theories than on developing new technology to scale and moving it into the field.

A major piece of the puzzle will be to bring manufacturing and similar industries into the green energy fold. The idea of decarbonizing different industries, such as manufacturing and transportation, has gained wide acceptance as a goal; however, the need for massive amounts of reliable and affordable green electricity around the clock has been a particular challenge.

“Yes, the electric industry is able to lead…but the focus also has to be on the remaining industrial sectors,” said Arshad Mansoor, president and CEO of the Electric Power Research Institute (EPRI).

To that end, EPRI used COP26 as a forum to announce its “Transitioning Industrial Clusters Toward Net Zero” initiative to expand green energy into individual geographic areas, or clusters, where both power producers and major industrial consumers are located. The aim is to develop grids that will allow major emission reductions in these clusters, which are considered responsible for as much as 20 percent of global carbon-dioxide (CO2) emissions.

There are currently four such clusters established in Europe that have combined to reduce CO2 emissions by a total of approximately 30 million tons. The initiative has a goal of expanding to 100 clusters by 2024 and turning the model into standard operating procedure. “Developing just 10 U.S. net-zero industrial clusters…could reduce U.S. carbon emissions by approximately 10 percent,” Mansoor said. “A rising tide lifts all boats, and these co-located energy sources will help one another towards a brighter energy future.”

Planning for clusters or other specific areas can help utilities better prioritize future needs, including developing adequate generation and the capabilities of the grid that will bring enough clean power to the end user. Tailoring such planning to customer needs will help ensure there will not only be the necessary loads of conventional renewables available, but also resources such as battery storage, hydrogen peaker plants and even next-generation nuclear power to provide consistent supplies at night or during periods of unusually high weather-related demand.

“The whole planning process needs to be reshaped,” said session moderator Pedro Pizarro, president and CEO of Edison International and vice chairman of the Edison Electric Institute (EEI).

The panelists agreed that new designs for the power grid, if not an outright change in philosophy, will be needed to better finesse multiple generation sources and provide the right amount of power to the right place at the right time. Artificial intelligence will be vital, and the grid must also be even more resilient so that it functions smoothly amid a deteriorating weather picture that is already producing major challenges in the form of destructive storms, exhausting heatwaves, and wildfires.

“Change from planning for the middle to planning for the tail because the tail is showing up more often,” Pizarro remarked about the ongoing increase in extreme weather conditions.

The consumer level will also require a higher level of attention as appliances and transportation become increasingly electrified. It’s a demographic that will be responding in large part to economics and will probably require continuing incentives to, for example, switch to an electric water heater or stove or an electric vehicle that will require a charger installed in their garage.

“Customer behavior is another huge component,” said Moreno.

Electricity is considered inherently cheaper in the long run than fossil fuels, which leads to a solid return on investment for consumers who make the switch to all-electric; only 25 percent of U.S. homes were all-electric as of 2019, which will probably require governments from Washington on down to city hall to commit to incentives that will at least make the up-front costs easier to bear for homeowners who may be otherwise loath to give up their gas appliances.

“It’s just one more way that electricity is more efficient,” said Pizarro. “And we need government to help monetize that pot of gold through incentives.”